The Real Estate industry is growing in Australia and along with it, so is the number of qualified Buyers’ Agents.
So how do you sort through the agents between the long standing, reputable, and the young guns in the industry?
Buying a property is always a big decision, and employing a Buyers’ Agent will assist you in every aspect of the purchase, however you need to choose wisely to ensure you get the most out of your Buyers’ Agent.
Part of the team
When selecting a Buyers’ Agent, it is most important to think about your team as a whole. You want the best person on your side to be working with your Mortgage Broker, Accountant, Solicitor and Financial Adviser. Everyone needs to understand your goals and working together to achieve your strategy.
To ensure your agent is working entirely in your best interests, they must be completely independent. Ask them how they charge their fees. A fixed fee is usually preferred because if a percentage on the final purchase price is charged, this might provide incentive for the agent to not negotiate the lowest purchase price.
It is wise to select a Buyers’ Agent who has experienced all phases of the property market (both the ups and downs). Property cycles run for approximately 7 – 13 years (depending on the area) so it is important to understand the agent’s experience in all markets.
Ask your agent what professional institutes they are associated with, such as the Real Estate Institute of NSW (or QLD), or Property Investment Professionals Australia (PIPA). This ensures they are creditable and have the required training standards to join the organisation.
You should ask the question “who will I be working with?” to understand whether you will be working directly with them, or one of their colleagues- you need to know what you’re paying for.
Select an agent that has proven experience in the area you’re looking to buy in.
Well connected agents can get you ‘ahead of the game’ by getting in early to new listings, and access to off market properties through their list of industry contacts.
If you are purchasing interstate, ensure your Buyers’ Agent is licensed to operate in that State because legislation does differ across the country.
Always ask for examples and results from their clients who have been in a similar circumstance and budget to yourself.
Ask the agent about whether they are personally investing and what results they have achieved.
Do not be shy to ask for client testimonials or a contact you can call to discuss their experience with the agency. Most agencies will be able to provide a list of contacts who have agreed to provide references.
Do some background checks, as well as search for reviews online such as Google plus reviews.
What to look out for:
- Agents who aren’t licensed, registered, or do not hold license in the state you want to purchase in. This can be checked on the Department of Fair Trading website.
- The Buyers’ Agent should be able to provide you with the license number as well as ABN for any searches.
- Marketing companies or property education “Spruikers” who will sell you education but are not actually registered Buyers’ Agents. At the end of the day, they will not assist you to purchase a property.
- Agent’s that are too pushy to get your service. You must feel comfortable with any agent you work with and ensure they are able to work alongside your team.
If you are looking for a Buyer’s Agent to assist you with purchasing a home or investment property in the Sydney, Brisbane and Newcastle regions, please get in touch with Aus Property Professionals here or give us a call on 1800 146 837!