Estate agents working in urban markets often need to handle more transactions to earn the same income as those in rural areas, according to new analysis from eXp UK. The study highlights that city housing stock is dominated by flats, which typically generate significantly lower commissions than detached homes.
eXp UK examined average agent fees across English regions and applied them to typical property prices to compare earning potential by property type and location. The findings show that, on average, commissions from detached homes are almost 73% higher than those from flats.
The findings highlight significant regional variation in earning potential for estate agents, driven largely by the mix of property types in each area. In regions dominated by flats, agents must manage more transactions to achieve comparable income to peers handling detached homes.
Across England, the South East shows the greatest disparity, with an agent earning an estimated £10,641 from a detached home compared with £3,278 from a flat — a 105.8% difference. In practical terms, this means more than three flat sales are needed to match the commission from a single detached property.
The West Midlands follows with a 99.7% gap, while the East Midlands and North East record differences of 96.1% and 95.4% respectively. The South West also sees a substantial disparity, with detached home commissions 95.2% higher than those from flats.
London exhibits the smallest gap, reflecting the relatively high value of flats in the capital. Even so, the average commission from a detached home in London remains 91.2% higher than that from a flat, indicating that urban agents still need to handle more transactions to reach comparable earnings.
These results underline the impact of regional housing stock and property type on agent income and highlight the additional workload faced by professionals operating in flat-heavy, urban markets.
Adam Day, head of eXp UK and Europe, commented: “Agents working in urban markets are often dealing with higher volumes of flats, which on the surface can look positive, but the reality is that the commission secured per sale is significantly lower than for detached homes.
“In many regions, an agent needs to sell more than two flats, and in some cases closer to three, just to match the commission earned from a single detached property transaction. That has a real impact on workload, time pressures and long-term earning sustainability.
“Even in London, where flat values remain high by national standards, the gap between selling a flat and a detached home is still substantial. Understanding how local housing stock shapes earning potential is critical for agents when building a business that balances volume, value and personal capacity.”
Read the orginal article: https://propertyindustryeye.com/urban-estate-agents-face-tougher-earnings-challenges-than-rural-counterparts/?utm_source=rss&utm_medium=rss&utm_campaign=urban-estate-agents-face-tougher-earnings-challenges-than-rural-counterparts
