buyers advocates
- Thread starter dags
- Start date
dags,
David Morrell's book 'Real Estate Myths Exploded' impressed me.
From his book, I gather he is based in Melbourne.
Would love to attend an auction in which he is involved.
http://www.morrellandkoren.com.au/about.html
David Morrell's book 'Real Estate Myths Exploded' impressed me.
From his book, I gather he is based in Melbourne.
Would love to attend an auction in which he is involved.
http://www.morrellandkoren.com.au/about.html
Hi
I'm going through the process at the moment (picking a buyers agent). I would say one of the following is your best option:
http://www.buyingmelbourne.com.au/
http://www.domainbuyer.com.au/index.html
These are not listed in any order of preference.
I'm going through the process at the moment (picking a buyers agent). I would say one of the following is your best option:
http://www.buyingmelbourne.com.au/
http://www.domainbuyer.com.au/index.html
These are not listed in any order of preference.
Buyers advocate
I am based in Melbourne but also purchase for clients internationally. It is really a matter of developing a stratagy. For that you need to research the market and have a strong understanding of where it is going and look at the the areas that are likely to have strong capital growth.
I am based in Melbourne but also purchase for clients internationally. It is really a matter of developing a stratagy. For that you need to research the market and have a strong understanding of where it is going and look at the the areas that are likely to have strong capital growth.
dags said:
Off topic slightly - but I don't see the value in using a buyer's agent. It'll cost your financially and intellectually....I guess it's an easy way out, but remember one thing - knowledge is never a burden....some might say it saves them them time...yeh, but at what expense?...remember, there's always a trade-off...
George
time and knowledge
I do not disagree with all your comments. I think that if clients wish to buy interstate or overseas then it does require a large time committement to buy correctly. All to often I have met with people who have not researched what they are doing and buy the wrong product. It is all well and good for people to say they learn from their mistakes, however in property a mistake can be costly. I have purchased property for clients in Christchurch, but not until I had established network of people to support the investors with property management and finance being of the most important.
Just after Easter I will be going back to the United States, because a company is bringing me over to establish a property management and investment division. Once I am satisfied that everything is in place I will then look at assisting clients there but not before. I am also in the process of acquiring an apartment complex their.
I think the point of knowledge is a good one and I also teach people about the process. I tell them that at the end of the day its their money and they need to understand what I am doing. I have also spent a great deal of money researching the markets. If other wish to do that its great, but not everyone has the knowledge and confidence when starting off or the time if they wish to purchase over seas.
I do not disagree with all your comments. I think that if clients wish to buy interstate or overseas then it does require a large time committement to buy correctly. All to often I have met with people who have not researched what they are doing and buy the wrong product. It is all well and good for people to say they learn from their mistakes, however in property a mistake can be costly. I have purchased property for clients in Christchurch, but not until I had established network of people to support the investors with property management and finance being of the most important.
Just after Easter I will be going back to the United States, because a company is bringing me over to establish a property management and investment division. Once I am satisfied that everything is in place I will then look at assisting clients there but not before. I am also in the process of acquiring an apartment complex their.
I think the point of knowledge is a good one and I also teach people about the process. I tell them that at the end of the day its their money and they need to understand what I am doing. I have also spent a great deal of money researching the markets. If other wish to do that its great, but not everyone has the knowledge and confidence when starting off or the time if they wish to purchase over seas.
Great if your not stuck in the middle of nowhere with no hope of getting anytime to go for a "read of the paper" near mind researching a new property market (sorry always get heated when I have to think about where I am
).The buyer’s agent’s fee is insignificant compared to the potential gain.
Cheeks said:Great if your not stuck in the middle of nowhere with no hope of getting anytime to go for a "read of the paper" near mind researching a new property market (sorry always get heated when I have to think about where I am
The buyer’s agent’s fee is insignificant compared to the potential gain.
Valid Point. I can see sense if its a location thing.
Why use buyers advocates?
Hi,
I believe buyers advocates can often be an integral part of your team if you are time poor or geographically distant from the target area. I have not used a buyers advocate as yet, but have sounded a couple out and considered doing so in the past. At present, my strategy evolves around buying in my local neighbourhood, so I believe I am as much an expert as any local buyers advocate might be.
However, should the Australia-wide property market take off, then I would have no qualms whatsoever in engaging the services of a buyers advocate in an area where I believe there to be significant potential capital growth, but where I have little detailed "on-the-ground" exposure to the specific properties in demand that are relatively under-valued.
The apparent amount of money a good buyers advocate can save you by purchasing well on your behalf, is substantially higher than the fees they tend to charge in my experience to date. These fees seem to be in the order of $10K per property very roughly, and that is a relatively small proportion of say a $500K property purchase.
To each their own. I'm not advocating that everyone utilise the services of a buyers advocate, but I am suggesting that they can be the right solution for certain circumstances. Lets not forget the law of comparative advantage...
