Estate agency is hot property

Jan 6 2010 by Iain Laing, The Journal

THE new owner of the Halifax estate agency business says it is trading ahead of expectations after half-year turnover surged by 21%.

LSL Property Services, which trades as Your Move and Reeds Rains, said the revival in the housing market had been bigger than expected but stressed that conditions remained challenging against historic norms.

The company added that it expected its £1 deal to acquire the Halifax offices from Lloyds Banking Group will complete by the end of next week.

Following the addition of Halifax’s 218 offices, the group will have 584 outlets – putting it second only to Countrywide in the pecking order by branch numbers.

LSL was formed after a management buy-out of Your Move and surveyors e.surv from Norwich Union in July 2004.

Estate agency turnover for the second half of 2009 was up 42% on a year earlier, but still down 5% across the whole year.

In LSL’s surveying division, which trades as e.surv and Chancellors Associates, second-half turnover fell by 0.5% due to a weaker remortgaging market. Overall, LSL said 2009 results will be significantly ahead of expectations.

Shares rose more than 10% as analysts upgraded their forecasts.