How to choose the best Buyer's Agent for YOU!
The emergence of Buyer's Agents over the last 10 years in Sydney provides more choices for buyers than ever before. Like any industry, there is a great, average, and plain ugly when it comes to Buyer's Agents. Here are a few things to keep in mind when choosing a Buyer's Agent:
Geographic location
Whether you are searching for an owner-occupied or an investment property, you should choose a Buyer's Agent that is physically located in the area you are wishing to purchase AND is an expert in that area. They know all the ins and outs, the streets which outperform, the streets which are used for the daily 'rat runs', how local infrastructure projects impact the area, and where there is growth potential.
If a Buyer's Agent tells you that they cover the whole country, run for the hills. No one can be an expert in such a large area, and this just means they are using publicly available data to run some basic numbers on the property - and may not even be physically inspecting the property before you buy it.
I've been in Sydney for over 15 years and I've lived in and purchased properties in both the Eastern Suburbs and the Inner West - the two areas on which I now focus. I've watched these suburbs evolve over this time, tracked the property sales, and understand the who is who of real estate agents in these areas.
Industry experience
The barriers to entry for NSW real estate are relatively low, and it is critical that for such a large investment, your Buyer's Agent knows what they are doing and knows this industry. Buying a property is not something that you leave to chance.
I have only been a Buyer's Agent for a couple of years, however, I started as a Property Lawyer transacting on hundreds of purchases and sales for people, backed up with financial services experience in home loans so my experience of how this all fits together is a pretty unique proposition
Timeframes
Most Buyer's Agencies will have a time frame that your agreement is valid. Be mindful if this is anything less than 4 months as it may mean that they end up pushing you towards purchasing a property before the agreement expires and you lose the retainer you've paid. If they haven't yet presented the right property, then the search should continue (within reason).
If what you are looking for actually exists, then you should be able to find it within 3 - 6 months.
You get what you pay for
This could not be more true in real estate! Fees for Buyer's Agent range from a flat fee of $5,000 for an 'online only' right up to 3% of the purchase price. The critical piece you need to understand is what you get for your money. Ask questions like:
How long does your agreement cover our search?
What level of due diligence do you complete?
Do you physically inspect properties before we see them?
'Saving' a few thousand dollars up front by going with a cheaper Buyer's Agent may actually end up costing you hundreds of thousands in the long run if the due diligence was not fully understood and you end up with extensive building or strata repairs, or you buy a property that is a total lemon.
Personality
This may not be as obvious as the top 4 points, however, buying a property is a huge investment and you need to align with the personality of your buyer's agent - you need to be on the same page. Do they see what you see? Do they respect that your time is important and provide you with the right level of information and communication to suit your style?
If you're not on the same page, it will be very hard for you to trust them when they recommend a particular property. If you don't trust them, then you've not chosen the right Buyer's Agent for you.
If you are looking to buy then consider downloading a copy of our free Home Buyer’s Guide.
