{"id":1820165,"date":"2026-09-21T16:21:22","date_gmt":"2026-09-21T14:21:22","guid":{"rendered":"https:\/\/lexpress-franchise.com\/en\/articles\/open-an-estate-agency\/"},"modified":"2026-10-27T15:46:09","modified_gmt":"2026-10-27T14:46:09","slug":"open-an-estate-agency","status":"publish","type":"post","link":"https:\/\/lexpress-franchise.com\/en\/articles\/open-an-estate-agency\/","title":{"rendered":"How to open an estate agency in the UK 2026"},"content":{"rendered":"\n<p class=\"wp-block-paragraph\"><strong>No licence and no qualification are needed to trade as an estate agent in England, yet three registrations are compulsory and trading without the anti-money laundering one is a criminal offence. Lettings changed in England on 1 May 2026, when the Renters&#8217; Rights Act ended section 21 evictions. And the money arrives on two clocks: sales fees on completion, lettings fees every month.<\/strong><\/p>\n\n\n\n<hr class=\"wp-block-separator has-alpha-channel-opacity is-style-dots\"\/>\n\n\n\n<p class=\"wp-block-paragraph\">Estate agency is one of the least licensed and most heavily obligated businesses in the UK, and one of the most exposed to a single supplier: Rightmove&#8217;s average estate agency advertiser paid about \u00a31,530 a month in 2025. Anti-money laundering supervision and redress membership are UK-wide in substance; client money protection, letting agent registration and landlord licensing are devolved and differ sharply between England, Scotland and Wales.<\/p>\n\n\n\n<h2 class=\"wp-block-heading has-primary-color has-text-color has-link-color wp-elements-1\">What is an estate agency business?<\/h2>\n\n\n\n<p class=\"wp-block-paragraph\">An estate agency business introduces buyers and sellers of an interest in land and works to secure the transaction, and in the UK it needs no licence to open but must register with HMRC for anti-money laundering supervision and join an approved redress scheme before it trades. Lettings is a separate business with separate rules, and an agency doing both is regulated twice over, which shapes which of the <a href=\"https:\/\/lexpress-franchise.com\/en\/our-franchises\/property\/\">property franchises recruiting in the UK<\/a> fits a prospective owner.<\/p>\n\n\n\n<figure class=\"wp-block-image size-full\"><img loading=\"lazy\" decoding=\"async\" width=\"1917\" height=\"1280\" src=\"https:\/\/lexpress-franchise.com\/wp-content\/uploads\/2026\/09\/modern-living-room-city-view.jpg\" alt=\"modern living room with skyline view\" class=\"wp-image-1831237\" srcset=\"https:\/\/lexpress-franchise.com\/wp-content\/uploads\/2026\/09\/modern-living-room-city-view.jpg 1917w, https:\/\/lexpress-franchise.com\/wp-content\/uploads\/2026\/09\/modern-living-room-city-view-3.jpg 1536w, https:\/\/lexpress-franchise.com\/wp-content\/uploads\/2026\/09\/modern-city-view-living-room.jpg 767w, https:\/\/lexpress-franchise.com\/wp-content\/uploads\/2026\/09\/modern-luxury-living-room-city-view-1.jpg 479w, https:\/\/lexpress-franchise.com\/wp-content\/uploads\/2026\/09\/modern-living-room-city-view-4.jpg 359w, https:\/\/lexpress-franchise.com\/wp-content\/uploads\/2026\/09\/modern-living-room-fireplace-city-view.jpg 960w, https:\/\/lexpress-franchise.com\/wp-content\/uploads\/2026\/09\/modern-living-room-city-view-5.jpg 640w, https:\/\/lexpress-franchise.com\/wp-content\/uploads\/2026\/09\/modern-living-room-city-view-fireplace.jpg 1167w\" sizes=\"auto, (max-width: 1917px) 100vw, 1917px\" \/><\/figure>\n\n\n\n<h2 class=\"wp-block-heading has-primary-color has-text-color has-link-color wp-elements-2\">How to open an estate agency in the UK, step by step<\/h2>\n\n\n\n<p class=\"wp-block-paragraph\">The checklist, in the order openings usually run:<\/p>\n\n\n\n<ul class=\"wp-block-list\">\n<li>Sales, lettings or both decided<\/li>\n\n\n\n<li>HMRC anti-money laundering registration in place<\/li>\n\n\n\n<li>Approved redress scheme joined<\/li>\n\n\n\n<li>Client money protection arranged, where client money is held<\/li>\n\n\n\n<li>Nation-specific rules checked: Scotland and Wales<\/li>\n\n\n\n<li>Lettings practice rebuilt for the Renters&#8217; Rights Act<\/li>\n\n\n\n<li>Company, client account and compliance routine set up<\/li>\n\n\n\n<li>Fee model and cash flow planned<\/li>\n\n\n\n<li>Instruction pipeline built<\/li>\n\n\n\n<li>Preparation for the coming code and qualifications<\/li>\n<\/ul>\n\n\n        <div class=\"lf-gut-franchise-slider-wrapper\" data-slider-id=\"lf-gut-franchise-slider-6aeacee9e41c7\">\n            <div class=\"lf-gut-franchise-slider swiper\">\n                <div class=\"swiper-wrapper\">\n                                            <div class=\"swiper-slide lf-gut-franchise-card\">\n                            <div class=\"lf-gut-franchise-image-wrapper\">\n                                <img decoding=\"async\" src=\"https:\/\/lexpress-franchise.com\/wp-content\/uploads\/2026\/05\/aspray-team-leader-360x240.jpg\" class=\"lf-gut-franchise-image\" alt=\"Aspray\">\n                                                                    <div class=\"lf-gut-franchise-logo-center\">\n                                        <img decoding=\"async\" src=\"https:\/\/lexpress-franchise.com\/wp-content\/uploads\/2026\/05\/aspray-logo-150x150.png\" alt=\"Logo\">\n                                    <\/div>\n                                                            <\/div>\n                            <div class=\"lf-gut-franchise-content\">\n                                <div class=\"lf-gut-franchise-title-content\">\n                                    <div>\n                                        <a class=\"lf-gut-franchise-header-link\" href=\"https:\/\/lexpress-franchise.com\/en\/franchise\/aspray\/\">\n                                            <p class=\"lf-gut-franchise-title\">Aspray<\/p>\n                                        <\/a>\n                                        <p class=\"lf-gut-franchise-tag-line\">Property Insurance Claims Management<\/p>\n                                    <\/div>\n                                    <ul class=\"lf-gut-franchise-info-list\">\n                                        <li data-field=\"category\">\n                                            <span class=\"lf-gut-icon\"><?xml version=\"1.0\" encoding=\"UTF-8\"?> <svg xmlns=\"http:\/\/www.w3.org\/2000\/svg\" width=\"24\" height=\"24\" viewBox=\"0 0 24 24\" fill=\"none\"><path d=\"M12.5852 21.9314H4.92807C3.01378 21.9314 2.05664 20.9355 2.05664 18.9438V10.9771C2.05664 8.98542 3.01378 7.98957 4.92807 7.98957M12.5852 21.9314C10.6709 21.9314 9.71378 20.9355 9.71378 18.9438M12.5852 21.9314H18.3281C20.2424 21.9314 21.1995 20.9355 21.1995 18.9438V5.00205C21.1995 3.01037 20.2424 2.01453 18.3281 2.01453H12.5852C10.6709 2.01453 9.71378 3.01037 9.71378 5.00205M4.92807 7.98957H9.71378M4.92807 7.98957V5.99789C4.92807 4.90247 5.7895 4.00621 6.84235 4.00621H9.81905C9.74248 4.30496 9.71378 4.63359 9.71378 5.00205M9.71378 7.98957V18.9438M9.71378 7.98957V5.00205M9.71378 18.9438V5.00205M13.5424 7.98957V12.9688M17.3709 7.98957V12.9688M5.88521 12.9688V16.9521M16.4138 16.9521H14.4995C13.9731 16.9521 13.5424 17.4003 13.5424 17.948V21.9314H17.3709V17.948C17.3709 17.4003 16.9402 16.9521 16.4138 16.9521Z\" stroke=\"#E53B12\" stroke-width=\"1.5\" stroke-miterlimit=\"10\" stroke-linecap=\"round\" stroke-linejoin=\"round\"><\/path><\/svg> <\/span>Property                                        <\/li>\n                                                                                <li data-field=\"locations\">\n                                            <span class=\"lf-gut-icon\"><?xml version=\"1.0\" encoding=\"UTF-8\"?> <svg xmlns=\"http:\/\/www.w3.org\/2000\/svg\" width=\"19\" height=\"22\" viewBox=\"0 0 19 22\" fill=\"none\"><path d=\"M9.62821 12.2473C11.2775 12.2473 12.6145 10.8563 12.6145 9.14032C12.6145 7.42435 11.2775 6.03329 9.62821 6.03329C7.97893 6.03329 6.64192 7.42435 6.64192 9.14032C6.64192 10.8563 7.97893 12.2473 9.62821 12.2473Z\" stroke=\"#E53B12\" stroke-width=\"1.5\"><\/path><path d=\"M1.60735 7.32788C3.49292 -1.29611 15.7731 -1.28615 17.6491 7.33784C18.7498 12.3967 15.7252 16.6788 13.0739 19.3278C11.1501 21.2597 8.10635 21.2597 6.17292 19.3278C3.53121 16.6788 0.506638 12.3868 1.60735 7.32788Z\" stroke=\"#E53B12\" stroke-width=\"1.5\"><\/path><\/svg> <\/span>47 Locations                                        <\/li>\n                                                                                <li data-field=\"contribution\">\n                                            <span class=\"lf-gut-icon\"><?xml version=\"1.0\" encoding=\"UTF-8\"?