Digital identity: Attitudes, fears, and expectations
We can arguably say that the changing compliance landscape has piggy backed to an extent off the back of consumer behaviours, as much as the need for regulatory change. Either way, it has been a hot topic over the past five years, particularly in property.
Since the pandemic, consumer behaviours have been completely overhauled in every way; from how we consume media and how we shop and work, to how we interact with the products and systems we need to complete our daily tasks. For example, finder.com states that up to 40% of adults work remotely at least some of the time in 2025, compared to 12-13% before the pandemic. Online shopping statistics jumped from 21.6% pre pandemic to 30% post pandemic, and cash payments have dropped from 23% to 9% of all UK payments in 2024 .
Online banking has boomed since the pandemic, with around 75% of adults using mobile banking apps in 2024, making it the most common way to access accounts. Most UK adults now manage their finances digitally rather than relying on branches or in-person transactions; the death of the Highstreet banking branches making this a harsh reality.
When it comes to mobile wallets such as Apple Pay, 57% of UK adults were registered to use mobile wallets by 2024, with around 50% using mobile contactless payments at least monthly.
When day to day behaviours such as how we bank, shop and pay for what we need changes; we expect this to filter through to other aspects of life. When demand for digital services increases, regulation and processes around those services will need to keep up.
Against this backdrop and under higher scrutiny than ever, the property sector has also been navigating a rapidly shifting compliance landscape to keep up with consumer demand, where digital identity verification (IDV) and anti-money laundering (AML) regulations have moved from peripheral considerations to central pillars of risk management and customer experience.
Consumer behaviours are just one side of the coin driving change in the rules and regulations. Where digital enhancements have helped us advance generally, it has also helped criminals commit fraud much easier and more sophisticated than ever before. As a result of this, regulatory framework in real estate and financial services has intensified over the past few years. Jurisdictions worldwide have strengthened AML obligations in response to high-profile enforcement actions, rising fraud trends and international standards set by bodies such as the Financial Action Task Force (FATF).
In the UK and EU, updates to AML directives and anti-fraud laws have expanded the scope and depth of identity checks across property transactions, requiring firms to adopt more robust digital verification processes and ongoing monitoring.
This e-book explores how these regulatory pressures, technological advances, and shifting consumer expectations have combined to redefine what landscape homebuyers face in 2026; what they want, and what they fear, when it comes to digital identity in the buying process. By understanding these attitudes, property professionals can design compliance systems that not only meet legal standards but also build trust and streamline the path to purchase.
The Modern Homebuyer: Digitally aware, risk conscious
The majority of today’s homebuyers are from the millennial generation, with some Gen Z now also entering the market. These generations have either watched the digital advancement of technology and the internet from a young age or have grown up with it already fairly established. Their lives are ran on mostly digital processes, arguable going as far as having their whole lives on their mobile devices. Their expectations in terms of speed, efficiency and safety throughout the homebuying process are much higher than that of a homebuyer prior to the 2000s.
Homebuyers today are not naïve about data. They understand its value, its vulnerability, and the consequences of it being mishandled. The modern homebuyer is more likely now than ever before to research what it needed during a homebuying transaction and how long that transaction should take prior to undertaking one.
Unlike even five years ago, they are aware they are about to hand over some of the most sensitive personal information they own, often to multiple parties, over an extended period of time. Our research shows that this awareness has fundamentally reshaped attitudes toward identity and compliance.
In a recent report we conducted of homebuyers, more than three quarters of respondents (77%) say they are concerned about the misuse of their personal data when sharing information with third parties. Closely following this are fears of identity theft (73%) and data breaches (72%). These are not abstract concerns.
For many consumers, high-profile breaches across financial services, retail, and the public sector have made the risks tangible, thanks to the 24/7 news we now have access to, not much of escapes the public, particularly compliance failures or fraudulent activity of a big magnitude.
