Buyer's Agent

[WebBoard]

From: Mike .


Buyers Agents
From: Geoff W
Date: 23 Feb 2001
Time: 18:37:38

Just saw the "Buyers Agent" story on "A Current Affair".

I've been reading posts from Buyers Agents on this forum, and (sorry), from what I've been reading, I haven't known whether to trust or not to trust.

There is a recent post from O/S which indicates they're more a part of the scene there.

I must admit the story gave me more of an idea about what they're about than postings here.

Any thoughts?

 

[WebBoard]

Kristine

Reply: 1
From: Mike .


Re: Buyers Agents
From: Kristine re Buyers Agents as per A Current Affair (long reply, get coffee before reading)
Date: 24 Feb 2001
Time: 23:25:48

Hi, Geoff W

Yes, it was a good snapshot program, covering a few different styles of buying agent.

I thought it interesting that the voice over said of one of the ladies ...she still has her real estate agent's license! Being Victorian where we have to be licensed, I have asked about licensing requirements in other states but haven't received any response from Forum posts, yet.

Anyway, it was good to see the women, as the REIQ Journal article earlier in the week only interviewed four men in Queensland. (Handsome blokes, though! and intelligent, too! Hi, Tony, Ross, Bryan and Mark)

Perhaps, of the small number of buyer's agents in Australia, there are only three women (one of them is me).

Geoff W, a buyers agent is going to represent as diverse a group of buyers, with as many different reasons to buy, as a selling agent represents multifarious sellers.

I talk to investors (how many styles of investor? - turn around, renovators, developers, long term, etc), home buyers, recreational buyers, and because I have an accounting as well as a municipal, real estate and small business (five years, staff of 16) background, I am looking forward to the day someone asks me to find them a business or a factory or a rocket launching site.

Auctions, due diligence, lots and lots of looking, umpteen phone calls, hours on the net, many, many kilometres, then reports to write, photos and brochures to scan, everything to email or post or fax, then lengthy phone calls with the Client to discuss how the hunt is going, fine tuning, and finally, negotiating. I recently lost my voice after the nth call for the weekend on the one negotiation. And the sweet triumph of success - a client, happy with the deal and happy with me (and my boss happy with everybody), cordial relations developed with the selling agent, and hopefully, a happy vendor at the other end.

Good business means that everyone is happy, and the door is open for us all to call again another day.

Sorry to be so long winded - I hope you haven't glazed over by now! I guess when you enjoy your work, its easy to get enthusiastic but hard to know when to stop!

Anyway Geoff W, over to you!

Cheers, Kristine

[email protected]

 

[WebBoard]

Geoff W

Reply: 1.1
From: Mike .


Re: Buyers Agents
From: Geoff W
Date: 25 Feb 2001
Time: 21:15:26

OK, Kristine, Ross, and others,

Now that I've seen a little from the outsiders' view if a buyer's agent, I can see (outside of self-promotions) where they are coming from.

However, perhaps most of all because they are so new in Oz, I still have some lingering suspicion.

If the FBI still has problems (as disclosed this last week) about deciding who is a "double agent", then how can I, as a complete outsider, make the same decision? Wouldn't it be *really* easy for an agent to set up someone as a "buyer's agent", supposedly serving the client, but really working for the vendor?

What is there for me to tell the difference between the two?

Geoff

 

[WebBoard]

Wayne Storey

Reply: 1.1.1
From: Mike .


Re: Buyers Agents
From: [email protected]
Date: 26 Feb 2001
Time: 08:51:35

Are there any more buyers agents that you know of. I am especially looking for some in Queensland.

 

[WebBoard]

Mike

Reply: 1.1.1.1
From: Mike .


Buyer for hire
From: Mike
Date: 24 Feb 2001
Time: 23:07:22

(From: A Current Affair)

Buyer for hire: inside info for home buyers 23 February 2001 Reporter: Kellie Sloane

House hunting is something most people only do once or twice in their lives.

It's a tough and extremely stressful job, especially when you're up against the expertise of agents whose job it is to push the price as high as possible.

Well, that's where buyer's agents comes in. They're industry insiders — often former real estate agents — who claim they can save home buyers thousands of dollars on an average home.

Instead of doing the hard work yourself, a buyer's agent does it for you, from finding the right property to negotiating the right price, even organising pest inspections and solicitors.

"Our brief is to make sure you don't buy the wrong property, pay too much money and that you get it for the best possible price," says David Morrell, a Melbourne-based buyer's agent who says he can save home buyers between five to 10 percent of what they would have paid without his expert bargaining.

David Morrell spent 20 years in the real estate industry — now he gets paid by property purchasers to use every trick he learned on the job to the advantage of his clients.

A buyer's agent generally charges between one and two percent of the house sale price.

The buyer's agent is part of a new trend just catching on in Australia, but it's an established part of the real estate industry in the US where 80 percent of housing sales involve an advocate working to protect the interests of the buyer.

Tony Benedetti, from The Buyer's Advocate in Brisbane says, "I think it's a levelling of the playing field. Sellers engage their own agent to achieve the best possible price."

John Hill, president of the Real Estate Institute of New South Wales, believes there is certainly a demand for buyer's agents as many home buyers don't have the time or the knowledge of the housing market and are willing to pay for the right advice.

However, John Hill warns home buyers to make sure their advocate is working exclusively for them and isn't getting any kickbacks from other agents.

