Online agents achieving up to 98% of asking price, says consumer organisation

Consumer organisation the HomeOwners Alliance has produced a new chart revealing how individual online agents compare with each other in terms of achieving asking price.

Yopa comes top, apparently achieving 98%, with new online agency firm Doorsteps in second place with a 97% record.

The HomeOwners Alliance, which is one-third owned by  conveyancing firm ULS, says that online agents tend to be more successful than average high street agents, achieving 95.85% of asking price, against a national average of 95.69%.

However, the body says that the top 1,000 high street agents “continue to outperform their online counterparts”.

In June, the HomeOwners Alliance dished out ‘free badges’ to the top 1,000.

  • Paula Higgins of the HomeOwners Alliance clarified this morning that the percentages shown are of the initial asking price.
HOW DO ONLINE ESTATE AGENTS COMPARE?
Agent Fee  Average percentage of asking price achieved
Yopa  £839 98%
Purple Bricks £849 or £1,199 96%
Tepilo  £645, £895 or £1,295 96%
Hatched  £495, £895 or £1,695 96%
Housesimple  £595, £695 or £995 96%
eMoov  £795 96%
Doorsteps £99 or £199 97%
easyProperty  £825 or £1,500 96%
Source: This is Money / Homeowners Alliance for % asking price achieved

http://www.thisismoney.co.uk/money/mortgageshome/article-4862888/How-choose-estate-agent-selling-home.html#ixzz4tJ1fdBc6

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55 Comments

  1. smile please

    I assume this is off the final asking price after the very often substantial price reductions?

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    1. AgentV

      Looked us up on the estateagent4me site and our average is 103%……we also hardly ever reduce asking price.

      So in our area this equates to in the region of £8,000 more than the highest online lister…..and we are no sale no fee.

      Puts a maximum saving of just over £1,000 (if you complete a sale with the online lister) compared to our average fee in perspective!!!

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      1. Garret2

        It states on the tool that this is final sold price as a percentage of initial asking price.

        Which begs the question…

        Is any of the data reported by this tool accurate?

        And should they be allowed to publish this tool if it is not?

        Here’s a quick example:

        Postcode: SS16 6TF

        The tool reports that EMoov achieve 98% of “initial” asking price.

        However, take a quick look at EMoov stock on Zoopla and you see that 665 are currently sold.

        Of these, 331 are “price reduced”.

        I’m no data scientist (perhaps Robert May can dive in) but I just can’t see how the figures for EMoov can be correct.

        Everytime I look at this tool I see anomalies like this.

        What exactly is the underlying methodology?

        Is any of it accurate?

        Seems deeply flawed to me but I’m no expert.

        Also, although presenting themselves as a “.org” –

        This group are actually a commercial entity.

        This tool has not been produced to help the public.

        It has been created to generate conveyancing referrals and so surely the accuracy (or innacuracy) of the tool is something to be raised with the ASA if you are being misrepresented?

        Given this tool brings no value to the agents it’s reporting on (without permission) I’m amazed more agents haven’t asked to be removed.

        I know I have!

         

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    2. Rosalind Renshaw

      This story has now been updated, with the HomeOwners Alliance confirming that the percentages achieved are of the initial asking prices.

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      1. AgentV

        What this is actually showing is that the online listers typically manage to achieve between 96 and 98% of asking price on the properties that they actually manage to complete a sale on then!

        I would suggest that this is because the ones they actually complete a sale on are the motivated vendors who are happy to market their property at a reasonable asking price and they are in the areas with the right demand.

        I wonder what the stats would be if it it included ALL customers that had been charged a fee, and where those that hadn’t sold YET HAD EITHER PAID OR BEEN CHARGED where counted as 0%……….that would be a much more accurate assessment of the overall service.

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      2. Robert May

        It would be interesting to know the period of the data sample to support that claim, I ‘d like to check it.

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        1. Rosalind Renshaw

          Robert, the HomeOwners Alliance tell me it is May.

           

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          1. Robert May

            That is a very short sample period, perhaps that explains the discrepancy.

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      3. Bless You

        haha rosalind down arrowed….lol…

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      4. Shaun77

        So Rosalind, what they’re basically saying is that of those properties that went under offer in May, they achieved 98% of their initial asking prices. It makes no mention of the properties that didn’t sell or have been reduced etc. This means an agent could take on 1,000 properties in May, one sells at 98% of initial asking price and the headline is “agent achieves 98% of asking price”. Total twaddle.

        To present this data as fact is ludicrous and highlights the HOA understand nothing about the process. If they want to publish a report, how about starting with how many properties the agent listed during the last 6 months of 2016, what % went UO and at what % of initial asking price, and what % of those properties listed during that period went on to complete through the original listing agent, and at what % of initial asking price. The last stat will show how good they are/motivated to deflect buyer price re-negotiation, something that is rarely mentioned and can easily cost a seller £1000’s if not handled correctly.