Property transactions amplify these fears. Buying or selling a home is often stated as one of the biggest high-value, high-stress event of one’s life, often involving multiple organisations requesting similar information at different stages. Each request introduces another perceived risk. In fact, 70% of respondents say they are afraid of a data breach when sharing personal information with third parties during the home buying process.
This creates a tension at the heart of the modern property journey. On one hand, homebuyers accept that checks are necessary. Anti-money laundering regulations, identity verification, and proof of funds are now well understood as essential safeguards. On the other hand, consumers increasingly question how their data is being handled, who has access to it, and why it must be shared repeatedly.
The modern homebuyer is also shaped by experiences outside the property sector. In banking, consumers are accustomed to secure digital onboarding, regulated environments, and a sense of continuity. Through this experience, once verified, their identity can be reused across services. These experiences set expectations. When property transactions fall short of these standards, friction becomes more visible and less tolerable, particularly with this digital savvy generation that make up a large percentage of the modern day homebuyer.
Crucially, today’s buyers do not see convenience and security as opposing forces. They expect both. They want robust checks, but they also want reassurance that their data is protected, minimised, and used responsibly. This mindset explains why control has become such a dominant theme in consumer attitudes toward digital identity.
In this context, the modern homebuyer can be best described as digitally aware but risk conscious. They are willing to engage with digital solutions, but only if those solutions demonstrate strong governance, clear consent models, and alignment with recognised standards. Any organisation operating in the property ecosystem must now earn trust continuously, not assume it.
Trust is fragile
With homebuyers today being so tech savvy, they are also very clued up on digital scams. In recent years, fraud has become more sophisticated than ever, and many fraud cases are now including AI and other digitally enhanced schemes. This leaves trust on a tight rope for homebuyers; they are constantly ensuring that communications, processes and businesses themselves are legit before handing over any information, and rightly so.
When we asked 1,000 amount of homebuyers where their trust lay, 77% said they trust banks and building societies, which estate agents are trusted by only 35% of respondents. Building trust with consumers in 2026 has never been more crucial, so we delved into what were the strongest drivers of trust.
Regulation – Being fully regulated and licensed was a massive trust factor for homebuyers, with 81% stating its importance in our survey.
ISO standards – Adhering to ISO standards came in as a strong second with over half (57%) of respondents citing its importance.
The frustration of repeated checks
For many homebuyers, compliance is not just a regulatory necessity, it has become one of the most frustrating parts of the entire property journey. Our research shows that nearly four in ten respondents (39%) cite providing proof of funds or finance as the single most frustrating task when buying a home. Providing identity documents follows closely behind, with 25% identifying this as a key pain point.
These frustrations are not driven by a lack of understanding. Most buyers accept that checks are necessary to prevent fraud, money laundering, and financial crime. Instead, dissatisfaction stems from repetition. The same documents are requested multiple times by different parties — estate agents, mortgage brokers, conveyancers, and lenders. They are often requested in slightly different formats and at different stages of the transaction.
From the buyer’s perspective, each request feels disconnected from the last, and the journey feels completely disjointed. Identity is proven, then proven again. Proof of funds is supplied, then resupplied. In some cases, documents are re-requested simply because earlier checks have expired or cannot be reused by another organisation. This duplication creates delays, increases stress, and erodes confidence in the overall process.
Repeated AML checks also introduce risk. Each additional document upload, email attachment, or in-person handover represents another opportunity for data to be lost, intercepted, or mishandled, particularly if one arm of the journey isn’t using safe methods. What should be a protective process can begin to feel intrusive and inefficient, particularly when buyers are asked to repeatedly expose highly sensitive financial and identity information.
Ultimately, compliance fatigue undermines the customer experience. It turns necessary safeguards into perceived obstacles and reinforces the sense that the property sector lags behind other industries in delivering joined-up, customer-centric digital processes, particularly industries such as banking, etc.