Regards,
Michael.
Hi,
I believe buyers advocates can often be an integral part of your team if you are time poor or geographically distant from the target area. I have not used a buyers advocate as yet, but have sounded a couple out and considered doing so in the past. At present, my strategy evolves around buying in my local neighbourhood, so I believe I am as much an expert as any local buyers advocate might be.
However, should the Australia-wide property market take off, then I would have no qualms whatsoever in engaging the services of a buyers advocate in an area where I believe there to be significant potential capital growth, but where I have little detailed "on-the-ground" exposure to the specific properties in demand that are relatively under-valued.
The apparent amount of money a good buyers advocate can save you by purchasing well on your behalf, is substantially higher than the fees they tend to charge in my experience to date. These fees seem to be in the order of $10K per property very roughly, and that is a relatively small proportion of say a $500K property purchase.
To each their own. I'm not advocating that everyone utilise the services of a buyers advocate, but I am suggesting that they can be the right solution for certain circumstances. Lets not forget the law of comparative advantage...
Regards,
Michael.
saves time and money
I firmly believe that a good buyers advoacte will save you time and money. I know the amount of time and research I commit before looking at any new location I purchase in. I also take the view that I will not look at a deal I would not prepare to buy myself.
Yet I find it funny that some people that I talk to would rather buy an off the plan property through a marketing company where the built in fees can be over $25,000 rather than use an advocate who charge a lot less and provide a much more detailed service.
I firmly believe that a good buyers advoacte will save you time and money. I know the amount of time and research I commit before looking at any new location I purchase in. I also take the view that I will not look at a deal I would not prepare to buy myself.
Yet I find it funny that some people that I talk to would rather buy an off the plan property through a marketing company where the built in fees can be over $25,000 rather than use an advocate who charge a lot less and provide a much more detailed service.
I've used Morrell & Koren. They did the job nicely for me, their fee was 1% of purchase price if I sourced the property, 2% if they sourced it. Unfortunately I was short on time so didn't have the opportunity to see what they could turn up for me & my choice was limited in the suburbI was looking in (there was one hell of a lot of cabbage around at that point in time & not many decent properties for PPOR's).
Basically they inspected properties, had potential contracts reviewed (picked up one major issue on one I was thinking on bidding on), advised on price range, then did the bidding for me.
Would I have got it cheaper without them, No as I bought at auction, would I have got it for the same price, possibly, but they made my job at the auction VERY easy & it was a great education watching them operate. The comment from a friend when she found I was bidding on 3 houses that day was about how relaxed I was.
A useful tool & a good education experience for next time when I do it myself
Cheers
Mark
Basically they inspected properties, had potential contracts reviewed (picked up one major issue on one I was thinking on bidding on), advised on price range, then did the bidding for me.
Would I have got it cheaper without them, No as I bought at auction, would I have got it for the same price, possibly, but they made my job at the auction VERY easy & it was a great education watching them operate. The comment from a friend when she found I was bidding on 3 houses that day was about how relaxed I was.
A useful tool & a good education experience for next time when I do it myself
Cheers
Mark
Just a question for the Forum - If you are having an Auction in your back yard can you legally kick an Auction Disrupter like Morell out.
I would have thought that, If I were a vendor hosting an Auction by extending an invitation to the public to attend I am well within my rights to eject someone who subsequently I dont want on my private property?
any thoughts?
I would have thought that, If I were a vendor hosting an Auction by extending an invitation to the public to attend I am well within my rights to eject someone who subsequently I dont want on my private property?
any thoughts?
there are new law ( well have been in existance for a couple of years) that deal with people that intentionally disrupt an auction.
Please advise if you require the exact wording of the law and Ill will message it to you.
There are penalties that apply to people that intentionally disrupt a public auction
Please advise if you require the exact wording of the law and Ill will message it to you.
There are penalties that apply to people that intentionally disrupt a public auction
Buyer agent bidder...
Hi...
Buyer agent bidders can cause havoc at an auction. Here's a few example...
#1. Blast bids.... Just bid straight to a high set figure and stop.
#2. Bid and withdraw the bid. (It's funny when it happens.) Please note you cannot wthdraw a bid a auction. But it pisses off the auctioneer.
#3. Keep asking what the reserve is and/or are we at the reserve.
#4. Just bid a strange number and the entire auction will stop and try to work out in their heads what your bid was... $348,547
#5. Double team the auctioneer. Bidder "A" keeps bidding and stops while Bidder "B" steps in and is the highest bidder. (Agent gets confused because they have no idea who the hell bidder B. But in reality it's the same buyer using 2 or more bidders.)
#6. Double team it fast. Same as #5. Bidder A and B start low and keep bidding at their own predeteremd pace and amount. $220, $230, $235 $236, $237, $238, $239... just bang, bang, bang. Take the control from the auctioneer.
