My experience of 2014 so far is one of highs, lows and the unexpected.
The beginning of this year started off extremely slow with January being a typical January ie: lots of valuations, lots of split ups and generally lots of running around without being very productive. The sort of January that you get every year, 2014 was no different.
Then BANG
Out of nowhere we started gaining those instructions and in turn we started doing those deals and making those sales. The buzz of agreeing the sale had returned. Cue wolf of Wall Street style celebrations (well not quite cocaine fuelled office orgies )
By May we had generated our biggest pipeline since 2006 and sales just seemed to keep on coming, we were out in the field bringing the stock on and in the office we were 'locking those deals in place' at this point we were even turning down repossession instructions based on the terms not being favourable, I remember one being offered to us as a 50k asking price and 0.8% on completion providing we got over 105% of the asking price. In my opinion, That is the type of business that us hardworking estate agents need to reject until these repo companies start paying Decent fees.
We continued with the sales flying through until about early June when I felt the market change in my area.
June and July were not great. August was even worse. We increased our marketing activity and continued to try and raid our brand awareness but nothing seemed to kick start things.
We find ourselves now at the beginning of November looking for more instructions. The area we operate in is involved in a huge fee war. We have new agents emerge in the last 2 years who are offering deals such as 0.5% no VAT, 0.7% no VAT or even £500 on completion. The problem is some of the agents who have operated for years are now matching these fees just to gain instructions. Add to this the emergence of the online Estate agent and we now have a market that is changing.
Do people even care that you are a member of NAEA or ARLA? I don't think so.
Change is happening and we as good quality estate agents need to adapt and quickly
