What Does a Residential Buyer’s Agent Do?
Buying property, be it your home or for investment purposes, is a huge financial decision and one that should not be made lightly. There are a lot of factors to consider, from location and price to condition and amenities.
So, it’s important to have a team of trusted experts by your side to help you navigate the process. For example, lawyers can review the contract of sale, make sure you're getting what you're paying for, and protect your interests. On the other hand, a mortgage broker can provide you with the best financing options that will help you make the purchase.
Another key member that you should consider adding to your team is a buyer's agent. They’ll have extensive knowledge of the local market and can help you find the right property for your needs. They can also provide guidance on negotiating and pricing.
Choosing the right buyer’s agent (amongst the other property professionals) will make the purchase process smoother and less stressful, so you can focus on finding the perfect property.
Here’s what you need to know.
How Can a Buyer’s Agent Help You with Your Property Purchase?
A buyer's agent is a licensed professional who represents the interests of buyers in real estate transactions. Their services are retained by the buyer, and they work to find, negotiate, and purchase property on behalf of their client.
Buyer's agents can be an invaluable asset to investors, as they can handle the whole research and purchasing process for you. This is very advantageous for any investor, and particularly if you're inexperienced, nervous, or time-strapped.
Another key benefit of working with a buyer’s agent is that they often have access to properties that are not yet on the market. This can be especially helpful if you are looking for a specific type of property in a highly competitive market. While many buyers focus their search on properties that are listed online, a buyer’s agent will often have connections with sellers who are not yet ready to list their property publicly.
Beyond that, a buyer’s agent will help you with:
sales and data research;
due diligence;
recommending building and pest inspectors, conveyancers and property managers;
negotiation of property purchases; and
supporting you through the purchasing process.
How Are Buyer’s Agents Compensated?
In most cases, agents work on a commission basis, meaning they only get paid if and when they successfully help you purchase a home. The commission is typically a percentage of the home's purchase price.
While this arrangement may seem like it gives the agents an incentive to sell you a more expensive home, in reality, most agents are motivated by the satisfaction of helping their clients find the perfect property.
In fact, you should be wary of those who work for "free," because if you’re not paying them, then someone else is, which means they may not have your best interests at heart.
Additional Benefits of Working with a Buyer’s Agent
Other than the benefits discussed earlier in the article, such as off-market properties and stress-minimisation, a buyer’s agent can help you expand your horizons to find the best possible investment.
A lot of investors end up buying in their backyard because they feel comfortable that they understand the area, and they don’t consider buying interstate. There are thousands of markets within Australia, all with different growth drivers and at different stages of their property cycles.
Engaging an experienced buyer’s agent with an in-depth knowledge of an interstate market you may not have purchased on your own could really fast-track and grow your portfolio.
How to Find a Buyer’s Agent
Here are a few tips on how to find a great buyer's agent:
Talk to friends and family who have recently purchased a home. They can provide first-hand recommendations of agents they worked with and liked.
Meet with several different agents before making a decision. This will give you a chance to get a feel for their personality and see if you're compatible. After all, you'll be working closely with your agent during the home buying process, so it's important that you feel comfortable with them.
Ask each buyer's agent you meet about their experience and expertise. You want to work with someone who knows the ins and outs of the real estate market and is up-to-date on the latest trends.
Pay attention to how well each agent listens to your needs and location preferences. They should be able to quickly identify properties that match your criteria.
Finally, choose an agent you trust and who you feel confident will help you find the perfect home for your budget and needs.
Key Takeaways
Real estate can be a great way to invest your money and achieve financial freedom, but it's important to work with an experienced professional who can help you navigate the market and find the right property for your needs.
That's where I come in.
As a licensed real estate agent based in Sydney, Australia, I’ve helped thousands of clients successfully purchase quality commercial and residential properties across the country. Whether you're looking for an investment property in a metropolitan area or a regional location, I have the knowledge and experience to help you find the right property and get the best possible price.
I’m passionate about helping others achieve their financial goals and would be delighted to help you do the same. If this sounds like something you’re interested in, get in touch today to get started on your property search.