AI-generated correspondence could unintentionally be slowing down the home buying process, a conveyancing firm warns.
RG Law says artificial intelligence is now adding “a new layer of complexity” to conveyancing, with homebuyers using tools to generate lengthy complaints and questions without the full context of their transaction.
This follows the latest complaints data released by the Legal Ombudsman which found that residential conveyancing remains the most criticised area of legal practice, accounting for 36% of all complaints accepted.
The ombudsman says many consumers feel unclear about what is happening, why decisions are being made and what they are being charged for.
Loren Ringshall, conveyancing case manager at RG Law, said: “Clients understandably want to feel informed and in control when buying a property.
“For many people, particularly first-time buyers, conveyancing is unfamiliar and the terminology can be difficult to understand.
“It is therefore understandable that clients may use AI to help formulate questions. The difficulty is that AI does not understand the complete history of the transaction or which party is responsible for providing information.
“It can produce a response that sounds authoritative, but is based on assumptions, general information or an incomplete picture of the case.”
The firm referred to an incident where a client submitted detailed questions about fire-safety works, service charges, asbestos, reserve funds, lease terms and potential future costs. Some of these issues had already been addressed in the leasehold and management reports provided to the client, while other information was still awaited from the seller’s solicitors.
In a further case, a client raised a series of questions immediately after receiving a mortgage report and being asked to return the mortgage deed. However, some of the documents referred to had not yet been received or reviewed.
Ringshall noted these examples show how AI-generated correspondence could “unintentionally slow down the transaction it was intended to help”.
She added, when conveyancers receive a lengthy list of AI-generated questions, each point must be checked against the file and answered accurately, a process which can involve revisiting reports, reviewing previous correspondence and contacting other parties.
The issue is not that clients are asking questions, Ringshall said, but that AI can turn reasonable concerns into demands based on assumptions that do not match the progress of the individual transaction.
In leasehold transactions this issue can become “particularly problematic” she warned.
“Leasehold transactions are not always capable of being dealt with within the same timescale as a straightforward freehold purchase,” the case manager said.
“There may be a lease to review, a management pack to obtain, enquiries to raise and replies to assess.”
AI should not be treated “as a substitute for professional advice based on the individual transaction”, the firm concluded.
