The number of buying agents drops by a third since January 2015

Online agents are developing a taste for the buying side too, Henry Pryor has claimed.

Pryor said his industry was just as much a target for online agents as the selling side.

The outspoken buying agent’s warning came as figures from PrimeResi found that the number of buying agents has declined over the past two years.

The publication found that the number of buying agents registered with The Property Ombudsman has plummeted from 547 in January last year to 364.

Pryor said:  “Given what’s happening to our colleagues in sales it’s no big surprise that buying agents are coming under similar pressures.

“Any business whose income is dependent on sales will be suffering including builders, architects, tradesmen, removal companies, printers of change of address cards. All will have to live off the fat they have laid down during the last few years.

“It’s Darwinian: only the fittest will survive.”

However, he warned that it’s not clear that all buying agents have registered with an Ombudsman scheme, adding: “A disappointing number still don’t think that they are estate agents in the eyes of the law. However, the 1979 Act is clear and their obligations on anti-money laundering, redress and data protection apply just as much to buying agents as it does to selling agents.

“The Property Ombudsman Code for buying agents is something that both the industry and the public should be more familiar with.”

Addressing online agency, Pryor said: “Transaction volumes will come under pressure and new business methods will result in traditional buying agents continuing to struggle in the months to come.

“Online agents may be concentrating on eating the High Street agent’s lunch, but they are developing a taste for the buying side too.

“Where there are fees to be earned there will be new businesses looking to muscle in. Just like selling, there will be brands that appear in the buying space and disrupt just as effectively.”

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5 Comments

  1. Trevor Mealham

    We’ll likely see more agents change from game keeper to poacher as budgets

    1. continue the fee race to the bottom (WHY?) as many £600-700 budgets are facing competition from £400-500 models (and so the stupid game will continue down to £49-99 models.

    2. Buyers may open more to paying a few thousand to save may more £housands as experienced agents are better placed to screw down poorly represented sellers on with budgets.

    Equally, I agree that there are tonnes of small time guys and girls out there trying to do odd deals on purchases AND sales who don’t even realise the Estate Agents Act exists let alone CPRs and BPRs and AML checks. The industry (for those who play fair) needs more policing at property investor events for starters.

    Report
  2. AgencyInsider

    2. Buyers may open more to paying a few thousand to save may more £housands as experienced agents are better placed to screw down poorly represented sellers on with budgets.

    Eh? Could someone please translate this?

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    1. Woodentop

      Not the first time people have asked this same question. More posture than sense?

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      1. Woodentop

        I see Trevor is trying to be the voice of the industry without first asking and getting confirmation we are happy with his assumptions as our voice! Only professional bodies should be representing the industry at large, if not then agents should be allowed to divulge direct to Treasury/Government. Non-qualified, biased and non-representative of the industry (only a small group, if they were ever asked) is very dangerous behaviour?
        Below is a short 5-10 minute survey
        that could help us, to help you,
        other property professionals and other
        agents to views over to the Treasury
        and government. 

        Report
        1. Woodentop

          To clarify, this is the bit that is been emailed to agents but has everyone been asked or just the select few? (there is no survey to link to on EYE)

           

          Below is a short 5-10 minute survey
          that could help us, to help you,
          other property professionals and other
          agents to views over to the Treasury
          and government. 

          Report
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