First Home Buyer Sydney: Avoid Mistakes & Win

First Home Buyer Sydney: Avoid Mistakes & Win

Buyers agents aren’t a luxury for trophy homes—they’re often most valuable for first home buyers. When you’re buying your first property in Sydney’s fast-moving market, the knowledge gaps are wide, the stakes are high, and small mistakes can cost tens (or hundreds) of thousands. A methodical, data-led process helps first-timers avoid errors, out-position experienced competitors, and secure the right home at the right price.


This guide focuses on the Sydney market as a whole—not just one pocket—because planning rules, supply, demand and campaign dynamics vary across the city. The goal is to give you clear, non-salesy guidance you can use immediately.


  • The key mistakes first home buyers make (and why they happen).
  • Exactly how we address each mistake to put clients ahead.
  • Practical frameworks, checklists and scripts you can adopt today.


Why First Home Buyers Are at a Disadvantage (and How to Flip It)


First-timers face three structural challenges:


  1. Information asymmetry: Selling agents transact property daily. First home buyers do not. There are persistent gaps in valuation, campaign reading, contract and strata risk, auction rules, and planning overlays.
  2. Pace and liquidity: Good properties in Sydney rarely linger. Many sell pre-auction or after only a couple of opens, and the best ones sometimes trade off-market.
  3. Emotional noise: FOMO, underquoting pressure, and auction theatre push buyers to stretch beyond fair value—or worse, compromise on fundamentals.

A buyers agent solves for this with a repeatable valuation method and risk triage; access to off-market and silent stock (plus early pre-market opportunities); a negotiation and auction playbook that’s rational under pressure; and live awareness of planning reforms like TOD and LMR that will reshape local supply, density and amenity.



The Biggest First Home Buyer Mistakes (and How We Solve Them)


1) Misreading Price Guides & Overpaying at Auction


Mistake: Treating guides as valuation truth or getting swept up on the day.


How We Put You Ahead: Build a comparable-sales model (same micro-context, 6–12 months, adjusted for land content, floor-plan efficiency, light/outlook, parking, and condition). Set a fair, stretch, and walk-away number before you negotiate or bid. Run a scripted auction method (tempo, increments, planned pauses) to keep emotion out of your paddle.


2) Chasing “Shiny” Over “Sound”


Mistake: Paying a premium for styling while missing light, ventilation, noise, drainage, or unfixable floor-plan constraints.


How We Put You Ahead: Use a 30-Minute Inspection Checklist (light path, cross-breeze, privacy lines, roofline, subfloor ventilation, moisture clues, practical parking). Weight enduring value drivers (site, plan, outlook, privacy, noise) over cosmetic finishes that can be updated later.


3) Skipping Contract, Strata & Title Due Diligence


Mistake: Not scanning special conditions, easements, by-laws, exclusive-use areas, pet rules, or upcoming special levies.


How We Put You Ahead: Contract review with a property solicitor or conveyancer before money changes hands. Strata report triage: sinking fund health, defects, legal compliance, capital works history, insurance, and short-stay policies. Negotiate protective adjustments (clauses, inclusions, settlement timing) that de-risk your position.


4) Rushing—or Skipping—Building & Pest


Mistake: Discovering structural, moisture or pest issues post-exchange, or overreacting to normal wear-and-tear.


How We Put You Ahead: Commission independent building & pest (houses) or building condition review (apartments). Convert findings into costed options: repair now vs monitor vs exit, and leverage real issues in price/terms.


5) Ignoring Micro-Location, Amenity & Infrastructure Signals


Mistake: Focusing on a suburb headline and missing the street-by-street reality.


How We Put You Ahead: Build micro-maps of street tiers: traffic load, gradient, noise corridors, flood lines, industrial proximity, walkability. Track infrastructure signals (transport, health, education, recreation) that shift desirability and long-term value.


6) Underestimating Total Cost of Ownership


Mistake: Budgeting for price only, forgetting stamp duty, conveyancing, inspections, urgent repairs, levies, insurance, and maintenance.


How We Put You Ahead: Deliver a line-item budget (purchase + acquisition + year-one works + recurring costs). Provide a post-settlement plan with priority fixes, staged upgrades, and expected value uplift.


7) Poor Offer Architecture (Too Slow, Vague, or Soft)


Mistake: Making “floaty” offers that don’t compel acceptance, or missing inflection points in the campaign.


How We Put You Ahead: Build a clean, confident offer: price, expiry, deposit %, settlement, inclusions, proof of capacity, solicitor details. Decide when to go firm (subject to contract where appropriate) and when to hold. Reduce friction for the vendor/agent so your offer is the easiest to say yes to.


8) Mishandling Pre-Auction Offers


Mistake: Revealing too much too early, or forcing the property into an auction you can’t win.


How We Put You Ahead: Read vendor motivation and buyer depth before moving. Use a two-step sequence (anchor → decisive close) or deliberately hold to exploit weak depth. Keep your cap intact; don’t become the auction’s price-setter.


