If you are someone who wants to make the right property purchase at the right price and are unsure of your own capacity to do so you might want to look at the option of employing the services of a buyer’s agent otherwise known as buyer’s advocates to assist you with a property purchase. Going through the process of buying a property can be somewhat stressful and time consuming if you go through the process on your own. By employing the services of a licensed buyer’s agent they will be able to navigate their way through the market to find you the most suitable property at the best possible price.
The role of a buyer’s agent
A buyer’s agent specialises in the research process as well as evaluating the overall properties worth and also handling the negotiations of the property purchase on behalf an interested purchaser. Find below the two main services a buyer’s agent can provide you with:
- Full service: This is where you as an interested property purchaser would like the buyer’s agent to assist you throughout the process from start to finish. This includes searching for the most suitable properties for you, negotiating the sale price and also having the ability to bid at auction should they need to.
- Bidding only: If you are someone who is confident with carrying out research as well as the process of elimination but are unsure on how well you will be able to negotiate the best price this is where having a professional in your corner will do wonders for you. This option can be somewhat helpful if you are not within the same state as the property you wish to purchase.
Benefits of utilising a buyer’s agent
- Ease of stress: The services of a buyer’s agent can eliminate potential stress on yourself as allowing you to go on with your daily life rather than spending hours of your own time researching the market online and in person and have the ability to confidently negotiate a deal.
- Depth of knowledge: A professional buyer’s agent will have a high level of knowledge and will have an understanding for the different markets, this will be useful to you as you will have a better understanding of properties in areas with strong capital growth potential.
- Property viewing: Some buyer’s agents can more times than not gain access to view properties not yet on the market which means you might know more about the properties than your competitors do come time the property goes on the market say at auction.
- Lack of emotions: Going through the property research process can be somewhat emotional, particularly if it is a home where you plan to live making memories and raising a family. By having a professional view on things, a buyer’s agent can ensure you make a smart purchase and not overpay.
- Bargaining power: Showing up to an auction either on your lonesome with your partner and kids can be somewhat intimidating especially if you have never bid at auction before. This is where having a buyer’s agent on your side will benefit you as you will basically have professional representation working for you.
How to make your selection?
A good way to start your selection process is to talk to family and friends to see if anyone has any referrals they are happy to pass on as this will give you a good picture about what type of experience you will be up for and what to expect. It is important to ask the referrers about some of the good points about the particular buyer’s agent or agency. Generally families and friendship groups will utilise the services of a particular firm or in most cases a particular individual as they all found a great experience was had without any headaches.
As with most professions, not all buyer’s agents are equal. Just as you may interview a shortlist of real estate agents to sell your house, it will only benefit you if you choose to go through the same process with buyer’s agents to ensure the best experience is had. Choosing the right buyer’s agent might be the difference between you making the overall right purchase or making the right purchase for the wrong price in which case may come back to bite you.
Cost is to be considered
While cost is a factor to consider it is important to do your research. If you talk to someone who is charging double the amount for their service compared to what others are quoting, you will need to sit back and think why they are charging such a high amount. In many cases you will find as with most things in life that you do get what you pay for and the overall end result could still save you thousands in the long run. It’s not advisable to go for the cheapest or the most expensive buyer’s agent however, it’s still important to compare costs to help you refine your budget and end result. By talking to a number of different buyer’s agents you will soon get a good idea of what is standard practise for the use of the services.
Some questions you may ask when meeting with a buyer’s agent for the first time:
- What types of property do you mainly specialise in?
- How will you communicate with me throughout the process?
- What timeframe should we expect for this process from start to finish?
- Will I have to pay any hidden costs?
- What is your fee structure and what will this process cost me?
- How much experience do you have with this type of property purchase and area?
- Do you sell property as well as working as a buyer’s agent?
- Do you personally or your company hold professional indemnity insurance?
- How large is your network of contacts?
- Do you own any property yourself?
- Ask the buyer’s agent why should I use your services?
You will want to ensure you are confident and comfortable with employing the services of a particular buyer’s agent, if your buyer’s agent who you are interviewing states they are also in the game of selling houses you will want to have a think about the possible conflict of interest that could potentially be there later in the process, you want the chosen buyer’s agent to be working for you and finding the most suitable option for you. Need help finding the right buyers agent for you? Check out Buyers Agent Australia to find a buyers agent near you.
It is important to employ the services of professionals from the desired fields to ensure the smoothest path is achieved for the desired process. If you need recommendations for a buyer’s agent, conveyancer or other professional or have a question regarding anything spoken about in this article please don’t hesitate to talk to your mortgage broker Gerry and he will be able to assist with answering any questions.