The UK estate agency landscape is witnessing a significant shift, with a growing number of agents embracing self-employed models and new types of agency firms emerging to support this trend.

While precise overall numbers of self-employed agents can vary depending on data sources and definitions, industry reports indicate a clear upward trajectory in the adoption of this working style.

Recent data, particularly from industry analysts like TwentyEA, highlights that the market share of self-employed estate agents is on the rise. In 2024, self-employed agents reportedly handled 1.8% of the total market, marking a 31% increase year-on-year. This growth is evident across various property types, price brackets (with particular strength in the £200,000 to £350,000 segment), and most regions of the UK. Some industry experts predict this model could account for as much as 10% of the market by 2030, with optimistic forecasts suggesting over half of all property transactions could eventually be handled by self-employed agents.

Leading the charge are "hybrid" or platform-based agency models specifically designed for self-employed agents. Firms such as eXp UK have reported substantial growth, with eXp UK, for instance, now having over 700 agents. Other notable names in this expanding sector include Yopa, The Agency UK (TAUK),Keller Williams, Moveli, house.Partnership; Properly, Avocado Property and many more. Mergers between firms operating on a self-employed basis are also beginning to occur, signalling consolidation and maturation within this segment.

The primary drivers behind this trend appear to be a desire among agents for greater flexibility, an improved work-life balance, higher earning potential through better commission structures, and a degree of disillusionment with traditional, office-based agency models. The COVID-19 pandemic also played a role in demonstrating the viability of remote and more autonomous working arrangements within the property sector.

Traditional Firms and Adoption for New Staff

The rise of the self-employed model is also influencing traditional high street agencies, though perhaps not predominantly through direct hiring of new staff onto a self-employed basis within their existing structures. Instead, the following trends are more apparent:

• New Agency Formations: A significant portion of the growth is driven by experienced agents leaving traditional employment to set up their own businesses, often under the umbrella of the self-employed platforms. This has contributed to an increase in the number of smaller agencies (0-5 employees) as these self-employed agents become VAT-registered entities.

• Partnership Models: Some platforms, like eXp UK, offer a brokerage model that allows traditional high street agencies to transition their existing employed staff to a self-employed status under the platform's brand. This is reportedly "gaining traction," with a number of traditional firms already signed up.

• Agent Attraction: The newer, flexible models are proving attractive to established agents, leading to a talent flow from traditional firms to these platforms.

While traditional firms are undoubtedly aware of this evolving landscape, the current evidence points more towards the growth of a distinct self-employed agency sector and agents choosing this path, rather than a widespread, active strategy by traditional high-street firms to recruit new staff directly into self-employed roles as a primary hiring model. The pressure from these new models may, however, influence how traditional agencies structure roles and remuneration in the future to retain and attract talent.

It's worth noting that broader employment statistics (like those from the ONS for the entire "Real Estate" sector) have sometimes painted a more complex picture regarding the overall number of self-employed individuals in property. These broader figures may encompass different roles and be influenced by wider economic factors, standing in some contrast to the specific growth trends observed within the estate agency "self-employed model" niche.

For those considering a move into this dynamic and expanding area of the property industry, specialist recruitment firms are also adapting to this trend. Worth Recruiting, for example, is already actively making placements within the self-employed estate agent sector and is keen to connect with candidates who are considering this career option.

If you are keen to explore opportunities as a Self-Employed Estate or Lettings Agent, contact the Property Recruitment team by phone on 01372 238300 , by email: toptalent@worthrecruiting.me or simply visit our user friendly website: www.worthrecruiting.me