As I start typing my reply I can hear readers arms folding and them sighing – ‘Oh yes, here’s a surprise, an estate agent who thinks I should only use one agent, and that agent should be them.’
Well, yes, I am ‘One agent IS better than two!’ and it’s definitely better than three or four, although I’ll qualify that by adding ‘at a time’. Whether or not that agent should be me, is a subject for some other day.
But if you’ve got five minutes then grab a cup of tea and give me 5 minutes to explain why I think engaging one agent at a time gives you the best chance of selling at the right price, and then if you don’t agree that’s fair enough. (Or watch this video it’s for more of a summary)
Why do sellers think more is better?
The two reasons that I hear for why sellers want to have multiple agents are:
- It’ll create competition and keep both agents on their toes. When I first heard this, I was more than a little bit insulted – ‘Really, you think I’m a slacker and only going to work hard if I’m competing with another agent?’
- Multiple databases with more potential buyers. So both agents are saying that they have big databases filled with vetted and proceed-able buyers who are looking for a home exactly like yours!
My Argument
Let’s take those reasons in turn
- It’ll create competition. Well yes it will, but it may not have the effects you’re expecting:
- Where’s your focus? Imagine you’re an agent, you have two properties on your books, one is sole agency where you are guaranteed your fee if the home sells, and the other is dual where there’s potentially just a 50% chance that you’ll get paid. Where’s your focus?
- Is it really a good offer? There have been times where we’ve received offers and I’ve advised ‘it’s a decent offer, but let’s hold on, I’m confident we can do better’. Now, that’s an easy position to take when you’re on sole agency and any better offer is going to come through you, but if you’re dual/ multi agency and there’s a chance that the better deal will come via the competition………
- Where’s your focus? Imagine you’re an agent, you have two properties on your books, one is sole agency where you are guaranteed your fee if the home sells, and the other is dual where there’s potentially just a 50% chance that you’ll get paid. Where’s your focus?
2. Multiple databases with more potential buyers. Do two databases really mean double the buyers?
- Duplication. Was there ever a time when people registered with one agent and one agent only? Nope. Chances are that any active buyer is registered with any agency advertising in your area.
- It’s the 21st Century. Around 93+% of people find their next home on line. Nobody is just sitting at home waiting for an agent to call. Nobody. The call is a bonus and yes it could get you some early viewings but the minute that property appears online all bets are off and the database is meaningless.
Then there are two other really important reasons why dual/ multi agency has a negative impact:
- The whiff of desperation. If you have three or four agents, it tips your property over the edge from keen to desperate. Buyers looking on line will actually be discouraged from picking up the phone, and they will have a firmer ‘No’ response to your advert because they see it more often with different agents and so recognise it more easily as something they’re not interested in. *TIP* Ask your agent to rotate your lead image on a regular basis to keep your advert fresh and help it look like a new advert to viewers.
- Lower Offers. Linked to the above, you’re likely to receive lower offers as buyers think ‘They’re desperate, it’s worth a cheeky offer’. Then consider whether the offer was presented as ‘could do better’ or ‘worth serious consideration’, you could be cutting chunks off your price.
The alternative – One agent at a time.
If you want the best chance of selling at the right price then engage one agent at a time.
The main advantages of this approach are:
1 – Motivation. Your agent is at their most motivated as they know that their investment in your property (styling, photography, descriptions, brochures, marketing, viewings etc) is more likely to be worth it.
2 – New Property. If your first choice doesn’t work out, when you switch to the next agent, your property will appear as a ‘new property’ to anyone searching online. Additionally, anyone with automatic alerts set up on Rightmove and Zoopla will be notified that your home is for sale.
Conclusion.
When you look at agents select your favourite, engage them and if/ when your home doesn’t sell, you can think about switching agents to your second favourite. This way you get the best out of both agents in turn. You avoid being seen as desperate, reduce the risk of low offers, and your property advert appears as new rather than sitting on Rightmove and Zoopla going stale.
A word of caution…. Some houses do take longer to sell than others. This might be because they have a smaller target market, a higher price or are unique in some other way, so not achieving that instant sale shouldn’t automatically mean you need to switch agent – watch our 4P’s video to find out more.
But if you do need to switch, you’ll be very glad you read our – ‘How long should I be tied into my contract?’ blog or watched this accompanying video.
