Searching for a Buyers Agent? Here’s What Matters
Choosing a Buyers Agent (also called a buyer’s advocate) can improve search efficiency, reduce risk, and help you pay the right price for the right asset. But the value you receive depends on process quality, regulation awareness, and incentives—not promises. This guide explains, in plain English, what a Buyers Agent does in Australia, how to vet one, the fees and conflicts to understand, and the due diligence steps you should insist on.
Who this is for: Home buyers and investors across Australia comparing Buyers Agents in NSW, VIC, QLD and beyond, looking for a clear, non-salesy framework backed by reputable sources.
What a Buyers Agent Actually Does (and Doesn’t)
A Buyers Agent is a licensed real estate professional who acts for the buyer. Typical services include: targeted suburb and asset selection, property search and shortlist, price appraisals with comparables, private-treaty negotiation, auction bidding, coordination of building/pest or strata reviews, and support through settlement. You can hire for the full journey or a specific module (e.g., “assess & negotiate” or “auction-bidding only”). (Fair Trading NSW)
We complement—but don’t replace—your conveyancer or solicitor, who is responsible for legal review of contracts and title, and for managing exchange/settlement steps. (Fair Trading NSW, Law Society of New South Wales)
Regulation & Licence Checks: Your Baseline
Real estate practice is regulated at the state level. In NSW, the Property and Stock Agents Act 2002 and the Property and Stock Agents Regulation 2022 set out licensing, rules of conduct and supervision requirements. Verify both the individual and company on the public licence register before signing an agreement.
The Regulation’s General Rules of Conduct require agents to act honestly, fairly and professionally, protect confidential information, and exercise skill, care and diligence—standards you should expect from any Buyers Agent. (AustLII)
Outside NSW, similar regimes apply (e.g., Consumer Affairs Victoria recognises “buyer’s advocates”), so the “verify first” rule travels with you.
Underquoting & Price Guides: What Will Your Buyers Agent Do?
Underquoting laws are designed to keep selling-side price guides honest but dealing with guides is a big part of a Buyers Agent’s job. Your chosen Buyers Agent should go beyond the guide by leveraging relationships, research and professional tools to assess where true value lies. Calculating market value is a cornerstone of a Buyers Agent’s role. Ask your agent how they appraise value and likely sell range when assessing. (Fair Trading NSW)
Fees & Incentives: Fixed, Percentage, or Hybrid?
Common fee models in Australia include:
- Fixed fee (often tiered by price band/complexity)
- Percentage of purchase price (frequently ~1–2%)
- Hybrid (retainer + success fee)
There’s no guaranteed “saving” from using a Buyers Agent. The value comes from market visibility, appraisals, paying a market-true price, and avoiding costly mistakes. Make the fee conversation about transparency and alignment: scope, inclusions and success triggers.
Mandatory Disclosure of Rebates/Commissions (NSW)
Agreements relating to residential property or rural land must disclose the source and estimated amount of any rebates, discounts and commissions. Without disclosure, the agent isn’t entitled to those expenses. Ask to see the exact clause in your agency agreement. (Fair Trading NSW)
Conflicts of Interest: Questions to Ask Up-Front
- Selling vs buying: If a firm sells and buys, ask for a written conflict-management policy. (REBAA)
- Referral fees: Confirm whether the Buyers Agent (or related entities) receives fees from brokers, inspectors or others. (Fair Trading NSW)
- Developer/vendor payments: Ask in writing whether they ever accept seller-side payments. (REBAA)
Process Quality: How Good Buyers Agents Make Decisions
- Comparable-based appraisal: Evidence-led valuation with recent sales and adjustments.
- Due-diligence choreography: Planning checks, building/pest, strata reports, development research. (NSW Government, Fair Trading NSW)
- Auction plan: Written bidding limits, compliance with registration and conduct requirements. (Fair Trading NSW)
- Privacy & conduct: Expect confidentiality and professionalism. (AustLII)
How to Measure Value (Without the Hype)
- Asset quality: zoning, aspect, noise, flood/fire risk, build quality, strata health.
