October 4, 2022

Property brokers are assured in regards to the future

An industry-wide gauge of property market sentiment by The Property Redress Scheme has revealed that UK property professionals really feel massively optimistic about the way forward for their {industry}, believing {that a} enterprise as ordinary strategy is one of the simplest ways to safe extra post-pandemic success. Nonetheless, many additionally contemplate elevated regulation and transparency to be necessary in serving to the {industry} maintain this success nicely into the long run.

The survey of 712 property professionals requested: –

  • How optimistic they’re about their enterprise prospects in 2022. The weighted response was 7.2/10, with 10 being ‘very optimistic’. In reality, greater than 50 per cent of respondents scored their confidence between eight and 10.
  • When requested for his or her views on how the property market will carry out for the rest of this yr, 64 per cent mentioned the efficiency will probably be ‘optimistic’ whereas simply 11 per cent mentioned ‘detrimental’. The remaining 25 per cent mentioned the market’s efficiency will stay static.
  • When requested if they’ve seen an increase within the variety of opponents going into liquidation, 81 per cent responded ‘no’.

General, property professionals are voicing widespread confidence within the continued energy of the UK property market and their roles inside it. Trying to the long run, most consider {that a} enterprise as ordinary strategy is the perfect path to continued success as an alternative of experimenting with new enterprise fashions or applied sciences.

  • When requested if, within the close to future, they’d contemplate switching to a US-style company mannequin – the place brokers are self-employed however use the corporate’s model and infrastructure, as just lately pioneered by the likes of Keller Williams and eXp – 74.8 per cent responded ‘no’, 18.8 per cent mentioned ‘perhaps’, and simply 6.4% mentioned ‘sure’.
  • And when requested in the event that they thought of this new enterprise mannequin a menace or alternative to their enterprise, respondents demonstrated broad ambivalence with 56 per cent saying ‘neither’.
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As for know-how and innovation: –

  • When requested in the event that they thought of their enterprise to be an early adopter of PropTech, 70 per cent mentioned ‘no’, 16 per cent mentioned ‘barely early’ and simply 14 per cent mentioned ‘sure’.

When it comes to shopper relationships: –

  • When requested who they would favor is accountable for coping with redress issues involving their landlords, 64 per cent mentioned that landlords ought to be lined by a redress scheme, whereas 36 per cent mentioned they’d moderately take cost of coping with redress issues themselves.

Lastly, when addressing the much-debated topic of licensing in at this time’s property {industry}: –

  • 71 per cent of pros consider that property brokers ought to be required to have an official licence to function, simply 9 per cent consider licensing is pointless, and 19 per cent are undecided.

Eddie Hooker, CEO of the Hamilton Fraser Group says:

“It’s little shock that {industry} confidence is excessive in the intervening time. Property professionals have had a bumper couple of years due to the booming housing market. This success implies that many don’t see any want for change, whether or not or not it’s by way of the introduction of latest tech choices or the adoption of the US-style, self employed mannequin.

Nevertheless it does appear that the {industry} is eager to do extra to make sure that they and their purchasers are protected in opposition to poor apply and rogue merchants and the overwhelming majority want to see the introduction of licensing for brokers and landlords.

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Such a transfer would assist to additional bolster the work of The Property Redress Scheme, serving to to enhance the requirements of the sector from the get-go.

So, whereas operational change shouldn’t be a preferred concept, there may be positively an urge for food for elevated honesty, transparency, and integrity throughout the {industry}.”