How people share their identity today
Despite growing awareness of data security risks, many homebuyers are still sharing their personal information using methods that offer limited protection. Our research shows that email (62%) and in-person document sharing (63%) have historically been the most common ways people provide identity documents during property transactions. Nearly four in ten (39%) still share documents by post.
These methods persist largely because they are familiar, widely accepted, and often requested by professionals within the transaction chain. However, they stand in stark contrast to the level of concern buyers express about data breaches and misuse.
Email, in particular, presents clear risks. Attachments can be intercepted, forwarded unintentionally, stored insecurely, or retained indefinitely without the sender’s knowledge. Once an ID document leaves the buyer’s control, visibility over where it is stored, who can access it, and how long it is retained is often lost entirely.
In-person sharing may feel safer, but it still relies heavily on manual processes such as photocopies, scanned documents, and local storage; all of which introduce opportunities for error or mishandling. Postal methods compound these risks further, with physical documents vulnerable to loss or delay.
Notably, almost half of respondents (47%) report having also used ID verification apps, suggesting a growing openness to more secure, digital alternatives. In a hopeful outlook, sharing methods such as email are dying out and using verified IDV suppliers such as IDSPs is gaining traction. However, the continued use of traditional sharing methods highlights a gap between consumer concern and industry practice, and needs to be addressed within the industry for both professionals requesting IDV checks and consumers carrying them out.
This mismatch creates a fragile environment where high-risk behaviours coexist with high levels of anxiety about data security. For many buyers, the issue is not willingness to share information — it is the lack of safer, standardised ways to do so.
Digital Identity and Wallets — Cautious Optimism
Digital identity is no longer a fringe concept in the UK. It is firmly on the public, political, and commercial agenda — yet for many homebuyers, it remains something they are still deciding how to feel about.
Our research reflects this moment of transition. Almost half of respondents (44%) say they would feel comfortable using a digital wallet to store and share identity documents during the home buying process. This signals genuine openness. At the same time, caution remains high, particularly as awareness grows around new forms of digital fraud and identity misuse.
This tension, between acceptance and hesitation, defines the current state of digital identity in the UK.
A shifting national conversation on digital ID
In recent years, the UK government has taken visible steps toward a national digital identity framework. Announcements around digital credentials and a proposed GOV.UK digital wallet have brought the concept of digital ID into the mainstream. The intention, as communicated publicly, is to allow citizens to securely store government-issued credentials, such as identity attributes, in a digital format.
However, while the direction of travel is clear, the details remain deliberately flexible. There is currently no single, mandated digital identity scheme, nor a fixed model for how a government wallet would operate across sectors. Importantly, earlier concerns that digital ID might become mandatory have since been addressed, with the government clarifying that any future system would be voluntary, not compulsory.
This clarification matters. For many consumers, the idea of a mandatory digital identity raised concerns about surveillance, loss of control, and exclusion. The move away from compulsion has helped ease some of that anxiety, but questions around governance, access, and usage remain.
If a national digital identity framework does emerge, it is highly likely to be delivered through some form of digital wallet, which for many is a familiar interface for an unfamiliar purpose.
Why “wallets” feel familiar
Digital wallets are already embedded in everyday life. Millions of people use services such as Apple Pay and Google Pay to store payment cards, boarding passes, and tickets. These wallets have normalised the idea of holding sensitive information securely on a personal device and sharing it selectively when needed.
However, identity is not the same as payment. Paying with a digital wallet typically involves tokenised data, limited exposure, and the ability to reverse or cancel transactions. Identity, by contrast, can be shared into a wallet which can be accessed. It is not yet known how these wallets will be accessed, with different wallets possibly having different consent/regulations etc. Therefore buyers want reassurance not only about how it works, but about who governs it, who can access it, and how control is maintained over time.
The role of IDSPs and the rise of multiple wallets
Alongside government initiatives, Identity Service Providers (IDSPs) are set to be developing their own digital identity and wallet solutions. These wallets are designed to work within regulated frameworks, allowing individuals to verify their identity once and reuse it across multiple organisations and transactions.