> <svg xmlns=\"http:\/\/www.w3.org\/2000\/svg\" width=\"24\" height=\"25\" viewBox=\"0 0 24 25\" fill=\"none\"><path d=\"M2.05664 9.19308H21.1995M5.88521 17.1598H7.7995M10.1924 17.1598H14.0209M6.30635 4.21387H16.9402C20.3476 4.21387 21.1995 5.09021 21.1995 8.58561V16.7615C21.1995 20.2569 20.3476 21.1332 16.9498 21.1332H6.30635C2.9085 21.1432 2.05664 20.2668 2.05664 16.7714V8.58561C2.05664 5.09021 2.9085 4.21387 6.30635 4.21387Z\" stroke=\"#E53B12\" stroke-width=\"1.5\" stroke-linecap=\"round\" stroke-linejoin=\"round\"><\/path><\/svg> <\/span>Liquid capital: \u00a320000                                        <\/li>\n                                                                            <\/ul>\n                                <\/div>\n                                                                <a class=\"lf-gut-franchise-button\" rel=\"follow\" href=\"https:\/\/forms.lexpress-franchise.com\/en\/form?version_id=franchise_enseigne_en&#038;franchise_id=1733403&#038;utm_source=media&#038;utm_campaign=cta-slider&#038;utm_content=open-an-estate-agency&#038;tracking_referrer=https%3A%2F%2Flexpress-franchise.com%2Fen%2Farticles%2Fopen-an-estate-agency%2F\">I want more info<\/a>\n                            <\/div>\n                        <\/div>\n                                            <div class=\"swiper-slide lf-gut-franchise-card\">\n                            <div class=\"lf-gut-franchise-image-wrapper\">\n                                <img decoding=\"async\" src=\"https:\/\/lexpress-franchise.com\/wp-content\/uploads\/2025\/05\/h_036-360x202.jpg\" class=\"lf-gut-franchise-image\" alt=\"REALTYPLUS\">\n                                                                    <div class=\"lf-gut-franchise-logo-center\">\n                                        <img decoding=\"async\" src=\"https:\/\/lexpress-franchise.com\/wp-content\/uploads\/2025\/05\/logo-realty-plus-150x150.png\" alt=\"Logo\">\n                                    <\/div>\n                                                            <\/div>\n                            <div class=\"lf-gut-franchise-content\">\n                                <div class=\"lf-gut-franchise-title-content\">\n                                    <div>\n                                        <a class=\"lf-gut-franchise-header-link\" href=\"https:\/\/lexpress-franchise.com\/en\/franchise\/realtyplus\/\">\n                                            <p class=\"lf-gut-franchise-title\">REALTYPLUS<\/p>\n                                        <\/a>\n                                        <p class=\"lf-gut-franchise-tag-line\">Make your real estate success a global business<\/p>\n                                    <\/div>\n                                    <ul class=\"lf-gut-franchise-info-list\">\n                                        <li data-field=\"category\">\n                                            <span class=\"lf-gut-icon\"><?xml version=\"1.0\" encoding=\"UTF-8\"?> <svg xmlns=\"http:\/\/www.w3.org\/2000\/svg\" width=\"24\" height=\"24\" viewBox=\"0 0 24 24\" fill=\"none\"><path d=\"M12.5852 21.9314H4.92807C3.01378 21.9314 2.05664 20.9355 2.05664 18.9438V10.9771C2.05664 8.98542 3.01378 7.98957 4.92807 7.98957M12.5852 21.9314C10.6709 21.9314 9.71378 20.9355 9.71378 18.9438M12.5852 21.9314H18.3281C20.2424 21.9314 21.1995 20.9355 21.1995 18.9438V5.00205C21.1995 3.01037 20.2424 2.01453 18.3281 2.01453H12.5852C10.6709 2.01453 9.71378 3.01037 9.71378 5.00205M4.92807 7.98957H9.71378M4.92807 7.98957V5.99789C4.92807 4.90247 5.7895 4.00621 6.84235 4.00621H9.81905C9.74248 4.30496 9.71378 4.63359 9.71378 5.00205M9.71378 7.98957V18.9438M9.71378 7.98957V5.00205M9.71378 18.9438V5.00205M13.5424 7.98957V12.9688M17.3709 7.98957V12.9688M5.88521 12.9688V16.9521M16.4138 16.9521H14.4995C13.9731 16.9521 13.5424 17.4003 13.5424 17.948V21.9314H17.3709V17.948C17.3709 17.4003 16.9402 16.9521 16.4138 16.9521Z\" stroke=\"#E53B12\" stroke-width=\"1.5\" stroke-miterlimit=\"10\" stroke-linecap=\"round\" stroke-linejoin=\"round\"><\/path><\/svg> <\/span>Property                                        <\/li>\n                                                                                <li data-field=\"locations\">\n                                            <span class=\"lf-gut-icon\"><?xml version=\"1.0\" encoding=\"UTF-8\"?> <svg xmlns=\"http:\/\/www.w3.org\/2000\/svg\" width=\"19\" height=\"22\" viewBox=\"0 0 19 22\" fill=\"none\"><path d=\"M9.62821 12.2473C11.2775 12.2473 12.6145 10.8563 12.6145 9.14032C12.6145 7.42435 11.2775 6.03329 9.62821 6.03329C7.97893 6.03329 6.64192 7.42435 6.64192 9.14032C6.64192 10.8563 7.97893 12.2473 9.62821 12.2473Z\" stroke=\"#E53B12\" stroke-width=\"1.5\"><\/path><path d=\"M1.60735 7.32788C3.49292 -1.29611 15.7731 -1.28615 17.6491 7.33784C18.7498 12.3967 15.7252 16.6788 13.0739 19.3278C11.1501 21.2597 8.10635 21.2597 6.17292 19.3278C3.53121 16.6788 0.506638 12.3868 1.60735 7.32788Z\" stroke=\"#E53B12\" stroke-width=\"1.5\"><\/path><\/svg> <\/span>300 Premises                                        <\/li>\n                                                                                <li data-field=\"contribution\">\n                                            <span class=\"lf-gut-icon\"><?xml version=\"1.0\" encoding=\"UTF-8\"?> <svg xmlns=\"http:\/\/www.w3.org\/2000\/svg\" width=\"24\" height=\"25\" viewBox=\"0 0 24 25\" fill=\"none\"><path d=\"M2.05664 9.19308H21.1995M5.88521 17.1598H7.7995M10.1924 17.1598H14.0209M6.30635 4.21387H16.9402C20.3476 4.21387 21.1995 5.09021 21.1995 8.58561V16.7615C21.1995 20.2569 20.3476 21.1332 16.9498 21.1332H6.30635C2.9085 21.1432 2.05664 20.2668 2.05664 16.7714V8.58561C2.05664 5.09021 2.9085 4.21387 6.30635 4.21387Z\" stroke=\"#E53B12\" stroke-width=\"1.5\" stroke-linecap=\"round\" stroke-linejoin=\"round\"><\/path><\/svg> <\/span>Liquid capital: \u00a33000                                        <\/li>\n                                                                            <\/ul>\n                                <\/div>\n                                                                <a class=\"lf-gut-franchise-button\" rel=\"follow\" href=\"https:\/\/forms.lexpress-franchise.com\/en\/form?version_id=franchise_enseigne_en&#038;franchise_id=1499177&#038;utm_source=media&#038;utm_campaign=cta-slider&#038;utm_content=open-an-estate-agency&#038;tracking_referrer=https%3A%2F%2Flexpress-franchise.com%2Fen%2Farticles%2Fopen-an-estate-agency%2F\">I want more info<\/a>\n                            <\/div>\n                        <\/div>\n                                                        <\/div>\n            <\/div>\n            <div class=\"lf-gut-franchise-slider-nav\">\n                <div class=\"swiper-button-prev\"><\/div>\n                <div class=\"swiper-button-next\"><\/div>\n            <\/div>\n        <\/div>\n        \n\n\n<h3 class=\"wp-block-heading\">1. Decide whether it is sales, lettings or both<\/h3>\n\n\n\n<p class=\"wp-block-paragraph\">Sales agency triggers the Estate Agents Act 1979, redress membership and HMRC supervision. Lettings adds client money protection, the devolved registration regimes and, in England, the Renters&#8217; Rights Act. The choice also sets the cash flow: a sales-only agency waits months for its first completion, while a managed lettings book pays every month.<\/p>\n\n\n\n<h3 class=\"wp-block-heading\">2. Register with HMRC before trading<\/h3>\n\n\n\n<p class=\"wp-block-paragraph\">Estate agency businesses are supervised by HMRC under the Money Laundering Regulations 2017, and registration must be in place before any estate agency activity. HMRC rejects an application from a business without policies, controls and procedures already in place for the risks it has identified.