Agent backed OnTheMarket.com has 32 million shares to give to agencies that sign long term listing contracts, with extra shares for those who agree to drop its big rivals.
The portal which is 65% agent-owned says that around 40% of UK estate agents already own shares in its holding company. Launched today, the initiative will offer agents £1000 worth of shares for flexible arrangements, and £2500 for listing exclusively with OnTheMarket.
The shares being offered to agents with this deal are offered at the minimum issuance price of £1, despite the price currently sitting at 60GBX (£0.6). The minimum contract term for agents is up to August 31st 2021 with a one month notice period.
OnTheMarket’s aggressive tactic comes on the back of rival Zoopla’s offer of free listing on its portal for agents willing to drop a rival portal. The challenger portals may be sensing blood in the water with so much agent dissatisfaction with industry leader Rightmove.
With property markets all over the world getting ready for a potential return to action and cash strapped agents looking to offload marketing costs, could we see more portals following the aggressive tactics of those in the UK?