Estate Angels reacts to criticism over leads sold to intermediaries

Property website Estate Angels has defended itself against criticism over the leads it sells to mortgage intermediaries.

Andy Goddard, proprietor of newly-established Bankside Independent said the leads he had received from Estate Angels had not generated any business for him, despite buying over 50 in July. He said: "I do not think I would look to use this kind of service again in the future, but would spend the money instead on producing my own website."

The leads provided by the website come in two types, homebuyer or mortgage leads. The homebuyer leads are generated by clients registering interest in purchasing a property on the site, and their details are then passed on to an intermediary. The mortgage leads are generated by clients filling out a specific mortgage form on the site, according to Nat Daniels, managing director of Estate Angels.

Goddard felt many of his leads were not aware they would be contacted by an intermediary, or had filled out forms accidentally, and did not want advice at all. However Daniels said: "I find that unbelievable. I would like to show you some of the leads that we get where clients have given us their life story - how could the client possibly not know they were going to be contacted, in terms of the mortgage leads?"

Daniels accepted the homebuyer leads were a different story but said: "The homebuyer leads, well, these people are just clients registering with agents."

Estate Angels did not have any figures on the conversion rates of the leads sold although Daniels claimed: "Intermediaries might get two or three appointments out of 10 from homebuyer leads."

He also said converting this type of business required different skills and commented: "We give the adviser a pack on this type of lead, and tell them how to do it, because if they do not do it correctly they will not be successful."