If you are looking to purchase a piece if real estate as part of a property investment strategy you might come across the term “buyer’s agent” in your research. A buyer’s agent is generally a professional real estate agent who is licensed and will act on behalf of clients when they want to negotiate the purchase of a property. Unlike real estate agents who are acting for a vendor, buyer’s agents are just that – the agents for the buyer. They will act within guidelines based on your specific needs. A buyer’s agent is not authorised to actually sell you property, nor are they allowed to work for both the vendor and the buyer at the same time.
Often people will hire the services of a buyer’s agent when they learn that a property they are interested in is going for auction. Under instructions from their client, the agent will then bid at the auction and participate in any ongoing negotiations if required. Many people, especially if they are inexperienced or first time buyers, do not feel totally comfortable bidding at auction in such a tense and competitive environment. A buyer’s agent can be their clients’ eyes and ears – really their proxy – and communicate via phone meaning the clients do not even have to attend the auction. They usually also be experienced and have insider knowledge of real estate negotiating tactics.
Buyer’s agents can also perform the following services:
- A search for a property investment based on your requirements. Once you have provided them with details such as your budget, requirements (including number of bedrooms and bathrooms, type of property, location and features such as car parking or a garden) and time frame for buying, they will then conduct a search and create a shortlist based on results.
- Assistance with practical issues such as inspection times and private viewings as well as help if the vendor is interested in negotiating a private treaty.
If you are interested in property investment, one of the major downside to using a buyer’s agent is that you will be delegating much of the research and groundwork to someone else. This means that you risk missing out on all the valuable experiences, knowledge and skills that will turn you into an astute and savvy investor. Learning about the property market, the best type of opportunities and the buying process in general will help you later on if you want to expand your property portfolio.
Buyer’s agents are also generally used for existing property purchases – but what if you are looking at buying an off the plan property? In this case it is a good idea to contact a professional property investment company such as Ironfish. Not only will their experts help you create a long-term investment strategy that fits in with your circumstances and meets your requirements, but they will also be able to help you find fantastic pre-market release deals. Rather than act solely as your agent, they will take you through the process of buying an off the plan property step by step, providing access to dedicated research teams and give you the knowledge and experience to become a successful property investor.