Stalwart supporters of the traditional estate agency model had better not watch Sky next Wednesday - that's when the outspoken online estate agency eMoov has its first TV ad.
The agency, founded in 2010 by estate agent Russell Quirk and since last December linked with Hamilton Bradshaw Real Estate - owned by former Dragon' James Caan - has bought space for a 30-second ad highlighting the savings it claims can be made when selling on eMoov in comparison to traditional high street agents.
The ad highlights the savings vendors can allegedly make when selling their house on eMoov. It will be shown on Sky Sports, Sky 1, Sky Atlantic, Fox, Sky Living and MTV amongst other channels.
The ad compares the experiences of fictional characters Fred and Ted. Fred sold his house through a local estate agent and was charged a fee of £3,500, while Ted used eMoov and paid a fee of just £474.
"The online estate agency sector is starting to gather real momentum, with eMoov leading the charge. Now is the right time to move to the next stage of the brand's development," says an eMoov spokesman.
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Comments
It is likely the market will end up being top and bottom heavy with a handful of players in the middle. By this I mean, a large amount of online agents, a number of 'premium market' agents at the top and the squeezed middle being the traditional high street agents with current business model.
Real Agent,
I notice the one thing you chose to come back on was accompanied viewings. You may be interested to know that where I am, for the past 30 years, the majority of viewings have ben, and still are carried out by the vendor. I fully appreciate that on certain occasions accompanied viewing is the only possibility, and one would hope that the responsible online agent would not take an instruction that they were unable to service properly because of that reason.
No reply to my other points then Hope that deckchair doesn't collapse under you. Whether you like it or not, high street footfall is dropping, and internet usage increasing, not just in agency, that's the hard fact, and with ever advancing technology, that trend will continue and accelerate.
Do you know what would really scare the online agents, an acknowledgement of that fact above from the high street, and a reaction in a positive and forward looking way to it, rather than the likes of you who say it will never happen.
I have to say I am somewhat surprised we didn't get the spurious Dry Cleaner reference again. I don't know whether to laugh or offer pity:" there's a valid argument to say the property owner is the best person to show the property" Really, so the frail old lady looking to move to a nursing home would Please thats a petty argument handed out to fill a gap in an argument. When someone instructs you to sell their home they want YOU to sell it!
Head in the sand, oh really. I prefer to look at it that I have a deck chair on that sand waiting for the fights between the "online only" community to start. They will of course once they realise that there is not a big enough market for their 20% service and they then start turning on each other. Some at least have a budget of risk capital to waste, others had better hope their proprietors are in buy out talks because frankly if not they are history.
May I again suggest that 'traditional' agents spend their time providing a first class service to their communities (including use of the internet because its use is not exclusive to 'online agents') and not worry because there is nothing else they can do about 'online agents'
Real Agent,
Let's go through that one shall we,
[i]'extensive local database;'[/i] and where does that database of buyers come from oh yes, that will be the internet, how many walk through your door
[i]'current sellers looking to buy;'[/i] And of course, you may well be deluded enough to know they will only look at properties you are offering!
[i]' past sellers who might be interested;'[/i] No such thing as customer loyalty in this game when it comes to buying a property. buyers will look at anything on with any agent.
[i]' local knowledge about prospective interest;'[/i] Of course it may well be, as some do, that the 'online agent' has a local representative.
[i]' accurate pricing based on other properties sold, not guesswork based on best price guides;[/i]' And where can you find information about other properties sold oh yes, that will be that darned internet thingy again! Despite what most agents claim
[i]' adequate staffing levels to show on average 20 viewers plus per property;'[/i] There is a valid argument that says that the best persont to conduct a viewing is the property owner, who, although you might find this hard to believe, despite your vast local knowledge, knows that property far better than you do!
[i]' investing in the staff and time to adequately manage the 10 week plus average sale to completion time ,dealing with any completion timings, and finally still being around when they want to sell again in three/four years time!'[/i] I think if you look closely, you might just find that the staff working for online agents are just a capable of achieving this.
Perhaps it is time that you got 'REAL' and got your head out of the sand.
I think you've answered your own argument with that one "achieving the best price is all about how the property is marketed" Online only, or online plus; local high street offices; extensive local database; current sellers looking to buy; past sellers who might be interested; local knowledge about prospective interest; accurate pricing based on other properties sold, not guesswork based on best price guides; adequate staffing levels to show on average 20 viewers plus per property; investing in the staff and time to adequately manage the 10 week plus average sale to completion time ,dealing with any completion timings, and finally still being around when they want to sell again in three/four years time!
Online only agents are a conjuring trick, depriving home owners of a proper marketing and service when selling their home by dangling the carrot of selling their property cheaply. They count on sellers not seeing that the limited marketing, guesswork valuations and inability to progress the transaction not to mention the lack of accountability, will cost them thousands more than they would have paid.
Why do ALL high street agents think online agents don't try to get the top price for every property they sell Is that your own argument. This week alone we have 5 closing dates with each client getting 5 - 10% over their actual survey value.
Our job is to get the best price not just a sale as you think. There is room for both agencies and the you should really be worrying about building your own revenues rather than worrying about our rapidly increasing ones.
A quick thought here.
eMoov.co.uk achieve 99% of asking price for properties listed in comparison to the national average of 96%.
*source: Hometrack March 2013: Average national property achieves 96% of the asking price in comparison to 99% from eMoov.co.uk. eMoov.vo.uk statistic based on properties listed from April 2014 and sold before June 2014.
@nicholas i'd love to see your evidence on that too. I'd be depressed and crying myself to sleep if i had to pay 's for making a poor decision if i had chosen a traditional agent for selling my property. I sold my house for the asking price and saved over 4,600 in fees using Zevizo Properties. Good luck emoov
Can't have it both ways Paul, either their stock is all over priced, or undervalued so they will not get as good a price as the high street agent
We really do need to all get over this myth that only a high street agent can achieve the best price. Achiving the best price is all about how the property is marketed, and the level of interest it generates. There is absolutely no evidence that an online agent will achieve a lower price than a high street agent. If you don't understand that Nicholas, you are in the wrong business!
I'm guessing you have evidence to back up your view point Nicolas
Ps ... it's losing, not loosing :-)
I'm guessing you have evidence to back up your view point
Ps ... i's losing, not loosing :-)
Just looked at purple bricks, they are on the TV and Radio, saw them about 2 months ago and they had 100 properties, now they have 157 so are they getting their money back on that advertising I doubt it, especially in 6 months time and the properties are still for sale coz they are overpriced, rightmove will like it though.
@Nicholas, love that ,made me laff out loud mate!
The proof of the pudding will be in the eating - in 6-12 months.
Meanwhile may I suggest that 'traditional' agents spend their time providing a first class service to their communities and not worry because there is nothing else they can do
Ted also received a lower price for his property as Emoov couldn't secure a decent offer. Fred then went and bought a bigger house with the extra tens of thousands he made. Ted wished he had never used Emoov and ends up depressed crying himself to sleep for the poor decision he made in choosing a cowboy with his most expensive asset and loosing him tens of thousands of pounds.