The UK Estate Agent

By Mike Stock

How did the downturn in the UK property market affect Munro Lock

Very badly as it did all local agents. We reduced our sales team over a 9 month period to from 15 down to 5. This was a very difficult thing to have to do but we had no option if we were to keep the company afloat.

How is the market now?

It is very good indeed, since March/April this year we have seen a remarkable change in attitude from clients. Add to this the low interest rate and sales have been coming thick and fast.

What sort of buyers do you have?

We are getting all types of buyers, although the buy to let ones are reduced at present, we seem to sell to a lot of first time buyers in Beckenham, where as in Hayes it tends to be families.

 

What is selling best, flats or houses?

Houses are selling much quicker than flats, which is unusual, however this is probably down to lack of investors and the fact that first time buyers now cannot get mortgages without a reasonable deposit.

Do you think that the market will continue to rise or are there still hard times ahead?

My view is that the market will slow towards Christmas, which is normal, with next year improving month on month or is this just wishful thinking!!! In all seriousness though my view is that the strength of any market is down to demand and there is plenty of that. New home builders are now going back to sites and I have seen the foundations creeping up on a number of developments, which has to be a good sign for all, these companies do their homework.

Would you advise people to buy/sell now or wait?

I would buy now and buy a lot if the bank balance allows this, the prices will increase next year and well into 2011, we are already seeing in some areas the prices back to mid 2007, which was the height.

Company information

Munro Lock opened its doors in March 2004, it was the brain child of both Richard Munro and Darren Lock. Having worked together for 5 years at another local firm in Beckenham they decided it was time to go it alone.

"We were helped financially by Michael Rae, a gentleman who had bought and sold properties with us over the previous two years", says Richard. "He gave us the starting block and also took care of the books, leaving myself and Darren to get on with the selling side of the firm. So the three of us were up and running".

Richard had been in the business since 1989 and was a very experienced valuer, while Darren who had been an agent for 8 years also became the in-house computer expert.
The company started very well and above expectations with the first sale being achieved in April followed by the first Exchange of contracts in the June, giving them enough money to buy some leaflets to be distributed throughout the area.

"The expansion started and in July 05 with the acquisition of an ongoing agency in Hayes, we changed the name and hit the ground running".

In June 2006 they opened the Bromley Common office, followed by the Bromley Central office in July 07. At this point Munro Lock had 4 offices and 15 employees. This was way above the initial plan of three offices by year 5, but having managed the expansion based completely on money earned, they felt they could achieve great things and probably would have if it were not for the global recession hitting the industry hard and very fast.

"Once the phone stops ringing you know you're in trouble", said Richard. "We have now resorted back to two offices, the original one in Beckenham and our second one in Hayes. These two we are extremely strong in, so it made sense to consolidate until the market returned".

Two examples of properties for sale through Munro Lock

 

 

Four Bedroom House £309,950

This very spacious four bedroom Victorian semi detached house is situated in Beckenham South London.
An interesting feature of this property is the archway that was originally used as access to the rear of the property for horses. Other benefits include four good sized bedrooms, modern bathroom, Kitchen/Breakfast room, fire places, gas central heating and a large rear garden.

 

 

Two Bedroom Apartment £189,950

This is a two bedroom ground floor apartment in good condition and benefits from a fitted kitchen with built in oven and hob There is a bathroom, lounge and two bedrooms. The master bedroom has double doors opening out into communal grounds

 

 

 

 

www.munrolock.co.uk

Any comments on this article, please post them on our forum page http://www.ipb-magazine.com/en/forum