Lettings disputes growing as market changes

During 2008, the period covered by his latest annual report, membership of the scheme rose by 17%. At a time when overall sales activity across the market dropped by as much as 60%, disputes involving sales only dropped by 3%, a figure which Hamer described as surprising.

“I am surprised that my workload in sales disputes has not reduced more significantly,” commented Hamer. “Perhaps it shows that buyers and sellers have still higher expectations of agents' service whilst there are so few properties being sold.”

While sales activity dwindled, the rise in the residential lettings market saw a 200% increase in the lettings disputes handled by the OEA and Hamer predicts that during 2009 lettings will become the major area of his activities.

The Ombudsman also reveals that in 2008 he made the highest ever award to a complainant in the 20 year history of the scheme, with the estate agent involved ordered to pay out £23,880 after conflicting advice had been given by staff and the agent had failed to act in the best interests of the client or negotiate effectively.