In the current residential market where high interest rates continue to make homeownership unattainable for many South Africans, both property sellers and real estate agents are having to think out of the box.
This tough, competitive environment calls for property practitioners to stay ahead of their game, particularly through their online visibility. However, with the numerous listing websites, they often run the risk of getting lost in the digital noise.
Hoom, a new PropTech platform, aims to address this issue by capturing the attention of property sellers online and seamlessly connecting them with estate agents based on key factors including agent preferences, location, and property type, ensuring a more personalised, efficient matchmaking process and ultimately simplifying the sales process for both parties.
Erhard Wolfaardt, founder of Hoom, says his personal insight and understanding of the residential property market’s pain points were the key drivers in the creation of Hoom.
“Over the years, I have invested in and sold many properties but finding the right real estate agent has always been a challenge. The multiple websites available typically require sellers to manually sift through lists and reviews which can become tedious and overwhelming with some platforms rating estate agents based on past sales, allowing sellers to view the best-performing agents in their area,” he says.
Designed around creating a seamless and user-friendly experience, Hoom guides property sellers through a fast and efficient user journey by gathering information about their property and agent preferences. Within 24-hours, the seller is presented with offers from up to five different estate agents that match their criteria.
“Hoom differentiates itself from other platforms with its advanced algorithms that act as a detailed real estate matchmaker,” says Erhard. “Estate agents often benefit from return business and Hoom assists in connecting them with new sellers who may not have discovered them otherwise.”
The platform’s model is entirely performance-based, meaning that estate agents only pay a referral fee i.e., a percentage of the property’s sold price. Unlike traditional models where agents might incur marketing or lead generation costs upfront, Hoom provides quality leads at no initial cost.
Hoom is not in the business of selling properties, nor is it trying to disrupt the traditional estate agency business model and to encourage collaboration within the industry, the platform has committed to reducing its referral fee from 1% to 0.75% when two agencies work together to sell a property.
“This risk-free model ensures that we are incentivised to make the best possible matches, while providing value and trust to both parties. Hoom allows estate agents to focus on what they do best – selling properties, while we handle the matchmaking and lead generation. Hoom is essentially another funnel in the estate agent’s arsenal to generate leads and potentially form life-long client relationships,” he says.
For property sellers, Hoom is completely free – with zero obligations. “If a seller is not satisfied with their matched estate agents, they have the option to request more or to simply walk away. Hoom has also implemented a cash-back reward on the sale of a property, which would equate to 0.25% of the sales price with additional seller perks to be launched alongside the platform in September 2024.”
Estate agents can sign up to Hoom by visiting the website and completing a simple form. By providing information including area of operation, contact details, agency information and experience, Hoom builds detailed agent profiles which are crucial in the first connection with sellers.
More importantly, estate agents are required to provide a valid Fidelity Fund Certificate (FFC) issued by the Property Practitioners Regulatory Authority (PPRA) which will be clearly displayed on their profiles with Hoom monitoring expiration dates.
“We are excited to announce that Hoom has started signing up estate agents and we have received incredible feedback so far, with many forward-thinking agencies onboard. The traction has been encouraging,” says Erhard.
“We envision Hoom as the premier real estate matchmaking platform that will continue to set new standards in the industry. Our goal is to enhance our technology and services to deliver unparalleled value to property sellers and estate agents alike. By driving innovation and excellence, we aim to revolutionize the real estate experience, making it more efficient, transparent, and satisfying for everyone involved.”