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      5. PeeBee

        WHY has our deal Landlady’s factual comment attracted two ‘Dislikes’?

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    3. Bless You

      Our local property paper did a lovely piece on how much agents rip people off on behalf of YOPA the other day/….    are they that stupid or just trying to make me stop using them all together..

      also a ‘friend’ of mine sold privatly the other day for asking price…..been on the phone to me about 3 times now asking what they should do about mortgages, epc’s, solictors etc….   … on the 3rd call i told them to p&&s  off.

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    4. Bless You

      I can imagine smile please sayin that comment next to a roaring fireplace, spectacles, a shot gun and a boycie from only and fool horses  laugh. then saying oh..it is. ? lol.

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  2. AgencyInsider

    Absolutely essential to understand if this is % last asking price and how much reduction on initial asking price.

    Without that info the firms in the list will exploit the headline figures unchallenged.

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    1. Thomas Flowers

      NEWSFLASH…Based on the last asking price the above on- line only agents achieved up to 98% of the asking price for down to 50% of users who actually achieved a completion through these companies?

      Therefore up to 50% of these first users are likely to lose all their non-commission payment and possibly end up having to pay two agency fees?

      Is this a more accurate reflection of these on-line only companies?

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    2. Bless You

      absolutly essential to realise nobody cares what this website says.  making more money then all of us ..for the sake of mankind….bless them.

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  3. Chris Wood

    Even without clarification of whether this is v the last asking price or original, the “savings” claimed by the call-centre agents are wiped out when compared to the best of the full-service agents. Choose a good agent and they’ll earn you more money.

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    1. Bless You

      ‘’probably’ get you more’    –   and thats the problem..we have to sit here until another watchdog exposes their woefull after care service and false promises.Our govt. and our trading bodies are like rabbits in front of a car.     the car needs to crash first…which it will. people arent stupid.  bless them ,.

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  4. GPL

    Evidence absolutely required, otherwise this could clearly be deemed very misleading.

    Over to you “This is Money/Homeowners Alliance”.

    Price originally marketed at…

    Any price changes…

    Price Sold…

    Mortgage Valuation….

    When 1st instructed For Sale, When Sold & actually exchanged or concluded

    …..lets have actual detail and not headline grabbing statistics.

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  5. Yorkshire Agent

    Smoke and mirrors I think.  Can these companies confirm that the figures are based on the initial asking prices?  Otherwise if not they are worthless, misleading and damaging to those who choose to act honourably.

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  6. ArthurHouse02

    This list is a load of tosh. As has already been stated are these the initial asking prices or greatly reduced ones? How long have these properties been on the market? Also the “fees” stated are not correct, as they do not include “viewings” and penalty payments should you not use their firm of solicitors. The estate agent bashing alliance strikes again

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  7. Robert May

    Perhaps someone needs to clarify this. 9x% of last advertised price is somewhat different to % original asking price.

    Take an example, a property listed originally  at £700,000 (Jan 17) has been  reduced down to £630,000 now it’s SSTC. When ( if it ever) it appears at land registry we will likely see a figure about £620,000 but certainly not  9x% of £700,000;

    Price juggling to reinforce these sorts of statistics has been raised with NTSEAT and at least one of the firms mentioned in that list now  carries the   disclaimer  * last  advertised price. Being not an advert this is a convenient way of circumventing ASA regulations as a means to give listing agents industry some credibility and making the same claim but  outside the reach of ASA.

    I guess now the whiff of wonga is in the air again this u turn was to be expected.

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  8. proagent54

    Total disgrace, more nonsense given to the public. I’m sure the authors of this report may see these posts today and they need to confirm if this is against the original asking price or not……although we all know the answer to that one!

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  9. Shaun77

    This is unbelievable and simply not true. Complete misrepresentation from a group supposedly all about providing an impartial service to consumers.

    They need to substantiate these claims by stating the % of price against the original asking price as well as the % of listings that actually sell.

    As it stands it suggests that if you market through Yopa you will sell for 98% of your asking price which couldn’t be further from the truth.

    Having just had a quick look at their London listings, 15 out of the first 33 have been reduced.

    For balance, I also looked at PB’s listings in Manchester and 15 of the first 32 had been reduced.

     

     

     

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    1. AgentV

      Totally agree……..the figures have to be against original first marketing price. If not this is totally one hundred per cent misleading.

      Price reductions are usually quite damaging for the overall end sales result of a property. Would also be interesting to see a table of the average price reductions of the online listers.

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  10. PeeBee

    I’m sorry – I stopped reading when I got to “consumer organisation” in the title.

