As a result of the government’s Help to Buy scheme together with a relaxation of lending criteria, Britain’s housing market is now booming. More sales will be recorded in 2013, than at any time since the 2007 boom. The increased demand for homes has, according to the Halifax, resulted in the ninth consecutive monthly rise in house prices, up 0.7% in October and up 6.9% over the last 12 months. The Halifax reports that the average UK home is now valued at £171,991. It has never been an easier to sell a home and estate agents are cashing in on the easy money, charging around 2% of the sale price. This can be a total of £6,000 (including vat) for a home that can sell for £250,000 in a matter of days, sometimes before they even put the property in their window!
However a growing number of sellers are choosing to avoid the traditional method and are marketing their homes online and saving several thousand pounds in the process. Most online services charge flat fees between £200 and £900 depending on the services offered and optional extras. With many homes selling in a matter of days, people thinking of selling their home are starting to ask themselves why they need an estate agent at all. The RICS say that around 5% of all completed property sales arise from low-cost online agents and private sale websites.