<\/p>\n\n\n<div class=\"lf-gut-blog-post-cta-efference\" style=\"border-color: #fcb900;\"><div class=\"lf-gut-blog-post-cta-efference__icon\" style=\"color: #fcb900;\"><svg class=\"icon-thumb-up\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" width=\"35\" height=\"35\" viewBox=\"0 0 48 48\" fill=\"none\" style=\"color: #fcb900;\"><path fill=\"currentColor\" d=\"M21.4998 4.89989L20.8499 4.13985L20.8474 4.14202L21.4998 4.89989ZM26.5397 4.89989L27.1922 4.14197L27.1842 4.13526L26.5397 4.89989ZM29.6998 7.62011L30.3547 6.86441L30.3522 6.86223L29.6998 7.62011ZM40.4197 18.3401L41.1776 17.6877L41.1754 17.6851L40.4197 18.3401ZM43.1398 21.5L43.8998 20.8501L43.8977 20.8476L43.1398 21.5ZM43.1398 26.54L43.8977 27.1924L43.9044 27.1845L43.1398 26.54ZM40.4197 29.6999L41.1754 30.3549L41.1776 30.3523L40.4197 29.6999ZM29.6998 40.4199L30.3521 41.1778L30.3547 41.1756L29.6998 40.4199ZM26.5397 43.1399L27.1896 43.8999L27.1921 43.8978L26.5397 43.1399ZM21.4998 43.1399L20.8474 43.8978L20.8553 43.9045L21.4998 43.1399ZM18.3398 40.4199L17.6849 41.1756L17.6874 41.1778L18.3398 40.4199ZM7.57978 29.6999L8.34803 29.0597L8.34206 29.0527L7.57978 29.6999ZM4.87977 26.52L4.11427 27.1635L4.11748 27.1672L4.87977 26.52ZM4.87977 21.52L4.11747 20.8728L4.11428 20.8766L4.87977 21.52ZM7.57978 18.3401L8.3421 18.9873L8.348 18.9803L7.57978 18.3401ZM18.3398 7.62011L17.6874 6.86223L17.6849 6.86442L18.3398 7.62011ZM22.6797 31.88L23.3869 31.1729L23.3416 31.1276L23.291 31.0886L22.6797 31.88ZM30.6198 30.4801L29.6694 30.1688L29.6583 30.2028L29.6496 30.2375L30.6198 30.4801ZM32.8597 23.64L31.917 23.3064L31.9131 23.3175L31.9094 23.3288L32.8597 23.64ZM26.3998 20.0802L25.4113 19.9286L25.4089 19.9442L25.407 19.9598L26.3998 20.0802ZM26.8597 17.0802L25.8819 16.8706L25.8758 16.8995L25.8713 16.9286L26.8597 17.0802ZM25.6398 15.0201L25.2859 15.9554L25.3046 15.9625L25.3235 15.9688L25.6398 15.0201ZM23.5798 15.68L22.7523 15.1185L22.7504 15.1213L23.5798 15.68ZM22.1496 5.65993C23.1528 4.80216 24.8649 4.79607 25.8953 5.66452L27.1842 4.13526C25.4146 2.64371 22.6067 2.63762 20.8499 4.13986L22.1496 5.65993ZM25.8873 5.65777L29.0474 8.37799L30.3522 6.86223L27.1921 4.14201L25.8873 5.65777ZM29.0448 8.3758C29.4608 8.73632 30.0056 9.02413 30.5348 9.22184C31.064 9.41956 31.6657 9.56005 32.2197 9.56005V7.56005C31.9738 7.56005 31.6155 7.49056 31.2347 7.34832C30.8539 7.20605 30.5387 7.0239 30.3547 6.86442L29.0448 8.3758ZM32.2197 9.56005H35.6198V7.56005H32.2197V9.56005ZM35.6198 9.56005C37.1875 9.56005 38.4797 10.8522 38.4797 12.4199H40.4797C40.4797 9.74759 38.292 7.56005 35.6198 7.56005V9.56005ZM38.4797 12.4199V15.8201H40.4797V12.4199H38.4797ZM38.4797 15.8201C38.4797 16.3655 38.6209 16.9672 38.8174 17.4959C39.0139 18.0247 39.3014 18.5765 39.6641 18.995L41.1754 17.6851C41.0181 17.5036 40.8356 17.1854 40.6921 16.7993C40.5486 16.4129 40.4797 16.0547 40.4797 15.8201H38.4797ZM39.6619 18.9925L42.3819 22.1524L43.8977 20.8476L41.1776 17.6877L39.6619 18.9925ZM42.3797 22.1499C43.2375 23.153 43.2436 24.8652 42.3751 25.8956L43.9044 27.1845C45.396 25.4149 45.402 22.607 43.8998 20.8501L42.3797 22.1499ZM42.3819 25.8876L39.6619 29.0476L41.1776 30.3523L43.8977 27.1924L42.3819 25.8876ZM39.6641 29.045C39.3035 29.461 39.0157 30.0058 38.818 30.535C38.6203 31.0642 38.4797 31.6659 38.4797 32.22H40.4797C40.4797 31.974 40.5492 31.6157 40.6915 31.2349C40.8338 30.8541 41.0159 30.5389 41.1754 30.3549L39.6641 29.045ZM38.4797 32.22V35.6201H40.4797V32.22H38.4797ZM38.4797 35.6201C38.4797 37.1878 37.1875 38.48 35.6198 38.48V40.48C38.292 40.48 40.4797 38.2924 40.4797 35.6201H38.4797ZM35.6198 38.48H32.2197V40.48H35.6198V38.48ZM32.2197 38.48C31.6744 38.48 31.0726 38.6211 30.544 38.8176C30.0152 39.014 29.4633 39.3015 29.0448 39.6642L30.3547 41.1756C30.5362 41.0183 30.8544 40.8358 31.2405 40.6923C31.6269 40.5488 31.9851 40.48 32.2197 40.48V38.48ZM29.0474 39.662L25.8874 42.382L27.1921 43.8978L30.3521 41.1778L29.0474 39.662ZM25.8899 42.3798C24.8867 43.2376 23.1746 43.2437 22.1442 42.3753L20.8553 43.9045C22.6249 45.3961 25.4328 45.4021 27.1896 43.8999L25.8899 42.3798ZM22.1521 42.382L18.9922 39.662L17.6874 41.1778L20.8474 43.8978L22.1521 42.382ZM18.9947 39.6642C18.5787 39.3037 18.0339 39.0159 17.5047 38.8182C16.9755 38.6205 16.3738 38.48 15.8198 38.48V40.48C16.0657 40.48 16.4241 40.5495 16.8048 40.6917C17.1856 40.834 17.5008 41.0161 17.6849 41.1756L18.9947 39.6642ZM15.8198 38.48H12.3597V40.48H15.8198V38.48ZM12.3597 38.48C10.792 38.48 9.49976 37.1878 9.49976 35.6201H7.49976C7.49976 38.2924 9.6875 40.48 12.3597 40.48V38.48ZM9.49976 35.6201V32.1999H7.49976V35.6201H9.49976ZM9.49976 32.1999C9.49976 31.6539 9.35826 31.0572 9.16508 30.5353C8.9714 30.0121 8.69178 29.4723 8.348 29.0598L6.81156 30.3401C6.96777 30.5276 7.14815 30.8478 7.28945 31.2296C7.43127 31.6127 7.49976 31.966 7.49976 32.1999H9.49976ZM8.34206 29.0527L5.64205 25.8728L4.11748 27.1672L6.81749 30.3472L8.34206 29.0527ZM5.64525 25.8766C4.79794 24.8685 4.79794 23.1715 5.64525 22.1635L4.11428 20.8766C2.64159 22.6285 2.64159 25.4115 4.11428 27.1635L5.64525 25.8766ZM5.64205 22.1672L8.34206 18.9873L6.81749 17.6928L4.11748 20.8728L5.64205 22.1672ZM8.348 18.9803C8.69178 18.5677 8.9714 18.028 9.16508 17.5047C9.35826 16.9828 9.49976 16.3861 9.49976 15.8401H7.49976C7.49976 16.074 7.43127 16.4273 7.28945 16.8104C7.14815 17.1922 6.96777 17.5124 6.81156 17.6999L8.348 18.9803ZM9.49976 15.8401V12.4199H7.49976V15.8401H9.49976ZM9.49976 12.4199C9.49976 10.8522 10.792 9.56005 12.3597 9.56005V7.56005C9.6875 7.56005 7.49976 9.74759 7.49976 12.4199H9.49976ZM12.3597 9.56005H15.8198V7.56005H12.3597V9.56005ZM15.8198 9.56005C16.3651 9.56005 16.9669 9.4189 17.4956 9.22247C18.0244 9.02599 18.5762 8.7385 18.9947 8.3758L17.6849 6.86442C17.5034 7.02171 17.1852 7.2042 16.799 7.34769C16.4127 7.49123 16.0544 7.56005 15.8198 7.56005V9.56005ZM18.9922 8.37798L22.1522 5.65777L20.8474 4.14202L17.6874 6.86224L18.9922 8.37798ZM19.1685 30.4314L22.0685 32.6714L23.291 31.0886L20.3911 28.8486L19.1685 30.4314ZM21.9726 32.5871C22.3408 32.9552 22.8395 33.1544 23.2304 33.2648C23.645 33.3819 24.0864 33.44 24.4598 33.44V31.44C24.2731 31.44 24.0145 31.4081 23.7741 31.3401C23.6565 31.3069 23.5592 31.2695 23.4859 31.233C23.4093 31.1948 23.3839 31.1699 23.3869 31.1729L21.9726 32.5871ZM24.4598 33.44H27.9998V31.44H24.4598V33.44ZM27.9998 33.44C28.799 33.44 29.5865 33.1456 30.2139 32.6881C30.842 32.2301 31.3818 31.5549 31.5899 30.7226L29.6496 30.2375C29.5777 30.5252 29.3675 30.83 29.0356 31.072C28.7031 31.3145 28.3205 31.44 27.9998 31.44V33.44ZM31.5701 30.7913L33.8101 23.9512L31.9094 23.3288L29.6694 30.1688L31.5701 30.7913ZM33.8025 23.9735C34.1312 23.0445 34.0165 22.0828 33.4742 21.3419C32.9352 20.6053 32.0571 20.2 31.0798 20.2V22.2C31.5024 22.2 31.7444 22.3647 31.8603 22.5231C31.973 22.6772 32.0483 22.9354 31.917 23.3064L33.8025 23.9735ZM31.0798 20.2H27.3398V22.2H31.0798V20.2ZM27.3398 20.2C27.3373 20.2 27.3416 20.1997 27.3504 20.2035C27.359 20.2074 27.3692 20.2142 27.3782 20.2243C27.3876 20.235 27.3914 20.2444 27.3923 20.2472C27.3932 20.2503 27.3881 20.2367 27.3925 20.2005L25.407 19.9598C25.2548 21.2156 26.1799 22.2 27.3398 22.2V20.2ZM27.3882 20.2317L27.8482 17.2317L25.8713 16.9286L25.4113 19.9286L27.3882 20.2317ZM27.8375 17.2897C28.1304 15.9229 27.2511 14.5031 25.956 14.0714L25.3235 15.9688C25.7084 16.0971 25.949 16.5575 25.8819 16.8706L27.8375 17.2897ZM25.9937 14.0848C25.3555 13.8433 24.6881 13.9027 24.1473 14.0902C23.612 14.2757 23.0868 14.6256 22.7523 15.1185L24.4072 16.2415C24.4528 16.1744 24.5875 16.0543 24.8023 15.9799C25.0114 15.9074 25.1841 15.9169 25.2859 15.9554L25.9937 14.0848ZM22.7504 15.1213L18.9104 20.8212L20.5691 21.9387L24.4091 16.2387L22.7504 15.1213ZM15.9998 29.6399V20.48H13.9998V29.6399H15.9998ZM15.9998 20.48C15.9998 20.2144 16.0287 20.0485 16.0604 19.9495C16.0888 19.8605 16.1152 19.837 16.121 19.8316C16.1424 19.812 16.2914 19.7 16.8798 19.7V17.7C16.1482 17.7 15.3571 17.8179 14.7685 18.3583C14.1585 18.9183 13.9998 19.7102 13.9998 20.48H15.9998ZM16.8798 19.7H17.8198V17.7H16.8798V19.7ZM17.8198 19.7C18.3941 19.7 18.5477 19.8104 18.574 19.8344C18.5776 19.8376 18.6998 19.9386 18.6998 20.48H20.6998C20.6998 19.7014 20.532 18.9123 19.9205 18.3556C19.3318 17.8195 18.5455 17.7 17.8198 17.7V19.7ZM18.6998 20.48V29.6399H20.6998V20.48H18.6998ZM18.6998 29.6399C18.6998 30.1755 18.5805 30.2788 18.5752 30.2838C18.5511 30.3061 18.3996 30.4199 17.8198 30.4199V32.4199C18.56 32.4199 19.3484 32.2937 19.9343 31.751C20.539 31.191 20.6998 30.4043 20.6998 29.6399H18.6998ZM17.8198 30.4199H16.8798V32.4199H17.8198V30.4199ZM16.8798 30.4199C16.2914 30.4199 16.1424 30.3079 16.121 30.2883C16.1152 30.2829 16.0888 30.2593 16.0604 30.1704C16.0287 30.0714 15.9998 29.9055 15.9998 29.6399H13.9998C13.9998 30.4097 14.1585 31.2015 14.7685 31.7616C15.3571 32.302 16.1482 32.4199 16.8798 32.4199V30.4199Z\"\/><\/svg><\/div><h3 class=\"lf-gut-blog-post-cta-efference__title lf-transform-none\">Good to know<\/h3><div class=\"lf-gut-blog-post-cta-efference__lede\">\n<div class=\"wp-block-lexpress-highlighted-text-v2 lf-gut-blog-post-cta-efference__lede\">\n<p class=\"wp-block-paragraph\">HMRC charges a one-off application fee of <strong>\u00a3300<\/strong> and a premises fee of <strong>\u00a3400<\/strong> for each premises, payable again every year. Trading as an estate agency business without registration, or after it has been cancelled, is a criminal offence, and a business that forgets the annual fee can have its registration terminated.