What's going to collapse next...

[spygirl]

18 hours ago, sancho panza said:

RIghtmove.Think I've entered this before but read the comments from the EA's at the link.Too funny.

https://propertyindustryeye.com/city-analysts-warn-investors-of-signs-of-cracks-at-rightmove/

 

I like RM. I want it tow in - as EAs wil lose.

There's nothing to stop an EA from setting up their web, working on the listing, providing local knowledge and what - schools, level walks, etc location etc etc.

Execept they dont - because they are all pretty shit.

 

RM, as a platform, will allow the EA business to evolve from A3 locations with big glass windows to a small office with parking on a n industrial estate.

 

The current batch are not embracing this model.

Why>?

The small EAs, yellow cords etc gyles, have bet the farm literally on bricksnmortar EA - their business is literallytheir pension.

The otehr ones, jus tto yougn n dumb.

 

 

18 hours ago, sancho panza said:

RIghtmove.Think I've entered this before but read the comments from the EA's at the link.Too funny.

https://propertyindustryeye.com/city-analysts-warn-investors-of-signs-of-cracks-at-rightmove/

 

smile please

JULY 31, 2019 AT 10:09#20

The vast majority of agents have got fat and lazy off Rightmove.
There is now far less interactions and meaningful meetings and telephone conversations because of portals. And the portals are encouraging this buy reducing the number of leads.
The portals want to be the ‘King Makers’.
The more forward thinking agents are embrassing service from the early 2000’s and before. Proper call outs, inticing people to the office, reports with comparable evidence that has sold not listed.
Its a tougher market for sure but the oportunities are better than they have been for a long time.
We just need to kick the portals into touch. 

And they are right.

 

What the poster does nto comment is *WHY* EAs have not done that?

 

[dgul]

45 minutes ago, spygirl said:

I like RM. I want it tow in - as EAs wil lose.

There's nothing to stop an EA from setting up their web, working on the listing, providing local knowledge and what - schools, level walks, etc location etc etc.

Execept they dont - because they are all pretty shit.

 

RM, as a platform, will allow the EA business to evolve from A3 locations with big glass windows to a small office with parking on a n industrial estate.

 

The current batch are not embracing this model.

Why>?

The small EAs, yellow cords etc gyles, have bet the farm literally on bricksnmortar EA - their business is literallytheir pension.

The otehr ones, jus tto yougn n dumb.

 

 

smile please

JULY 31, 2019 AT 10:09#20

The vast majority of agents have got fat and lazy off Rightmove.
There is now far less interactions and meaningful meetings and telephone conversations because of portals. And the portals are encouraging this buy reducing the number of leads.
The portals want to be the ‘King Makers’.
The more forward thinking agents are embrassing service from the early 2000’s and before. Proper call outs, inticing people to the office, reports with comparable evidence that has sold not listed.
Its a tougher market for sure but the oportunities are better than they have been for a long time.
We just need to kick the portals into touch. 

And they are right.

 

What the poster does nto comment is *WHY* EAs have not done that?

 

The problem isn't 'internet EA portal' -- the problem is that there was once one (RM) and there are now several, and RM have upped their fees to the point where EAs say 'I'll just use the others, thanks'.  There is no 'RM beating the EA', it is only 'the internet portal competition vs RM'.

[spygirl]

10 minutes ago, dgul said:

The problem isn't 'internet EA portal' -- the problem is that there was once one (RM) and there are now several, and RM have upped their fees to the point where EAs say 'I'll just use the others, thanks'.  There is no 'RM beating the EA', it is only 'the internet portal competition vs RM'.

But so far they are not.

Look at the clsuer fuck of On the Market

[Castlevania]

On 25/07/2019 at 18:00, stokiescum said:

Or the weather even I’m out surporting local business my best excuse is if im

alive in 20 years will be a wanted to know where i

was when the uk recorded it’s highest elver temperature 

Guinness when it’s 38C? You’re doing it wrong

[sancho panza]

4 hours ago, spygirl said:

I like RM. I want it tow in - as EAs wil lose.