Rather than a single, universal wallet, the likely future is an ecosystem of interoperable wallets, some government-backed, others provided by regulated private-sector organisations. This mirrors how financial services evolved, where banks, FinTechs, and payment providers coexist within shared standards.
For the property sector, this model has clear advantages. It allows innovation to move faster than legislation alone, while still operating within regulatory guardrails. It also gives consumers choice which is a critical factor in building trust.
Why caution remains
Despite growing familiarity with digital wallets, caution persists. Our research shows that 62% of respondents are at least moderately concerned about AI-enabled identity theft. Advances in deepfakes, synthetic identities, and automated fraud have heightened awareness that identity threats are becoming more sophisticated, not less.
Against this backdrop, scepticism is not resistance to technology, it is a demand for it to be done properly.
Consumers worry about:
- Centralised data stores becoming attractive targets
- Lack of clarity around who is accountable in the event of a breach
- Whether consent can genuinely be controlled and revoked
- How long identity data is retained and by whom
These concerns are amplified in property transactions, where the value at stake is high and the number of parties involved is large.
Why this is the year of the wallet
Despite these concerns, momentum is building. Across government, financial services, and regulated industries, 2026 is shaping up to be the year digital wallets move from concept to reality
Digital identity wallets have been designed around the very concerns people have raised: minimisation of data sharing, time-limited consent, reuse without repetition, and strong regulatory oversight.
When implemented correctly, digital identity wallets can:
- Reduce repeated document sharing
- Minimise exposure of sensitive information
- Give individuals visibility and control over who accesses their data
- Improve security compared to email, paper, and manual processes
- Align compliance with consumer expectations rather than working against them
In this sense, wallets represent an evolution, not a shortcut and are a way to modernise compliance while strengthening trust.
Control is everything
Across all aspects of digital identity, one theme stands out above all others: control. An overwhelming 86% of respondents in our homebuyers survey say it is important or very important to have control over when and how their data is shared.
For modern homebuyers, trust is no longer based solely on brand recognition or professional status. It is built through transparency, choice, and the ability to actively manage personal information. Buyers want to understand who is requesting their data, why it is needed, and how long it will be used.
When asked about preferred models for sharing identity data, respondents consistently favoured approaches that limit exposure. Time-limited consent (28%) and sharing data once per transaction (27%) were the most popular options. These preferences reflect a desire to minimise repetition, reduce unnecessary access, and retain oversight throughout the process.
This shift has important implications for compliance design. Traditional models — where data is collected, stored, and reused without ongoing visibility, no longer align with consumer expectations. Instead, buyers increasingly expect consent to be explicit, contextual, and revocable.
Control is not just a functional requirement; it is a psychological one. When buyers feel in control of their data, confidence increases and resistance decreases. When control is absent, even well-intentioned compliance processes can feel invasive and outdated.
As the property sector looks toward the future, consent-driven, reusable identity models are emerging as a natural response to these expectations, aligning regulatory requirements with the lived experience of modern homebuyers.
Reusable Compliance
At the end of 2025, we highlighted the emergence of a new approach to compliance expected to reach the market in 2026: reusable compliance. This concept enables homebuyers to complete their compliance checks just once during the homebuying process, with the ability to securely share and reuse those verified checks at each stage of the journey. In practice, this could reduce the number of times consumers need to prove their identity from an average of 5.4 to just one.
While still a relatively new idea, reusable compliance has the potential to become a safer, faster, and more convenient way to manage identity verification and regulatory checks in the future. When we asked homebuyers about this approach, the response was cautious but optimistic. Our research shows that 44% of respondents would feel comfortable using a secure digital method to store and share ID documents during the homebuying process.
This signals a meaningful level of acceptance — particularly in a sector traditionally slow to adopt new technologies. However, this optimism is measured rather than unconditional. Trust in digital identity solutions remains closely linked to perceptions of security, regulation, and governance.
