The high profile launch of the Tesco Property Market and DIY home selling service raised questions about the status of on-line private sale businesses, under the 1979 Estate Agency Act, which was implemented well before the emergence of the internet.
Having consulted the Office of Fair Trading on the restrictions of this Act, Tesco now understands that Tesco Property Market is considered an Estate Agent under the regulations.
Whilst Tesco says that being an on-line estate agent was never their immediate intention, but they are so encouraged by the positive reaction from customers that they are now thinking about launching a new on-line estate agency service.
Tesco believes this would enable them to offer their customers personal advice on the sale of their home and give them access to the leading property portal websites, which accept listings from estate agents but not from private sellers. As a result customers would get their property in front of hundreds of thousands of potential buyers.
Tesco has conceded that they cannot be both an on-line estate agent and private seller , so has reluctantly suspended the private seller service launched earlier in the year. However, home movers may continue to use Tesco Property Market to obtain advice, as well as offering products including mortgages, insurance, conveyancing and Home Information Packs.
