Can a buyers agent get below market value in this kind of market?

[ddan]

Hi...

So with the market in Sydney starting to take off and the other capital cities seeming to follow, just wondering where a buyers agent is placed in this kind of market?

My main reason for utilising a BA is if they can get me property's that are 'below market value'. So my question is, in a heated market, do BA's still get access to many 'below market value' property's?

Would certainly be interested in what the BA's on here are experiencing with current conditions?

Thanks.

 

[Ausprop]

not sure a BA would ever pretend to be able to buy below market value - their role is just to assist and provide impartial advice. the trouble is buyers agents and sellers agents all need to be paid by some body

 

[jaspn]

Or you can ask Nathan to kindly share his secret with you!

 

[Jake Milne]

My main reason for utilising a BA is if they can get me property's that are 'below market value'. So my question is, in a heated market, do BA's still get access to many 'below market value' property's?

I would argue that selecting an asset that is more likely to outperform other possible purchases should be the main goal.

I could go and buy you a crappy property at a massive discount and then it may sit there and do nothing for 10 years whereas I could buy you something at market value that appreciates beyond its local area's average CG, making you a healthy profit.

Anyway, to answer your question, yes it is still possible but as the market gains confidence and vendors become cocky it's harder to crunch down purchase prices; especially when you're under competition.

 

[ddan]

Yes sorry I should have stated that.

First priority would be looking for property's that are well located that would give me above average capital gains, secondly - if possible, would be getting it below market value.

I guess I only asked about the BMV, as the above average capital gain is a definite requirement in my book, so was querying the other variable....if that makes sense.

 

[Jake Milne]

Yeah cool, I suggest you contact Chris Gray (just google him). He's an excellent BA in your area who sounds like a good fit for you. Mention my name and he'll be willing to spend of time chatting with you at no cost.

 

[ddan]

thats the guy off the property show on tv right? thanks...will look him up.

 

[Propertunity]

Hi..just wondering where a buyers agent is placed in this kind of market?

Same place, why should it change?
We are still:
1. Inspecting properties before the first Open to the general public.
2. Buying properties that are not listed on the market. (These would be private sales from mailing campaigns we do in selected areas - especially if the selling agents have no / not the right stock.
3. Managing the emotional buyer who is just desperate to buy and therefore loses (sometimes) perspective.
4. Getting our client's offer accepted over many possible others.
......stuff like that.

HMy main reason for utilising a BA is if they can get me property's that are 'below market value'.
So my question is, in a heated market, do BA's still get access to many 'below market value.

Of course they do. People still are getting divorced or suffering relationship breakdown and don't want the neighbours to know. People still lose their jobs, the bank makes moves to sell them up if they don't first. Some selling agents just don't do the right thing by their vendors and are happy for a quick sale to a BAs client (I'd never use these guys to sell a property but I like to use them when buying).

Out of area agents are still mispricing - love these ones.

Granted it is more difficult all the same to find a baaaaaaaargain, mate. But there are always opportunities in ANY market.

 

[ddan]

Thanks propertunity!

I guess there are plethora of things that make people want to sell in that way...makes sense I guess.

 

[Peter_Tersteeg]

I've love my BA to get a property for me below market (currently working with Andrew Alan in Brisbane), but that's not why I'm engaging a BA.

Being in Melbourne, I don't know the Brisbane market at anywhere near the level where I'd be comfortable to make offers, although I do see a lot of good deals from clients purchasing there. For me to fly up to Brisbane every weekend and pay for a nights accommodation, then do that for several weeks to get to know the market properly, then actually purchase a property and so...

Simply put, paying a professional working in my interests to help with a remote purchase will cost me far less than if I tried to do it myself. The outcome is likely to be a far better purchase as well.

 

[KPDN]

Strategy outbeats tactical benefits provided by a BA

Consider the larger picture than looking for a BA who can buy below the market - there are several aspects apart from property price to be taken into consideration. The best buyers agent couldn't save you from a property down turn - the average finance strategist could. So think beyond the next deal .... think time line ..