9) Falling for Underquoting Time Sinks


Mistake: Burning weekends chasing properties that will never sell near the guide.


How We Put You Ahead: Apply a guide sanity-check: agent language + recent comps + days-on-market + enquiry tone. If the spread is unrealistic, either prepare for the real number with discipline—or move on.


10) Buying on “Future Reno” That Won’t Happen


Mistake: Assuming easy DA/CDC wins, then colliding with heritage, overshadowing, setbacks, tree controls, or infrastructure constraints.


How We Put You Ahead: Conduct a quick feasibility review: zoning, controls, conservation/heritage, FSR and height, privacy, overshadowing, and tree policies. Speak to the right professionals early; price-in realistic timing and cost.


11) Not Using the Right Team (Early Enough)


Mistake: Relying on friends, or bringing in experts after momentum has stalled.


How We Put You Ahead: Core roster: solicitor/conveyancer, building & pest/strata specialists, valuation-minded acquisition team, plus lender/broker if needed. A shared deal room keeps everyone aligned on facts and deadlines.


12) FOMO vs Analysis Paralysis


Mistake: Either snapping up the wrong home or never buying at all.


How We Put You Ahead: Define a buy box (must-haves, nice-to-haves, hard red lines). Weekly pipeline scorecards maintain momentum without compromising fundamentals.


13) Negotiating on Price Only


Mistake: Trying to beat experienced competitors on one dimension.


How We Put You Ahead: Win on terms: settlement flexibility, inclusions, deposit structure, early access for trades, and certainty of execution. Package you as the lowest-risk buyer—which often beats a slightly higher dollar number.


14) Not Accessing Off-Market and Silent Listings (New)


Mistake: Competing only where everyone else can see you—on the portals.


How We Put You Ahead: Maintain live relationships with Sydney sales agents to access off-market and silent stock, plus pre-market previews. These deals can reduce bidder depth, improve negotiation leverage, and sometimes allow clean execution at fair value without the theatre.


15) Not Being Across TOD & LMR Planning Reforms (New)


Mistake: Ignoring how Transport-Oriented Development (TOD) and Low & Mid-Rise (LMR) reforms are changing density, yield, overshadowing, traffic patterns, amenity, and noise—impacting both risk (construction activity, neighbourhood change) and opportunity (longer-run value, livability, services).


How We Put You Ahead: Map your target area against TOD/LMR catchments and current rezoning stages. Identify streets likely to see change (or to remain comparatively stable). Price-in near-term disruption risks (build activity, parking pressure) versus long-term upside (amenity uplift, transport access, services). Avoid being surprised by what can be built nearby, and target pockets where reform is likely to improve value rather than erode it.



Our Sydney-Wide First Home Buyer Acquisition Process


Phase 1: Strategy & Brief


  • Clarify lifestyle needs, future plans, practical constraints, and non-negotiables.
  • Define the buy box and pricing method.
  • Overlay TOD/LMR and other planning signals so we’re hunting where policy is your tailwind, not your headwind.

Phase 2: Market Coverage (On-, Pre- and Off-Market)


  • Daily scanning of portals and agency websites; targeted calls to selling agents.
  • Activate off-market and silent channels to surface properties that won’t go public.
  • Shortlist with live scorecards and comparable-sales anchors.

Phase 3: Due Diligence & Valuation


  • Contract/strata reviews and building & pest.
  • Tighten the value band (fair/stretch/walk-away) and draft offer architecture.
  • Flag planning overlays (TOD/LMR, heritage, flood, flight paths) before decisions.

Phase 4: Negotiate or Bid


  • For private treaty: present a clean, compelling offer with minimal friction for acceptance.
  • For auction: execute our discipline playbook—tempo control, increment strategy, pre-planned pauses, and zero emotion.

Phase 5: Exchange, Settlement & Aftercare


  • Manage exchange mechanics, cooling-off where applicable, insurance timing, and settlement logistics.
  • First-year plan for renewals and improvements, prioritised by cost/benefit and livability.


What “Edge” Looks Like for a First Home Buyer


  • Less Competition: Off-market and silent listings reduce crowd dynamics.
  • Better Decisions: Comparable-sales valuation + due diligence = fewer bad surprises.
  • Campaign Read: Know when to go early, when to wait, and when to walk.
  • Policy Lens: Understand TOD/LMR impacts so you’re not blindsided by neighbourhood change—and can position for amenity uplift.
  • Offer Quality: Clean terms, simple execution, and low-risk presentation win deals other buyers miss.


Practical Tools You Can Use Now


A. 30-Minute First Inspection Checklist


  • Light & Ventilation: Aspect, cross-breeze, overshadowing.
  • Noise & Privacy: Traffic, rail, commercial interfaces, view lines.
  • Structure & Moisture: Roofline, gutters, subfloor ventilation, damp clues, cracking patterns.
  • Services: Electrical board, hot water age, visible plumbing, internet readiness.
  • External Risks: Trees near footings, drainage path, retaining walls.
  • Apartment Extras: Strata noticeboard clues, common-area condition, lift maintenance, parking practicality.