There's nothing to stop an EA from setting up their web, working on the listing, providing local knowledge and what - schools, level walks, etc location etc etc.

Execept they dont - because they are all pretty shit.

 

RM, as a platform, will allow the EA business to evolve from A3 locations with big glass windows to a small office with parking on a n industrial estate.

 

The current batch are not embracing this model.

Why>?

The small EAs, yellow cords etc gyles, have bet the farm literally on bricksnmortar EA - their business is literallytheir pension.

The otehr ones, jus tto yougn n dumb.

 

 

I think both RM and EA's are up the creek sans paddle.Traditional EA's worked becasue people went round their shops looking at pics.Then they needed the EA to get on RM.Then PB came along and started cutting out the tweed jackets.RM follows suit but ups the fees for the tweed jackets.

All in all,less money is going to be spent on these parasites to create an efficient market.

Amazes me that people spend more on EA fees than they do on legal advice ahead of purchase.

Reading some of those comments you realise how deep in the sand their heads are thinking they can provide a service that'll make an ounce of difference when all people really need is a website.

Bespoke private sales and commercial may be different but RM has lived long on it's excessive fees.

[Harley]

I saw some bullish technical signals for RM earlier this week/last week but not that brave!  This stuff's an art not a science!

[sancho panza]

2 hours ago, Harley said:

I saw some bullish technical signals for RM earlier this week/last week but not that brave!  This stuff's an art not a science!

I have technical trades and structural trades.For me RMV is a structural short due the extremely high market cap to rev ratio and  a declining customer base.They've had a fantastic ten years but are starting to lose customers in a market that is usffering from low transaction levels.IF a company like CW goes under for instance that a lot of £1000 per branch that won't be getting paid.As spy says,EA will move into small offies on out of town parks.Aslo,will likely see a lot of mergers in smaller EA's.The per branch charging model has had it imho

 

Decl-short.

2 hours ago, Harley said:

I saw some bullish technical signals for RM earlier this week/last week but not that brave!  This stuff's an art not a science!

Just went long AMZN on technicals.First itme ever,we'll see how it goes.

[spunko]

Purple Bricks are terrible. Particularly their photos, look like they're taken by a complete amateur or a 3 year old. Until they commission proper photographers I can't see RM being worried. 

[sancho panza]

2 hours ago, spunko said:

Purple Bricks are terrible. Particularly their photos, look like they're taken by a complete amateur or a 3 year old. Until they commission proper photographers I can't see RM being worried. 

Purple bricks will likely fold.Key thing here to me is that RM is sizing up becoming the biggest EA on the High St.Would likely save them from extinction but would mean they'd struggle to levy a per branch charge on anyone,indeed it might even incentivize bricks n mortar EA's to stop using them.

They're in a difficult position but nowhere near as difficult as that of the High St chains

[spunko]

7 hours ago, sancho panza said:

Purple bricks will likely fold.Key thing here to me is that RM is sizing up becoming the biggest EA on the High St.Would likely save them from extinction but would mean they'd struggle to levy a per branch charge on anyone,indeed it might even incentivize bricks n mortar EA's to stop using them.

They're in a difficult position but nowhere near as difficult as that of the High St chains

Their charging model is dated you're correct. They should move to per listing, they'd make much more money and can then allow private listings. 

 And the failure of onthemarket to reach any sort of critical mass should prevent the EAs from trying to launch their own again. 

[spunko]

21 hours ago, spygirl said:

I like RM. I want it tow in - as EAs wil lose.

There's nothing to stop an EA from setting up their web, working on the listing, providing local knowledge and what - schools, level walks, etc location etc etc.

Execept they dont - because they are all pretty shit.

 

RM, as a platform, will allow the EA business to evolve from A3 locations with big glass windows to a small office with parking on a n industrial estate.

 

The current batch are not embracing this model.

Why>?

The small EAs, yellow cords etc gyles, have bet the farm literally on bricksnmortar EA - their business is literallytheir pension.

