Why use a Buyer’s Advocate or Buyer’s Agent?
A Buyer’s Advocate or Buyer’s Agent is a licensed Real Estate Agent that works for the buyer exclusively. This helps level the playing field in the negotiation and due diligence process.
The selling Agent represents—and is required by law—to act in the best interest of their principle (Vendor). This imbalance can interfere with the negotiation process and may put buyers at a disadvantage.
The principle pays the selling agent a commission based on their Sales Agreement. The selling agent must work in the best interest of the vendor in this case. The selling agent is contractually obligated not to assist a buyer.
A buyer’s advocate or buyer’s agent is paid by the buyer and is contractually obligated to only assist the buyer.
This can include market research and suggestions on where to buy based on budget and property types. This requires a Comparative Market Analysist (CMA) plus assessment according to your specific needs. And of course, negotiation.
A good buyer’s advocate will balance the buying process. This puts buyers back on the front foot.
Who uses a Buyer’s Advocate?
Anyone intending to purchase a residential property in the State of Victoria. The REIV recommends that purchaser(s) obtain representation by a Licensed Buyer’s Advocate prior to purchasing a residential property, likened to a pre-purchase inspection by the RACV on a used vehicle. Satisfying knowledge, you have made the right choice with no attached grievances.
How it all Begins
Take advantage of our FREE initial meeting (1 Hour) to discuss and assess your needs to develop budget requirements to secure your property. If you are comfortable proceeding with a negotiated fee structure and an initial contribution payment, in conjunction with a signed Authority to Proceed, the contribution fees will be divided into a 4 tier basis, based on delivery of services provided: –
- Needs Assessment
- Search Assessment
Whether you are an owner occupier or an investor we can start off by discussing what you NEED. It is the starting point a no obligation meeting. At this point we flesh out your budget and requirements, direction for the next step
As an outcome of our Needs Assessment meeting, we search the Net portals of recent SOLD Properties and current For Sale Properties, contact Agents and discuss further the outcomes of our research on your behalf. Set up appointment(s) on selected property(s) and attendance. Noting on client worksheet, tracking trends in the current market to establish estimated projected purchase prices. As agents are reticent to provide accurate pricing, property search portals are utilised to substantiate sales data.
NOTE an additional fee will be charged for Attendance by Buyer Advocate at OFI and/or private inspections as with attendance at Auction on behalf of the buyer.
From the first 2 assessment which takes both expertise and experience. It is not simply working out whether you can afford the property but also estimate the costs of any changes such as Licensed Build and or Pest Inspection, Vendor Statement analysis establishing financials for funds to complete. This can be completed by a simple estimate as required, but if there are complexities, recommendations would be to obtain reports as required.
The art of Negotiation, taking control of the transaction. With the Selling by Auction process becoming more popular due to a “humming “market, however there is a process to navigate prior to a successful winning bid. Strong positioning strategies are the key of which we will discuss prior to attendance. There are other methods of sale that Selling Agents recommend to their Vendors, not necessarily as a selling strategy but as a point of difference from other Agencies, some are complicated, non-transparent and scream “Buyer Beware”. Set Sale Date, Sealed Bid, Sale by Tender are processes that are utilised to destabilise the Buyer to where at times, results in the Buyer bidding against themselves. Auction and Private Treaty, (Private Sale) are certainly the most transparent, but as stated navigating to a successful result takes years of experience irrespective of qualifications.
By cutting through the Jargon, the processes, the designer suits, the flash cars, Real Estate is a simple business, we eat and breath it every day. Stats from old indicated the turnover of an average home was every 9 yrs. With an average of 10% growth rate p/a. In this time frame not much changed, predictable. But with the current market Capital Growth Rates have gone through the roof and houses can be “flipped” with good profit in as little as 1 – 3yrs. Legislation is constantly being made and enforced to counter inadequacies in Consumer Law as a result. That’s where we star, keeping abreast of the changes, delivering positive outcomes underpinned by over 22 years in the business. Make the right CHOICE consider HBSadvocacy as your SELLING Agent, you will be pleased you did.
What is the right price?
By sifting through current to present sales data, professionally collated, (not cheap out-dated figures) information that supplies accurate sales data, such as number of rooms, baths, toilets, bedrooms, living areas, Age, Façade, entertainment facilities, car accommodation/available spaces, land size, zoning, how many owners, property address, analysing what your competition may pay for this home. The Property Report outlines comparable sales based on your identified needs, establishing a price range, price shift, trending indicators. Information paramount to your decision to purchase your most valuable asset. YOUR HOME
If you think this is the property to go for then we produce a property report.
NOTE there is a property report fee for each report.
The property report covers the main thought processes, analysing whether the property would be a good buy or not. Indicators are, position, presentation and price, (value for money) based on, land size, suitability matching your criteria, pros and cons analysis, building condition.
For more information on assessment of the property market or if you are ready to chat please call us me on 0412 136 578 or take a minute to fill in the email comments as “Your Needs” and we will contact you as soon as possible.