New portal bans agents and welcomes developers and private sellers

A new portal that bans estate agents but welcomes developers and private sellers has won the blessing of the National House-Building Council.

However, it has been slated by Rightmove.

iProperty, set up by former Swinton Insurance boss Brian Blake, launched its portal yesterday.

It wants to attract private listings while also wooing developers away from other portals.

iProperty says it offers builders a free and “credible alternative to other property websites, whose primary function is to represent estate agents”.

iProperty co-founder John Candia told Eye yesterday: “There is no question that we have launched with the backing of developers and that this would not have been forthcoming if they felt they were getting the best deals from Rightmove and Zoopla.

“I do not understand why, when server costs are going down, subscription costs are going up.”

He said he was also watching Agents’ Mutual with interest.

However, Rightmove criticised the new builders’ website, saying its message to consumers is muddled.

Candia, 38, acknowledged that the NHBC endorsement of a site that bans agents might be controversial.

He added: “Of course, NHBC members also use estate agents. I do not think they will stop using them. However, we are providing an alternative.

“Developers also realised that it is not enough simply to have a portal full only of new homes listings. There needs to be more, and so we are providing a platform for private sellers and landlords.

“It is not that I am anti agent. It is more that I am pro home owner.”

David Marchant, group head of marketing at the NHBC, is a non-executive director of iProperty.

The NHBC announced its endorsement of iProperty yesterday but without mentioning that the site is also a private sales and rental portal.

It has been set up by Candia together with Brian Blake, former owner of Swinton Insurance.

While the NHCB-backed portal has only just launched, the venture is not new: two years ago, in July 2012, Blake and Candia announced the launch of a free property app, TipC (the iPropertyCompany).

The app was described then as banning agents but open to anyone else, while Blake described himself as someone who had grown “tired of paying estate agents ranging from 1.5% in the UK to 6% in the USA”.

Yesterday, on the site, Candia said: “Home owners are sick to death of the extortionate fees charged by estate agents – particularly in a booming housing market – and increasing numbers are now looking to cut them out of the process. This is an exciting shift in the market and we are delighted to be at the forefront of this change.”

However, while its terms and conditions tell private landlords and sellers that they must only use iProperty for their own properties, it also advises them that they can still use an agent.

Under FAQ, the reply to the question “Can I use iProperty and an agent?” is: “Yes. If you feel more comfortable using a real estate agent you can still post your property for free. It really is that simple and there is absolutely no catch. Agents cannot use iProperty.”

For developers, the site is also free and offers direct contact with potential buyers.

Search results of developers’ new homes will be ranked and displayed according to their star rating, which means that properties listed by NHBC registered builders with Buildmark warranty and insurance will appear at the top of the list.

The iProperty portal, which gives addresses in Cheshire and Mallorca, plans to follow up with other launches in Spain and other English and Spanish speaking countries, and is being developed in five other languages.

A Rightmove spokesperson said yesterday evening: “Online is where most buyers and movers choose to start their research, so looking how to target the majority of that audience and spending a good proportion of your marketing budget online makes sense.

“However, while this new site seems to offer great clarity about promoting the interests of the new-build sector by being set up to mainly display new-build, it appears to have little clarity about serving up what the consumer wants.

“New portals often fail to start from the consumer perspective, and well-established consumer behaviour is to look at the widest selection of both new and resale property mixed together in one place, enabling them to compare the relative merits of each.

“If there is a fundamental flaw in not delivering what the consumer wants, then even if a portal purports to be free or low cost to list, it could actually be very poor value for money in the time, effort and brand marketing required for poor-quality leads.”

www.theipropertycompany.com

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46 Comments

  1. Robert May

    Oh Dear! You haven't thought this through have you Mr Candia?
    I am looking forward to you being brave enough to explain this flawed on so many levels thinking, to the PIE audience.
    Symbiotic relationship, break that and it breaks you ahead of your competition. Niaive and flawed is all I need to say.

