First of all, it should be remembered that the capital of the UK – London – remains a market, which quite often does not reflect the rest of the country. London is one of the most important financial and commercial centres in the world. Thus, the real estate market in this city is really strong and well developed: The supply and demand is high; the prices are among the highest in the entire European Union.
Over the past 15 years, the UK lettings market has come into its own. Mainly due to the availability of Buy-to-Let funds, the number of investment properties being let out have grown considerably making up a sizeable proportion of the UK housing stock. With the launch of the Buy-to-Let initiative, the strength and importance of the rental market have been underlined with a flourish. Once again, rentals are fully understood to be such a key element in the housing market that private investors in the sector are being actively backed by mortgage lenders. Thus, the rent market in the UK, particularly in London, ensures for many real estate agencies a flow of passive income even in more difficult periods.
Real estate agencies market in the UK is very well established and cherishing deep traditions. The companies operating here are reluctant to change their business principles. Brokers are usually hired employees, having minimal opportunities to make income. Capital Realty sees a niche in this market that could be filled namely by the CAPITAL offices. We can offer our brokers to create their own personal customer business and the opportunity to earn up to 100% of the commissions, which no real estate agencies in the UK can offer.
We will seek that the UK Traditional Real Estate Agents change to unconventional CAPITAL brokers, who would help to create new traditions in the UK real estate market.