There is nothing wrong with choosing an agent who says they can sell your house for an appealing fee, but they must justify this value. There are concerns that some estate agents in the United Kingdom offer an inflated value to win instructions, as opposed to genuinely believing they can sell the home for their stated price.

Estate agents are under the microscope after an investigation

A recent investigation by The Times has placed estate agents under the spotlight. The study examined over 200,000 online property listings, with findings indicating that some agents overvalue property by 20%. Included amongst the estate agents listed as the worst offenders are Foxtons, Chancellors and Hamptons International.

There has been a difference of opinion as to why estate agents overvalue prices. Some media outlets believe it is to gain higher commissions, squeezing more money from clients. However, given that the sales price is usually lower than the asking price, and commission relates to the sales price, this isn’t the case.

Vendors want to sell their home for the best possible fee

However, it is likely that offering a higher valuation helps estate agents to gain instructions. If a vendor receives three estimates, it is human nature to choose the agent who says they can help you earn the most significant fee in selling your house. The agent will probably provide reasons as to why they can help you sell your home for a higher price than other agents, but this may be a line to win your business.

The study found that the national average concerning a reduction in house prices was 32%, but Foxtons reduced prices in 60% of their homes. The company released a statement saying; “we always price properties competitively in partnership with homeowners”, but in a competitive marketplace, some vendors will question whether this is the estate agency to use.

With the NAEA admitting that some unscrupulous agents are operating in the sector, vendors should consider their options carefully. Selling your house can be a challenging task, but with assistance from the best professional, it becomes a more manageable process.

Estate agents should work hard to help vendors receive the best possible price for their property, but many different elements combine to create this outcome. If you are looking for an estate agent you can trust, look for one who has local knowledge, and who has a strong track record in selling property in your area.

If you are looking to sell your home in Langley, contact Addison Giles. We are pleased to say we have helped many local vendors promote and sell their home in an efficient manner.