Specialist Real Estate recruiter Anthony Hesse has made a stark warning that jobs are drying up at estate agents as firms cut back on recruitment, slamming London sales agents for their inflated salary expectations.
Hesse, a 30-year veteran recruiter and Managing Director of Property Personnel, singled out residential sales agents, “some candidates are still demanding rather than commanding a salary…they need to take a reality check over their expectations and follow the same advice they themselves would give to a client with an unsold and overpriced property.”
The candid recruiter went on to say that the decline in residential sales roles is prompting some individuals to look at sales opportunities in global real estate markets like Dubai, Qatar or even the US.
Some alternatives for out of work sales agents include moving into another industry growth market like lettings or new build management, “some of our candidates want to remain in property but move away from front-line residential sales. So they are seeking jobs in land, new homes and development…we’re seeing a marked growth of 15-20% in lettings, property management and business support” said Hesse.
The UK’s rental market growth has been noted by a number of industry stalwarts (and fellow DMZ‘ers) recently.
Last week, Savills forecasted a whopping 19% increase in UK rental prices over the next 5 years and Johnny Morris, Research Director at Countrywide, said that “on current trends 2017 could be the first time since the 1930s that more homes are let than sold.”
The showbiz set have also latched on to the continued growth of the lettings market. This week E4 commissioned a new comedy called Stath about an incompetent lettings agent working for the fictional agency ‘Michael & Eagle Lets’. Channel 4 describes the mains characters firm as a “dodgy London lettings agency” with the lead actor describing his character as “an imbecile”.
Not exactly an exercise in public relations for the lettings sector then.
We’re sure its important for recruiters to set realistic expectations, but DMZ can’t really see the logic behind slamming your candidates so publicly.
Most residential sales agents are fully aware of their figures as they feed directly into their bonuses – they know their sales figures, they know their salary and by proxy most will know their monetary value to the agency.
One thing DMZ does agree with Mr. Hesse on is the continued value of London agents in international hotspots like Dubai. With high end clients, large scale new developments and the lure of chunky tax-free bonus packages available, we can see why Dubai is an increasingly attractive proposition for London based sales agents right now.