Post by Malcom on Feb 22, 2010 18:26:45 GMT
a property website and Google could also enter the fray. This could shake up the landscape of Britain's housing market, which so far has been dominated by traditional estate agents.
Competition among estate agents is set to intensify after a report from the Office of Fair Trading (OFT) suggested that legislation on buying and selling houses dating back to 1979 should be relaxed to allow more online estate agents into the market to give consumers a better deal.
So what will it mean?
The changes will open the market to new players, including supermarket giant Tesco, which is understood to already be in talks with estate agents Spicerhaart to set up an online venture. There was speculation that Tesco could launch a property website within weeks, allowing home owners to list their properties for a flat fee of £200. The supermarket already had a go at setting up an online property venture but current regulations forced it to pull it and the business was sold to Spicerhaart.
Internet group Google is also thought to be interested in the UK property market. Users can search for real estate listings on Google in the US and Australia and Google may bring this service over here.
The OFT found that 27% of sellers have an appetite to use alternative selling methods outside the traditional estate agent model. "Encouraging new business models, online estate agents and private seller platforms could put useful competitive pressure on traditional models and lead to better value for buyers and sellers," said OFT chief executive John Fingleton.
In the interim, you can cut your costs, whoever you use to sell your home. The OFT report estimates that a failure to haggle over estate agency fees is costing home owners up to £570 million a year. At the moment very few people haggle. The consumer watchdog advises home owners to get tough with estate agents.
Agents will compete for your business in any way they can. Some will inflate the asking price to tempt you to put business their way, and hope you will sign up for their fee in excitement. The best way to arm yourself against this kind of tactic is to find out how much your house is worth before you go to an agent. One cunning way is through website Zoopa. Here you can see exactly what your neighbours have sold for, and exactly how much your home is worth, which will mean you don't get blinded by pound signs when you're negotiating.
Competition among estate agents is set to intensify after a report from the Office of Fair Trading (OFT) suggested that legislation on buying and selling houses dating back to 1979 should be relaxed to allow more online estate agents into the market to give consumers a better deal.
So what will it mean?
The changes will open the market to new players, including supermarket giant Tesco, which is understood to already be in talks with estate agents Spicerhaart to set up an online venture. There was speculation that Tesco could launch a property website within weeks, allowing home owners to list their properties for a flat fee of £200. The supermarket already had a go at setting up an online property venture but current regulations forced it to pull it and the business was sold to Spicerhaart.
Internet group Google is also thought to be interested in the UK property market. Users can search for real estate listings on Google in the US and Australia and Google may bring this service over here.
The OFT found that 27% of sellers have an appetite to use alternative selling methods outside the traditional estate agent model. "Encouraging new business models, online estate agents and private seller platforms could put useful competitive pressure on traditional models and lead to better value for buyers and sellers," said OFT chief executive John Fingleton.
In the interim, you can cut your costs, whoever you use to sell your home. The OFT report estimates that a failure to haggle over estate agency fees is costing home owners up to £570 million a year. At the moment very few people haggle. The consumer watchdog advises home owners to get tough with estate agents.
Agents will compete for your business in any way they can. Some will inflate the asking price to tempt you to put business their way, and hope you will sign up for their fee in excitement. The best way to arm yourself against this kind of tactic is to find out how much your house is worth before you go to an agent. One cunning way is through website Zoopa. Here you can see exactly what your neighbours have sold for, and exactly how much your home is worth, which will mean you don't get blinded by pound signs when you're negotiating.