Google plans threat to online estate agents

Google is talking to a number of UK estate agents with an eye to launching an online property portal, which could seriously threaten existing online property websites such as Rightmove.co.uk and findaproperty.com.

The US internet search giant is widely expected to launch a portal early in 2010 based on the model it launched in Australia in August. The Australian Google property portal allows estate agents to list the properties on their books online free of charge, showing pictures from the Google Street View service and listing details on a map.

That differs from existing UK property websites, which charge estate agents to list their properties. Google is expected to generate its revenue via advertising on the portal instead.

Ed Mead, commercial director at Douglas & Gordon, the estate agency, said that it had spoken to Google about the plans.

"It looks very simple. If it stays free, then Google has a massive winner on its hands as it will get the backing from estate agents currently paying for rival sites."

Jonathan Cunliffe of Savills, another agency, said:

"The interesting thing will be to see how and if they charge for content; that is where the battle between the portals might begin."

Google refused to comment.

Rightmove, the biggest online property website in the UK said it was not aware of Google's plans, but that they would not necessarily knock it off the top spot with estate agents. So far in Australia estate agents have not given up on listing their properties on existing fee-charging websites.

Ed Williams, managing director of Rightmove, said:

"We provide visibility of brand and logo. Agents are spending money on raising brand awareness, not getting more properties online."

Rightmove charges estate agents an average of £325 per month.