A recent BBC Panorama investigation has cast a spotlight on both Connells and Purple Bricks, two of the UK’s largest estate agents, which revealed some troubling practices. The undercover report uncovered the widespread use of conditional selling at Connells, particularly concerning staff prioritising customers who agreed to use Connells’ in-house mortgage and conveyancing services, even when there were better and higher offers available from independent buyers. In a similar vein, agents at Purple Bricks were encouraged to overvalue properties to attract customers, but then subsequently encourage customers to drop the asking price, earning a commission if they persuade the customer to do so.

Whilst such practices are not illegal, they do raise ethical concerns, particularly for attorneys and deputies who manage the property and affairs of those who lack capacity to do so for themselves. Such practices pose a risk to attorneys and deputies, who are entrusted to act in the best interests of the person who is lacking capacity (P). 

Using an estate agent with a reputation for prioritising profit over client outcomes poses a significant risk that P may not receive the best possible price for their property, which could have serious long-term financial consequences, particularly if the proceeds are needed to fund care. Deputies and attorneys have a legal obligation to act in P’s best interests, and selecting such an agent could be seen as a breach of that duty, especially if better offers are disregarded or the property is undervalued. This choice may also prompt scrutiny from the Office of the Public Guardian if a clear, justifiable reason for not choosing a more reputable agent cannot be provided.

This report demonstrates the importance of attorneys and deputies remaining vigilant when instructing third parties to act on P’s behalf. It acts as a good reminder to attorneys and deputies, or anyone acting in someone else’s best interests, to ensure that they keep clear records of how agents are selected and how offers are evaluated, and ensure that all offers put forward are considered on merit. 

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For help and support on managing the property and affairs of those who lack capacity, please contact me.