NATURE, CLASSIFICATION, & KEY STAKEHOLDERS OF SLSL
SLSL - estate agency - 3 towns - OAKFORD, UPHAM, STAMTON. Possibility of establishing new branch - MARKET HARWORTH.
estate agents - provide service to sellers of houses (vendors) - TERTIARY SECTOR. main income from COMMISSION of house sales. Other income streams - peripheral - BUILDING INSURANCE, HOME BUYERS REPORT, CONVEYANCING. possible new venture - LETTING HOUSES - problems in house market has increased interest in the private renting sector.
estate agent - visits houses to: - offer free sales valuation (advising best price) - collect details of property (photos, rooms, EPF if avail) - discuss terms and conditions (for acting as agent)
- agents charge COMMISSION - expressed as percentage of selling price. Works on 'no sale no fee' - house not sold, vendor can withdraw, no charges. no sale, no fee & no parties committed till near end - impact on cashflow for SLSL - marketing costs before commission is received - considerable risk involved - no guarantee efforts & expenditure will lead to a sale.
- agent markets property on vendor behalf: - DRAWING up details of properties, ADVERTISING properties for sale (newspapers/online), PROVIDING potential buyers with house details (via post, email, text), ARRANGING visits to properties for buyers, CONDUCTING visits on vendor behalf.
- some buyers willing to offer to buy asking price - usually want to pay less. AGENT to advise vendors to accept/decline, considering: STATE of the market, VENDORS NEED to complete within a particular time, LIKELIHOOD of buyer being able to complete transaction within time frame set. FINAL DECISION LIES WITH VENDOR - AGENT MERELY ADVISES.
- if offer accepted, focus legal financial - agent role - progress chasing sale on vendor behalf - conveyancers, etc & maintaing contact between parties. CONVEYANCING - drawing up contract between vendor and buyer - work referred to BODDIE COOPER.
normal - buyer not have cash available - agent offer services (banks) - beneficial to vendor - but no ref to commission earned through these services.
- mortgage provider will insist on valuation before granting - surveyor inspects property - brief report of info. buyers advised to commission own survery identify problems before committing to buy. AGENT WORKS ON BEHALF OF VENDOR NOT BUYER - agent may offer services of surveyor to potential buyer, e.g. more detailed report than mortgage valuation, (home buyers survery) receive commission, e.g. SLSL.
- home information pack (HIP) - plan by last gov - full survey report offered to buyers at early stage - aim to speed up process of transaction, proved unpopular - upfront costs, abandoned. one feature survived - EPC measure of energy efficiency of house. no ref to SLSL being qualified energy assessor.
- roleys recognise essential to project confident, professional image, recruit & train staff to ensure they have knowledge & skills needed to secure vendor trust. quality of staff key factor to in competitive advantage - without vendors would choose rivals.