What the poster does nto comment is *WHY* EAs have not done that?

 

It's incredibly expensive to create a useful website like RM. 

 Anyone can create a shit website but to think that creating a site with UX as good as Rightmove is easy, is a bit delusional. Particularly from an EA...

Perhaps it ties in with your comment earlier about companies needing a tech team. Most EA websites I go on don't even fit on the screen or elements aren't clickable etc, it's a nightmare. Rightmove have some of the best UI and branding possible. 

They make it look easy but if you're not into things like A-B testing, etc then forget it. 

[spygirl]

41 minutes ago, spunko said:

It's incredibly expensive to create a useful website like RM. 

 Anyone can create a shit website but to think that creating a site with UX as good as Rightmove is easy, is a bit delusional. Particularly from an EA...

Perhaps it ties in with your comment earlier about companies needing a tech team. Most EA websites I go on don't even fit on the screen or elements aren't clickable etc, it's a nightmare. Rightmove have some of the best UI and branding possible. 

They make it look easy but if you're not into things like A-B testing, etc then forget it. 

For a smallEA ,listing ~100 houses it ought to be easy.

Get a nice framework, but the blurb in, tie it up with maps etc etc etc.

Ive not seen one that cna do it. They all look shit. The extra info, that a local person might be able to add to help sell a house tends to be absent. Just an online equivalent of sticking a piccy up.

When you ge tto the size of RM then the web front end probems fade away - they have a standard, all listings  oin.

RM size means the scale is where the hard work is.

And, ot their credit, RM manage it well.

RM has been going (he checks ...) since 2000,, listed in 2006, which is prob when it became essential.

I mean, get a home seller to choose between an EA or RM and theyll choose RM everytime.

 

[gibbon]

Checking right move month my lettings agent let 13 properties. At £500 a pop fee to the landlord that's in income of £6.5k. Pre-lettings fee ban when they were charging £400 PER TENANT reckon they'd be taking in £10k-£15k month easy. Two owners work there. They are fucked. Sometimes good things do happen in the world.

Edited August 3, 2019 by gibbon

[sancho panza]

13 hours ago, spunko said:

Their charging model is dated you're correct. They should move to per listing, they'd make much more money and can then allow private listings. 

 And the failure of onthemarket to reach any sort of critical mass should prevent the EAs from trying to launch their own again. 

I think that'll be the big move when they decide to ditch the per branch rev model and go it alone.RM or the sellers jsut don't need High St EAs any more for msot every day transactions.

Haivng said that,the shares are still hugely overvalued

decl -short RMV

5 hours ago, gibbon said:

Checking right move month my lettings agent let 13 properties. At £500 a pop fee to the landlord that's in income of £6.5k. Pre-lettings fee ban when they were charging £400 PER TENANT reckon they'd be taking in £10k-£15k month easy. Two owners work there. They are fucked. Sometimes good things do happen in the world.

For a small local EA out of SE I reckon a basic set of numbers as follows.

Rent £1k pcm, Wages £6k(based on 3 full time),Rates £500pcm,Utilities incl phones £400pcm,RM £1k,Zoopla £700=£8600 pcm

LE2 postcode has something like 30 EA's and 100 transactions per month at average £200k.1% gives £200k between 30 EA's and the online boys ie £6k each.And I've been conservative with the numbers.Some local offices have 6 staff in.

The loss of lettings income will kill a lot off if purple bricks hasn't.

Have to agree with the last bit in bold.

[gibbon]

On 03/08/2019 at 21:30, sancho panza said:

For a small local EA out of SE I reckon a basic set of numbers as follows.

Rent £1k pcm, Wages £6k(based on 3 full time),Rates £500pcm,Utilities incl phones £400pcm,RM £1k,Zoopla £700=£8600 pcm

LE2 postcode has something like 30 EA's and 100 transactions per month at average £200k.1% gives £200k between 30 EA's and the online boys ie £6k each.And I've been conservative with the numbers.Some local offices have 6 staff in.

The loss of lettings income will kill a lot off if purple bricks hasn't.