Web Sites:

In SYDNEY: http://www.sydneyhomesearch.com.au/

In BRISBANE: http://www.thebuyersagent.com.au/

In MELBOURNE: http://www.morrellandkoren.com.au/

 

[WebBoard]

Kristine

Reply: 1.1.1.1.1
From: Mike .


Re: Buyer for hire
From: Kristine - [email protected]
Date: 24 Feb 2001
Time: 23:54:13

Mike

Did you tape or transcript A Current Affair or was all that from memory? I'm impressed.

Just one or two points. The journalist erroneously reported that Tony Benedetti is of The Buyer's Advocate. Not so. Tony's company is The Buyer's Agent (refer REIQ Journal article and TBA franchise advertisements. TBA website http://www.thebuyersagent.com.au also covers Sydney & Melbourne as well as Brisbane.

There are other websites for Melbourne, too, but their names escape me at the moment. I'll have to look them up and post them later. There are also "property consultants" in the yellow pages, some of whom can be engaged as buying agents.

As with other other products or services, it is wise to get three written quotes detailing services, charges and expenses before making a decision to engage a professional.

Thanks for the comprehensive reporting

Cheers, Kristine

 

[WebBoard]

Mike

Reply: 1.1.1.1.1.1
From: Mike .


Re: Buyer for hire
From: Mike
Date: 26 Feb 2001
Time: 01:34:36

Hi Kristine,

All three posts including the lead story was a direct copy/paste job from the A Current Affair web site:

http://aca.ninemsn.com.au/stories/552.asp

Thanks, for picking up the typo error re: The Buyer's Advocate. Of course, Tony is The Buyer's Agent.

Bit of trivia: On the A Current Affair site they have a running poll on the question: "Do you think you could get a better price on your home purchase by using a buyer's agent?"

Current result is: Yes: 80%, No: 20%

Regards, Mike

 

[WebBoard]

Mike

Reply: 1.1.1.1.1.1.1
From: Mike .


What is a buyer's agent?
From: Mike
Date: 24 Feb 2001
Time: 23:01:32

(From: A Current Affair Web Site)

What is a buyer's agent? 23 February 2001

(The information in this fact sheet is provided by Sydney Homesearch, a Sydney-based buyer's agency).


What is a buyer's agent?

A buyer's agent is a licensed real estate agent who works exclusively for the purchaser of real estate.

What does a buyer's agent do?

Locates suitable properties.

Researches all the facts which may affect the value of the property.

Negotiates the sale price on the buyer's behalf.

Bids at auction for the purchaser.

Assists with organising property and pest inspections, with solicitors and with finance.

Follows the sale through to a successful settlement.

Helps organise removalists, architects, home stylists and tradespeople.

Arranges the sale of your existing home.

What is the difference between a traditional real estate agent and a buyer's agent?

The real estate agent is commissioned by the vendor to sell his/her home, so the agent is working on behalf of the vendor because it is the vendor who pays the agent his sales commission. Therefore, the agent cannot negotiate the price or terms of a property purchase on behalf of the buyer as he/she is really working for the vendor. The buyer's agent works 100 percent for the property purchaser.

What are the benefits of employing a buyer's agent?

Buyer's agents say they save the purchaser money by negotiating the best purchase price.

Buyer's agents claim to save the purchaser time by doing all the legwork.

Buyer's agents also save the purchaser stress by helping them through the minefield of a real estate purchase.

 

[WebBoard]

Mike

Reply: 1.1.1.1.1.1.1.1
From: Mike .


Buyer's agents FAQs
From: Mike
Date: 24 Feb 2001
Time: 22:57:08

(From: A Current Affair Web Site)

Buyer's agents FAQs 23 February 2001

(The information in this fact sheet has been provided by Sydney Homesearch, a buyer's agent company based in Sydney.)

Q. Why do I need a buyer's agent?

A. Purchasers of real estate need their own agent to represent them in a real estate transaction. It must be remembered that the selling agent works for his client, "the vendor".

Q. How do I choose a buyer's agent?

A. Choose an agent that is a licensed exclusive buyer's agent — one that only works for buyers 100 percent and is a member of the real estate institute in your state, or a buyer's agents association (for example the Buyer's Agents Association of Australia or a similar association in your state).

Q. What sort of fees are involved in employing the services of a buyer's agent?

A. A buyer's agent will normally charge you a percentage of your purchase price with an upfront registration fee. This percentage ranges between one and two percent.

Q. How long does it usually take to find me the ideal property based on my criteria?

A. The normal time frame varies between four weeks to three months depending on the complexity of your requirements.

Q. I am a novice at buying real estate. Will a buyer's agent guide me on the processes involved?

A. A buyer's agent will "hold your hand" through the entire purchasing process from the initial stages of the search to the time of settlement when you receive the keys to your new property. The agents say they:

1. Educate you.

2. Save you money by knowing all the tricks of the trade and by being skilled real estate negotiators.

3. Are your sounding board.

4. Can advise on a choice of solicitors, arrangement of finance.

5. Alleviate the stress of the auction process by bidding on your behalf.

6. Organise all the inspections such as pest and building inspections, engineers and architects.

7. Can advise on the sale of your existing home when choosing a selling agent.

Q. If I have found my ideal property, can a buyer's agent represent me at auction?

A. Yes — they would normally inspect the property to ascertain a good market value and bid on your behalf on the day or negotiate the best possible price with the selling agent.