Do Bad Agents Impact the Property Market?
Many factors impact on the property and rental market, but how much of an influence do bad agents have? At Liberty Gate, we like to think that we are dependable agents offering a reliable service, and the feedback we receive from clients suggest this is the case. Not every agent in the industry is like this though and there is a growing opinion that irresponsible agents harm the market.
Simon Gerrard was the president of the National Association of Estate Agents, the NAEA, so we will have a strong opinion on this matter. Gerrard has slammed irresponsible agents for over-pricing properties, particularly in London.
Given the highly competitive nature of the property market, many agents will have targets to meet with respect to bringing in clients. Overpricing property is a straightforward way to engage and appeal to more clients, but in the long-term, this approach is harmful to the market.
Reliable and dependable agents who offer honest appraisals can be overlooked and by continually overpricing property, the market becomes skewed. In figures provided by NAEA Propertymark in their review of 2017, it was found that:
- 77% of all listed property sold at less than the initial asking price
- 4% of all listed property sold for more than the initial asking price
If this trend continues, there is a risk that property owners will decide against listing their property. After all, if a home is going to sell for less than what the owner has been advised, they may decide that it is not in their best interests to sell.
If you want to deal with an estate agent that places your interest first, come and speak to Liberty Gate. We aim to provide an honest and genuine appraisal of the market at all times. Just call 0115 824 8333.