Hi
Buyer’s Advocate……………….is it a good way for a reluctant first time investor to go?
Gav.
[email protected]Gav
When you speak of a buyers advocate are you meaning someone who buys a property on your behalf or advises you on what to buy??I’d be looking at whether this person works on a commission and if so would tread carefully as they may be promoting a “great buy” when really they are just the front person for a development that is into ripping off the unsuspecting.
I suggest you do your research on everything before committing.
BB
All property advocated work on commission. That’s fine. But don’t reward them for spending more. Set a target price at the outset and fix the fee (e.g. Target price is $250k. Fee is 1%. Therfore fixed fee is $2,500).
I would suggest firstly considering the qualifications and experience of the advocate (member of real estate institute and valuation experience are, in my opinion, essential). When you are happy with them then get them to suggest some properties. I would review the reasons why they suggest purchasing a particular property. Ensure those reasons are sound and in line with the fundamentals of property investing.
Do your own research (to confirm their assessment).
Cheers
Stu
Property & Finance News
at http://www.prosolution.com.auHi Gav,
Personally, if you have the time, I’d invest my 1% commission, (possibly approx $2500 going by Stu’s last post), and I’d invest it in myself.
I would buy some of Steve McKnight’s CD’s such as “Property Secrets Revealed”. etc…etc..
It is amazing how reading & studying these can really “FAST TRACK” your knowledge & confidence.
Then I would become an active member in this forum, which is full of very knowledgable & friendly investors. The forumites enjoy answering your questions, and trying to assist others.
It is amazing how quickly “the table turns” and you actually become the one helping others on the forum.[
]Why pay others to do something that you will probably do better yourself?, that’s the way that I look at it.
Go on, believe in yourself. YOU CAN DO IT!!![
]Good luck,
Del[
]Thank you Betty Blockbuster, Stuart and wilandel for your replies and advices.
I wish I could believe in myself. I would if I am an expert on the subject. But at the moment I’m still…..a newbie.
Betty Blockbuster…..I either got the Buyer’s Advocate from the API magazine or while surfing the net. They charge, I think 1.1% if I do the leg work and 2.2% if they do everything. I don’t have time to do the leg work.
Wouldn’t Capital Growth out weighs the 2.2%?
[
]Gav.Gav I expect a buyers advocate could no more insulate your property selection from risk, than you studying the property sites and forums for 3 months before you dive in.
Just be sure to get an independant property professional valuation once you have done your homework and have your mind set on a property.
I used Bristow & Associates in Brisbane, about $450 but there are cheaper ones around. They do a full appraisal including rental appriasal range. I’m sure valuers exist in other states.
http://www.bristowvaluations.com/
cheers
007Thanks 007
And thanks for your comments on my other Posts.
Yes….diving in. The thought of Jaws waiting for me in the deep is playing on my mind. But I will dive in……soon.
Gav.
Gavalynn
I think this service is a superb idea and will probably only buy this way. I am time poor and you end up getting just as involved when a deal looks like a go anyway. My buyers advocate cuts out the many unsuitable properties that I would have wasted my time on and we get together and discuss only the potentials. I agree with Stu, choose well, in fact it was Stu that gave me the one Im using now, together with 2 others that I sourced, whom I deal with on many investments not just property.
JarsThanks Jars
Yes I agree if you can find a good one with a good reputation then its worth consdering, if you feel you still prefer guidance. Sounds like a great idea, but I would want to be certain the advocate is not getting a two way deal here with the vendor and you. But as suggested, I’m sure there are some good ones around.
Though I still suggest an independant professional valuation on your first investment by a qualified and recognised valuer, when you are about to make the final choice, just as a saftey net. This could be viewd as part of due dilligence. You want the first one to be the right one.
Once you become more savvy with the market and build trust relationships with vendors, you may prefer to bypass this step.
Thanks again 007
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