- Price discipline: defensible valuation range with reasons for changes.
- Risk control: issues identified priced in or negotiated.
- Process speed & coverage: seeing enough of the market quickly.
What to Check Before You Sign a Buyer’s Agency Agreement
- Licence status — verify on the state register. (Fair Trading NSW)
- Professional indemnity insurance — sight a current certificate. (NSW Legislation)
- Scope and deliverables — coverage, inspections, written appraisal, negotiation/auction. (Fair Trading NSW)
- Fees and triggers — fixed vs percentage vs hybrid, GST, expenses. (CHOICE)
- Rebates/commissions disclosure — confirm the clause. (Fair Trading NSW)
- Conflicts policy — do they sell? accept vendor payments?
- Due-diligence plan — building/pest, strata, timing, and who controls reports. (NSW Government, Fair Trading NSW)
Auction-Bidding With a Buyers Agent (NSW specifics)
NSW auctions require registration, ID, and bidder numbers. Conditions (e.g., auctioneer’s rights) must be visible. Your Buyers Agent should manage authority-to-bid documentation and enter with a ceiling tied to the appraisal. (Fair Trading NSW)
Due Diligence: Non-Negotiables You Should Expect
Houses: Independent building & pest inspection, S186 items, surrounding development.
Strata: Strata records inspection to uncover financials, defects, levies, compliance—before you commit. (NSW Government, Fair Trading NSW)
Some ‘Short and Sweet’ Interview Questions
- “What exactly will you deliver as my Buyers Agent?”
- “How do you appraise price?”
- “How are you paid—and what’s not included?”
- “Do you receive any rebates or commissions?”
- “Do you ever sell property or take fees from developers/vendors?”
- “What’s your auction strategy and my walk-away price?”
- “Who does the work, and how many active briefs per agent?”
- “How often do you update me and what will each update include?”
FAQs: Buyers Agent (Australia)
Is a Buyers Agent the same as a buyer’s advocate?
Yes. “Buyer’s advocate” is commonly used in Victoria; both refer to a licensed estate agent acting for the buyer. (Consumer Affairs Victoria)
How do I check if a Buyers Agent is licensed?
Use your state’s public register. In NSW, search the Property Services Licence Check and verify both the individual and corporation. (Fair Trading NSW)
Can a Buyers Agent guarantee I’ll pay less than the guide?
No. There’s no guaranteed saving; the bigger win is buying the right asset at a market-true price and avoiding costly missteps. (CHOICE)
What should be in my buyer’s agency agreement?
Clear scope and fees, plus disclosure of any rebates/commissions tied to your expenses (mandatory in NSW). (Fair Trading NSW)
Do I still need a conveyancer/solicitor if I hire a Buyers Agent?
Yes. They handle contract/title risk, exchange, and settlement; your Buyers Agent should coordinate timing and commercial terms. (Fair Trading NSW, Law Society of New South Wales)
What about auctions?
NSW requires bidder registration and has specific rules. Your Buyers Agent should prepare a written bidding strategy and handle registration/authority to bid. (Fair Trading NSW)
Bottom Line
A Buyers Agent adds the most value when their incentives are aligned to yours and their process is transparent: evidence-based appraisals, disciplined auction strategy, robust due diligence, and frank conflict disclosures. Verify licensing, interrogate scope and fees, insist on written analysis, and judge them by outcomes you can measure—asset quality, price discipline, and risk control—not by marketing promises.
Sources & Further Reading
- NSW Fair Trading — Using an agent to buy property
- NSW Fair Trading — Underquoting guidance
- NSW Fair Trading — Licence check
- NSW Legislation — Property and Stock Agents Regulation 2022
- NSW Fair Trading — Buying property at an auction
- NSW Gov & Fair Trading — Pre-purchase inspection reports
- NSW Fair Trading — Agency agreements
- CHOICE — Do I need a buyer’s agent?
- Consumer Affairs Victoria — Buyer’s advocates
- REBAA — Code of Conduct
Ready to Discuss Your Property Search?
Get in touch with Dan. You can book a call with me here or send an email to dan@unicornbuyersagents.com.au.