Rightmove, Zoopla and OTM have now all reduced their fees charged to agents by between 33% and 100% for between four and nine months.
Two of the UK’s best-known and largest property portals have cut their fees to estate agents dramatically in a sign that the property market faces a difficult couple of months as Coronavirus reduces transactions within both the home sales and private rental markets.
Rightmove this morning announced that it is
to reduce its fees charged to sales and letting agents by 75% until July without
strings attached, after initially only offering agents a much less generous
‘deferred payment’ scheme.
Zoopla has cut its fees entirely for smaller estate agents for between three and nine months, depending on which deal estate agents choose to sign up to.
This morning’s decisions follows the UK’s third portal, OnTheMarket, which revealed earlier this week that it was to reduce its agent fees by 33%.
These are uncharted waters for the UK property industry – portals are extremely reluctant to drop their fees charged to estate agents and house builders, and the decision by all three portals shows the levels of worry among those selling and renting property in the UK.
Also, one of the UK’s best-known estate agents, Foxtons, has this morning warned the City that a reduction in the number of home sales completing in the property market, and the government’s emergency eviction plans are likely to lead to a ‘‘significantly weakened economic outlook’ in its key markets.
“It is too early to predict what the impact of Covid-19 will be on Foxtons’ full year results,” the company says.