January 2026 has opened with stronger activity across the major property portals and firmer asking prices and yet the estate agency sector is being pulled in two directions at once.
Buyers and sellers are more active but competition and compliance have never been tougher. Estate agencies have a real opportunity this year, if they can stay efficient, and AI is set to play a key role in that.
In more than 20 years in this industry I have not seen a year start quite like 2026.
The agencies that will succeed are the ones tightening their operations, protecting their teams, and using technology sensibly to support better decision-making. Human judgement still leads but smart tools now make a real difference to how you deliver it.
INSTRTUCTION FLOW
Confidence can change quickly. When sentiment weakens, instructions slow and pipelines stall.
When it improves, stock and enquiries arrive at once. You cannot expand and shrink your team month by month so you have to adjust the pipeline instead.
That means building more than portal traffic. I focus on consistent local content, valuation funnels, email nurturing and clear education for vendors on pricing, presentation, and realistic timelines.
In a higher-choice market, your pricing advice and presentation standards matter more than ever.
AI helps by drafting good-quality property descriptions, automating follow-ups, and segmenting leads so my negotiators can stay focused on viewings and offers rather than routine admin.
COMPLIANCE PRESSURE
Compliance is now a major operational risk. National Trading Standards has withdrawn its previous Material Information guidance, reflecting the shift under the Digital Markets, Competition and Consumers Act 2024.
The consequences of omission are serious. At the same time, government guidance highlights the property sector as higher risk for money laundering, putting us firmly in the spotlight.
My approach is to keep this simple and consistent.
My approach is to keep this simple and consistent. We use a single internal checklist covering onboarding, ID and verification, source of funds, listing disclosures and audit trails and we give someone clear ownership of compliance.
AI-supported systems then help us by flagging missing information, standardising workflows and speeding up checks and record keeping, which reduces human error. Industry research suggests 66% of agents expect to rely on compliance and AML automation.
LEAD GENERATION
Portals will always be important, but when they dominate your pipeline, your margins and your negotiating position come under strain.
Fees have risen steadily, and competition on those platforms is intense.
I want my teams to rely more on owned channels: a strong Google Business Profile, local SEO pages, case studies, reviews, and community content that brings in instructions directly.
AI can support this by generating first drafts for local-area pages, ad variants, and social content faster, while my team focuses on authenticity and relationship-building.
That combination keeps the voice genuine but makes content production more manageable.
STAFFING, RETENTION AND TRAINING GAPS
Good valuers and negotiators are difficult to recruit and easy to burn out. When volumes are volatile people can quickly feel overwhelmed. The solution is to make the job higher value and more structured.
We document our best processes, standardise core scripts and invest in regular coaching.
AI tools then act as a digital assistant: they help with first drafts of emails and reports, summarise call notes and organise task lists.
That support means experienced staff can concentrate on complex conversations and deal-making, while newer colleagues build confidence within a clear framework.
REPUTATION MANAGEMENT
Sellers now expect high-quality marketing, clear communication, and prompt feedback. Buyers expect quick answers and easy access to information. Reputation is built or damaged very publicly through reviews and social channels.
We respond by setting internal service standards on response times, viewing quality, and feedback cadence, and by tracking reviews carefully. AI-backed tools assist with timely acknowledgement of routine enquiries, basic FAQs, and monitoring sentiment in reviews and messages.
The actual advice and problem-solving remains firmly with the team.
