Plans to introduce legal protections against gazumping and gazundering on the Isle of Man have been postponed until after September’s general election.
The proposed legislation, brought forward by Gary Clueit MLC, is intended to reduce the financial losses buyers and sellers can incur when property transactions collapse after a sale has been agreed.
Speaking during the debate, Clueit said home purchases are often the largest financial commitment people make, yet buyers and sellers remain exposed to significant costs if transactions fail after surveys, valuations and legal work have been completed.
‘I have been inundated with emails and phone calls from people who had experienced financial losses after property transactions collapsed,” Cluet said.
Although there is no data measuring the scale of the issue on the Isle of Man, Clueit argued that residents face the same risks as those elsewhere.
Members of the Legislative Council broadly supported the objective of strengthening consumer protections but questioned whether legislation should be introduced before the government had developed a detailed policy framework.
Kirstie Morphet MLC called for further consultation before any Bill progresses, while Rob Mercer MLC said policy work should come before legislation.
The debate also noted that proposals to reform the island’s homebuying process have been discussed since the early 1990s without resulting in legislative change.
Members agreed that housing is likely to be a key issue during the forthcoming general election and unanimously voted to adjourn the debate until the Legislative Council’s November sitting, when the proposal will be considered again following further consultation.