Have to agree with the last bit in bold.

I know their rent is a lot lower than £1k, more like £500 as I know the building they are in. Here's what I'd guessestimate their expenses using some of your figures:

Rent: £500

Wages: £4k (2 owners only)

Rates: £500

Utils: £100

RM/Zoopla: £1700

2 Lease cars: £600

Marketing: £500

Total: £7900 pm

Think it's safe to say they've gone from doing very well, paying good salary each and having up to say £10k excess profit every month to breaking even. I reckon things will get worse as agencies start fighting it out for landlords, lowering fees and the fact lots of slumlords will scoff at paying £500 to let out a property and will just stick it on somewhere like openrent for £40.

[sancho panza]

4 hours ago, gibbon said:

I know their rent is a lot lower than £1k, more like £500 as I know the building they are in. Here's what I'd guessestimate their expenses using some of your figures:

Rent: £500

Wages: £4k (2 owners only)

Rates: £500

Utils: £100

RM/Zoopla: £1700

2 Lease cars: £600

Marketing: £500

Total: £7900 pm

Think it's safe to say they've gone from doing very well, paying good salary each and having up to say £10k excess profit every month to breaking even. I reckon things will get worse as agencies start fighting it out for landlords, lowering fees and the fact lots of slcumlords will scoff at paying £500 to let out a property and will just stick it on somewhere like openrent for £40.

Guaranteed.The end is nigh for many and they aren't seeing it coming.A lot think a lot more of their customer service standards than the general public.

I look at stockbrokers.All gone online unless you need advice and wish to pay a premium.High end will still have buying agents/selling agents,commercial too,but your local High St EA offering his epxertixse on selling a 3 bed semi for £2000....days are numbered.

Also,be good to see a lot of letting agents go under,raise standards hopefully.

[Ash4781b]

Tesco appears to have a problem with another one of their store formats  “The company said the Metro format was originally designed for larger, weekly shops, but now nearly 70% of customers used them as convenience stores, buying food for that day.”

 

https://www.bbc.co.uk/news/business-49239916

[leonardratso]

1 hour ago, Ash4781b said:

Tesco appears to have a problem with another one of their store formats  “The company said the Metro format was originally designed for larger, weekly shops, but now nearly 70% of customers used them as convenience stores, buying food for that day.” to throw away immediately"

 

https://www.bbc.co.uk/news/business-49239916

just fix that for them slightly.

[Errol]

How strange. I always thought the whole point of Tesco 'Metro' was for local, daily shops.

[Castlevania]

3 minutes ago, Errol said:

How strange. I always thought the whole point of Tesco 'Metro' was for local, daily shops.

Nah. That’s Tesco Express.

[Errol]

But the Metros are so small. Perfect for daily shopping.

[sancho panza]

3 hours ago, Ash4781b said:

Tesco appears to have a problem with another one of their store formats  “The company said the Metro format was originally designed for larger, weekly shops, but now nearly 70% of customers used them as convenience stores, buying food for that day.”

 

https://www.bbc.co.uk/news/business-49239916

Asda changing the terms and conditions for their workers.Sounds a dire place to work and getting worse.

[Chewing Grass]

10 minutes ago, sancho panza said:

Asda changing the terms and conditions for their workers.Sounds a dire place to work and getting worse.

ASDA was apparently a great place to work with excellent staff discounts until it fell into American ownership.

[gibbon]

11 hours ago, Chewing Grass said:

ASDA was apparently a great place to work with excellent staff discounts until it fell into American ownership.

Still looks like a good place to work at my local one. The staff spend most their time in groups chatting away not a care in the world.

[dgul]

I see Sirius Minerals couldn't get their latest lot of financing through (£500m bond at a heady 13% or so).  They're waiting for the current market hiatus to work its way through -- but I don't think waiting is going to work this time.

I do think the Sirius project will be completed, just not under the current ownership profile.

[I actually think it'll be taken over by government at some point, as part of the great economic stimulus package -- but that's unthinkable at the moment so not worth dwelling on]