On average, Britons spend £270 million each year on failed housing transactions. Sound familiar? Britain’s laws for housing purchases are infamously time consuming; but all this might be about to change.
Property platform Gazeal has developed technology that claims to radically reduce this failure rate, saving both time, money and stress for all British buyers.
In England & Wales, an agreement to buy or sell a house isn’t valid until the Exchange of Contracts. The conveyancing process prior to this takes weeks, whilst each party checks the deal is ‘safe’ for their client.
Through their new platform, Gazeal protects both sides by putting the Title into Escrow pending Exchange. According to Bold Legal Group founder Rob Hailstone, “It’s like holding a Title in Trust, subject to the terms of your deal. The Gazeal product is simple – it is a lock-out agreement backed by Title Insurance.”
According to Gazeal, as the property market has picked up from the 2007/8 financial crisis, a phenomenon called ‘gazumping’ has become increasingly prevalent; essentially, it occurs when after going ‘sale agreed’ on a property and paying the deposit, the seller makes a U-turn to sell it to someone else for a higher price.
Gazumping is both time-consuming and stressful for buyers, sending them back to the beginning of their search. Gazeal’s platform aims to prevent this, offering a ‘triple protection’ against the ‘uncertainties and unscrupulous practices’ present in today’s market.
Gazeal’s pre-money valuation is £4,392,908, and the company are looking for £250,000 in capital through crowdfunding platform SyndicateRoom. Syndicate Room differs from other British platforms, in that a seasoned lead investor is always involved in a campaign. It is only after they have conducted their own due diligence, negotiated the valuation at which to invest, and invested their own money that these opportunities are presented to our members who invest at the same economic terms as the lead investor.
Nigel Heilpern, Lead Investor for Gazeal’s campaign, says:
“Gazeal has great potential and I believe it will be very successful because of the scalability of the product, and then there is the social impact… I love the innovation, I understand the product, and like the way it works and I’ve known the management team for a long time.”