Mr. Keith Anderson:

I would like to say at the outset that solicitors, whom we work with on an ongoing basis, for the most part do a fine job for purchasers and sellers alike. However, there are severe inefficiencies within the system as currently operated. Our study was aimed at getting some measure of what is happening and from there to work with all interests to try to address deficiencies in the systems.

Our research found that over 60% of auctioneers said they were experiencing unwarranted delays from the time a sale is agreed to close of sale. Almost 37% said they had experienced such delays sometimes and a mere 3.7% said they were not experiencing unwarranted delays. Members were then asked the most common reasons for such delays. There are two main reasons. The major reason for such delays was solicitors' conveyancing procedures, and these were identified as a reason by an overwhelming 79% of respondents. Coming in second place was policy procedures at lending institutions, and these were identified as a reason by over 45% of respondents. When it came to the length of time from sale agreed to a close of sale it was on average almost four months in 2013, and that extended to four and a half months in 2014. Members were asked to give a view on whether delays were attributable to a reluctance on the part of solicitors to do business by e-mail or telephone, instead favouring the traditional method of letter writing. Over seven in every ten agreed that this was the case. The remaining 30% were asked for their views and the reasons they gave were greater caution in signing off documents in recent times, high levels of due diligence required, and inefficiencies.

There is no getting away from the fact that very serious consequences arise from delays in conveyancing. In our study, 68%, or seven in ten auctioneers, have lost sales, and over 27% have experienced banks withdrawing finance. What is happening here is that against a backdrop of financial pressure consumers are trying to make plans for the future. They research the market for a suitable property, and in many urban areas that is not easy to find at the moment. When they eventually find a property within their budget they make an offer. In many cases they wait in trepidation to see if they will be outbid. It is a moment of joy when they are told that their offer has been accepted and the property goes sale agreed. At this point it should be only a matter of a short few weeks before they take full possession and start a new phase in their lives but that is not how it happens for many. Purchasers and sellers are coming back to us week after week frustrated with a lack of progress after the sale is agreed. Many move on and try to buy another property, with the added time and expense involved. In a recovering property market some are worried that if they do not succeed in buying the home they want prices may rise beyond what they can afford. It is a very unsatisfactory situation for both buyers and sellers. Delays in conveyancing are not within the control of the auctioneering profession yet our members' reputations are being tarnished in their own communities as a result of delays in conveyancing which lead directly to gazumping.

In conjunction with our study we asked our colleagues in the European Real Estate Confederation, CEI, and the European Council of Real Estate Professions, CEPI, about their experiences. The results which are set out at the back of the document that the committee has contrast sharply with the Irish experience. Across Europe lawyers conduct a great deal of real estate business via e-mail and telephone and the majority of sales are closed within 30 to 60 days. As our CEO, Mr. Pat Davitt, said, I am a practising auctioneer and I see these problems first-hand every week. I have to deal with frustrated consumers who are trying to do nothing more than secure a home for themselves and their families.

At this point I will hand back briefly to our chief executive, Mr. Pat Davitt, who will outline our proposals to the committee for addressing the issues identified in our research.