Online and hybrid estate agencies have seen their market share of exchanges increase by 1.3% to 8.3% year on year, says data agency TwentyCI.
This leap is a significant one, the research firm says, but warns that it should be greater given the huge home selling boom that followed the re-opening of the housing market last year.
TwentyCI’s Property & Home Mover Report from the third quarter of this year comments that: “With many sectors and categories having seen a significant shift online during the pandemic, estate agency has not followed suit with a relatively low and slow rate of growth persisting”.
This suggests that while more and more consumers are happy to do their own jobs online and also transact major purchases including clothes, cars and furniture digitally, selling or buying their home online still requires the face-to-face, scratch and sniff experience.
The report also reveals that three estate agencies dominate the online/hybrid sector – Purplebricks, YOPA and Strike – who between them handle 70% of all the sales.
While overall online and hybrid agents continue to make slow progress in poaching market share from their high street rivals, they are making strides in two markets.
Online/hybrid agents have increased their market share within the £1m+ market by 24% during the pandemic, albeit from a ‘very low base’ of activity, and have increased market share by 24% in the North East.
But without these gains, the positions nationally would look less rosy – this kind of estate agency has lost ground in the West Midlands, Inner London, the South East, East Midlands, East of England, Wales and Scotland.