As we embark on a new year, 2023 is expected to bring some radical changes to the UK estate agent market. Last year we saw a drastic rise in property prices throughout the country with homeowners achieving very high offers in record time as a result of the pandemic market boom. This year we are starting to see a change with price dips already becoming noticeable on listings. Although many agents have had an energetic start to enquiries so for this year, the predictions are all saying that the market is likely to be less busy than in recent years. There will be business out there, but it is to be fought for! (Estate Agent Today, January 2023).
For estate agents, this means that there is a big opportunity for those prepared to do things differently. The Sunday Times (Jayne Dowle, Yorkshire Land of the Fee, 15th January 2023) suggests taking a leaf out of North America’s book by considering collaboration between agents as a way of finding buyers. Working together can be beneficial for both the agents and the clients as it increases the pool of potential buyers and often helps to sell properties more quickly. For agents, securing a successful buyer will also come with a financial incentive, a ‘finder’s fee’ negotiated on an individual basis and received from their client. For a long time UK estate agency has been done, to a large extent, in the same way. Does the current challenging market offer a chance to have a shake up in the industry and try a new way of doing business. Are estate agents ready to embrace the change and reap the reward?
Home staging has been around in the UK market for a number of years but is still regarded as a fledgling industry. It hasn’t yet become a mainstream part of marketing a home. This offers another opportunity for collaboration. 2023 is being talked about in blogs and other commentary as the year when proper marketing of homes will really begin to reap rewards, it will be the difference in some cases between an agency surviving the downturn or not. Tom Durrant gave 10 predictions in his blog for DCTR on Monday 16th January, for how marketing homes will change this year. One of those cited the rise of home staging.
There are many touchpoints for collaboration between home stagers and estate agents. The most commonly talked about is by using a staging business to present homes in a way that attracts more potential buyers leading to higher offers in quick time. The stager/agent relationship also allows for referrals the other way. We ourselves have seen an upsurge in the number of sellers coming to us before they have identified and estate agent they want to work with on their house sale. When we refer to an agent in this situation we are, inevitably looking for someone we know, like and trust to do the best job for our client. Staging is also a tool that can help an agent win business from another firm if a house has become ‘stuck’ on the market. Suggesting that someone might be more likely to achieve their sale if they declutter and move furniture around is usually a more palatable conversation than suggesting a hefty price drop. An agent and stager working closely together will find all kinds of ways to support one another’s business and provide a more consistent revenue stream for both.
If you would like to talk to us about a collaboration then please get in touch. Call 01332 987740 or email [email protected]