#7. Keep asking who has the bid ??? (The tree, the mobile, a salesperson?)
FUNNY STORY --- A high profile Gold Coast agent (small office) actually sold a prestige home to one of their salespeople by mistake. I wish I was there
- Ross
It's been a slow morning... since I'm still waiting for a
for sale sign proof to return. I'm an r/e agent.
Hi...
Buyer agent bidders can cause havoc at an auction. Here's a few example...
#1. Blast bids.... Just bid straight to a high set figure and stop.
#2. Bid and withdraw the bid. (It's funny when it happens.) Please note you cannot wthdraw a bid a auction. But it pisses off the auctioneer.
#3. Keep asking what the reserve is and/or are we at the reserve.
#4. Just bid a strange number and the entire auction will stop and try to work out in their heads what your bid was... $348,547
#5. Double team the auctioneer. Bidder "A" keeps bidding and stops while Bidder "B" steps in and is the highest bidder. (Agent gets confused because they have no idea who the hell bidder B. But in reality it's the same buyer using 2 or more bidders.)
#6. Double team it fast. Same as #5. Bidder A and B start low and keep bidding at their own predeteremd pace and amount. $220, $230, $235 $236, $237, $238, $239... just bang, bang, bang. Take the control from the auctioneer.
#7. Keep asking who has the bid ??? (The tree, the mobile, a salesperson?)
FUNNY STORY --- A high profile Gold Coast agent (small office) actually sold a prestige home to one of their salespeople by mistake. I wish I was there
- Ross
It's been a slow morning... since I'm still waiting for a
for sale sign proof to return. I'm an r/e agent.
RAC,
They're not putting people off, they're attempting to control the auction for the benefit of their client. My BA had the auctioneer hurry up (very politely) late in the auction when it had stalled by informing him that she "had another caution to go to, could he please move it on". At that point the auctioner was trying his best to elicit higher bids from more people. A nice technique she used, nicely timed. Nothing underhand, just interrupting his attempt to get people to bid higher than they obviously wanted to. Was he doing his job for his client, yes, was she doing her job for her client, yes. Can't see a problem myself. In fact another RE agent who was there commented to her afterwards, "I'll call you next time I'm buying".
As for ejecting people the auctions I've been to in Melb have been on the street in front of the house.... also given BA's are only employed by people who are serious about bidding, why would you want to exclude them if they're playing within the rules ? BTW the rules at auctions are fairly loose & have been interpreted to work in the sellers advantage for a long time (why else would aucitons be so popular).
They're not putting people off, they're attempting to control the auction for the benefit of their client. My BA had the auctioneer hurry up (very politely) late in the auction when it had stalled by informing him that she "had another caution to go to, could he please move it on". At that point the auctioner was trying his best to elicit higher bids from more people. A nice technique she used, nicely timed. Nothing underhand, just interrupting his attempt to get people to bid higher than they obviously wanted to. Was he doing his job for his client, yes, was she doing her job for her client, yes. Can't see a problem myself. In fact another RE agent who was there commented to her afterwards, "I'll call you next time I'm buying".
As for ejecting people the auctions I've been to in Melb have been on the street in front of the house.... also given BA's are only employed by people who are serious about bidding, why would you want to exclude them if they're playing within the rules ? BTW the rules at auctions are fairly loose & have been interpreted to work in the sellers advantage for a long time (why else would aucitons be so popular).
MarkR said:
Some might argue that auctions actually benefit the selling agents more so than the vendors
After all, advertising fees are still payable in most circumstances (auction campaigns are held over a set time period with lots of pretty pictures going into glossy mags) along with the auctioneer's fees, signage etc. Nothing quite like the added pressure of 3-4 REA's in your face when your property's not reached it's reserve, to entice you to "put in on the market" when it really wasn't your plan in the first place. Vendors are already counting the dollars spent on the advertising campaign and the thought of having a tainted "stale" property passed in is just too much for some of them to cope with.... vendors under pressure can act quite differently when there's a captive audience waiting with bated breath in their back garden. Then again, buyers under pressure can also make hasty decisions and regret them later on... Auctions also give individual agencies terrific advertising coverage, as the ad campaigns are often more widespread and BIGGER than your run of the mill private treaty listing. Also allows heaps of potential new vendors coming through OFI's for the REA to chat to....
Naturally, auctions are terrific in some markets and for some particular types of property (unique in features, location, building era etc) but I still think they're not necessarily always to the advantage of the seller.
Mark, I have to disagree. I LOVE auctions. Especially in a flat market. They are great for buying a bargain, but I would NEVER sell at auction. Not unless the market was overheated, or there was something especially desirable about my property.MarkR said:
I don't quite know why they are so popular in Melbourne. I think the ones who make the most from the Auctions are the Real Estate Agents with their high priced advertising campaigns.
