Estate agents feel the heat as new firms open doors to buyers
Figures released by Move with Us have revealed 70% of estate agents surveyed said they have seen competition increase in their local area with a rise in the number of new offices opening in the last three months.
Based on its review of the market in quarter two, properties in Britain are taking 88 days on average to sell, which the estate agency described as a ‘record breaking’ timescale.
Robin King, director at Move with Us, said: “The rise in new estate agencies opening is a result of the improving property market as entrepreneurs look to cash in on what they perceive to be a more lucrative market.
“Despite signs the housing market seems to be cooling down, there is still a risk of market saturation as more estate agents continue to open up in areas which experience faster sales and higher than average property values.”
Nearly half of estate agent respondents said they had seen one direct competitor open a new office in their local area in the last three months while 30% of agents have seen two new office openings.
The research also highlighted that the highest number of new office openings had occurred in the regions with the highest asking prices and fastest selling times including Greater London, East Anglia and the South East.