OFT- Legislation is hindering housing market innovation

Current legislation on how properties are bought and sold in the UK, which dates back to 1979, could be "hindering the development of new business models" in the housing market, it has been claimed.

The Office of Fair Trading (OFT) has published the findings of its latest report and suggested that buying and selling houses could become cheaper and more efficient if the UK were able to adopt new methods, similar to those practised in the US.

According to the OFT, while figures suggest consumers are satisfied with the work of estate agents, alternative brokerage deals could put "competitive pressure on traditional ways of buying and selling a home".

John Fingleton, OFT chief executive, said: "In the present economic climate it is more important than ever that people get a good deal when buying or selling a home.

"Encouraging new business models, online estate agents and private seller platforms could put useful competitive pressure on traditional models and lead to better value for buyers and sellers."

Get a cheap landlords insurance quote today from Simple Landlords Insurance.