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One-third of estate agents dissatisfied with brokers

A total of 31% of estate agents are either dissatisfied or very dissatisfied with their agency’s mortgage brokers, new research by Obligo reveals.

A total of 54% of the 300 estate agency firms surveyed say the service they receive from in-house or outsourced brokers  was average.

And only 15% say they were satisfied or very satisfied with their existing mortgage arrangements.

A total of 87% say they have informal arrangements with local brokerages, while 7% have a self-employed broker in-house and 3% employ a mortgage broker on a full time basis.

Absenteeism seems a particular problem for agents with 81% of those surveyed reporting that the brokers they relied on only visited their office once or twice a week, with just 10% saying their broker visited them four or more times a week.

The biggest problem with brokers, with 71% of the vote, was being kept up-to-speed on case progress.

Next was speed of service with 15% followed by commissions at 8% and conversion rate, 6%.

Chris Gardner, director at Obligo, says: “There is clearly a lot of dissatisfaction among agents with their financial services partners. Much of the frustration stems from the lack of contact agents have with their brokers – they feel that they are rarely there when they need them to be.

“The other major gripe is the poor level of information they receive on case progress. In the current market, knowing how a deal is progressing is more important than ever but the vast majority of brokers, quite clearly, are failing to keep their introducers up-to-date.”

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  • mike connelly 11th November 2010 at 3:29 pm

    Brilliant, all the above have risen to the bait, lets all blame everybody else culture.

    Surely, a good business relationsip is based on good communication, respect and support for each party.

    However in this climate the dogs naturlay blame each other, which is claery demonstarted by the dialog above.

    Im glad to be able to seperate myself this mob.

    WORK TOGETHER AND PROSPER AND IGNORE THESE STUPID POLLS.

  • dave lamb 10th November 2010 at 7:49 pm

    I have just taken a look at obligo.co.uk. i assume that most of these aggressive comments are from brokers who think that Obligo are about to pinch their business??

    Seems to me that it is quite probable that out of all of the estate agents population that a number of them will not be happy with their current mortgage set up , its also reasonable to assume that what obligo does may well be a good solution for those agents? right?

    There will also be a huge number of agents that are quite happy with their mortgage set up? Right?

    i dont see the problem.

    Let us remember>

    mortgage brain and trigold come to market – brokers up in arms that technology was going to replace them. Sounds daft now does it not.

    Rightmove launch to a barrage of abuse from estate agents. Sounds even more stupid today does it not.

  • anon 10th November 2010 at 4:30 pm

    this comments string is a joke – you lot should be ashamed at your attitude. granted it looks like pr to sell a product but you lot are a sham – just goes to prove that brokers are in it for themselves

  • John Morrison 10th November 2010 at 11:11 am

    D & C – Not at all! (ticked the anon box by accident).

    I just meant that this was a total non story. It could just have easily read ‘two thirds of estate agents happy with service from brokers’.

    But then it wouldn’t have driven the same kidn of web traffic to this page from disgruntled advisers would it?

    Must do better MS!

  • Dan McGeehan 10th November 2010 at 10:43 am

    PR exercise from a company probably most brokers have never heard of who ” give customers information to make an informed choice on mortgage products”. Should they then make an application they will charge £495 on top of the proc fee. They also give information about self cert mortgages!…..bit behind the time i think.

  • Luke Atkinson 10th November 2010 at 10:41 am

    I polled a varied group of house buyers and vendors and asked them who they would rather deal with when purchasing or selling a house, an estate agent or a small smiling monkey riding a tricycle. 9/10 answered in favour of the monkey, the other 10% didn’t respond.

  • Dazed & Confused 10th November 2010 at 9:55 am

    Anonymous at 9.10 am – Let me guess…you are an Estate Agent?

  • Flawless liars 10th November 2010 at 9:42 am

    Estate Agents flawlessly lie through their front teeth all the time, have no principles, no ethics just after quick money. These parasites make far too much commission some as high as 3% whereas brokers are left to pick up bits of crumbs that are passed from the lender!

  • John Morrisson 10th November 2010 at 9:10 am

    Slow news day at mortgage strategy it would seem so they pump out something like this to go fishing with…. come on you can do better than this!

  • Ancient Wisdom...is a mortgage broker in N3 10th November 2010 at 8:52 am

    80% of public dissatisfied with Estate Agents – Broker therefore most important person in transaction.

  • Wesley 9th November 2010 at 5:33 pm

    Is their dissatisfaction with their own in-house brokers the reason why most big estate agency groups have so many vacancies all the time…because they just fire their brokers if they don’t have a 100% record of selling life insurance.

  • Jon 9th November 2010 at 4:45 pm

    Does the company that carried out the survey offer a mortgage system that can be used by estate agents?

  • Bank Buster 9th November 2010 at 4:09 pm

    If it’s worth saying once, it’s worth saying three times!

  • Dave 9th November 2010 at 3:17 pm

    What words of wisdom from the pillars of the most financialy rewarding unregulated, unqualified and unprofessional profession. Bring in regulation as every other partie involved in house purchase are regulated and qualified from advisers to solicitors.

  • Peter Steele 9th November 2010 at 3:07 pm

    Generally, as a client caring Broker I find that prospective Introducer Estate Agents do not even want to entertain a Broker as they seem to think that their job is simply selling and don’t want to be involved with the fiscal issues. Most don’t realise or believe in the importance of using a “good” Independent “Whole of Market” Broker to introduce to their Applicants & Vendors alike. The property sale goes hand in hand with the Finance: one without the other results in No Deal and a complete waste of everyone’s time. A good Broker will provide an Applicant financial qualification service to the Agent providing them with the knowledge of the ability to purchase up to a given figure and then hopefully to retain the Applicant as an on-going Client. It also makes the Agent so much more professional and in control of the sales process.

