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The Markets
by Proactive
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The Markets
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Real Estate

Foxtons housing sales commissions fall 61% due to coronavirus lockdown

The estate agent says its agents will use appropriate PPE including hand sanitiser, face coverings and gloves when visiting properties

Foxtons Group PLC (LON:FOXT) said it expects all branches to reopen by 1 June after property commissions slumped in the eight weeks to 15 May because of the coronavirus lockdown.

The London estate agent reported a 61% decline in sales commissions for the period, while lettings commissions were down 40% and mortgage broking revenues dipped 2%.

“There remains significant uncertainty over how long the London residential sales and lettings market will continue to be impacted by the pandemic,” the company said in a statement.

“Nonetheless, the board is pleased with the resilience that the business has shown given such a disruptive backdrop.”

A net cash position of £37.1mln was recorded at the end of April, following the £22mln share placing earlier in the month.

Employees will be returning from furlough on a gradual basis, the company said, with social distancing procedures and new hygiene measures to be observed in its offices throughout, as well as mandatory coronavirus training for all agents dealing with customers.

Homebuyers will be encouraged to view properties online first, Foxtons said, with physical viewings only allowed if customers confirm in advance they are not infected or displaying symptoms of Covid-19.

Estate agents will use appropriate PPE including hand sanitiser, face coverings and gloves when visiting properties, the company said.

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