Consolidation, even branch closures on the cards in 2019, warns Purplebricks

PHOTO: Expect to see some industry consolidation and branch closures, high-profile network Purplebricks is predicting for the year ahead in 2019, with “high-street” agents not being an attractive enough proposition to cautious sellers.

Australia CEO Neil Tavender said that there has been significant pressure on commission-charging agents in 2018, especially in the latter part of it.

“In fact, one Melbourne-based agent at [one of the major networks] was even offering zero per cent commission as they looked to drum up business,” Mr Tavender said.

“I expect this pressure to continue in 2019, culminating in traditional agents lowering their commission rates, which in some cases have been extortionately high through the property boom.”

He said that another big move will be a stabilisation in property prices.