<\/p>\n<\/div>\n<\/div><\/div>\n\n\n<h3 class=\"wp-block-heading\">3. Join an approved redress scheme<\/h3>\n\n\n\n<p class=\"wp-block-paragraph\">Under the Consumers, Estate Agents and Redress Act 2007, every agent doing residential sales work must belong to an approved scheme, run by The Property Ombudsman or Property Redress. Letting and property management agents in England are caught by a separate 2014 order, with a fine of up to <strong>\u00a35,000<\/strong> for not joining.<\/p>\n\n\n\n<h3 class=\"wp-block-heading\">4. Arrange client money protection<\/h3>\n\n\n\n<p class=\"wp-block-paragraph\">Agents in England holding client money connected to the private rented sector must belong to an approved client money protection scheme, with a penalty of up to <strong>\u00a330,000<\/strong> for not joining and up to <strong>\u00a35,000<\/strong> for not displaying the certificate at the premises and online. Client money sits in a dedicated client account, separate from trading funds.<\/p>\n\n\n\n<h3 class=\"wp-block-heading\">5. Check what the nation requires<\/h3>\n\n\n\n<p class=\"wp-block-paragraph\">Scotland regulates letting agents under Part 4 of the Housing (Scotland) Act 2014: a fit and proper person test, minimum training standards and a place on the letting agent register, with letting work while unregistered a criminal offence since October 2018. Propertymark states the qualification is set at SCQF Level 6 or above. Wales runs Rent Smart Wales, where anyone letting or managing property needs a licence and training. England has no agent register.<\/p>\n\n\n\n<h3 class=\"wp-block-heading\">6. Rebuild lettings practice for the Renters&#8217; Rights Act<\/h3>\n\n\n\n<p class=\"wp-block-paragraph\">The Renters&#8217; Rights Act 2025 received Royal Assent on 27 October 2025, and its first phase took effect in England on 1 May 2026. Agents acting for landlords follow the same rules:<\/p>\n\n\n\n<ul class=\"wp-block-list\">\n<li><strong>No section 21<\/strong>: no-fault evictions ended, and possession now runs through revised section 8 grounds<\/li>\n\n\n\n<li><strong>Rent in advance<\/strong>: capped at one month&#8217;s rent<\/li>\n\n\n\n<li><strong>No rental bidding<\/strong>: agents cannot invite or accept offers above the advertised rent<\/li>\n\n\n\n<li><strong>No blanket bans<\/strong>: discrimination against renters, such as those with children or on benefits, is unlawful<\/li>\n\n\n\n<li><strong>Information sheet<\/strong>: tenants on existing tenancies had to receive the government information sheet by 31 May 2026, and agents provide it even where the landlord already has<\/li>\n\n\n\n<li><strong>Enforcement<\/strong>: councils gained investigation powers from 27 December 2025, including entering a letting business without notice; a landlord database and ombudsman follow from late 2026<\/li>\n<\/ul>\n\n\n\n<h3 class=\"wp-block-heading\">7. Set up the company, the client account and the compliance routine<\/h3>\n\n\n\n<p class=\"wp-block-paragraph\">From 1 October 2026, the Home Office right to work scheme also covers workers and individual subcontractors an agency pays, including self-employed negotiators and viewing staff, with penalties of up to \u00a345,000 per worker for a first breach. Most agencies trade through a limited company, at <strong>\u00a3100<\/strong> to incorporate online from 1 February 2026. Customer due diligence, ongoing monitoring, five-year record-keeping, and suspicious activity reporting through a nominated officer are continuing duties, and in estate agency they run to both sides of the transaction, the point new entrants most commonly miss.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">Listings must disclose what is material about a property under the Digital Markets, Competition and Consumers Act 2024, which replaced the 2008 unfair trading regulations for contracts made on or after 6 April 2025; referral fees from conveyancers or brokers are disclosed to the client.<\/p>\n\n\n\n<h3 class=\"wp-block-heading\">8. Plan the fee model and the cash flow<\/h3>\n\n\n\n<p class=\"wp-block-paragraph\">An estate agency&#8217;s fee model starts from what the market pays. Published averages for 2026:<\/p>\n\n\n\n<table id=\"tablepress-1002\" class=\"tablepress tablepress-id-1002\">\n<thead>\n<tr class=\"row-1\">\n\t<th class=\"column-1\">Service<\/th><th class=\"column-2\">Typical fee, 2026<\/th>\n<\/tr>\n<\/thead>\n<tbody class=\"row-striping\">\n<tr class=\"row-2\">\n\t<td class=\"column-1\">Sales, high street, sole agency<\/td><td class=\"column-2\">1.42% including VAT on average, or 1.18% plus VAT, payable on completion<\/td>\n<\/tr>\n<tr class=\"row-3\">\n\t<td class=\"column-1\">Sales, multi-agency<\/td><td class=\"column-2\">About 3% to 3.6% including VAT<\/td>\n<\/tr>\n<tr class=\"row-4\">\n\t<td class=\"column-1\">Sales, online agent<\/td><td class=\"column-2\">A fixed fee of about \u00a3500 to \u00a31,500, often payable upfront<\/td>\n<\/tr>\n<tr class=\"row-5\">\n\t<td class=\"column-1\">Lettings, full management, high street<\/td><td class=\"column-2\">10% to 15% of the monthly rent plus VAT<\/td>\n<\/tr>\n<tr class=\"row-6\">\n\t<td class=\"column-1\">Lettings, full management, online<\/td><td class=\"column-2\">8% to 12% of the monthly rent plus VAT<\/td>\n<\/tr>\n<\/tbody>\n<\/table>\n<!-- #tablepress-1002 from cache -->\n\n\n<p class=\"has-text-align-right wp-block-paragraph\"><em>Sources: HomeOwners Alliance 2026 estate agent fees guide; published 2026 landlord fee surveys. Fees are standard-rated for VAT and quoted to consumers including VAT.<\/em><\/p>\n\n\n\n<p class=\"wp-block-paragraph\">A sales fee is earned only when a sale completes, often several months after the instruction. The worked example shows what that does to a new sales-only branch, with \u00a36,000 a month of costs and the average 1.18% fee on a \u00a3300,000 sale, \u00a33,540 before VAT:<\/p>\n\n\n\n<table id=\"tablepress-1003\" class=\"tablepress tablepress-id-1003\">\n<thead>\n<tr class=\"row-1\">\n\t<th class=\"column-1\">Month<\/th><th class=\"column-2\">Costs<\/th><th class=\"column-3\">Completions<\/th><th class=\"column-4\">Fees received<\/th><th class=\"column-5\">Cumulative cash<\/th>\n<\/tr>\n<\/thead>\n<tbody class=\"row-striping\">\n<tr class=\"row-2\">\n\t<td class=\"column-1\">1<\/td><td class=\"column-2\">\u00a36,000<\/td><td class=\"column-3\">0<\/td><td class=\"column-4\">\u00a30<\/td><td class=\"column-5\">minus \u00a36,000<\/td>\n<\/tr>\n<tr class=\"row-3\">\n\t<td class=\"column-1\">2<\/td><td class=\"column-2\">\u00a36,000<\/td><td class=\"column-3\">0<\/td><td class=\"column-4\">\u00a30<\/td><td class=\"column-5\">minus \u00a312,000<\/td>\n<\/tr>\n<tr class=\"row-4\">\n\t<td class=\"column-1\">3<\/td><td class=\"column-2\">\u00a36,000<\/td><td class=\"column-3\">0<\/td><td class=\"column-4\">\u00a30<\/td><td class=\"column-5\">minus \u00a318,000<\/td>\n<\/tr>\n<tr class=\"row-5\">\n\t<td class=\"column-1\">4<\/td><td class=\"column-2\">\u00a36,000<\/td><td class=\"column-3\">1<\/td><td class=\"column-4\">\u00a33,540<\/td><td class=\"column-5\">minus \u00a320,460<\/td>\n<\/tr>\n<tr class=\"row-6\">\n\t<td class=\"column-1\">5<\/td><td class=\"column-2\">\u00a36,000<\/td><td class=\"column-3\">2<\/td><td class=\"column-4\">\u00a37,080<\/td><td class=\"column-5\">minus \u00a319,380<\/td>\n<\/tr>\n<tr class=\"row-7\">\n\t<td class=\"column-1\">6<\/td><td class=\"column-2\">\u00a36,000<\/td><td class=\"column-3\">3<\/td><td class=\"column-4\">\u00a310,620<\/td><td class=\"column-5\">minus \u00a314,760<\/td>\n<\/tr>\n<\/tbody>\n<\/table>\n<!-- #tablepress-1003 from cache -->\n\n\n<p class=\"has-text-align-right wp-block-paragraph\"><em>Illustrative costs and completions, L&#8217;Express Franchise, October 2026; fee at the 2026 average of 1.18% plus VAT.<\/em><\/p>\n\n\n\n<p class=\"wp-block-paragraph\">The branch needs about \u00a320,500 of working capital before it turns cash-positive, which is why many agencies build lettings alongside sales. A full management fee of 12% on a \u00a31,200 monthly rent is \u00a3144 a month per property, so 100 managed properties bring \u00a314,400 a month regardless of the sales market. Sales fees are also negotiated down more often than lettings fees, so the published rate and the fee actually agreed are tracked separately on every instruction.