The situation of the estate market in UK


Since the financial crisis started five years ago the estate agents have had a tough time in UK. However, those estate agencies which battled through and were able to survive the tough times are to be rewarded as the market has been stirring slowly into life during the year 2013 and gives hope for an even bigger turnaround this year. Lender mortgage restrictions appear to be easing, the market confidence is rising and the Help to Buy scheme has finally effect in sales increase.

The number of houses for sale in Shoreditch and the number of houses for sale in Islington, for example, were on the rise on the last semester of the year 2013. The estate agents in Islington and the estate agents in Shoreditch have reasons to be optimistic for the year 2014 as well.

While the UK economy is improving, another threat to the estate agencies appears on the horizon. A number of online businesses help to bypass the role of estate agents by getting the seller to market their own property themselves. That makes the number of do-it-yourself sellers to increase and the share of traditional estate agents is eroding. Recently a release from a cash-buying company was questioning whether we still need estate agents at all. The article is questioning why the estate agents are charging up to five percent fees for selling property if there is not so much work involved. The release states that the UK estate market will take a more do-it-yourself approach or turn to services such as its own when vendors realise how much they are losing out in fees to estate agencies.

Saying that there is "not a lot to it" about the work of the estate agents is not a fair statement at all. This kind of rhetoric is affecting negatively the image of the estate agencies. The truth is that the professional estate agents have to undergo a lot of professional training in order to achieve something in their career and be successful on the market. That is especially true in the difficult conditions and the tight concurrence on the UK estate market today.

This is not the first time when we have seen this kind of attack on the profession of the estate agents. Of course, the rhetoric is coming from a cash-buying company which is a direct competitor on the estate market. The instinctive reaction of the estate agencies might be to simple ignore this point of view but the reality still remains that nowadays it becomes easier than ever for private individuals to sell their properties on their own.

Even if the UK  estate agencies are still not affected significantly by this trend it is totally possible that the future will bring an increase of the number of properties sold without the help of estate agencies. The internet makes this trend easier than ever. To return to our example, the estate agents in Islington and the estate agents in Shoreditch have reported that a growing number of houses for sale in Islington and houses for sale in Shoreditch are sold on the market directly by their owners. It becomes clear that the estate agencies need to do mire in order to demonstrate to sellers the advantages of their expertise.