Can’t afford to stay on the high-street? Think again!

07 December 2018 5501 Views

The death of the high street agency is a familiar headline, but PropTech can lower costs for bricks-and-mortar agencies and help level the playing field in the stand-off with online-only agencies.

Unlike the property sales sector, where people are increasingly opting for the agent with the lowest fees, agency fees will no longer inflate rental prices in the near future. The incoming ban on upfront tenant fees will therefore help to make the high street as affordable for renters as online agencies – who are on the back foot as they have already raised their prices to the same level as high street agencies before the ban.

What is still an issue for high street agents is the cost of a bricks-and-mortar shop, compared to online-only. To combat this, letting agencies ranging from small single-site shops to large chains like Hunters and Century21 use PayProp to automate their payments for efficiencies and growth. PayProp automates the rent collection, accounting and banking for thousands of agents worldwide, saving time and resources that can be channelled into retaining and finding new tenants and landlords. 

What about landlords – are they willing to pay higher high street fees? While there is little data to suggest rental prices differ between types of agencies, the trend for sales is that high street agents can achieve better prices for customers – enough to offset higher fees.

If you think your business belongs on the high street, but are struggling to make things add up – freeing up your time and automating some of your business might be just what you need.