<\/p>\n\n\n\n<figure class=\"wp-block-image size-full\"><img loading=\"lazy\" decoding=\"async\" width=\"1919\" height=\"1280\" src=\"https:\/\/lexpress-franchise.com\/wp-content\/uploads\/2026\/09\/house-key-handoff-closeup.jpg\" alt=\"cl\u00e9s de maison dans la main, nouveau d\u00e9part\" class=\"wp-image-1831238\" srcset=\"https:\/\/lexpress-franchise.com\/wp-content\/uploads\/2026\/09\/house-key-handoff-closeup.jpg 1919w, https:\/\/lexpress-franchise.com\/wp-content\/uploads\/2026\/09\/house-keys-in-hand.jpg 767w, https:\/\/lexpress-franchise.com\/wp-content\/uploads\/2026\/09\/house-key-ring-move-in.jpg 1536w, https:\/\/lexpress-franchise.com\/wp-content\/uploads\/2026\/09\/house-keys-new-home.jpg 360w, https:\/\/lexpress-franchise.com\/wp-content\/uploads\/2026\/09\/house-keys-new-home-1.jpg 480w, https:\/\/lexpress-franchise.com\/wp-content\/uploads\/2026\/09\/house-keys-in-hand-1.jpg 640w, https:\/\/lexpress-franchise.com\/wp-content\/uploads\/2026\/09\/new-home-keys-hand-over.jpg 959w, https:\/\/lexpress-franchise.com\/wp-content\/uploads\/2026\/09\/home-keys-handover.jpg 1168w\" sizes=\"auto, (max-width: 1919px) 100vw, 1919px\" \/><\/figure>\n\n\n\n<h3 class=\"wp-block-heading\">9. Build the instruction pipeline<\/h3>\n\n\n\n<ul class=\"wp-block-list\">\n<li><strong>Valuations<\/strong>: every instruction starts with a market appraisal, and the number booked each week is the leading indicator of fees months later<\/li>\n\n\n\n<li><strong>Portals<\/strong>: listing costs are commonly the largest recurring overhead and are set by the portals, not the agency; Rightmove reported average income of about \u00a31,530 a month per estate agency advertiser in 2025, and \u00a31,726 across all advertisers in the first half of 2026, so the portal bill is budgeted per branch before the first valuation<\/li>\n\n\n\n<li><strong>Local profile<\/strong>: sold boards, a Google Business Profile, reviews and referrals from past vendors and landlords<\/li>\n\n\n\n<li><strong>Buying a book<\/strong>: an existing lettings portfolio brings recurring income from day one; trade advisers put the price at about 1.5 to 2 times the annual management income, and research on deals between 2024 and August 2026 found buyers increasingly buy lettings books rather than whole agencies<\/li>\n\n\n\n<li><strong>Ancillary income<\/strong>: mortgage, conveyancing and survey referrals, disclosed to the client<\/li>\n<\/ul>\n\n\n\n<h3 class=\"wp-block-heading\">10. Prepare for the coming code and qualifications<\/h3>\n\n\n\n<p class=\"wp-block-paragraph\">The government&#8217;s Homebuying and Selling Reform Roadmap commits to a non-statutory code of practice for property agents later in 2026 and a consultation in 2027 on mandatory qualifications for estate and letting agents in England, Wales and Northern Ireland, alongside plans for compulsory upfront information when a home is marketed. Propertymark offers Level 3 and Level 4 qualifications now, and an agency qualifying early is not caught out when the requirement arrives.<\/p>\n\n\n\n<h2 class=\"wp-block-heading has-primary-color has-text-color has-link-color wp-elements-3\">Types of estate agency business<\/h2>\n\n\n\n<table id=\"tablepress-1004\" class=\"tablepress tablepress-id-1004\">\n<thead>\n<tr class=\"row-1\">\n\t<th class=\"column-1\">Model<\/th><th class=\"column-2\">What it involves<\/th>\n<\/tr>\n<\/thead>\n<tbody class=\"row-striping\">\n<tr class=\"row-2\">\n\t<td class=\"column-1\">High street sales agency<\/td><td class=\"column-2\">Branch premises and business rates. Income on completion, so cash flow follows the market<\/td>\n<\/tr>\n<tr class=\"row-3\">\n\t<td class=\"column-1\">Lettings and management agency<\/td><td class=\"column-2\">Recurring monthly income, client money held, the Renters&#8217; Rights Act and devolved licensing<\/td>\n<\/tr>\n<tr class=\"row-4\">\n\t<td class=\"column-1\">Hybrid or personal agent<\/td><td class=\"column-2\">Self-employed agents working a territory without a branch, under a central brand<\/td>\n<\/tr>\n<tr class=\"row-5\">\n\t<td class=\"column-1\">Franchised office<\/td><td class=\"column-2\">Brand, systems and compliance support, against an initial fee and a management service fee<\/td>\n<\/tr>\n<tr class=\"row-6\">\n\t<td class=\"column-1\">Licensee model<\/td><td class=\"column-2\">A fixed annual fee to trade under a brand, with marketing and regulatory support but no territory franchise<\/td>\n<\/tr>\n<\/tbody>\n<\/table>\n<!-- #tablepress-1004 from cache -->\n\n\n<p class=\"has-text-align-right wp-block-paragraph\"><em>L&#8217;Express Franchise, October 2026.<\/em><\/p>\n\n\n\n<h2 class=\"wp-block-heading has-primary-color has-text-color has-link-color wp-elements-4\">How much does it cost to open an estate agency in the UK?<\/h2>\n\n\n\n<p class=\"wp-block-paragraph\">No official UK source gives an average start-up cost for an estate agency. The statutory lines are published and apply to whatever the branch costs.<\/p>\n\n\n\n<table id=\"tablepress-1005\" class=\"tablepress tablepress-id-1005\">\n<thead>\n<tr class=\"row-1\">\n\t<th class=\"column-1\">Cost line<\/th><th class=\"column-2\">Position, 2026\/27<\/th>\n<\/tr>\n<\/thead>\n<tbody class=\"row-striping\">\n<tr class=\"row-2\">\n\t<td class=\"column-1\">HMRC anti-money laundering application<\/td><td class=\"column-2\">\u00a3300 one-off, non-refundable<\/td>\n<\/tr>\n<tr class=\"row-3\">\n\t<td class=\"column-1\">HMRC premises registration<\/td><td class=\"column-2\">\u00a3400 per premises, payable annually<\/td>\n<\/tr>\n<tr class=\"row-4\">\n\t<td class=\"column-1\">Company incorporation<\/td><td class=\"column-2\">\u00a3100 online, Companies House fee schedule from 1 February 2026<\/td>\n<\/tr>\n<tr class=\"row-5\">\n\t<td class=\"column-1\">Business rates, England<\/td><td class=\"column-2\">Rateable value \u00d7 multiplier: 43.2p small business, 48.0p standard<\/td>\n<\/tr>\n<tr class=\"row-6\">\n\t<td class=\"column-1\">Small Business Rate Relief, England<\/td><td class=\"column-2\">100% at rateable value of \u00a312,000 or less, tapering to nil at \u00a315,000<\/td>\n<\/tr>\n<tr class=\"row-7\">\n\t<td class=\"column-1\">Staff, from 1 April 2026<\/td><td class=\"column-2\">\u00a312.71 an hour at 21 and over; employer NI 15% above \u00a35,000, 0% for under-21s up to \u00a350,270<\/td>\n<\/tr>\n<tr class=\"row-8\">\n\t<td class=\"column-1\">VAT<\/td><td class=\"column-2\">Registration at \u00a390,000 taxable turnover; agency fees are standard-rated<\/td>\n<\/tr>\n<tr class=\"row-9\">\n\t<td class=\"column-1\">Redress, client money protection, indemnity insurance<\/td><td class=\"column-2\">Set by each scheme and insurer, not published as a single figure<\/td>\n<\/tr>\n<\/tbody>\n<\/table>\n<!-- #tablepress-1005 from cache -->\n\n\n<p class=\"has-text-align-right wp-block-paragraph\"><em>Sources: HMRC, Companies House, GOV.UK.<\/em><\/p>\n\n\n\n<p class=\"wp-block-paragraph\">The lines that move a budget most are the branch, portal listing fees, professional indemnity insurance, identity and sanctions screening software, and working capital to cover the months before the first completions.<\/p>\n\n\n\n<h3 class=\"wp-block-heading\">A year in a one-branch estate agency<\/h3>\n\n\n\n<p class=\"wp-block-paragraph\">The worked example takes the same \u00a36,000 a month of costs, \u00a372,000 a year, with one Rightmove membership at the 2025 agency average inside it:<\/p>\n\n\n\n<table id=\"tablepress-1006\" class=\"tablepress tablepress-id-1006\">\n<thead>\n<tr class=\"row-1\">\n\t<th class=\"column-1\">Annual line<\/th><th class=\"column-2\">Figure<\/th>\n<\/tr>\n<\/thead>\n<tbody class=\"row-striping\">\n<tr class=\"row-2\">\n\t<td class=\"column-1\">Branch costs, including staff, premises and software<\/td><td class=\"column-2\">\u00a372,000<\/td>\n<\/tr>\n<tr class=\"row-3\">\n\t<td class=\"column-1\">Of which Rightmove at about \u00a31,530 a month<\/td><td class=\"column-2\">\u00a318,360, about 26%<\/td>\n<\/tr>\n<tr class=\"row-4\">\n\t<td class=\"column-1\">Sales fee at 1.18% on \u00a3300,000, before VAT<\/td><td class=\"column-2\">\u00a33,540 per sale<\/td>\n<\/tr>\n<tr class=\"row-5\">\n\t<td class=\"column-1\">Management fee at 12% on \u00a31,200 a month, before VAT<\/td><td class=\"column-2\">\u00a31,728 per property per year<\/td>\n<\/tr>\n<tr class=\"row-6\">\n\t<td class=\"column-1\">Sales needed to cover the year, sales only<\/td><td class=\"column-2\">About 20<\/td>\n<\/tr>\n<tr class=\"row-7\">\n\t<td class=\"column-1\">Managed properties needed to cover the year, lettings only<\/td><td class=\"column-2\">About 42<\/td>\n<\/tr>\n<tr class=\"row-8\">\n\t<td class=\"column-1\">Sales needed just to pay for Rightmove<\/td><td class=\"column-2\">About 5<\/td>\n<\/tr>\n<\/tbody>\n<\/table>\n<!