Wednesday 20 June 2007
Lenders’ support for personal searches strengthens says CoPSO

Contact: Fiona Hoyle Fiona@copso.org.uk

Around 90 major mortgage lenders have already confirmed that they will accept personal local searches following the publication of new industry guidelines for conveyancers. This includes 9 out of the top 10 lenders, who alone account for nearly 75% of all mortgage lending in the UK.  

Personal local searches are carried out by private search firms interrogating data held by local authorities and compiling reports.  Their use has grown extensively in recent years and around 50% of all local searches are now undertaken by private search firms. On 1 June 2007, the latest edition of the Council of Mortgage Lenders’ Handbook was published setting out lenders’ instructions to conveyancers in home buying transactions.  One of the features of the Handbook is that it lists which lenders will accept personal searches.  This increased support for personal searches follows the introduction of new industry standards for the search industry under the Search Code, which provides protection for homebuyers, sellers and mortgage lenders relying on search reports.  The Code has been introduced by the Council of Property Search Organisations (CoPSO) and compliance is independently monitored by the Property Codes Compliance Board. The private search industry has been swift to embrace these standards with firms providing 100% of environmental searches, over 80% of personal local searches, together with major water companies, chancel repair firms and the NLIS channels already having subscribed to the Code.

Commenting on this growing support for the private search industry, CoPSO Chairman Fiona Hoyle said:

‘Lenders’ strengthening support for the private search sector is extremely welcome and reinforces the important role searches play in the home buying process. The Search Code introduces new industry standards for all search providers and we believe that only Code-compliant searches should be used in the home buying process, to ensure that consumers are protected.  There has been much speculation in recent weeks on whether lenders will accept personal local searches included in HIPs and this sends a clear message that they will.’

Notes to Editors

• The Council of Property Search Organisations (CoPSO) is the leading trade association for the property search industry.  Members provide a range of property information reports including local, environmental, chancel repair, mining, drainage and water data and produce over 2m searches each year. CoPSO’s overall objective is to drive both market and product improvements to deliver the industry’s vision of faster and better informed property transactions.
• CoPSO has represented the search industry on the Government’s working groups reviewing the content of Home Information Packs. 

In September 2006, CoPSO launched the Search Code incorporating:

• A Code of Practice
• Training requirements
• Independent registration and compliance functions
• An independent adjudication scheme.
• Robust insurance provisions

The introduction of the Search Code underpins CoPSO’s firm belief that, in the interests of consumer protection, only those search organisations which adhere to prescribed standards should be able to provide searches as part of the home buying process. Search firms providing over 80% of local searches and 100% of environmental searches have already signed-up to the Code, together with large water companies, chancel repair firms and the NLIS channels.  

Council of Property Search Organisations
www.copso.org.uk

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