Discussion
To explain more, i'm thinking of starting up an estate agents and was wondering what was involved with this. Has anyone any experience? How do you initially get the clients? What are the legal particulars involved with managing a sale...is the estate agent directly involved or do they just act as a channel to introduce the buyer's solicitors to the seller's?
Sorry for my lack of knowledge, but help would be greatly appreciated.
Sorry for my lack of knowledge, but help would be greatly appreciated.
If you have not been involved in the business I would strongly recommend working initially for a decent well established independent agent. Avoid the corporates at all costs. This way you will get a good feel for the business before you risk your money as the start up costs are high if it is done properly. A franchise to me is the worst of both worlds. Just my opinion though....
jamesuk28 said:
Ability to shaft people, speak a load of bollox, should stand you in good stead.
Hi James.
Those are precisely the reasons why I want to start up my own company, preferably not part of a larger corporate if it can be helped. I'd just like to find out more about the actual process involved in selling a house, rather than the logistics of the business. I have only bought one house up until now, and it seemed that my solicitors did most of the work!
Seany88 said:
jamesuk28 said:
Ability to shaft people, speak a load of bollox, should stand you in good stead.
Hi James.
Those are precisely the reasons why I want to start up my own company, preferably not part of a larger corporate if it can be helped. I'd just like to find out more about the actual process involved in selling a house, rather than the logistics of the business. I have only bought one house up until now, and it seemed that my solicitors did most of the work!
have a look at www.firsttimehomebuyerguide.co.uk should give you some more info. I do have a few agents I respect, they are small companies who look after their clients. You will need to be able to value property, market it correctly (come and see us for a website) and sales chase. Apart from that its a fairly straight forward game. I was an EA for 4 Years so should know.
having worked for one of the largest agents in the country for 6 years, I'd recommend starting somewhere reputable and the larger the better as you'll be more likely to get better training etc.
You're far better off learning about your local market and building a reputation within it for a few years whilst someone else picks up the tab. Then, in 3 years or so get yourself out on your own if that's what you want to do.
You're far better off learning about your local market and building a reputation within it for a few years whilst someone else picks up the tab. Then, in 3 years or so get yourself out on your own if that's what you want to do.
If you dont know the industry dont even think about it yet, unless you have a very open cheque book, the start up costs are huge. Getting an A2 shop, in the right location, fitting it out, cars, phones and advertising.
You will work for a minimum of 3/4 months without any money coming in, unless you do lettings as well which is a different ball game all together.
Go and work for one, the big corperates do have good training.
I was one for 6 years and helped start up 2 independants.
You will work for a minimum of 3/4 months without any money coming in, unless you do lettings as well which is a different ball game all together.
Go and work for one, the big corperates do have good training.
I was one for 6 years and helped start up 2 independants.
smirnoff said:
If you dont know the industry dont even think about it yet, unless you have a very open cheque book, the start up costs are huge. Getting an A2 shop, in the right location, fitting it out, cars, phones and advertising.
You will work for a minimum of 3/4 months without any money coming in, unless you do lettings as well which is a different ball game all together.
Go and work for one, the big corperates do have good training.
I was one for 6 years and helped start up 2 independants.
You will work for a minimum of 3/4 months without any money coming in, unless you do lettings as well which is a different ball game all together.
Go and work for one, the big corperates do have good training.
I was one for 6 years and helped start up 2 independants.
Dont understand this, why would someone want to start as up as an estate agent when they have not worked in the business??
I too would suggest you work for another EA for a few years, get to know what goes one, if you like it and then consider setting up on your own if you wish.
Lettings is even slower to bring in any decent money, 2-3 years before a take out a profit/ and drawings.
Bodo said:
I want to build a nuclear power plant. Work will start after lunch, and it should be in operation by the end of April. Anyone know where I can get grey paint? What else do I need to look out for?
Exactly. You cannot expect to open a new business with no experience or knowledge and succeed. I concur with the other comments, get your experience at someone else's expense.
Although you can set up an estate agency on a budget, its not a quick win. In my experience, You could expect expenses of 25-60000 for the lease of a decent High Street premises and the refurb/fit out. Billed earnings will not appear for at least 3-5 months.
Don't take it lightly!
Bodo said:
I want to build a nuclear power plant. Work will start after lunch, and it should be in operation by the end of April. Anyone know where I can get grey paint? What else do I need to look out for?
