Housing minister orders review of online bidding portals

Housing Minister James Browne has instructed his department to review online bidding portals used by some estate agents, citing concerns that they mimic gambling and may inflate house prices.

Professor Colin O’Gara, an addiction specialist, warned that the platforms “gamify” the house‑buying process, tapping into cognitive effects similar to those of slot machines and increasing pressure on buyers to act quickly.

Many estate agents now provide an online service where prospective buyers can register, view current offers and place bids 24/7, with text or email alerts notifying them of new bids on properties of interest.

Mr Browne, who helped progress the Gambling Regulation Act as a junior minister, said he has “instinctive concerns” about the pressure these platforms place on people and the risk of bidding wars that push buyers beyond their means. He is also considering a closed‑bidding system to reduce such pressure.

The Economic and Social Research Institute (ESRI) earlier this year reported that bids in open auctions, including online platforms, tend to exceed original budgets and property valuations more often than sealed‑bid auctions.

Source: Irish Examiner. Photo: AlphaTradeZone / Pexels.