A high street estate agent has slammed the newest communication to the industry on Consumer Protection Regulations, branding it as a, ‘complete mess,’ and, ‘nothing short of ridiculous.’
Jonathan Newell, director of SalesBoards Estate Agents in Exeter, believes that his company’s situation shows the extent of the issues with the publication. ‘We pride ourselves on being open and honest with our fees, but the new legislation now states that our fees have to be advertised inclusive of VAT,’ he said.
‘Since VAT was introduced in 1973, agents fees have always been quoted exclusive of VAT and that is what the public have become used to. So our usual fee of 1.25% plus VAT now has to be advertised at 1.5% including VAT, which in my mind makes a very competitive fee sound no better than typical,’ he added.
Estate agent slams trading standards CPR
Mr Newell went on to say that SalesBoards, like many other firms, has decided to try and dispel any confusion by removing any reference to fees from its adverts and publications.
He noted that, ‘a quick browse of last week’s local newspaper revealed that only one out of 23 agents included details of their fees in their adverts.’
‘Given that the Consumer Protection Regulations are supposed to make things better rather than worse for the consumer, it seems they may have fallen short of achieving their intended goal,’ Newell concluded.