Online agents ‘in limbo’ as high street firms command 93% of market, says new report
Online agents are “in limbo”, says the latest TwentyCi report out this morning, with high street agents commanding 92.7% market share.
The report says that altogether, online agents had 7.3% of all exchanges in the second quarter of this year.
TwentyCi says that online agents’ market share is holding steady, but adds: “Whether they can move beyond this figure to pose a challenge to traditional agents remains to be seen.”
Generally speaking, the lower the price of the property, the better the online firms did.
During the three months between April and the end of June, online agents had a market share of 9.01% in properties under £200,000, up 1.67% from the same period in 2018.
In all other price brackets, the sector lost market share.
Market share for properties between £200,000 and £350,000 was 7.4%, down 2.92%.
In properties worth between £350,000 and £1m, market share was 4.78%, down 12.89%.
And in properties worth £1m plus, market share was 0.96%, down 10.05%.
Twenty Ci puts the actual number of exchanges in the second quarter of this year at 217,847 for high street agents and 17,466 for online firms.
The price of properties that exchanged in the second quarter rose slightly for high street agents, but fell for online agents (up 1.06% to £309,093 for the former, and down 3.68% to £233,189 for the latter).
The report also says that online agents experienced falling market share in the south, east and in London, but ‘modest’ growth in the north-east, Humber, the north-west, Scotland and Wales.
The highest market share was in Yorkshire and the Humber at 11.24%, which was up 4.84% on the year before; the second highest was 10.85%% in the west midlands, but this was a 1.38% fall from the year before.
The lowest market share, of 4.48%, was in the east of England, down 10.56% on the year before. Another low market share, of 4.83%, was in inner London, representing a 23.67% fall.
This morning’s TwentyCi Property & Homemover report does not just look at online and high street sectors, but at the industry as a whole.
It finds that in the second quarter of the year, property exchanges were up 6% year on year, together with a “small” uplift in new properties coming to the market.
It says that in the 12 months to the end of June, there were just over 1m SSTCs (1,027,000).