Purplebricks to launch in Florida as US expansion continues

Hybrid estate agent Purplebricks announced plans on Tuesday to expand its US operations to Florida.

The AIM-listed company, which currently has operates in San Diego, Sacramento, Fresno, Phoenix, Las Vegas and the New York designated market areas (DMAs), will launch into Florida via the Tampa and Orland DMAs. The move marks the one year anniversary of Purplebricks’ entry into the US with its Los Angeles launch.

The Tampa and Orlando DMAs comprise a total population of around 5.2 million people and 3.4 million addressable homes, with annual real estate sales of 236,272 units. Average house prices in Orlando and Tampa respectively are $321,194 and $290,415, according to data from CoreLogic.

Global chief executive officer Michael Bruce said: "This is our fifth regional launch since starting out in Los Angeles twelve months ago, and reflects our confidence in the US opportunity and the reception we are achieving state by state. We are encouraged by our progress in the US and excited about the potential in Florida, and we continue to identify new markets in the US where our value proposition can greatly benefit both consumers and agents.

"We are seeing a total cultural shift favouring complete transparency as Americans' faith in a number of professions, including real estate, has dwindled. Our recent research suggests that only 11% of Americans ‘completely trust’ real estate agents. In response, Purplebricks' offering is designed to give consumers total transparency and control over their home sale, and this is why we are being successful."

At 1445 BST, the shares were down 0.3% to 234.40p.