One of the most significant emerging concerns is the role of artificial intelligence in identity fraud. Nearly two thirds of respondents (62%) say they are at least moderately concerned about AI-enabled identity theft. Deepfakes, synthetic identities, and automated fraud techniques have all contributed to a growing sense that identity risks are evolving rapidly. This is where reusable compliance frameworks can play a critical role, by incorporating robust security measures such as encryption, secure data handling, and advanced verification technologies designed to protect against evolving threats.
Our research suggests that buyers are open to change, but only if digital identity solutions can clearly demonstrate that they enhance security rather than compromise it.
The cost of getting compliance wrong
For much of the property sector, compliance has historically been viewed as a regulatory obligation, something that must be done to avoid fines or enforcement action. However, this mindset no longer reflects the reality of today’s market. Our research shows that the true cost of getting compliance wrong extends far beyond regulatory penalties and into the heart of customer trust and commercial viability.
Nearly seven in ten respondents of our homebuyers survey (69%) say they would definitely stop working with a company found to be in breach of compliance regulations. This is a striking figure. It signals that non-compliance is no longer seen as an internal failure or a technical oversight, it is interpreted by consumers as a breach of trust.
In a sector built on credibility and long-term relationships, trust is currency. Once lost, it is difficult to recover.
From regulatory risk to reputational damage
High-profile data breaches and compliance failures across multiple industries have reshaped public expectations. Consumers are now far more aware of how personal information can be misused, sold, or exposed. As a result, when a company is found to have failed in its compliance duties, customers see evidence that their data may not be safe.
For property professionals, this reputational risk is particularly acute. Property transactions require individuals to share extensive personal and financial information at moments of heightened vulnerability. A compliance failure in this context can feel deeply personal to those affected.
Unlike financial penalties, which are often absorbed and resolved quietly, reputational damage is visible, persistent, and amplified through digital channels. News of enforcement action, fines, or breaches spreads quickly, and once public, it becomes part of a firm’s permanent digital footprint.
The commercial impact of non-compliance
The commercial consequences of compliance failures are increasingly severe. Losing customer trust directly affects conversion rates, transaction completion, and long-term brand value. Buyers may abandon transactions, delay decisions, or choose alternative providers they perceive as safer.
In a competitive market, trust is a differentiator. Firms that demonstrate strong compliance standards are better positioned to attract cautious, digitally aware consumers. Conversely, those associated with poor data handling or regulatory breaches face not only customer attrition but also increased scrutiny from partners, lenders, and professional networks.
Compliance as a signal of professionalism
Our research suggests that consumers increasingly use compliance as a proxy for professionalism. Regulation (81%) and adherence to recognised standards are among the strongest drivers of trust. This means that how compliance is approached and communicated matters as much as whether minimum requirements are met.
Companies that treat compliance as a box-ticking exercise risk falling short of modern expectations. Those that invest in secure processes, transparent data handling, and robust governance send a clear signal: this is an organisation that takes responsibility seriously.
Importantly, compliance failures do not need to be catastrophic to cause damage. Repeated requests for documents, unclear consent processes, or insecure sharing methods can all undermine confidence, even in the absence of formal enforcement action.
The rising expectations gap
As other sectors, particularly financial services, continue to raise the bar on digital security and identity management, the expectations gap facing property professionals continues to widen. Consumers increasingly question why standards they experience elsewhere are not consistently applied to property transactions.
This gap creates risk. When expectations are not met, tolerance decreases. Buyers are less forgiving of mistakes, less willing to accept explanations, and quicker to disengage.
In this environment, compliance is no longer a static requirement, it is an ongoing commitment to meeting evolving consumer and regulatory standards.
The future of identity in property
The future of identity in property is being shaped by a simple but powerful shift in expectations. Homebuyers no longer compare their experience to what came before in property, they compare it to what they experience elsewhere. In particular, they look to banking and financial services, where digital onboarding, secure identity verification, and reusable credentials have become the norm.
