Online Estate Agents .vs. Offline Estate Agents

By Author: jeevanswaraaj
Total Articles: 12
Comment this article

I'm not sure anyone has actually claimed internet estate agents are taking over the world just yet? Fishneedwater is an estate agency that has chosen to conduct their business as Online Estate Agents without using a high street retail office. Traditional High Street agents are often hugely expensive (especially in popular town locations) and they also tend to limit you to conduct your business in a pretty specific location. The internet has developed and it now offers businesses the opportunity to attract custom through various advertising channels, without having to limit their offering to a specific location.

Most online estate agents promote their services whereby the seller conducts the viewing with potential buyers. Clearly this arrangement will not be for everybody as some properties might be vacant without the owner being around to perform such viewings.

However, office-less estate agents do offer a genuine alternative. Some homeowners who are in-residence are happy to show potential buyers around their home because they value the cost saving more than having to give up just a little of their time.

A ...
... recent prominent estate agents blog commented how online estate agents are seemingly run by those who know nothing about the art of selling property or registering a Landlords deposit effectively.

Valuations: Apparently only 'genuine' estate agents with offices can do this properly.  If you don't have an office, you'll have no idea how to price a property.
An alternative opinion: If this is the case why is so much stock is currently way over-priced and going nowhere fast. "Which Magazine" just recently reported such a disparity with valuation prices when they surveyed a group of 'leading agents' that it begs the question, who is actually right, and which agent got it horribly wrong?  Some properties attracted valuations that were different by as much as £150,000!

For the public: Remember that estate agents are not 'qualified' with a City & Guilds in 'how to value properly correctly'.  They make an educated guess based on the value by looking at other similar stock available, market trends and sold prices.   Don't think agents know more than you, as often they don't. When you buy a property you don't pay a price because the agent tells you to, because you’ve already done your homework, haven't you? There are many online tools such as Zoopla where you can find an estimate of your house price. There free to use so crack on!

Building rapport with clients: Apparently you can only really service a client effectively if you can meet them and 'suss' out whether they are genuine or not.
An alternative opinion: You certainly have to work harder to build rapport if you don't meet in person, but it can still be done over the phone.  Rapport is built from your ability to listen and then action. You don't have to sit in front of a person to listen to their needs effectively. The ability to service a client properly is the responsibility of the agent handling the task. Those more skilful at it certainly don't need an office or even to meet their client in person. I have fantastic relationships with scores of clients I've never even seen (save for a passport photograph!). The Online Estate Agents model is not a barrier to this so don't let anyone tell you otherwise.

For the public: Being able to point out places of interest, stations, schools, local tradesmen and much more isn't going to sell your house more effectively.  And anyway, you can do that bit far better than any salesman could. And (for buyers / tenants) do you really trust a salesperson of any kind?  Estate agents are not advisers, they are 'negotiators' acting on behalf of their client, at heart always trying to increase your offer (or obtain a better one elsewhere). Whether online or office based, they all have the same objective.

Not many online estate agents subscribe to any form of regulation: There's a distinct difference between an internet estate agent and a website that allows you to add your property to Rightmov's list.  The better internet agents are compulsory members of an OFT approved estate agents redress scheme, because the law changed in October 2008. They are also NAEA accredited, meaning they subscribe and adhere to the principles of the National Association of Estate Agents. They also usually have many years of experience in the industry.

If you are dealing with any agent (whether office based or not) who is not a member of a redress scheme, we recommend you make your excuses, then leave.
For the public: Unfortunately whether the agent has a fanciful office or not is zero indication of the type of business you are dealing with. I'm sure the landlord's that placed their trust in the numerous high street agents throughout the UK who subsequently went into receivership having spent their landlord's and tenant's deposits initially had every confidence in the businesses when they instructed them. Unless you are actively able to audit the agents accounts before making a decision to use them (or are a psychic), you are effectively speculating that the agent will remain solvent if you allow the agent to hold your tenants deposit rather than using an insurance backed Tenant Deposit Scheme.

So there you have it. Online Estate Agents are not for everyone, and they cannot pretend to be able to effectively handle viewings like a high street agent. But they will do everything else just as well regardless of how many high streets get on their high horses suggesting otherwise.

If you are looking for a Residential Balham Estate Agents, then fishneedwater.com can help. They have many properties to rent in many areas of London.