…
I have never personally worked with a buyer’s agent. But from what I have seen they are good for two things:
1. For the home owner who wants something very specific for their home. This might be a relocation or it might be finding the home of their dreams
2. For the lazy investor. Someone with money, but no time to invest it. They send a buyers agent out to buy property for them.The first reason is good, the second reason I would never use. Mainly because of the expense. Buyer’s agents charge you 2-3% on the purchase price of a property. On a $600,000 investment property you are looking at $12,000-$18,000. The problem with that fee is that it nullifies the first $12-$18k in profit you make. But if it is a long term investment it could be worth it.
I started http://CashFlowInvestor.com.au because I wanted to offer people a cheaper option than the buyers agents are charging. Basically I find positive cash flow property and give the details to my members. I do less than a buyer’s agent would do, but I do the hard yards (finding the positive cash flow properties).
I am also looking at doing some buyer’s agent work myself. I have some clients who want very specific properties (such as vendor finance deals and positive cash flow properties in specific areas) and so I am looking to become a buyer’s agent for those clients.
Are you looking at using one yourself? or becoming one? What makes you curious?
Ryan McLean
http://CashFlowCapital.com.au
Positive Cash Flow Properties Are Just a Click AwayRyan McLean | On Property
http://onproperty.com.au
Email MeAfter extensive research i have just used We Find Houses (for my 2nd investment), who have been operating for 9yrs and have a very reasonable flat fee for service and do deliver on what they offer, they even got the finance approved for me. I found the whole process was made so much easier than doing my 1st by myself, having the expertise and another person on my side really helped and took away alot of the stress. Not only did they make sure i secured the deal, they also managed to reduce the purchase price by negotiating with the seller when a couple of minor things came back in the building report which well and truly made up for the fee they charge.
I've used a RE agent as a buyers agent, informally. Gave the REagent a brief about what I was looking for, and he found it, listed with another agent, negotiated a deal between the two of them to share the commission and brought us to inspect the house. We looked at a few houses, bought one of them which matched his brief perfectly and were very happy with the whole arrangement. I've since asked other agents to do the same thing for me, and found they're not interested. When buying in another city, I found it really cut down on time looking at properties, I also found my RE agent to be quite a cut throat negotiator and he got us a good price. I've since tried to do business with him again but I can't find him, and one of his competitors told me that he had become an alcoholic and dropped off the radar, but then again, RE agents will tell you anything. Wonder he didn't tell me old mate had been abducted by aliens.
You must be logged in to reply to this topic. If you don't have an account, you can register here.