-- #tablepress-1006 from cache -->\n\n\n<p class=\"has-text-align-right wp-block-paragraph\"><em>Illustrative costs, L&#8217;Express Franchise, October 2026; fee levels from 2026 averages; portal cost from Rightmove&#8217;s 2025 results.<\/em><\/p>\n\n\n\n<p class=\"wp-block-paragraph\">About 42 managed properties cover the whole branch, while a sales-only branch needs around 20 completions, five of them just to pay the portal. Every sale on top of a lettings book that already covers the costs is profit, which is the arithmetic behind the audited split below.<\/p>\n\n\n\n<h3 class=\"wp-block-heading\">What lettings books and agencies sell for<\/h3>\n\n\n\n<table id=\"tablepress-1007\" class=\"tablepress tablepress-id-1007\">\n<thead>\n<tr class=\"row-1\">\n\t<th class=\"column-1\">Deal<\/th><th class=\"column-2\">Reported figures<\/th>\n<\/tr>\n<\/thead>\n<tbody class=\"row-striping\">\n<tr class=\"row-2\">\n\t<td class=\"column-1\">Trade rule of thumb for a lettings book<\/td><td class=\"column-2\">About 1.5 to 2 times annual management income<\/td>\n<\/tr>\n<tr class=\"row-3\">\n\t<td class=\"column-1\">Lettings book of 689 tenancies and ten staff, bought by Foxtons, 2020<\/td><td class=\"column-2\">\u00a32.2 million, on turnover of \u00a31.1 million, about \u00a33,200 per tenancy<\/td>\n<\/tr>\n<tr class=\"row-4\">\n\t<td class=\"column-1\">Four-branch London lettings-led agency, bought by Foxtons<\/td><td class=\"column-2\">\u00a38.35 million, on annual turnover of \u00a34 million<\/td>\n<\/tr>\n<tr class=\"row-5\">\n\t<td class=\"column-1\">Acquisitions 2024 to August 2026<\/td><td class=\"column-2\">Buyers increasingly target lettings books rather than whole agencies<\/td>\n<\/tr>\n<\/tbody>\n<\/table>\n<!-- #tablepress-1007 from cache -->\n\n\n<p class=\"has-text-align-right wp-block-paragraph\"><em>Sources: Foxtons announcements reported by The Negotiator; trade advisers&#8217; published guidance; Business Acquisitions Group research reported by Property Industry Eye, 2026.<\/em><\/p>\n\n\n\n<figure class=\"wp-block-image size-full\"><img loading=\"lazy\" decoding=\"async\" width=\"1920\" height=\"1280\" src=\"https:\/\/lexpress-franchise.com\/wp-content\/uploads\/2026\/09\/modern-living-room.jpg\" alt=\"elegant beige living room with ocean views\" class=\"wp-image-1831239\" srcset=\"https:\/\/lexpress-franchise.com\/wp-content\/uploads\/2026\/09\/modern-living-room.jpg 1920w, https:\/\/lexpress-franchise.com\/wp-content\/uploads\/2026\/09\/bright-open-plan-living-room.jpg 1536w, https:\/\/lexpress-franchise.com\/wp-content\/uploads\/2026\/09\/bright-open-plan-living-room-water-view.jpg 768w, https:\/\/lexpress-franchise.com\/wp-content\/uploads\/2026\/09\/luxury-living-dining-room.jpg 360w, https:\/\/lexpress-franchise.com\/wp-content\/uploads\/2026\/09\/modern-living-room-interior.jpg 639w, https:\/\/lexpress-franchise.com\/wp-content\/uploads\/2026\/09\/modern-living-room-interior-1.jpg 480w, https:\/\/lexpress-franchise.com\/wp-content\/uploads\/2026\/09\/modern-living-room-waterfront-view.jpg 960w, https:\/\/lexpress-franchise.com\/wp-content\/uploads\/2026\/09\/bright-open-concept-living-dining-room.jpg 1167w\" sizes=\"auto, (max-width: 1920px) 100vw, 1920px\" \/><\/figure>\n\n\n\n<h2 class=\"wp-block-heading has-primary-color has-text-color has-link-color wp-elements-5\">Estate agency franchise opportunities in the UK<\/h2>\n\n\n\n<p class=\"wp-block-paragraph\">This is one of the few sectors where the franchisor&#8217;s numbers are audited rather than advertised. The Property Franchise Group has been listed on AIM since 2013, so its network and turnover figures appear in company announcements:<\/p>\n\n\n\n<ul class=\"wp-block-list\">\n<li><strong>Network<\/strong>: around <strong>1,900<\/strong> outlets across <strong>18<\/strong> brands, among them Belvoir, Martin &amp; Co, Hunters, Northwood, EweMove, Whitegates, Parkers and Ellis &amp; Co<\/li>\n\n\n\n<li><strong>Scale<\/strong>: the franchising division manages about <strong>150,000<\/strong> rental properties and achieved more than <strong>35,000<\/strong> sales during 2025<\/li>\n\n\n\n<li><strong>Group turnover<\/strong>: <strong>\u00a384.3 million<\/strong> for 2025, up 25%, with franchising turnover of <strong>\u00a347.5 million<\/strong><\/li>\n\n\n\n<li><strong>Licensing<\/strong>: Fine &amp; Country and The Guild of Property Professionals run a fixed fee model rather than a franchise, with 1,042 licensees in 2025<\/li>\n<\/ul>\n\n\n\n<p class=\"wp-block-paragraph\">The filings do not give any brand&#8217;s initial franchise fee, which comes from each brand&#8217;s own cost schedule, and speaking to existing franchisees is the step <a href=\"https:\/\/lexpress-franchise.com\/en\/articles\/am-i-the-right-candidate-to-open-a-franchise\/\">being the right candidate to open a franchise<\/a> puts ahead of any published figure.<\/p>\n\n\n<div class=\"lf-gut-blog-post-cta-efference\" style=\"border-color: #9b51e0;\"><div class=\"lf-gut-blog-post-cta-efference__icon\" style=\"color: #9b51e0;\"><svg class=\"icon-thumb-up\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" width=\"35\" height=\"35\" viewBox=\"0 0 48 48\" fill=\"none\" style=\"color: #9b51e0;\"><path fill=\"currentColor\" d=\"M21.4998 4.89989L20.8499 4.13985L20.8474 4.14202L21.4998 4.89989ZM26.5397 4.89989L27.1922 4.14197L27.1842 4.13526L26.5397 4.89989ZM29.6998 7.62011L30.3547 6.86441L30.3522 6.86223L29.6998 7.62011ZM40.4197 18.3401L41.1776 17.6877L41.1754 17.6851L40.4197 18.3401ZM43.1398 21.5L43.8998 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8.3758L17.6849 6.86442C17.5034 7.02171 17.1852 7.2042 16.799 7.34769C16.4127 7.49123 16.0544 7.56005 15.8198 7.56005V9.56005ZM18.9922 8.37798L22.1522 5.65777L20.8474 4.14202L17.6874 6.86224L18.9922 8.37798ZM19.1685 30.4314L22.0685 32.6714L23.291 31.0886L20.3911 28.8486L19.1685 30.4314ZM21.9726 32.5871C22.3408 32.9552 22.8395 33.1544 23.2304 33.2648C23.645 33.3819 24.0864 33.44 24.4598 33.44V31.44C24.2731 31.44 24.0145 31.4081 23.7741 31.3401C23.6565 31.3069 23.5592 31.2695 23.4859 31.233C23.4093 31.1948 23.3839 31.1699 23.3869 31.1729L21.9726 32.5871ZM24.4598 33.44H27.9998V31.44H24.4598V33.44ZM27.9998 33.44C28.799 33.44 29.5865 33.1456 30.2139 32.6881C30.842 32.2301 31.3818 31.5549 31.5899 30.7226L29.6496 30.2375C29.5777 30.5252 29.3675 30.83 29.0356 31.072C28.7031 31.3145 28.3205 31.44 27.9998 31.44V33.44ZM31.5701 30.7913L33.8101 23.9512L31.9094 23.3288L29.6694 30.1688L31.5701 30.7913ZM33.8025 23.9735C34.1312 23.0445 34.0165 22.0828 33.4742 21.3419C32.9352 20.6053 32.0571 20.2 31.0798 20.2V22.2C31.5024 22.2 31.7444 22.3647 31.8603 22.5231C31.973 22.6772 32.0483 22.9354 31.917 23.3064L33.8025 23.9735ZM31.0798 20.2H27.3398V22.2H31.0798V20.2ZM27.3398 20.2C27.3373 20.2 27.3416 20.1997 27.3504 20.2035C27.359 20.2074 27.3692 20.2142 27.3782 20.2243C27.3876 20.235 27.3914 20.2444 27.3923 20.2472C27.3932 20.2503 27.3881 20.2367 27.3925 20.2005L25.407 19.9598C25.2548 21.2156 26.1799 22.2 27.3398 22.2V20.2ZM27.3882 20.2317L27.8482 17.2317L25.8713 16.9286L25.4113 19.9286L27.3882 20.2317ZM27.8375 17.2897C28.1304 15.9229 27.2511 14.5031 25.956 14.0714L25.3235 15.9688C25.7084 16.0971 25.949 16.5575 25.8819 16.8706L27.8375 17.2897ZM25.9937 14.0848C25.3555 13.8433 24.6881 13.9027 24.1473 14.0902C23.612 14.2757 23.0868 14.6256 22.7523 15.1185L24.4072 16.2415C24.4528 16.1744 24.5875 16.0543 24.8023 15.9799C25.0114 15.9074 25.1841 15.9169 25.2859 15.9554L25.9937 14.0848ZM22.7504 15.1213L18.9104 20.8212L20.5691 21.9387L24.4091 16.2387L22.7504 15.1213ZM15.9998 29.6399V20.48H13.9998V29.6399H15.9998ZM15.9998 20.48C15.9998 20.2144 16.0287 20.0485 16.0604 19.9495C16.0888 19.8605 16.1152 19.837 16.121 19.8316C16.1424 19.812 16.2914 19.7 16.8798 19.7V17.7C16.1482 17.7 15.3571 17.8179 14.7685 18.3583C14.1585 18.9183 13.9998 19.7102 13.9998 20.48H15.9998ZM16.8798 19.7H17.8198V17.7H16.8798V19.7ZM17.8198 19.7C18.3941 19.7 18.5477 19.8104 18.574 19.8344C18.5776 19.8376 18.6998 19.9386 18.6998 20.48H20.6998C20.6998 19.7014 20.532 18.9123 19.9205 18.3556C19.3318 17.8195 18.5455 17.7 17.8198 17.7V19.7ZM18.6998 20.48V29.6399H20.6998V20.48H18.6998ZM18.6998 29.6399C18.6998 30.1755 18.5805 30.2788 18.5752 30.2838C18.5511 30.3061 18.3996 30.4199 17.8198 30.4199V32.4199C18.56 32.4199 19.3484 32.2937 19.9343 31.751C20.539 31.191 20.6998 30.4043 20.6998 29.6399H18.6998ZM17.8198 30.4199H16.8798V32.4199H17.8198V30.4199ZM16.8798 30.4199C16.2914 30.4199 16.1424 30.3079 16.121 30.2883C16.1152 30.2829 16.0888 30.2593 16.0604 30.1704C16.0287 30.0714 15.9998 29.9055 15.9998 29.6399H13.9998C13.9998 30.4097 14.1585 31.2015 14.7685 31.7616C15.3571 32.302 16.1482 32.4199 16.8798 32.4199V30.4199Z\"\/><\/svg><\/div><p class=\"lf-gut-blog-post-cta-efference__title lf-transform-none\">Editor&#8217;s tip<\/p><div class=\"lf-gut-blog-post-cta-efference__lede\">\n<div class=\"wp-block-lexpress-highlighted-text-v2 lf-gut-blog-post-cta-efference__lede\">\n<p class=\"wp-block-paragraph\">The audited split shows where the value sits. In TPFG&#8217;s 2025 results, lettings management service fees reached <strong>\u00a321.6 million<\/strong> against <strong>\u00a310.5 million<\/strong> from sales, and recurring sources made up 51% of group income. The managed rental portfolio, not the sales board, produces predictable income, which is why lettings books change hands at a price and sales pipelines do not. The terms that separate a licence from a franchise are set out in <a href=\"https:\/\/lexpress-franchise.com\/en\/articles\/10-key-terms-every-uk-franchisee-should-know\/\">10 key terms every UK franchisee should know<\/a>.