    I don’t think I’ve ever challenged our dear Landlady on anything she’s ever published before – but I guess there’s a first time for everything so, to that effect I say

    Verbraucherorganisation mein Arsch!

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    1. PeeBee

      The more I read my own comment the more it reads like I am ‘having a go’ at Mrs Renshaw.

      I would like to state for the record that this was never the case – it was purely the content of the article that got my goat up!

      As can be read, it was the use of the term “consumer organisation” for this ridiculous outfit of self-labelled 5h!t-stirrers that I posted feigned horror at – but on reflection I realise that some may have read this differently.

      If Ros was one of them, then I apologise to her – it was never my intention.

      As I have pointed out to many others in past, Ros Renshaw does a phenomenal job of keeping us informed about what’s being said in the general news community, who of course love to constantly run down our profession (or at least the majority section which is run from branches, it seems…).

      Often, we don’t want to read what we see – but my argument is that we need to know about it in order to be anywhere near the top of our respective games.

      I wouldn’t have known about this ridiculous HOA article if EYE hadn’t run it – so a mahoosive thank you is in order to Ros and the team!

      They are still anything but a “consumer organisation”, though…

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  11. RealAgent

    I wonder if they’ve published the survey that shows which online agents can also supply chain details 98% of the time!

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  12. Property Paddy

    Be fair to HomeOwners Alliance it’s not like they get money from working with the online agents is it?

    Nothing like a bit of the DT’s

    (Donald Trump’s fake news)

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  13. dompritch134

    Great job PB and the others, fantastic results.

    It’s like Amazon v Woolworths, one stuck in the 1980s the other leading the way in proptech adoption.

     

     

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    1. Property Peep

      Yep, selling houses can definitely be equated with selling sweets.

       

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    2. Property Pundit

      Can. Not. Breathe.

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    3. smile please

      I try and be just and fair and keep to fact without emotion getting in the way,

      BUT

      Dom what the f*** are you on about?

      What ‘Proptech’ have they adopted other than listing a property on the s0dding internet which 100% of estate agents do?

       

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      1. PeeBee

        Anyone else agree that dom needs to go back and ask his Uncle Gerald why people are laughing at his every word…

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        1. dompritch134

          As I have said to you before, as a person who hides behind a gutless anonymous troll account, who has over 8000 social posts on one topic, I think you should look in ones mirror.

           

           

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          1. smile please

            Come on Dom,

            What ‘Proptech’ do Purplebricks have that agents do not use?

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          2. PeeBee

            “…as a person who hides behind a gutless anonymous troll account, who has over 8000 social posts on one topic, I think you should look in ones mirror.”

            Gutless?  Clearly you’ve never met me.

            Anonymous?  So what if I am to many?  WHO I am is irrelevant, as I have said on countless occasions.

            8000 social posts on one topic? REALLY?  Which topic would that be?

            But whatever topic it is – REALLY?  You mean you’ve counted them all – every single one of them?

            Don’t post such utter billshut.  You have already seen to giving yourself zero credibility already – no need to gain some more in your pathetic attempt at discrediting me.

            My honest recommendation would be to STFU and slink away.  You’ll be very easily forgotten, I assure you.

            But… if you really wish to continue to amuse the property industry with your uninformed diatribe then don’t be surprised if people start to turn the heat up a little bit – because so far you’ve just been messed with.

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            1. dompritch134

              Classy response from an anonymous gutless troll. Keep up with your threats sir it shows who you really are.

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              1. PeeBee

                SO… you have nothing to offer in response.  Your straws are all dust – you have nothing to hold on to.

                Call me what you want – I’m a real big boy and seeing such pathetic depths that you are now stooping to gives me a lovely warm feeling that I’ve wazzed you off good’n’proper, sweetcheeks!

                I’ve been called an awful lot worse by people an awful lot bigger & better than you.  If insults were badges to be worn with any kind of pride then yours wouldn’t warrant being hung on a 5hithouse door down at the other pub.

                See the thing is you’re every bit as rank an amateur in the insult department as you are in every other you have displayed to the masses so far here and on Tw@tter.

                But – you’re happy doing it and if you’re picking on a ‘gutless anonymous troll’ then you’re doing no harm – and leaving the rest of the population alone which is plenty reason to let you knock yourself out on my account.

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  14. Property Peep

    Slow news day PIE ?

    I really think you should be giving some journalist perspective on this Home Owners Alliance press release, rather than just reporting it, as is.

    Poor.

    Could do better.

    See me.

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    1. dompritch134

      It gets views as all PB related material does, that’s why we have 5-7 articles a week.

       

      Just look at the comment numbers.

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      1. Property Peep

        Not sure I get your point.

        Your saying that PIE simply re-write a press release because it gets comments.