Our research makes it clear that buyers expect the same standards when they enter a property transaction. Trust, control, and reusability are the foundations on which confidence is built.
For property professionals, this represents both a challenge and an opportunity.
Banking-level standards are becoming the benchmark
Banks and building societies continue to be the most trusted organisations when it comes to handling personal data. That trust has not been earned by convenience alone. It has been built through clear regulation, consistent standards, and a strong focus on security and accountability.
Property professionals are now being measured against this benchmark. Buyers increasingly question why identity checks must be repeated, why documents are shared via email, and why visibility over data use is so limited. These questions are reflections of rising expectations. Meeting these expectations does not require weakening compliance but rather modernising how compliance is delivered.
The year of the wallet
2026 is shaping up to be a turning point for digital identity in the UK property sector. Across government, financial services, and regulated industries, digital wallets are moving from concept to implementation. This is why many in the industry, us included, are already referring to this as the year of the wallet.
The Credas Compliance wallet that will dominate in 2026 will offer a practical way to align regulatory requirements with consumer expectations. Instead of repeatedly collecting, storing, and verifying the same information, it will enable identity to be verified once and reused — securely, transparently, and with consent.
For the property sector, the implications are significant:
- Reduced duplication of AML and ID checks
- Faster onboarding and fewer delays
- Less reliance on insecure document sharing
- Improved visibility and auditability for compliance teams
- Greater confidence for buyers and sellers
Crucially, it will shift the dynamic of data sharing. Identity is no longer something that is handed over and lost from view, it remains under the individual’s control, shared only when required and for a defined purpose.
Reusable compliance in practice
Reusable compliance is not about doing less. It is about doing things smarter.
In a typical property transaction, multiple regulated parties are required to complete their own checks. Historically, this has resulted in siloed processes, duplicated effort, and increased exposure of sensitive data. A wallet-based approach allows these checks to be aligned without undermining regulatory obligations.
Solutions such as the Credas Compliance Wallet are designed specifically for this environment. They enable identity to be verified to the appropriate standard and then reused across the transaction, reducing friction while maintaining compliance integrity. For property professionals, this means fewer bottlenecks, fewer frustrated clients, and a clearer, more defensible compliance process.
A more digital year ahead
The move toward digital identity wallets also signals a broader shift in how property transactions will operate going forward. Paper-based processes, manual checks, and ad hoc data sharing are increasingly out of step with both regulation and consumer expectation.
As digital identity becomes more widely adopted, the property sector will see:
- Greater standardisation of compliance processes
- Increased collaboration between regulated parties
- More consistent customer experiences across the transaction journey
- Stronger alignment with government and regulatory direction
Those who adapt early will be better placed to meet rising expectations and respond to future regulatory developments.
What property experts can do now to prepare for this year
For property professionals, the question is no longer whether digital identity and processes will play a role, but how prepared their organisations are to adopt it.
There are practical steps experts can take today:
- Assess current compliance processes and identify duplication and risk points
- Move away from insecure sharing methods such as email and paper where possible
- Prioritise solutions that are regulated, standards-led, and interoperable
- Focus on consent, transparency, and auditability, not just speed
- Partner with experienced IDSPs that understand the realities of property transactions
IDSPs like Credas are not here to replace professional judgement or regulatory responsibility; we are are here to support it — providing the tools, infrastructure, and expertise needed to deliver compliance in a way that works for both professionals and consumers.
Looking ahead
The future of identity in property will be defined by how well the sector balances regulation with experience. Trust will be earned by those who demonstrate strong governance. Control will be expected by consumers who understand the value of their data. Reusability will become essential as transactions become more connected and digital.
The year of the wallet marks the beginning of this shift. For property professionals willing to embrace it, digital identity represents not just a compliance solution, but a pathway to greater efficiency, stronger relationships, and long-term resilience.
