A 24-year-old former estate agent has claimed that industry referral fees earned from conveyancing based on a narrow and cosy list of approved ‘panel’ suppliers will soon be ancient history.
Alex Beagrie, who worked in estate agency in Surrey prior to setting up his proptech conveyancing platform ExchangeTrain.co.uk, says he founded the business after realising that the system which enables agents to earn fees from conveyancing is fundamentally unfair to consumers.
Talking to The Negotiator, he says that Trading Standards’ efforts to force agent to be more transparent about the fees they earn from referring third-party services to client could be a game changer for platforms like his.
“Sales agents earn fees on the basic premise that most buyers are either first timers or move so infrequently that they need a recommendation about the best conveyancer,” he says.
“This has served the industry well for decades but home movers are now more digitally savvy and are looking for online support to help them, and clearly the regulatory authorities are waking up to that.”
Beagrie says that although his business is still only a few weeks old, he’s had thousands of enquiries from home movers looking for an independent conveyancing recommendation.
“I have an estate agency background but I’m not a conveyancer, nevertheless I’ve realised that there is an opportunity for a service that offers home movers more choice while still enabling agents to earn income from referrals,” he says.
ExchangeTrain.co.uk is currently consumer focussed, but Beagrie says he wants it to appeal to agents by offering an alternative way to continue earning fee opportunities, while at the same time opening up the market to a wider range of conveyancers.