Property Websites – Today, it was announced that restrictions which have previously stopped home sellers from advertising their properties online are to be lifted. There will no longer be the thousands of pounds forked out to estate agents. This sort of commission, it is said, will be driven down substantially as the new initiative allows sellers to sell online.
Currently
The current laws are set out so that anyone hosting private property sales online have had to be treated as estate agents thus being liable for property description accuracy under the Property Misdescriptions Act, even though such advert hosting sites do not give property advice or take part in the sales process. This has meant that costs have been considerably augmented and established estate agents have remained dominant.
The future
The internet has really changed the way we search and buy anything from food and clothes to obtaining property insurance quotes and home selling is no exception. Most people now search over the internet but now they will also get the opportunity to buy, too. High street estate agents have however so far dominated the property market, traditionally charging up to 2.5% in commission. At the moment we are paying a lot for maybe too much service and this balance will, given the new legislation, be addressed. Furthermore, we’ll see an increase in consumer choice as well as the lower fees.
The end of the Estate Agent?
Not quite, good estate agents can add value to a property and have valuable expertise which comes in handy when selling your house for the best price. An agent is of course versed in house sales so can keep control during negotiations between seller and buyer to make sure things go smoothly and fairly. Not to mention the fact that a good salesman can get better results. So we see that good estate agents are beneficial, but there will no doubt be a considerable decline in the next few years given the new legislation. Specialist and luxury agents however, are likely to stay put given the particular knowledge and contacts that forms most of their business.