Springett says Agents' Mutual finances are stacking up

Springett says Agents' Mutual finances are stacking up

Agents’ Mutual, the venture aimed at setting up a new agents-owned portal for the industry to challenge Rightmove and Zoopla, says it is continuing to gather interest.

Ian Springett, who is heading up the project, said there had been another flurry of registrations from around the UK, including from the Midlands where there had previously been a gap.

Springett said: “Obviously, registrations are only expressions of interest, but we will be following up with them all as we go along.”

Springett also said that the venture will be funded primarily from ‘Gold’ members at £3,000 per office. Gold members would have to commit to supporting the site for a year before launch – at £50 per office per months – and then listing on it for five years. In return, they would get a 20% discount.

Silver members would not have to give pre-launch financial support, but would commit to the five-year period, earning discounts related to the size and location of the business.

Bronze members would make no prior commitment to list.   

He said: “The financials are, obviously, very conservative but designed to show that even if we started with just 1,000 Gold offices, no Silver offices and accumulated Bronze members quite slowly, the site will wash its face from day one (and the loans can be repaid in year four).

“Given the level of interest from agents, we think we will be much better resourced than that and will go much faster much sooner.

“From the point we are funded to start work we will have a further 12 months to carry on recruiting whilst the site and brand are being built, so we will have much higher numbers at launch.”

Agents’ Mutual is also planning a £3m marketing budget in its first year after launch.

Springett would not be drawn on plans unveiled last week by Nethouseprices, headed by Catherine Lamond.

Nethouseprices currently operates a free-to-list portal, but this would disappear to become part of a new agent-owned portal, with agents paying an initial one-off subscription fee of £250 and an on-going monthly subscription fee of up to £150 per branch.

Lamond said: “The feedback has been great so far.”

Details of  Agents' Mutual can be found at the link below, where no-obligation registrations of interest can also be made.