        My point was to ask PIE, not to simply re-write press releases but to have a journalistic comment on the press release, do extra research, get comment from another source that maybe agrees or disagrees with the press release,  make it into a PIE story, not some PR’s story.

        i.e. make a more balanced story, and hopefully a more interesting story.

        Too many articles read like advertorials, with some for PB or some against PB.

        p.s. your name has lots of fun anagrams – Ditch Romp being my favourite.

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        1. dompritch134

          PIE are here to make money like anyone else, not just for your daily articles to read.

          If a topic or a business gets a higher rate of click through then obviously you will target this, although yes they never form their own opinion.

          Advertisers pay for clicks!

          I do find though that the overwhelming majority will be negative PB, as lets be honest they don’t pay to advertise here.

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      2. PeeBee

        “It gets views as all PB related material does, that’s why we have 5-7 articles a week.”

        How come you’re not scribbling the same comment on the bog door down the other pub?

        “Just look at the comment numbers.”

        Ahhh – so you haven’t been in that particular establishment, then…

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        1. dompritch134

          I have no idea what you’re rambling on about,

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          1. PeeBee

            No – of course you haven’t.

            On the basis of ignorance being bliss – you’re clearly in chuffin’ raptures, ain’tcha!

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  15. Mark Connelly

    Are these guys seriously suggesting that the bloke who is for example, an office administrator in an insurance company appears to be better at negotiating with a buyer and achieving best price. This is just so fundamentally flawed on so many levels. I despair.

    As a buyer I have bought three properties through PB and have negotiated direct with seller each time. It’s not easy because these people are miles out of their comfort zone and often want a price because that’s what they need not because that’s what its worth. There is no way that they are getting best price and if they are, it certainly wasn’t from me.

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    1. dompritch134

      All owners have the opportunity to pass all negotiations to the LPE.

      And your sample size of 3 is hardly an accurate analysis of likely achievable percentage of asking price.

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      1. PeeBee

        “All owners have the opportunity to pass all negotiations to the LPE.”

        Oh, yeah – that would be those individuals who instead of having to justify their Fees and negotiate with the sellers took the easy route with a fixed-fee budget Listing Agent, wouldn’t it?

        I think I’d rather have my three-year old Granddaughter doing the haggling – she’d run rings round them.

        “And your sample size of 3 is hardly an accurate analysis of likely achievable percentage of asking price.”

        It seemingly amounts to 100% of the poster’s experience, Sir – which, I would suggest in his eyes is pretty strong evidence.

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        1. PeeBee

          AWWWW…. you no likee my comment?

          DIDDUMS.

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  16. Emmersons46

    In any competitive situation where people say all sorts of things to get work and where pricing varies so widely between providers it is essential for businesses to keep a cool head and promote their service based upon their USP. Make your USP “client care”. Keep your staff trained and current on relevant issues.

    Develop processes and systems which deliver client care based upon what clients actually want rather than what you think they want. Know your clients and why they use your services and then promote those reasons as your USP. That way you will attract more of the clients that like your service. Ignore what others do and say. Ignore price wars and competing on price. People will pay more than the cheapest price offering  if the service matches the promised level of service or, better still, exceeds the expectation you have created.

    What people do not like is to feel “ripped off” whatever the price they paid.

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  17. Hillofwad71

    Really never fully understand  why so much importance  is placed on price achieved and the asking price as a yardstick  of success  Always  prudent to add a little on in any event to  pamper the buyers ego that they have saved a few quid by  chipping  a bit off

    Always a chance of hooking  somone for  personal  reasons who  will pay over the odds

     

    Furthermore many property  searchers put a minimum figure in their search  say 400k so if you had placed the property on at £395k you might miss that  buyer completely . All basic stuff

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    1. cyberduck46

      Well said Hillofwad71,

       

       

      How can you tell anything from comparing 2 numbers? Original asking price and selling price. You also need to have the actual value of a property and that information isn’t available and is subjective.

       

      >Always a chance of hooking  somone for  personal  reasons who  will pay over the odds

       

      Or if there is little competition at the time and few properties to compare with then you can also list high and reduce as other similar properties come onto the market.

       

      Also, how can you compare online agents with traditional agents looking at these 2 numbers. Commission based agents have a ticking clock, they need to sell in the contract period or the seller may move to a new agent. Some Agents will list low and sell quickly looking like they’ve improved on the price if you just look at the 2 numbers.

       

      It’s all a complete nonsense really, comparing 2 numbers and drawing conclusions from them when there are so many variables.

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  18. GPL

    Did we get any confirmation on the actual numbers of property analysed, what period etc …. plus the sale price is Land Registry actual

    Just asking as I haven’t had time to dig thru the full story/stats yet.

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  19. PV68

    What the report does not say is that 1 in 7 properties are priced realistically.

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