Purplebricks has established itself as a prominent player in the UK’s real estate market, offering an innovative online platform for property buyers and sellers. With its hybrid model combining digital services with local expertise, Purplebricks promises to make property transactions more accessible and cost-effective.
As we step into 2024, this review aims to take a closer look at the services Purplebricks provides and whether it remains a viable option for those looking to buy or sell property in the UK. In this review, I’ll explore how Purplebricks works, its fees, and how it stacks up against traditional estate agents.
What is Purplebricks?
Purplebricks is a British online estate agent that has reshaped the property market by offering a digital-first approach to buying and selling homes.
Founded in 2012 by Michael Bruce, Kenny Bruce, and David Shepherd, Purplebricks was conceived as an alternative to the traditional high-street estate agency model, which typically involves significant fees and in-person interactions.
By leveraging technology and reducing the need for physical offices, Purplebricks aims to lower costs while still providing essential estate agent services.
Purplebricks is backed by prominent investors, including venture capital firm DN Capital, Neil Woodford, Paul Pindar, and Errol Damelin. Their financial support has helped the company grow into one of the most recognisable online estate agents in the UK.
History and Early Beginnings
The idea for Purplebricks was born in 2012 when the Bruce brothers, who had previously led a traditional estate agency called Burchell Edwards, realised there was an opportunity to create a more cost-effective, digital model for property sales.
They felt that by minimising the expenses associated with running a chain of physical offices, they could offer a lower-cost solution to property transactions. The company’s name, Purplebricks, was chosen after a brainstorming session around a kitchen table.
The founders believed the colour purple symbolised “regalness,” while “bricks” represented both property and technology—a fitting combination for their new business.
Initially, the corporate parent of Purplebricks was registered under the name New Portal Limited in April 2012, but later changed to New Broom Limited in October of the same year.
This name change reflected their ambition to “sweep clean” the existing property market and introduce a fresh, innovative approach to selling homes. Early investors included DN Capital, Paul Pindar (former CEO of Capita), Martin Bolland (Capita’s non-executive chairman), and Errol Damelin (founder of Wonga).
Launch and Expansion
Purplebricks officially launched in April 2014, starting by listing homes in parts of southern England. The company quickly gained attention for its competitive fees and online model.
By August 2014, they raised £8 million in equity investment, with Neil Woodford acquiring a 30% stake in the company. The funds enabled Purplebricks to expand its operations, and by May 2015, they had reached more regions in England and Wales. Later that year, they expanded into Northern Ireland in June and Scotland in November.
Going Public
In December 2015, Purplebricks became the first online estate agency to list on the AIM stock market. Ahead of the initial public offering (IPO), the company stated it had already listed 4,300 properties for sale, nearly double the number of its closest competitor.
Purplebricks aimed to use the raised funds to increase its national presence, hire more agents, and invest in brand development and technology. Major corporate investors, including Old Mutual, Artemis, and Fidelity, contributed to the IPO, which valued the company at £240.2 million. Shares began trading on 17 December 2015, marking a significant milestone in Purplebricks’ journey.
The company’s corporate parent, New Broom Limited, re-registered as Purplebricks Group Limited in preparation for the stock market listing.
Corporate Structure and Key Financials
Purplebricks operates as a publicly traded company on the AIM market under the symbol PURP. It is headquartered in Birmingham, United Kingdom, and is led by Helena Marston (CEO), Paul Pindar (Non-Executive Chairman), and Stephen Anthony Long (CFO).
The company reported £111.1 million in revenue in 2020 but faced challenges with an operating loss of £9.4 million. Despite these financial hurdles, Purplebricks remains a major player in the UK real estate and internet industries, known for its innovative approach to property transactions.
- Purplebricks Website: www.purplebricks.co.uk
- Purplebricks Contact: For Sales – 0800 810 8008, For Letting – 0800 810 8419, For Post Sales – 0121 274 3021
- Purplebricks Address: Birmingham , United Kingdom
How Purplebricks Works?
Purplebricks operates as a hybrid estate agent, blending online tools with local property experts. Sellers begin the process by scheduling a Purplebricks valuation—either in-person or online.
This valuation gives sellers a professional assessment of their home’s market value, along with recommendations on setting the asking price.
Once the valuation is completed, Purplebricks helps sellers create a detailed property listing, complete with high-quality photos, descriptions, and floor plans.
