Those looking to purchase a home or investment in the current Australian property market are in a good position with more vendors dropping their asking price in order to sell.
During the March quarter, property values nationwide dropped a combined 2.1 percent!
In February the discounting rate amongst vendors across the country was 6.5 percent for houses and 6.6 percent for units.
But if you loathe the negotiation process that comes with buying property you may be interested in employing a buyer’s agent.
What is a buyer’s agent?
A buyer’s agent works exclusively in the interest of the buyer and offers professional advice throughout the entire purchasing process – working to ultimately bring the property price down.
They can look for potential properties for you to buy, attend open inspections, bid for you at auction, negotiate the sale price with the real estate agent and even help with the legal work– essentially they can handle as much - or as little - of the sales process as is required.
In America, 80 percent of property transactions include the use of a buyer’s agent!
What are the benefits of a buyer’s agent?
• Offers expert knowledge and experience in the property industry
• Takes the stress out of buying a property
• Saves you time
• Gives you access to “off the market” sales, ie: properties that aren’t publicly advertised for sale yet
• Offers professional representation at auctions
“The property market is arguably the most competitive in the country and if you’ve ever been inside an auction room, you will have seen how the real estate agent operates,” says David Cohen, co-founder of Sydney based agency Buying Smart, www.buyingsmart.com.au. “They jump from buyer to buyer trying to get the highest bid for the vendor, so it only makes sense to have an expert representing you - the buyer - during the auction.”
The cost depends on the services you choose and the cost of your property but generally starts at around $2,500 for the whole package and goes up from there. If you just want a buyer to bid at auction it is around $500.It’s not a cheap service but if it saves you time and money, it could be well worth the investment.