  • James Hall 9th November 2010 at 2:58 pm

    This must be some kind of joke. I have worked with estate agency introducers and perhaps I can explain to them why they get the poor service they have outlined.

    1. You cannot expect a self employed adviser to sit in your office all week just so that on the odd occassion you can be bothered to refer someone you are there.

    2. The cut of the commission you want from the referral is always far too high for the amount and quality of business you refer.

    3. Point 2 also means that advisers are not prepared to spend hours chasing through the case and keeping you updated because the business wont be viable.

    This is not true of all agents of course, I suspect the ones that have an adult business relationship with their supplier of mortage services are the ones in the minority who are happy with the service they get. Why is that some introducers think they are doing you a huge favour passing you a name and address in return for 30%+ of the income earned on the case!

  • Andy Valvona 9th November 2010 at 2:53 pm

    Yeah – got it first time though!

  • Keith Gibbon 9th November 2010 at 2:05 pm

    We should listen to this section of the country’s workforce as they have always shown such integrity and dilligence in trying to get the public a fair deal!!!!

  • Dazed & Confused 9th November 2010 at 2:03 pm

    Bless ’em! Don’t you just LOVE Estate Agents!

    It would be fascinating if similar research was carried out to see how satisfied brokers are with their Estate Agents!

    We had 6 estate agency introducers two years ago…we kicked them all into touch in favour of working referral business. Much less hassle and no pay away to parasitic Estate Agents!

  • Paul Tolliday 9th November 2010 at 1:54 pm

    At present the number of new introductions to brokers must be very low. I can imagine that the agent will expect the broker to be instantly available at all times even though the broker may be desperately trying to find new business from where ever they can get it. The agent will expect the broker to be sat in their office even though activity is at an all time low not accepting that the broker has a living to make.

  • Martin Tapper 9th November 2010 at 1:51 pm

    Great! What a superb opportunity. Any dissatisfied estate agents in Essex please contact me to discuss service levels.
    martin@tapperfs.co.uk 07811186600

  • ysboy 9th November 2010 at 1:50 pm

    they must be havin a laugh , but hey ,lets not forget how thick estate agents are

  • Mark Draper 9th November 2010 at 1:50 pm

    It is so clear that Mortgage Brokers do not respect their Estate Agent colleagues. I have been a Mortgage Broker for some 25 years and the most important thing I have always had with the agents is communication. I have never understood how the Mortgage Broker does not give the feedback the Agents deserve. They are cutting off the lifeline of business. Perhaps that’s why I am still in business and so many Brokers are not.

  • David 9th November 2010 at 1:48 pm

    And I wonder if there was a survey done about Estate Agents, by Brokers, what they percentage figures of dissatisfaction would be. I would guess double.. And if asked how well you trust your Agent, well, I doubt they figures would even register.

    Time to leave off the already hardworking, over regulated and over-burdened Broker and concentrate on the real problems in the House Buying process.. the Estate Agent.

  • S Barber 9th November 2010 at 1:48 pm

    We provide excellent service and always have done to agents and if it wasn’t for us then some sales would not have gone through so no doubt they are referring to brokers,who dont deserve the business or are going out of business themselves? Agents are aware that on most occasions its the lenders who are slower than usual

  • John TIdwell 9th November 2010 at 1:40 pm

    It would be interesting to see the results of the mortgage brokers who are satisfied with the quality of leads, service and feedback they get from their introducers!

  • Andy Valvona 9th November 2010 at 1:34 pm

    Estate Agents Glossary of Mortgage Terms

    Mortgage Broker – “The application has been submitted to the lender, who are assessing the application, and will aim to respond back within 5 days”.

    Estate Agent’s Understanding – The Mortgage Broker doesn’t know what’s happening.

    _________________________________________

    Mortgage Broker – “The lender has approved the application in pricipal, and are now instructing valuation”.

    Estate Agent’s Understanding – “The Mortgage Broker doesn’t know when the valuation is being carried out”.

    _________________________________________

    Mortgage Broker – “The Lender will be issuing the offer shortly, and based on my experience of their service levels, this is likely to be within the next 48 hours”.

    Estate Agent’s Understanding – “The Mortgage Broker doesn’t know when the offer is being produced”

    _________________________________________

    Mortgage Broker – “I’ll be in your office tomorrow, Mr Estate Agent”

    Estate Agent’s Understanding – “I don’t know when the Mortgage Adviser will next be in”

    _________________________________________

    Mortgage Adviser – “The lender pays their procuration fees on the 10th of each month, for all cases completed during the preceding month. I will pay your introductory fee within 5 working days of receiving this fee, typically on or around the 18th of each month”.

    Estate Agent’s Understanding – on the 17th of the month – “That case completed last week, and the mortgage broker still hasn’t paid me – he’s useless.

  • Tom Cleary 9th November 2010 at 1:32 pm

    Estate Agents complaining about poor service? Oh the irony…
    Obligo should carry out research on Estate Agents customers to find out what they thought of their service.
    You couldn’t make it up…

  • john 9th November 2010 at 1:28 pm

    How about a survey the other way? I had an estate agent/ lawyer wanting me to be there every friday. I went to see what was happening on a friday, bear in mind this is normally the day of completions. You would have done more mortgages on the Marie Celeste – no wonder people don;t want to sit their all day doing nothing. My local EA doesn’t even open on a saturday afternoon!!!! Think most have them have thrown the towel in anyway.