The listing is then uploaded to major property portals such as Rightmove and Zoopla, ensuring it reaches a broad audience of potential buyers.
For buyers, Purplebricks offers a simple and intuitive platform where they can browse thousands of Purplebricks houses for sale.
The platform features comprehensive property details, virtual tours, and the ability to book viewings directly online. Buyers can also make offers and negotiate directly with sellers, with support from Purplebricks’ experts if needed.
What Makes Purplebricks Unique?
Unlike traditional estate agents who typically charge a commission based on the sale price of the property, Purplebricks operates on a fixed-fee model, making it more affordable for sellers.
Whether your home sells for £100,000 or £1 million, the fee remains the same, offering significant savings, especially for higher-value properties.
Additionally, Purplebricks provides sellers with the option to choose different levels of service, from a basic sell for free package to the more comprehensive Boost and Full House packages, allowing sellers to customise their selling experience based on their needs and budget.
With its unique hybrid model, Purplebricks combines the cost savings and convenience of an online platform with the expertise of local agents, offering a flexible and modern approach to property transactions in the UK.
Purplebricks Estate Agents: A Hybrid Model
While Purplebricks is primarily known for being an online estate agent, it distinguishes itself with its hybrid model, which blends online services with local expertise. Unlike other purely online agents, Purplebricks employs local property experts—qualified professionals with an intimate knowledge of the housing market in your area.
These experts are available to help sellers with property valuations, hosting viewings, negotiating offers, and guiding clients through the legalities of the transaction.
The local property experts offer a more personalised service compared to other online-only platforms, helping sellers make informed decisions about pricing, marketing strategies, and when to accept offers.
This hybrid model sets Purplebricks apart from competitors who rely solely on their online platform without offering any human touch.
This combination of digital tools and local support makes Purplebricks appealing to homeowners who want the benefits of an online agent but aren’t ready to completely forgo the traditional, personal touch of a local estate agent.
Whether you’re looking to buy or sell, having a knowledgeable local expert on your side can make a big difference, especially in markets that vary significantly by location.
Purplebricks Fees: Is It Really Cheaper?
One of the major draws of Purplebricks is its fixed-fee pricing model, which promises to be more affordable than traditional commission-based fees. While traditional estate agents typically charge a commission of 1.5% to 3% of the property’s final sale price, Purplebricks offers a flat fee starting at £999 in most parts of the UK.
In London and surrounding areas, where property values tend to be higher, the fee increases to £1,499. This fixed fee includes a variety of services such as property listings, marketing on popular platforms, and access to a local property expert.
While this price may seem attractive, it’s important to remember that the fee is payable upfront, regardless of whether your property sells or not. This differs significantly from traditional estate agents, who typically charge only when the property is successfully sold.
Purplebricks’ model is designed to appeal to sellers who are confident they can sell their property without too much difficulty and who want to save on high commission fees.
However, there are additional costs to consider. For example, if you want professional photography or a premium listing to make your property stand out, there are extra charges. Purplebricks also offers hosted viewings for an additional fee, where your local property expert handles the viewings instead of you.
This brings up the question: how do Purplebricks make money? Their model is based on volume, relying on the fact that they collect fees from every client at the outset.
The savings you gain from lower fees can be significant, but only if your property sells. This makes it crucial to weigh the pros and cons of the upfront fee structure before committing to Purplebricks.
Purplebricks Houses for Sale: Buying a Property Through Purplebricks
For buyers, Purplebricks houses for sale offer a wide variety of property listings across the UK, all easily searchable through their online platform. Whether you’re looking for a first-time home, an investment property, or your next dream house, Purplebricks provides an intuitive and user-friendly search experience.
Those who will buy a property can access detailed property descriptions, high-quality photos, floor plans, and even 360 virtual tours, making it easier than ever to explore properties without leaving home.
One of the standout features of Purplebricks is the ability to arrange viewings and make offers directly through the platform. With everything managed online, buyers have greater flexibility in browsing listings, comparing options, and moving forward at their own pace.
The virtual property viewings feature is particularly useful for buyers who prefer to explore homes remotely, either because of time constraints or distance.
Popular Locations in the UK
Purplebricks offers properties across the UK, catering to buyers in various regions. Below are some of the most popular locations where buyers can find homes through the Purplebricks platform:
Properties for sale in London
London is home to one of the most competitive property markets in the world. Whether you’re looking for a stylish city apartment or a spacious family home, Purplebricks offers a wide selection of properties across all London boroughs.
