Online vs High Street Estate Agents

Ask any estate agent (online vs high street estate agent) and you’ll see the steel come into their eyes as they robustly defend their service and attack their on/offline opponent. You’ll hear words like ‘customer service’, ‘personal touch’, ‘online statistics’, ‘growing trends’… And while they can both offer you a compelling case, neither will probably give you the bigger picture.

But once the egos (and overwhelming smell of aftershave) have settled, the differences are quite easy to understand.

Fees/Cost

High Street

Traditional high street agents will usually charge somewhere between 1.5% – 2% (the current national average is around 1.8%) commission based on the price of your sale. For a property valued at £350,000, that would be a commission of £5,250 – £7,000.

If you are using multiple estate agents, you might be charged a higher commission (as it increases the chance they won’t be the agent that earns the commission).

Online

Online agents charge a much lower fee for a set period, paid upfront. For example, you’ll pay £99 for a 12-week listing on their website. If your property doesn’t sell you still pay, and can then list it again for a similar fee. Some will list your property for free. The way online agents make their money is primarily through add-ons such as professional photos, sign board, etc.

What Do You Get For Your Money?

High Street

Typically an online estate agent will provide;

• Estate agent present at viewings
• Sign board
• Photo in the window (limited time period)
• Professional photos
• Professional details written
• Will take measurements of your property
• Listing on their website
• Listing on other national websites (such as Rightmove, Zoopla)
• Your listing will continue until your property is sold

Online

Online agents vary considerably, you will get;

• Listing on their website
• Listing on other national websites (such as Rightmove, Zoopla), although some may charge for this

You will most often be asked to provide your own photo (interior and exterior), as well as write your own listing. You may also be asked to provide the dimensions of rooms.

The package will then vary and you will most likely be charged additional fees for;

• Estate agent present at viewings
• Sign board
• Photo in the window (limited time period)
• Professional photos
• Professional details written

Who Works Harder?

High Street

High street agents only earn their commission when your property sells. That means they have a vested interest in getting your house sold as quickly as possible.

Online

Once you have signed up, they have already made their money whether your property sells or not. However, they want to keep their sales figures high so will want your property to sell. Online agents also have a larger audience so are likely to get your home seen by more people.

Best Seller?

This is harder to decipher. Currently the two factions are neck and neck, with roughly a 50% share of the market. But the numbers need to be examined in greater detail.

Online agents often include agreed sales in their figures, whether those sales are completed or not. High street agents usually only include completed sales.

Other interesting factors are price. Lower price properties sell much faster and in greater volume through the online services. Higher priced properties and those in smaller towns/villages tend to sell better through traditional physical estate agencies.

Just like property prices, catchment areas, access to rail stations, nearby green spaces, all play a part in whether houses are better suited to being online only or with high street agents.

Who’s Best For You?

How easy is your house to sell? If houses in your street sell quickly, online could be better for you. If your house is going to be a harder sell, if you’re in no rush and determined to hold out for your asking price, a traditional agent might be better.

Larger more expensive properties currently sell better through high street agents.

Smaller, lower priced properties sell faster online.