Irwin Mitchell blog article: Surfing the waves of change of conveyancing

Hayley Bruce of Irwin Mitchell has written a blog article looking at surfing the waves of change of conveyancing.

Change is a common theme in the post-pandemic conveyancing profession. As in other sectors, the pandemic created a fundamental shift in how the job is done: home and hybrid working, a move towards digital innovation and a focus on well-being, has transformed law firms.

To many, the changes have been too quick and numerous.

The exodus of burnt-out conveyancers which began in earnest during the SDLT holiday has slowed, but as the changes pile up you cannot blame the seasoned professional from thinking it is all becoming too much. While those who remain begin to recognise that keeping ahead of the changes can be a job in itself.

Yet to some, these changes are long overdue, or address clients’ need which were previously neglected. Some are even excited that with the new developments in technology and different approaches to accessing the profession, this may be the beginning of a new age and perhaps a better way forward for a profession which is often criticised for not moving with the times.

Technology/AI

Writing an article about change must begin with technology.

I asked the partners in my team about the changes they had seen in their career and all of them put technology at the top of their list. I can recall when a productive day was defined by the number of letters which needed to be folded into envelopes; when letters were sent ‘by post and e-mail’, demonstrating an intrinsic mistrust of communication sent only through the ether of the Internet. Now whilst most conveyancers would see the majority of their communication carried out through e-mail, there is a decided shift towards deal rooms and client portals.

The introduction of language-based models and generative AI has expanded the scope of change to not just the channels by which we communicate but what we are actually saying. By the very nature of the technology, this isn’t simply a “click this button and get this result” type of tech.

This is a learning machine where you cannot see what’s going on underneath the bonnet, making property professionals rightly nervous as they cannot understand how the AI reaches its conclusions including its wild hallucinations. Use Generative-AI for legal research (outside of paid-for research products) at your peril and then only when you already know the answer. However, it can be used as a springboard or at least to put you in the ballpark of the topic you are looking for.

Perhaps a better use for AI is in translating technical legal information into something more accessible and easier to understand for clients. In the modern conveyancing world where we are obliged to report a vast amount of information, interpret, and make it understandable to clients, highlighting risks with commercial understanding and not hiding key information in ever-growing reports, generative AI could be a powerful and creative tool.

Again, you should approach the use of AI with extreme caution and perhaps treat it as an enthusiastic assistant whose work must be carefully checked to ensure it is legally correct and to avoid losing any intended meaning.

The bigger impact of AI comes not from the law firms themselves who are using it, but from their suppliers. The race is on amongst digital platform, search and case management providers to use AI in more innovative ways. The uses are endless but include client onboarding, ID checking, due diligence, contract analysis and regulatory compliance.

The ability to scan deeds and use the data to complete SDLT and Land Registry forms reduces data entry time and manual mistakes. These products are such clear time savers and show such accuracy that failing to embrace them would be the same as refusing to let your typewriter go (although I do love a typewriter).

AI and other technology do come with risks. Cybersecurity is more than an emerging field and those buying new technology will need to educate themselves and their employees on more than just the security essentials.

Undoubtedly, technology will continue to usher in new changes and challenges in conveyancing, but it goes beyond simply the software on your computer. The use of Bitcoin and other cryptocurrency as a source of wealth will require new onboarding processes and risk analysis for law firms. Although these have always been considered high-risk for money laundering with various warning notes from the SRA and the Law Society, a recent study estimated 420 million cryptocurrency owners and this may make a client-driven change for law firms to embrace while balancing their regulatory duties.

Legislative changes

The onslaught of change conveyancers are enduring is not only limited to technology. Legislative changes since the pandemic have brought new challenges. The Building Safety Act is being heralded as introducing the biggest change in conveyancing for 50 years. While the Freehold and Leasehold reform and Renters Reform bills assure us that there are still more fundamental changes in property law to come.

Training

Access to conveyancing as a profession is also changing as the SQE beds in and apprenticeships become commonplace. The profession will start seeing improvement in social mobility and diversity. However, the rise of home, hybrid and remote working creates challenges for providing adequate training to the next generation.

Helen Hutchinson, Partner at Irwin Mitchell, told me:

“I feel the quality of client services dipped and I believe this is due to young trainee conveyancers and paralegals being given too many cases without adequate training or support, often then to be hounded by referrers to get the deal done.”

Client demands

Another challenge facing this next generation of conveyancers is the changing nature of client demands. A cost-effective, accessible, fast, reliable, and accurate service is needed to serve a generation of homeowners who are used to getting instant responses.

Although we may deem client demands are unreasonable (when have they not been?) there are shifts in the very basics such as the desire for self-service app-based portals over endless e-mail back and forth, more transparency over fees and firms to have a social media presence.

Clients are no more difficult or demanding than they were, but the types of demands have changed, and the profession cannot be blind to them.

Jeremy Raj, National Head of Residential Property at Irwin Mitchell, comments on client needs:

“The world has changed dramatically since my first conveyancing file, and the way we do things has changed equally dramatically.

“However, the core skills of looking after your clients above all else, attention to detail and keeping things in perspective, remain key to a successful career in conveyancing – then as now.”

There is no other constant than change. As National Conveyancing Week draws to a close, we should take a moment to think about the transformation of the profession since the pandemic and commend those who have been through these difficult and challenging times.

Perhaps the greatest skill conveyancers can acquire is an ability to adapt and ride the waves of change. The only certainty for the future of this profession is that there are more changes ahead.