Properties for sale in Birmingham
The vibrant city of Birmingham offers a diverse range of properties, from modern apartments in the city centre to traditional houses in the suburbs. Buyers looking for excellent transport links and strong local amenities will find plenty of options in Birmingham.
Properties for sale in Glasgow
Glasgow combines a rich cultural scene with affordable property prices. Buyers can choose from historic homes, modern flats, and new developments across this dynamic Scottish city.
Properties for sale in Manchester
As a thriving economic hub in the North West, Manchester offers a mix of urban living and suburban charm. Whether you’re after a trendy flat in the city or a family home on the outskirts, Purplebricks has numerous listings in this popular city.
Properties for sale in Cardiff
The capital of Wales, Cardiff, is known for its attractive properties and scenic surroundings. From riverside apartments to cosy homes in the suburbs, buyers can find a variety of property types in this vibrant city.
Properties for sale in Belfast
Belfast, Northern Ireland’s capital, boasts a growing property market with options ranging from city-centre apartments to suburban homes. Buyers seeking value for money in a rapidly developing area will find plenty to explore.
Purplebricks’ platform allows buyers to narrow their searches to specific regions or cities, ensuring they find the right property in their desired location. Each property listing is accompanied by comprehensive information, including pricing, floor plans, and local insights, which helps buyers make informed decisions.
Selling a Property with Purplebricks
The process of selling a property with Purplebricks is designed to offer maximum control and flexibility for homeowners. Whether you’re an experienced seller or going through the process for the first time, Purplebricks provides several options to cater to your needs.
As a seller, you’re empowered to make key decisions about how your property is marketed, while being supported by a team of local property experts every step of the way.
Ready to sell your house? You’re in control. Unlike traditional estate agents, where you may wonder what exactly you’re paying for, Purplebricks offers complete transparency about their services and fees.
As a seller, you know exactly what you’re getting – and no matter what package you choose, you’ll always have a team of experts by your side.
Purplebricks offers three main selling options, each with varying levels of support, ensuring that sellers can choose the package that best fits their needs and budget:
Sell for Free
If you’re looking to sell your home without any upfront costs, Purplebricks offers a free package that includes everything you need to get your property listed on major UK property portals.
Here’s what’s included in the Sell for Free package:
- Expert valuation: A professional valuation of your home, along with a detailed report that provides insights into your property and the local market conditions.
- Property advert: A high-quality listing on popular property websites like Rightmove and Zoopla, ensuring your home is seen by a wide audience.
- App management: The Purplebricks app allows you to manage viewings, offers, and communication directly with buyers, giving you total control over selling your property.
- Negotiation: Purplebricks will provide professional negotiation services to help secure the best possible price for your property.
- Sales support: Throughout the selling journey, you’ll be supported by a team of experts who are available to assist with any questions or issues.
This option is perfect for sellers who want to manage their sale themselves, with all the basic tools they need at no cost.
Boost
If you’re looking to enhance your property’s visibility and increase your chances of a quicker sale, the Boost package is a great option. For just £149 (a saving of £150), you can give your property listing an extra edge with a range of premium features that help your home stand out in a competitive market.
The Boost package includes everything in the free option, plus:
- Professional photography: Digitally enhanced images that show your property in its best light, attracting more interest from potential buyers.
- 360 virtual tour: A virtual tour of your property allows buyers to explore your home remotely, making it easier for them to decide whether to book an in-person viewing.
- Professional floorplan: A detailed floorplan that gives potential buyers a clearer idea of your home’s layout and dimensions.
- Premium Rightmove listing: Ensuring your property is prominently displayed on one of the UK’s largest property portals.
- Mortgage advice: Access to expert mortgage advice, helping buyers understand their financing options – which can be a key factor in closing a deal.
The Boost package is ideal for sellers who want a little more help making their listing stand out, while still keeping costs relatively low.
Full House
For sellers who want total support throughout the sale process, Purplebricks offers the Full House package, which includes hosted viewings and a range of premium services to ensure a smooth and stress-free sale.
In addition to everything in the Boost package, the Full House package includes:
- Hosted viewings: Your local property expert will handle all viewings, giving you peace of mind that each viewing is professionally managed, and you never miss out on potential buyers.
