An agent who considered abandoning the traditional agency model and setting up an online-only business says internet sales do not allow for two fundamental elements of the property business.
Matthew Dabell, who runs the Aspire agency in south London, has told Estate Agent Today that five years ago he considered setting up an online-only business but changed his mind for two reasons.
"Firstly, without an office or local contact you only get known through marketing and PR spend. That costs a large fortune. His second reason was that his preferred way of selling was through personal contact, which is difficult - some say impossible - when the sales process is largely or wholly online.
He says 45 per cent of his sales come initially from Rightmove and Zoopla with 24 per cent directly from his agency's own website and no fewer than 20 per cent through personal recommendations.
Although Dabell says he understands the appeal of online activities to agents and vendors alike, he believes the medium is better suited to lettings than sales.
More landlords are prepared to show tenants around and an unseen and possibly inaccurate valuation is less risky on a rental unit than on a house that's for sale" he says.
But he saves his biggest criticism for the problematic valuations which he has seen undertaken by some online agents.
He recently saw one online agent value a property in south London - unseen - at £650,000 even though Dabell believes it was actually worth £200,000 more.
To pour petrol on the water, Dabell saw that the online agent emailed the vendor proudly telling them that they were saving £7,000 in traditional estate agency fees - even though they were actually at risk of losing £200,000 thanks to the faulty valuation.
"It really is a joke" he says.
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