Property transaction delays are the top concern for estate agents at the moment with three quarters saying they are threatening chains.
And an increasing number of agents cite the issue of hold-ups as their main worry, with three quarters (74%) now saying this.
Delays that risk deals falling through were a major problem for 62% last year, according to Landmark Information Group’s latest Estate Agency Market Research Report.
Pressure on profits
With average transaction times reaching 120 days, the slow pace of completions is undermining buyer and seller confidence, increasing fall-throughs, and putting pressure on agency profits, Landmark says.
Despite the transaction delays, 74% of agents report strong turnover, but with over half saying it had been a financially difficult year (52%, up from 24% in 2024).
Almost all respondents (94%) expect admin tasks to be automated within five years, with a similar number already exploring AI tools, and nearly 80% using them.
Cautious
AI is also to become commonplace, particularly for onboarding, compliance, and admin tasks, although agents remain cautious about its use in direct client interactions.
The traditional ‘no sale, no fee’ approach continues to decline, and is used by just 32% of agents.
Most now favour part-upfront payment, part on completion (65%) or full-upfront deals (31%).
Other findings include:
- 87% expect the level of regulation in the industry to increase over the next five years.
- 82% find it difficult to keep up with the latest fraud, AML and cybersecurity threats.
- 93% say the Renters’ Rights Act has impacted their role to some and greater extent.
Ben Robinson, Divisional Director of Landmark Estate Agency Services (main picture), says: “Economic headwinds and transactional delays continue to test agency resilience.
“Yet there is cause for optimism. The growing adoption of automation and AI is beginning to unlock real productivity gains and new approaches to charging clients”.