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    1. Dawn B

      Hi Robert, I work for iProperty and we are happy to answer your questions. We think the iProperty concept is viable because our research tells us that it is an initiative welcomed by builders/developers. In fact we have developed iProperty with their help. Our consumer research indicates that many homeowners are very interested in marketing their own property. We aim to help them do that, unlike some popular portals which do not even allow private sellers. We expect that most homeowners will continue to use estate agents for the foreseeable future and have no problem with this. An overview of our consumer research has been made available to PIE, should they wish to share it. It is also available on our website. Our aim is to respond actively to user feedback and change and develop over time. We anticipate a gradual trend towards FBSO and wish to serve that portion of the market that wants an alternative. In Canada, for example, 30% (MSN money) of sellers do not use an agent. Our ambitions for market share are presently much more modest than that, including those who opt to use iProperty as well as an agent. We make no claims with regards to any guarantee for success, but do recognise that the property industry is about to go through major changes and wish to be part of that. Residential, commercial, holiday property owners, buyers, renters and lesees are all welcome at iProperty. We are happy for them to decide for themselves – depending on local market conditions, availability of property and personal choice.

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      1. PeeBee

        Dawn B – "We think the iProperty concept is viable because our research tells us that it is an initiative welcomed by builders/developers."

        Unfortunately, this "research" apparently didn't take into account THE CONSUMER.

        "Our consumer research indicates that many homeowners are very interested in marketing their own property."

        Oh – so you DID carry some out!

        "An overview of our consumer research has been made available to PIE, should they wish to share it. It is also available on our website."

        Where is it? I want to read it.

        "We make no claims with regards to any guarantee for success…"

        REALLY?? I suppose that the following claims from your website come with no "guarantees", either:

        "iProperty brings you together with people who want to buy, sell or rent property without the need for real estate agents – or their fees!…"
        "Why use iProperty? To save time and money."

        Sad, really…

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      2. PeeBee

        HANG ON…

        I'd like to know your explanation of THIS, 'Dawn B', please…

        From your website:

        "You cannot pay a fee to boost your property in search results… but the more stars you have, the higher you are placed in search results for your property area and type… Here’s how you win stars:

        •Adding your own photos will add one star
        •Using professional photos from our service* will add two stars"

        * a mere £89, according to your website…

        SO, in effect, you CAN pay a fee to boost results. You contradict your every statement with the next.

        Oh, dear.

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      3. Robert May

        Hello Dawn, many apologies for not replying earlier, once a story slips into the archive it only gets visited by a reduced number of people, in this case Peebee, Paul H and I. With respect you should have been on duty booted and suited at 0630 hours yesterday to start fielding replies to posts such as mine in response to the PR you have supplied to PIE.

        I really don't want to be mean or rude but how many people at iProperty have ever worked in or understand the symbiotic relationship that exists between Builders/Developers and Agents?

        My apprenticeship into Agency was working with an RICS mixed practice firm that was tasked with finding land for its builder clients. I have set up and run an Agency specifically to sell properties rather than take Part Exchanges when the market gets difficult.

        I have cited a case elsewhere on PIE a determined FSBO owner who is set to make over £40,000 more than she believed possible simply by being prepared to pay an Estate Agent £5K.

        I really do look forward to another post from you, you need to work a bit harder and smarter to gain respect from this audience but moreover you need to be about to greet your potential customers concerns.

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        1. Dawn B

          Hello Robert, In answer to your question regarding the credentials of iProperty employees – they include former estate agents (UK and international), builders, developers and experts in personal finance. And you got me! I'm not a morning person.

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          1. Robert May

            So are the Agents on the team just telling the people with money what they want to hear?

            No agent who has had builder clients would think this a good idea and any builder daft enough not to realise who sells them the land or advises on things tlike ransom strip properties can look forward to a crippling shortage of land.

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  2. maddocks6

    'Home owners are sick to death of the extortionate fees charged by estate agents – particularly in a booming housing market'. You've obviously not been to Wellington, Somerset Mr Candia, where High Street agent's fees are much less than 1.5% and the market is still incredibly tough. Admittedly some private sellers are trying to save money, but we are seeing more and more of these sellers coming to us after realsing just how tought it is out there. Remember – the joy of a cheap fee is soon overshadowed by the disappointment of a poor service……..

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  3. PeeBee

    A favourite way of mine to start a post is "Oh, dear…".

    I've been beaten to it on this occasion – for all the right reasons.

    I can imagine it would be the first two words of ANYONE'S response to this fatally flawed offering.

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    1. Robert May

      Sorry Peebee, am I in trouble again? This time for nicking your catch phrase!