- Additional mortgage advice: Expert mortgage advice is included with this package, helping both buyers and sellers navigate financing questions. This service is worth £299 but is included in the Full House package at no extra charge.
This option is perfect for sellers who prefer a more hands-off approach and want a professional to handle every aspect of the sale, from viewings to negotiations, while still benefiting from Purplebricks’ competitive pricing structure.
The Pros and Cons of Using Purplebricks
Pros:
- Lower fees: With a fixed fee starting from £999, Purplebricks can save you thousands compared to traditional agents who charge a percentage of the sale price.
- Flexibility: The online platform gives you control over many aspects of the buying or selling process, with the ability to manage listings, viewings, and offers.
- Local property experts: Despite being an online agent, Purplebricks provides access to local experts who understand the housing market in your area.
- Transparency: The platform keeps you informed at every step of the process, with clear communication and tools to track your progress.
Cons:
- Upfront fees: The fixed fee is payable upfront, regardless of whether your property sells. This contrasts with traditional agents who only charge upon successful sale.
- Extra costs: Optional services like hosted viewings, professional photography, and premium listings come at an additional cost, which can add up.
- Less personalised service: Although Purplebricks offers local experts, some sellers may miss the more hands-on approach that traditional agents provide.
- DIY involvement: Sellers who prefer a fully managed service may find the self-service aspect of Purplebricks overwhelming or inconvenient.
Purplebricks vs Traditional Estate Agents
When deciding between Purplebricks and traditional estate agents, the main factors to consider are cost, service, and convenience.
Traditional agents charge a commission, usually between 1.5% and 3% of the property’s sale price, which can add up to a significant amount, especially for higher-value properties. Purplebricks’ fixed-fee structure offers substantial savings in this regard, particularly for sellers with more expensive homes.
However, with traditional agents, you get a more comprehensive service. They manage the entire process from start to finish, including viewings, negotiations, and paperwork.
For busy sellers or those unfamiliar with the property market, this can be invaluable. Purplebricks, on the other hand, requires a more hands-on approach from sellers, although they provide tools and guidance along the way.
Ultimately, the choice comes down to your personal preferences and circumstances.
If you value saving on fees and are comfortable with managing parts of the sale yourself, Purplebricks is an excellent option. If you prefer to have everything taken care of by a professional, a traditional estate agent might be a better fit.
Final Verdict: Is Purplebricks the Right Choice for You?
So, is Purplebricks the right choice for you? If you’re looking for an affordable way to sell your property and don’t mind taking a more active role in the process, Purplebricks offers great value. The combination of lower fees, online convenience, and local expertise makes it an appealing choice for tech-savvy sellers and buyers who want to take control of their property transaction.
However, if you prefer a fully managed service or are selling in a more complex market, traditional estate agents might be better suited to your needs. Purplebricks offers a lot of flexibility, but it’s not for everyone.
The upfront fees and self-service model require confidence and involvement from sellers. For those who are comfortable with these aspects, Purplebricks is likely to deliver both savings and a seamless experience.
FAQs About Purplebricks
How does Purplebricks work?
Purplebricks operates as an online estate agent that helps buyers and sellers manage property transactions through an online platform. Sellers pay a fixed fee for listing their property, and local property experts assist with valuations and negotiations.
What fees does Purplebricks charge for selling a house?
Purplebricks charges a fixed fee starting at £999, which includes access to the Purplebricks platform, property listings on major websites, and assistance from local property experts. In London and surrounding areas, the fee is £1,499.
Are Purplebricks estate agents fully qualified?
Yes, Purplebricks employs local property experts who are experienced and knowledgeable about the housing market. These experts assist with valuations, negotiations, and provide local insights.
Can I contact Purplebricks directly for support?
Yes, Purplebricks offers customer support through their Purplebricks contact number and via their website, where clients can request help or ask questions about the sale or purchase process.
Is Purplebricks available across the UK?
Yes, Purplebricks operates nationwide, providing services for both buyers and sellers in all regions of the UK.
How do I get a house valuation from Purplebricks?
You can request a Purplebricks valuation through their website. The valuation can be conducted either in person or online via a video call with a local property expert.
How do Purplebricks make money if their fees are so low?
Purplebricks makes money through its fixed-fee model, charging sellers upfront for their services regardless of whether the property is sold. This allows them to offer lower prices while ensuring consistent revenue.