B& Q for the paint and watch out for the bloody greenies/eco warriors.
ps can I come and play with it when its up and buzzing?
I respect all comments made but I'm looking at more of an internet-based agency hence no huge start up costs such as leasing/fitting etc.
I understand that I know virtually nothing about the insides of Estate Agents and it would be ambitious but then I guess that just means I need to bring someone aboard who does have experience. Thanks for the help.
I understand that I know virtually nothing about the insides of Estate Agents and it would be ambitious but then I guess that just means I need to bring someone aboard who does have experience. Thanks for the help.
Personally mate, I wouldn't bother.
I was an estate agent for 3 years and got head hunted by a corporate from an independent and in both there is not enough money in it for the hassle and timescale of getting paid.
In Bournemouth where house prices (therefore commisson) is high, an average branch turns over anywhere between 70 & 150k. to do 150k which is the corporates average, you have circa 5 staff, massive marketing costs, mail shots etc
Its not worth the uncertainty of your own business for rewards on offer.
good luck
Andy
I was an estate agent for 3 years and got head hunted by a corporate from an independent and in both there is not enough money in it for the hassle and timescale of getting paid.
In Bournemouth where house prices (therefore commisson) is high, an average branch turns over anywhere between 70 & 150k. to do 150k which is the corporates average, you have circa 5 staff, massive marketing costs, mail shots etc
Its not worth the uncertainty of your own business for rewards on offer.
good luck
Andy
andy g bmth said:
Personally mate, I wouldn't bother.
I was an estate agent for 3 years and got head hunted by a corporate from an independent and in both there is not enough money in it for the hassle and timescale of getting paid.
In Bournemouth where house prices (therefore commisson) is high, an average branch turns over anywhere between 70 & 150k. to do 150k which is the corporates average, you have circa 5 staff, massive marketing costs, mail shots etc
Its not worth the uncertainty of your own business for rewards on offer.
good luck
Andy
I was an estate agent for 3 years and got head hunted by a corporate from an independent and in both there is not enough money in it for the hassle and timescale of getting paid.
In Bournemouth where house prices (therefore commisson) is high, an average branch turns over anywhere between 70 & 150k. to do 150k which is the corporates average, you have circa 5 staff, massive marketing costs, mail shots etc
Its not worth the uncertainty of your own business for rewards on offer.
good luck
Andy
andy g bmth said:
Personally mate, I wouldn't bother.
I was an estate agent for 3 years and got head hunted by a corporate from an independent and in both there is not enough money in it for the hassle and timescale of getting paid.
In Bournemouth where house prices (therefore commisson) is high, an average branch turns over anywhere between 70 & 150k. to do 150k which is the corporates average, you have circa 5 staff, massive marketing costs, mail shots etc
Its not worth the uncertainty of your own business for rewards on offer.
good luck
Andy
I was an estate agent for 3 years and got head hunted by a corporate from an independent and in both there is not enough money in it for the hassle and timescale of getting paid.
In Bournemouth where house prices (therefore commisson) is high, an average branch turns over anywhere between 70 & 150k. to do 150k which is the corporates average, you have circa 5 staff, massive marketing costs, mail shots etc
Its not worth the uncertainty of your own business for rewards on offer.
good luck
Andy
Mate I don't know what agencies you worked in but t/o £70-150K? Don't you mean net profit after all costs of £150K? Spicers, Sequence, Countrywide have all announced massive profits in EA and I can tell you now they don't average the figures you quote.
As regards successful online EA can't think of many examples of successful operations, portals guiding you to EA from online but all the agents have n online presence now.
Seany88 said:
I respect all comments made but I'm looking at more of an internet-based agency hence no huge start up costs such as leasing/fitting etc.
I understand that I know virtually nothing about the insides of Estate Agents and it would be ambitious but then I guess that just means I need to bring someone aboard who does have experience. Thanks for the help.
I understand that I know virtually nothing about the insides of Estate Agents and it would be ambitious but then I guess that just means I need to bring someone aboard who does have experience. Thanks for the help.
I cant see this working, most sucsessfull estate agents work on local knowledge, in a city that might be a couple of square miles, in rural areas a bit wider. But to command decent fees you need to go round to the houses, draw up details, take photos, floor plans if you want to be posh! You can advertise on the internet, but that wont work on its own. Who will show people around the properties, answer the phones?
Most internet sites are portals to estate agent sites, although many people look for property on line now, once they find them they speak to the agent meet them and get taken to the property.
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