      I had already dismissed Mr Candia's offering as un-workable but got down to the decree from a Rightmove's spokesperson (not brave enough to put a name to their comment let alone come on PIE) about where new portals are going wrong "New portals often fail to start from the consumer perspective" I think the established portals ought to sit up and understand that it is their failure to understand who the Customer is that is the impetus that has spawned Agent's Mutual and Local Property Index. Quite clearly the Rightmove spokesperson is seeing their viewing public as the customer and not those who feed them the data that attract the audience in the first place.

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      1. MF

        EXACTLY!

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        1. PeeBee

          SECONDED! 😉

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  4. surreymac

    The public are sick of paying the lowest fees in the developed world.

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  5. Paul H

    "However, Rightmove criticised the new builders’ website, saying its message to consumers is muddled."….And what message is Rightmove currently giving to consumers, by allowing all and sundry to list properties?!

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    1. PeeBee

      Now then, Paul H!

      THIS is the message that RM are giving to consumers – straight from the front page…

      "Find your dream property right here, right now. Rightmove has over 800,000 properties for sale throughout the UK, allowing you to see more. We list a wide range of houses, flats, new homes and retirement homes. Rightmove makes it easy for you to find property for sale in your area!"

      Sorry and all that – but it does EXACTLY what it says on the tin, matey!

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      1. Paul H

        On the face of it I agree…Rightmove has a wide choice of properties, but it's just a facade….What its really saying to consumers is "come and see all these properties that we allow to be listed by anyone and everyone. We don't care what companies are listed…..as long as they pay us money we don't care if the consumer actually gets a *** deal from it, loses thousands and is throwing their money down the drain on a fixed fee money up front model or a guy working out of his shed promising you the earth and delivering you nothing"…..but your right they do list a lot of properties.

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        1. Robert May

          Good morning Paul, I know d a m n well that just seeing my name on a post means you , your 2450 Agent Mutual mates & Nick Salmon all think me wrong but in a single post you have said exactly why you and Agents like you ought to be listening to what I am trying to say.
          The difference between our two positions is as subtle as there and their, your and you're but it is absolutely futile trying to explain why.

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          1. Paul H

            Me am sure the EYE readership are big enough and bad enough to make their own so why not just get on with the selling then Robert we are all ears 😉

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        2. PeeBee

          Paul H:

          "On the face of it I agree…"

          Think about it, matey – it is ONLY the FACE OF IT that matters.

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          1. Paul H

            "Think about it, matey – it is ONLY the FACE OF IT that matters."……..To rightmove share holders or the consumer?

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          2. PeeBee

            I will take it as read that you REALLY DON'T need nor want me to answer that. Paul H.

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  6. MF

    The consequences of your complacent greed…… RM & Z.

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  7. Paul H

    Peebee…do you think Rightmove should allow anyone to list ?

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    1. PeeBee

      Paul H

      Are my thoughts important? I certainly don't think so – and neither do you for that matter. NOT if we are on the level that matters – what the buyers, sellers, landlords and tenants think or care.

      This is what RM say:

      "…the UK's largest property portal.

      Our aim is to be the place for all UK home hunters to find details of all properties available to buy or rent. Our website and mobile platforms provide an easy to use but sophisticated online property search. With the depth of information that it provides, home hunters can immediately identify a preferred property."

      And… unless you can prove otherwise… they are pretty much on the money with that statement.

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      1. Paul H

        We seem tonne having two different discussions mate. I've asked if Rightmove is good for the consumer and you keep referring to the amount of listings in their site. I agree that they currently have the stock my argument is how about the companies they are allowing to list…what service are rightmove providing by allowing anyone to show a property. Should a portal have principles/responsibilities that is the real question.

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  8. PeeBee

    Paul H

    Yes – we ARE having two conversations – but only because you don't accept the answer that is there.

    "I've asked if .. is good for the consumer and you keep referring to the amount of listings in their site."

    If it has what the consumer WANTS, then it IS good for them, in THEIR eyes.

    "Should a portal have principles/responsibilities that is the real question."

    HOW CAN IT? A portal displays what is loaded onto it. It relies on the "principles/responsibilities" of the individual/Agent.

    The CONSUMER simply wants to visit the portal; see the property they like – and transact.

    End of.

