Estate agent offices to be closed

The closures are linked to the credit crunch and poor trading, said Darlows

An estate agent has announced it is closing two branches in south west Wales and shrinking a third because of the credit crunch.

Darlows offices in Llanelli and Neath will shut on Monday, while the estate agency arm of its operation in Swansea will close to concentrate on lettings.

Eight staff will be affected. Decisions over redundancies and redeployment were being considered, said the company.

Meanwhile, a poll has found Welsh house prices are falling faster than ever.

A consultation with Darlows staff members affected has begun, said a spokeswoman for parent company Spicerhaart.

It has been reported in the South Wales Evening Post that they were handed a letter from the company telling them of their decision to close.

BBC Wales' Nick Servini explains why the firm is experiencing difficulties

"A total of eight staff are affected and decisions are under way concerning redundancies and redeployment, and customers are in the process of being notified," added the spokeswoman.

"Two sales staff from the Swansea branch are set to be redeployed but its lettings operation will remain open and is set to expand.

"It's all linked to the credit crunch and poor trading conditions."

It comes as a survey by the Royal Institution of Chartered Surveyors (RICS) found that house prices in Wales fell for the 10th consecutive month and at the fastest pace ever recorded.

It also found that 75% of chartered surveyors in Wales reported a fall in house prices, rather than a rise.

Cathy McLean, director of RICS Wales, said the slowdown in Welsh house prices was attributable to a lack of available finance which had hit demand.

"The next six months will be a crucial period for homeowners but would-be buyers with larger deposits are likely to see this market as an opportunity to acquire property in areas to which they could not previously aspire to as recently as the end of 2007," she said.