Buyer’s Agents explained

Buyer’s Agents are licensed real estate agents who work exclusively for property purchasers, where most real estate agents represent the seller (or vendor) of a property. The key difference between them is who the agent works for. If you’re in the market to purchase a property, either as your own home or as an investment, then there are good reasons why you would consider hiring a Buyer’s Agent to assist you.

What does a Buyer’s Agent do?
Buyer’s Agents, also known as Buyer’s Advocates, can perform different functions for property buyers but their basic role is to save you time and money and, together with your mortgage broker, help you to make the right choices. You may choose to use a Buyer’s Agent to help you with the entire process of buying a property – from the initial step of searching the market for suitable properties, through to negotiating the purchase price and supervising the sale process.

Alternatively, you may engage a Buyer’s Agent to represent you for only part of the process. People often use a Buyer’s Agent to negotiate a price, or bid on their behalf at an auction, for example.

Buy with your head, not your heart
If you’re buying your first home – or your first investment property, it’s important to keep your emotions out of the transaction so you get the best deal. We can help you decide on your budget before you even begin to look for your property, which will simplify the process for you a great deal. We can even use our property market data to help you narrow down the search.

However, capital growth is what you need to make a profit from your property purchase and that means negotiating a good price to begin with. If you’re nervous, have difficulty remaining objective or have no experience negotiating prices, a Buyer’s Agent could be very useful in helping you drive a hard bargain.

Buyer’s Agents are experts in the property industry and provide some additional experience that you can rely on. If you’re lacking in confidence, a Buyer’s Agent could be what you need to make that big first step onto the property ladder. Along with your mortgage broker, they will act as an experienced adviser and advocate to guide you through all the details of purchasing a property that can be daunting for first timers. If you require, they will even be present at closing to ensure all your interests are protected.

Cut through the marketing spin
One of the most valuable functions of a Buyer’s Agent is help you locate properties that will be a good buy and bring you capital growth. Their experience allows them to cut through the marketing spin found in advertisements both in print and online, to determine which properties are worth looking at and to locate the ones that might be right for you. This can be particularly important with new build properties – where you’re buying off the plan or from new housing estates where prices are often overinflated. It’s easy to have your head turned by salespeople and glossy advertising, but support from a Buyer’s Agent will help to protect your interests and steer you in the right direction.

Save time, move quickly
In the first weekend of June this year, over 575 properties went up for auction in Sydney alone. Sorting through the sheer number of properties on the market to find the ones that meet your selection criteria can be a very lengthy task, particularly inconvenient if you are time poor! And with a lot of properties to review, it could be difficult to move quickly on the one that’s right for you.

To save yourself time and a lot of confusion looking through websites and advertisements, you can ask a Buyer’s Agent to search the market to create a list of homes that meet your budget and selection criteria. To cut most of the stress and hassle out of the property buying process, you may also choose to have your Buyer’s Agent view the properties on this list, so you only have to spend your own time visiting a shortlist of the most suitable homes.

Get some investing know-how
If you’re a property investor, it pays to have a team of professionals on your side. Your mortgage broker and Buyer’s Agent can make a great investment advisory team and work together with you to formulate an investment strategy that will help you to achieve your personal goals. Your mortgage broker will help you set the budget and formulate a financial strategy, then your Buyer’s Agent can help you locate suitable investments that align with your financial strategy. They can help you move quickly to take advantage of market conditions, and save you a lot of time viewing properties, particularly if they’re out of town or interstate. They can even supervise the entire sales process, saving you time and money.

Experienced Buyer’s Agents who specialise in investment properties often have access to a wider range of properties than those listed online and will utilise their network to connect you with focused opportunities, often ahead of others in the market. Their objective is to help you maximise your investment capital in any way they can. Like your mortgage broker, they put your interests first and go to great lengths to understand your personal financial situation and investment objectives.  What’s more, investors should note that the cost of using a Buyer’s Agent is often tax-deductible when purchasing an investment property or properties.

If you struggle with taking a business-like attitude towards purchasing a property, or are new to the process and feel overwhelmed by the time and effort it takes just to locate a suitable property to buy, let alone secure it, then consider talking with a Buyer’s Agent in addition to us, your mortgage broker!  We can recommend a Buyer’s Agent who will be there for you throughout every step of the process – or just for the areas where you need help. Give us a call about a referral for a Buyer’s Agent today.

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