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    1. Paul H

      I have already accepted that Rightmove have the stock, just because it states on RM's website….
      "…the UK's largest property portal.
      Our aim is to be the place for all UK home hunters to find details of all properties available to buy or rent. Our website and mobile platforms provide an easy to use but sophisticated online property search. With the depth of information that it provides, home hunters can immediately identify a preferred property."….Doesn't mean it's a good thing for the consumer does it, it just means they will list as much stock as possible 😉

      "If it has what the consumer WANTS, then it IS good for them, in THEIR eyes."…..We know Rightmove has bloomin properties….But just looking at properties is not the be and end all of the buying & renting experience/process as you well know and the consumer will also want to use an agency/business that offers a good service, you can't really tell that by viewing a properties particulars.

      "The CONSUMER simply wants to visit the portal; see the property they like – and transact."…And here is my argument, perhaps controversial but has it now got to a point where the duopoly are determining how our industry should be run, who can act as agents and the type of (limited) service they need to provide. Should an all for profit organisation be allowed so much power?! It's a fair question.

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  9. PeeBee

    "…as you well know and the consumer will also want to use an agency/business that offers a good service…"

    How do you do an 'exasperated' facey?

    Paul H – I fear that you and I are dragging this WAAAAY too deep, mate.

    The consumer wants THE PROPERTY.

    End of.

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    1. Paul H

      Hold on Peebee I thought you were the nominated spokesperson for Rightmove!!

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      1. PeeBee

        Matey – I've said it ad nauseum – I'll say it again:

        Turn off the internet. Make the property industry a more exciting and interesting place to work again.

        Unlike you whippersnappers, more of my working life has been PRE-internet than with its' 'benefit'.

        What say you? 😉

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        1. Paul H

          Turning off the internet agreed !

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          1. PeeBee

            I LOVE IT when we agree!

            When will we aim to concur next? 😉

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  10. PeeBee

    "….Doesn't mean it's a good thing for the consumer does it, it just means they will list as much stock as possible 😉 "

    THERE YOU HAVE IT!! Thanks, Paul H – nail:head:clunk.

    What about your fellow Agents – those who work the old "Numbers Game" that I'm always banging on about. In order to sell 100 properties, they take on between 180 and 240.

    THEY list as much stock as possible – and go to extraordinary lengths to gain those instructions in many cases – don't they?

    Is THAT "a good thing for the consumer" – the consumer in this case being the 80 to 140 vendors that DON'T fall into the magical 100??

    Answers, on a postcard, please…

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    1. Paul H

      Hold on you are the unelected spokesperson for rightmove….

      😉

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      1. Robert May

        No Paul, he is Peebee, a potential customer for AM, Ask the HomeSearch, Local Property Index, Matchproperty or even iProperty. He sells property using Rightmove as part of his arsenal and will obviously have an Instruction winning script that includes the word Rightmove.

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        1. Paul H

          "No Paul he is PeeBee a potential customer for AM"….I'm not here to sell anything to Peebee Robert, his big enough, bad enough and (apparently) fat enough to know where his gonna put his ad spend…I've also figured out that his the type of guy that will run a mile from a hard sell, hence why I'm not trying to sell him anything.

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          1. Robert May

            I didn't say you were trying to sell him. It is just as well too you have been telling him for two days he is wrong.

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          2. PeeBee

            Please can I join in, chaps? 😉

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        2. PeeBee

          "He sells property using Rightmove as part of his arsenal and will obviously have an Instruction winning script that includes the word Rightmove."

          ACTUALLY, Robert – I'm weaning myself OFF that script slowly.

          Have to some time or other – what with RM destined to be third choice portal and all… 😉

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  11. Paul H

    Feel free PeeBee it's all harmless really. I'm just telling Robert that I'm not selling anything and I think his trying to persuade me that I am
    😉

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    1. PeeBee

      Erm… to be Frank (as well as Phoebe, Penny, Pee, Paul – Robert has many names for me… 😉 ), you've been doing a pretty good impersonation of a salesperson for some weeks, Paul H… 😉

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      1. PeeBee

        Oh – one thing – I'm NOT "fat". According to a graph of weight vs height, I'm just a little undertall.

        If I was 9'3" I'd be spot on…

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        1. Paul H

          I'm sure you said you were fat or am I confusing fat with bald it was definitely one of those two !

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          1. Paul H

            Or it was simply fat and bald 😉

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      2. Paul H

        There selling and then there's SELLING PeeBee
        😉

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        1. PeeBee

          Fat, bald – AND a Trekkie.

          Things can't get any worse, matey… 😉

          Report
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