<\/p>\n<\/div>\n<\/div><\/div>\n\n\n<h2 class=\"wp-block-heading has-primary-color has-text-color has-link-color wp-elements-6\">The practical difficulties operators report<\/h2>\n\n\n\n<ul class=\"wp-block-list\">\n<li><strong>Three registrations, three renewal dates<\/strong>: anti-money laundering, redress and client money protection each renew separately<\/li>\n\n\n\n<li><strong>The commonest enforcement failure is not registering<\/strong>: the offence is trading unsupervised, not falling short on procedures<\/li>\n\n\n\n<li><strong>Sales income is lumpy<\/strong>: fees arrive on completion, and a fallen-through chain moves a month&#8217;s income into the next quarter<\/li>\n\n\n\n<li><strong>Lettings risk moved in 2026<\/strong>: with section 21 gone and fixed terms ended, landlords ask agents more about possession grounds and arrears, and some sell up<\/li>\n\n\n\n<li><strong>The rules change at the border<\/strong>: a network trading in England, Scotland and Wales works to three licensing regimes for the same lettings activity<\/li>\n\n\n\n<li><strong>Portals hold the demand<\/strong>: at about \u00a31,530 a month per agency advertiser on Rightmove in 2025, the portal bill takes the fees of about five sales a year before anything else is paid<\/li>\n<\/ul>\n\n\n\n<h2 class=\"wp-block-heading has-primary-color has-text-color has-link-color wp-elements-7\">The bottom line<\/h2>\n\n\n\n<p class=\"wp-block-paragraph\">Opening an estate agency in England takes no qualification and no licence, which makes it one of the easiest regulated businesses to enter and one of the easiest to enter unlawfully: anti-money laundering registration comes before the first instruction, redress is compulsory, and client money protection applies wherever client money is held. <\/p>\n\n\n\n<p class=\"wp-block-paragraph\">Lettings in England now runs under the Renters&#8217; Rights Act, a code of practice is due in 2026 and mandatory qualifications are under consultation for 2027. Commercially, a sales-only branch funds months of costs before its first completion, while a managed lettings book pays monthly, which is why the audited franchisor in the sector, unlike most brands in the <a href=\"https:\/\/lexpress-franchise.com\/en\/\">UK franchise directory<\/a>, earns more from lettings than from sales.<\/p>\n\n\n\n        <div class=\"lf-gut-faq-v2-block\">\n                            <span                    class=\"lf-gut-faq-v2-block__title\"\n                    style=\"text-transform: none;\"\n                >\n                    Frequently asked questions about opening an estate agency in the UK                <\/span>\n                        \n\n<div class=\"wp-block-lexpress-faq-v2-item lf-gut-faq-v2-block__item\"><h3 class=\"lf-gut-faq-v2-block__question-wrapper\"><button class=\"lf-gut-faq-v2-block__question\" type=\"button\" aria-expanded=\"false\" data-target=\".lf-gut-answer-ea4p8kq2n\"><span class=\"lf-gut-faq-v2-block__question-text\">Do you need a licence to open an estate agency in the UK?<\/span><span class=\"lf-gut-faq-v2-block__question-icon\"><img loading=\"lazy\" class=\"icon-thumb-up\" src=\"https:\/\/feb26.lexpress-franchise.com\/wp-content\/uploads\/2026\/06\/i-chevron-white.svg\" alt=\"\" width=\"16\" height=\"16\" decoding=\"async\"\/><\/span><\/button><\/h3><div class=\"lf-gut-faq-v2-block__answer lf-gut-faq-v2-answer-ea4p8kq2nlf-gut-answer-ea4p8kq2n\">\n<p class=\"wp-block-paragraph\">Not for sales agency in England, but three registrations are compulsory: HMRC anti-money laundering supervision before trading, an approved redress scheme, and client money protection where client money is held. Letting agency work in Scotland requires a place on the letting agent register, and in Wales a Rent Smart Wales licence.<\/p>\n<\/div><\/div>\n\n\n\n<div class=\"wp-block-lexpress-faq-v2-item lf-gut-faq-v2-block__item\"><h3 class=\"lf-gut-faq-v2-block__question-wrapper\"><button class=\"lf-gut-faq-v2-block__question\" type=\"button\" aria-expanded=\"false\" data-target=\".lf-gut-answer-ea7q3vx5m\"><span class=\"lf-gut-faq-v2-block__question-text\">Do you need qualifications to be an estate agent?<\/span><span class=\"lf-gut-faq-v2-block__question-icon\"><img loading=\"lazy\" class=\"icon-thumb-up\" src=\"https:\/\/feb26.lexpress-franchise.com\/wp-content\/uploads\/2026\/06\/i-chevron-white.svg\" alt=\"\" width=\"16\" height=\"16\" decoding=\"async\"\/><\/span><\/button><\/h3><div class=\"lf-gut-faq-v2-block__answer lf-gut-faq-v2-answer-ea7q3vx5mlf-gut-answer-ea7q3vx5m\">\n<p class=\"wp-block-paragraph\">Not yet in England. The government&#8217;s Homebuying and Selling Reform Roadmap commits to a code of practice later in 2026 and a consultation in 2027 on mandatory qualifications. Letting agency work in Scotland already requires a qualification at SCQF Level 6 or above, according to Propertymark.<\/p>\n<\/div><\/div>\n\n\n\n<div class=\"wp-block-lexpress-faq-v2-item lf-gut-faq-v2-block__item\"><h3 class=\"lf-gut-faq-v2-block__question-wrapper\"><button class=\"lf-gut-faq-v2-block__question\" type=\"button\" aria-expanded=\"false\" data-target=\".lf-gut-answer-ea2r9mt6p\"><span class=\"lf-gut-faq-v2-block__question-text\">What did the Renters&#8217; Rights Act change for letting agents?<\/span><span class=\"lf-gut-faq-v2-block__question-icon\"><img loading=\"lazy\" class=\"icon-thumb-up\" src=\"https:\/\/feb26.lexpress-franchise.com\/wp-content\/uploads\/2026\/06\/i-chevron-white.svg\" alt=\"\" width=\"16\" height=\"16\" decoding=\"async\"\/><\/span><\/button><\/h3><div class=\"lf-gut-faq-v2-block__answer lf-gut-faq-v2-answer-ea2r9mt6plf-gut-answer-ea2r9mt6p\">\n<p class=\"wp-block-paragraph\">From 1 May 2026 in England, section 21 no-fault evictions ended, rent in advance is capped at one month, agents cannot invite or accept bids above the advertised rent, and discrimination against renters such as families or those on benefits is unlawful.<\/p>\n<\/div><\/div>\n\n\n\n<div class=\"wp-block-lexpress-faq-v2-item lf-gut-faq-v2-block__item\"><h3 class=\"lf-gut-faq-v2-block__question-wrapper\"><button class=\"lf-gut-faq-v2-block__question\" type=\"button\" aria-expanded=\"false\" data-target=\".lf-gut-answer-ea5c8wn3f\"><span class=\"lf-gut-faq-v2-block__question-text\">How much does it cost to start an estate agency?<\/span><span class=\"lf-gut-faq-v2-block__question-icon\"><img loading=\"lazy\" class=\"icon-thumb-up\" src=\"https:\/\/feb26.lexpress-franchise.com\/wp-content\/uploads\/2026\/06\/i-chevron-white.svg\" alt=\"\" width=\"16\" height=\"16\" decoding=\"async\"\/><\/span><\/button><\/h3><div class=\"lf-gut-faq-v2-block__answer lf-gut-faq-v2-answer-ea5c8wn3flf-gut-answer-ea5c8wn3f\">\n<p class=\"wp-block-paragraph\">There is no published UK average. The statutory costs are small: \u00a3300 to apply for HMRC anti-money laundering supervision, \u00a3400 per premises each year and \u00a3100 to incorporate online. The larger costs are premises, portal fees, indemnity insurance and about \u00a320,000 of working capital before the first sales complete.<\/p>\n<\/div><\/div>\n\n\n\n<div class=\"wp-block-lexpress-faq-v2-item lf-gut-faq-v2-block__item\"><h3 class=\"lf-gut-faq-v2-block__question-wrapper\"><button class=\"lf-gut-faq-v2-block__question\" type=\"button\" aria-expanded=\"false\" data-target=\".lf-gut-answer-ea8v2zr4k\"><span class=\"lf-gut-faq-v2-block__question-text\">How much do estate agents charge in the UK?