We’re officially a month into 2019, and many people have questions about the future of estate development. One location to keep an eye out for is the United Kingdom. The Brexit controversy will shake things up and add a level of unpredictability to the estate market. However, experts are already predicting what 2019 has in store. Continue reading to learn what to expect from this year’s estate market.
Brexit is changing many things in the United Kingdom, including the estate industry. The market is in chaos, and no one really knows what to expect in areas affected by Brexit. Don’t listen to people saying that Brexit will cause prices to rise, and don’t listen to people who say Brexit will cause prices to drop. No one knows for sure how Brexit will affect the estate market, so avoid placing too much weight on any Brexit related predictions.
Agencies May Close Their Doors
A current trend consists of estate companies closing their smaller offices and opening a larger office in their place. If the estate market doesn’t pick up soon, expect this trend to continue well into 2019. It may save money for the company, but it also causes major inconvenience to the customers and those who are working with the estate companies.
Changes to Online Consolidation
Online agencies may seem like a good idea, however, these types of agencies simply aren’t as successful as everyone had originally hoped. Expect many of these online agencies to close down in 2019. The ones that survive will begin to focus more on repeat customers instead of bringing in new business.
The Letting Fee Ban
In the December of 2016, the government decided to ban fees to Tenants when renting a property. This policy had a 29 month window of change, allowing agencies to slowly phase out these fees. Many companies, however, have yet to eliminate these fees. They don’t have much time left. The ban comes into force on 1st June 2019 and will have an impact on all Letting Agents.
Agency reform could very well be the biggest change to the estate market in 2019. Expect pressure from the government in the third quarter of 2019 to change how estate agencies behave. The Regulation of Property Agents Working Party will be responsible for dictated how agents are trained and qualified in the future.
Once Brexit is officially adopted, it will be up to estate agents to change, adapt, and reform to meet the needs of the current market.