Full service real estate agents across the country will be heard partying into the wee hours after the announcement that Foxtons is DEAD! Another discount model goes belly up. Check out Foxtons done in by housing slump (Asbury Park Press)
Foxtons, a West Long Branch-based real estate company that made a splash with its discounted commissions, said Wednesday night it is closing because of a downturn in the housing market.
The company said it is contemplating bankruptcy for an orderly shutdown, and it will continue only with a skeleton crew; it is laying off 350 of its 380 employees.
"The plain fact is that we have been battling against a real estate market that recently has turned into a sharp decline, and the company no longer has the liquidity to operate as a going concern," said John D. Blomquist, Foxtons’ senior vice president and general counsel.
A quick Google search of Foxtons turns up a plethora of dissatisfied customers who were the victims of a weak business model.
So Long, Foxtons (via NJ Real Estate Report)
Foxtons may file for bankruptcy (via Newsday.com)
UPDATE: Foxtons Shuts U.S. Operations, Blames Housing Slump (via Bloomberg)