<\/span><span class=\"lf-gut-faq-v2-block__question-icon\"><img loading=\"lazy\" class=\"icon-thumb-up\" src=\"https:\/\/feb26.lexpress-franchise.com\/wp-content\/uploads\/2026\/06\/i-chevron-white.svg\" alt=\"\" width=\"16\" height=\"16\" decoding=\"async\"\/><\/span><\/button><\/h3><div class=\"lf-gut-faq-v2-block__answer lf-gut-faq-v2-answer-ea8v2zr4klf-gut-answer-ea8v2zr4k\">\n<p class=\"wp-block-paragraph\">The average high street sales fee in 2026 is 1.42% including VAT, or 1.18% plus VAT, on a sole agency basis. Multi-agency deals run at about 3% to 3.6%, online agents charge fixed fees of about \u00a3500 to \u00a31,500, and full lettings management runs at 10% to 15% of the rent plus VAT on the high street.<\/p>\n<\/div><\/div>\n\n\n\n<div class=\"wp-block-lexpress-faq-v2-item lf-gut-faq-v2-block__item\"><h3 class=\"lf-gut-faq-v2-block__question-wrapper\"><button class=\"lf-gut-faq-v2-block__question\" type=\"button\" aria-expanded=\"false\" data-target=\".lf-gut-answer-ea6r1np9t\"><span class=\"lf-gut-faq-v2-block__question-text\">How much does Rightmove cost an estate agent?<\/span><span class=\"lf-gut-faq-v2-block__question-icon\"><img loading=\"lazy\" class=\"icon-thumb-up\" src=\"https:\/\/feb26.lexpress-franchise.com\/wp-content\/uploads\/2026\/06\/i-chevron-white.svg\" alt=\"\" width=\"16\" height=\"16\" decoding=\"async\"\/><\/span><\/button><\/h3><div class=\"lf-gut-faq-v2-block__answer lf-gut-faq-v2-answer-ea6r1np9tlf-gut-answer-ea6r1np9t\">\n<p class=\"wp-block-paragraph\">Rightmove does not publish a price list, but its results show average income of about \u00a31,530 a month per estate agency advertiser in 2025, and \u00a31,726 across all advertisers in the first half of 2026. That is about \u00a318,400 a year per branch.<\/p>\n<\/div><\/div>\n\n\n\n<div class=\"wp-block-lexpress-faq-v2-item lf-gut-faq-v2-block__item\"><h3 class=\"lf-gut-faq-v2-block__question-wrapper\"><button class=\"lf-gut-faq-v2-block__question\" type=\"button\" aria-expanded=\"false\" data-target=\".lf-gut-answer-ea3l6xq8w\"><span class=\"lf-gut-faq-v2-block__question-text\">How many sales does an estate agency need to break even?<\/span><span class=\"lf-gut-faq-v2-block__question-icon\"><img loading=\"lazy\" class=\"icon-thumb-up\" src=\"https:\/\/feb26.lexpress-franchise.com\/wp-content\/uploads\/2026\/06\/i-chevron-white.svg\" alt=\"\" width=\"16\" height=\"16\" decoding=\"async\"\/><\/span><\/button><\/h3><div class=\"lf-gut-faq-v2-block__answer lf-gut-faq-v2-answer-ea3l6xq8wlf-gut-answer-ea3l6xq8w\">\n<p class=\"wp-block-paragraph\">On illustrative figures, a branch costing \u00a372,000 a year needs about 20 sales at the average 1.18% fee on a \u00a3300,000 home, or about 42 properties under full management at 12% of a \u00a31,200 rent, to cover its costs.<\/p>\n<\/div><\/div>\n\n\n\n<div class=\"wp-block-lexpress-faq-v2-item lf-gut-faq-v2-block__item\"><h3 class=\"lf-gut-faq-v2-block__question-wrapper\"><button class=\"lf-gut-faq-v2-block__question\" type=\"button\" aria-expanded=\"false\" data-target=\".lf-gut-answer-ea9p4jm1s\"><span class=\"lf-gut-faq-v2-block__question-text\">What is a lettings book worth?<\/span><span class=\"lf-gut-faq-v2-block__question-icon\"><img loading=\"lazy\" class=\"icon-thumb-up\" src=\"https:\/\/feb26.lexpress-franchise.com\/wp-content\/uploads\/2026\/06\/i-chevron-white.svg\" alt=\"\" width=\"16\" height=\"16\" decoding=\"async\"\/><\/span><\/button><\/h3><div class=\"lf-gut-faq-v2-block__answer lf-gut-faq-v2-answer-ea9p4jm1slf-gut-answer-ea9p4jm1s\">\n<p class=\"wp-block-paragraph\">Trade advisers put a lettings book at about 1.5 to 2 times its annual management income. Foxtons paid \u00a32.2 million for a book of 689 tenancies with \u00a31.1 million of turnover, about \u00a33,200 per tenancy.<\/p>\n<\/div><\/div>\n\n\n\n<div class=\"wp-block-lexpress-faq-v2-item lf-gut-faq-v2-block__item\"><h3 class=\"lf-gut-faq-v2-block__question-wrapper\"><button class=\"lf-gut-faq-v2-block__question\" type=\"button\" aria-expanded=\"false\" data-target=\".lf-gut-answer-ea1a7kd5r\"><span class=\"lf-gut-faq-v2-block__question-text\">Is VAT charged on estate agent fees?<\/span><span class=\"lf-gut-faq-v2-block__question-icon\"><img loading=\"lazy\" class=\"icon-thumb-up\" src=\"https:\/\/feb26.lexpress-franchise.com\/wp-content\/uploads\/2026\/06\/i-chevron-white.svg\" alt=\"\" width=\"16\" height=\"16\" decoding=\"async\"\/><\/span><\/button><\/h3><div class=\"lf-gut-faq-v2-block__answer lf-gut-faq-v2-answer-ea1a7kd5rlf-gut-answer-ea1a7kd5r\">\n<p class=\"wp-block-paragraph\">Yes. Estate and letting agency fees are standard-rated at 20% once the agency is VAT-registered, and fees quoted to consumers are given including VAT. Registration is compulsory above \u00a390,000 of taxable turnover.<\/p>\n<\/div><\/div>\n\n\n\n<div class=\"wp-block-lexpress-faq-v2-item lf-gut-faq-v2-block__item\"><h3 class=\"lf-gut-faq-v2-block__question-wrapper\"><button class=\"lf-gut-faq-v2-block__question\" type=\"button\" aria-expanded=\"false\" data-target=\".lf-gut-answer-ea4d9fb2n\"><span class=\"lf-gut-faq-v2-block__question-text\">Can an estate agency be run without a high street office?<\/span><span class=\"lf-gut-faq-v2-block__question-icon\"><img loading=\"lazy\" class=\"icon-thumb-up\" src=\"https:\/\/feb26.lexpress-franchise.com\/wp-content\/uploads\/2026\/06\/i-chevron-white.svg\" alt=\"\" width=\"16\" height=\"16\" decoding=\"async\"\/><\/span><\/button><\/h3><div class=\"lf-gut-faq-v2-block__answer lf-gut-faq-v2-answer-ea4d9fb2nlf-gut-answer-ea4d9fb2n\">\n<p class=\"wp-block-paragraph\">Yes. Hybrid and self-employed agents work a territory from home under a central brand, avoiding branch rent and business rates. The registrations still apply, with HMRC anti-money laundering supervision covering each premises the business operates from.<\/p>\n<\/div><\/div>\n\n        <\/div>\n\n        ","protected":false},"excerpt":{"rendered":"<p>No licence and no qualification are needed to trade as an estate agent in England, yet three registrations are compulsory and trading without the anti-money laundering one is a criminal offence. Lettings changed in England on 1 May 2026, when the Renters&#8217; Rights Act ended section 21 evictions. And the money arrives on two clocks: [&hellip;]<\/p>\n","protected":false},"author":994,"featured_media":1820213,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"content-type":"","_relevanssi_hide_post":"","_relevanssi_hide_content":"","_relevanssi_pin_for_all":"","_relevanssi_pin_keywords":"","_relevanssi_unpin_keywords":"","_relevanssi_related_keywords":"","_relevanssi_related_include_ids":"","_relevanssi_related_exclude_ids":"","_relevanssi_related_no_append":"","_relevanssi_related_not_related":"","_relevanssi_related_posts":"1818683,1818612,1818522,1818409,1819640,1818895","_relevanssi_noindex_reason":"","footnotes":""},"categories":[801,3583],"tags":[],"type-de-post":[438],"class_list":["post-1820165","post","type-post","status-publish","format-standard","has-post-thumbnail","category-entrepreneur-stories","category-entrepreneurship","type-de-post-articles"],"acf":[],"permalink_manager":null,"_links":{"self":[{"href":"https:\/\/lexpress-franchise.com\/en\/wp-json\/wp\/v2\/posts\/1820165","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/lexpress-franchise.com\/en\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/lexpress-franchise.com\/en\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/lexpress-franchise.com\/en\/wp-json\/wp\/v2\/users\/994"}],"replies":[{"embeddable":true,"href":"https:\/\/lexpress-franchise.com\/en\/wp-json\/wp\/v2\/comments?post=1820165"}],"version-history":[{"count":4,"href":"https:\/\/lexpress-franchise.com\/en\/wp-json\/wp\/v2\/posts\/1820165\/revisions"}],"predecessor-version":[{"id":1831243,"href":"https:\/\/lexpress-franchise.com\/en\/wp-json\/wp\/v2\/posts\/1820165\/revisions\/1831243"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/lexpress-franchise.com\/en\/wp-json\/wp\/v2\/media\/1820213"}],"wp:attachment":[{"href":"https:\/\/lexpress-franchise.com\/en\/wp-json\/wp\/v2\/media?parent=1820165"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/lexpress-franchise.com\/en\/wp-json\/wp\/v2\/categories?post=1820165"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/lexpress-franchise.com\/en\/wp-json\/wp\/v2\/tags?post=1820165"},{"taxonomy":"type-de-post","embeddable":true,"href":"https:\/\/lexpress-franchise.com\/en\/wp-json\/wp\/v2\/type-de-post?post=1820165"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}