B. Comparable Sales Framework (Quick)


  • Same or highly similar micro-context, last 6–12 months.
  • Adjust for land content, plan efficiency, outlook/light, noise, parking, and condition.
  • Establish a value band and walk-away cap.

C. Offer Architecture Template


  • Price + expiry + deposit % + settlement + inclusions + proof of capacity + solicitor details.
  • Decide whether to include a 48–72 hour fuse to prevent being shopped.

D. TOD/LMR Reality Check (5-Minute Scan)


  • Is the property inside a TOD catchment or subject to LMR uplift?
  • What could be built adjacent or opposite within 5–10 years?
  • Do you welcome nearby amenity density—or would it impair your livability?
  • Price accordingly.


Frequently Asked Questions (First Home Buyer Focus)


Do first home buyers really need a buyers agent?
Not always. But if you value risk management, access to off-market channels, and clear valuation discipline, a buyers agent can materially improve your outcome.


Is a buyers agent only for high-end homes?
No. First home buyers often get the largest relative benefit because the learning curve is steep and the market is unforgiving.


What about government grants or concessions?
Eligibility changes over time. Always cross-check current rules with official sources and your solicitor/lender before relying on them.


How do buyers agents charge?
Typically a fixed fee or small percentage, often staged. Ask exactly what’s included: search, off-market access, due diligence coordination, negotiation, and auction representation.


Can you really access off-market properties?
Yes. Active relationships with Sydney sales agents surface off-market, silent, and pre-market stock that never reaches the portals.


What about TOD/LMR—should I avoid those areas?
Not necessarily. Reforms can bring amenity and transport uplift—but also short-term disruption and more density. We map the trade-offs and price accordingly.



A Professional, Not Salesy, Path to Your First Home


Buying your first home in Sydney is high stakes. You don’t need hype—you need a method. When your decisions are anchored to comparable sales, de-risked by contract/strata/building checks, informed by TOD/LMR realities, and executed with disciplined negotiation, you’ll compete on equal footing with seasoned buyers.


If you’d like help refining your buy box, pressure-testing valuation, or accessing off-market opportunities, the first conversation is simply about education and fit. Sydney-wide.



✅ First Home Buyer Inspection Checklist


Get your free copy of the First Home Buyer Inspection Checklist to bring along to your next property inspection.


Download it here



Ready to Buy Smarter?


Ready to take the next step in your property journey? Book a call with me here and let’s discuss how I can help you secure the right property with confidence.


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12 popular buyers agent questions answered 

 

When it comes to buying a property, many people assume that they can navigate the process on their own. However, purchasing a home or an investment property is often a complex and time-consuming process that requires expert knowledge and guidance. This is where a buyers agent can be incredibly valuable. A buyers agent is a licensed real estate professional who specializes in representing the interests of homebuyers. 

 

In this article, we will explore what a buyer’s agent is and the benefits they offer, as well as when it is appropriate to engage their services. Whether you’re a first-time buyer or a seasoned investor, understanding the role of a buyer’s agent can make all the difference in finding your dream property.

 

What You’ll Learn From This Article

 

  1. What is a buyers agent? 
  2. What’s the difference between a real estate agent and a buyers agent?
  3. How much do buyers agents charge?
  4. Are buyers agents worth it?
  5. How much will it cost me not to use a buyer’s agent?
  6. Do i need a buyers agent in today’s market?
  7. How to choose a buyers agent?
  8. What questions should i ask a buyer’s agent before hiring them?
  9. Can you claim buyer’s agent fees on tax?
  10. Can a property seller contact the buyer agent directly?
  11. Do i have to sign a buyer agent agreement?
  12. Can you have multiple buyers agents?

 

What is a buyers agent?

A buyer’s agent is a fully licensed property agent who works on behalf of a homebuyer or property investor in a real estate transaction. The primary responsibility of a buyer’s agent is to help their client find and purchase a home that meets their specific needs and budget.

 

Buyer’s agents work exclusively with buyers and are therefore focused on helping buyers navigate the complex and sometimes overwhelming process of purchasing a home. They typically have extensive knowledge of a local real estate market and relationships with a network of selling agents in that area.  

 

Buyer agents offer purchasers transparency and clarity around price and market value by researching comparable sales transactions and will drive the due diligence and research process to mitigate the risk of a purchased property causing problems or stress to its new owner in the future. 

 

The way a property is marketed, negotiated, and sold depends on many factors including demand for that property type, the expectations of the vendor, and the particular style of the sales agent. Every transaction is unique and a buyers agent’s experience navigating the many variations of the sales process and the legal and financial requirements involved can undoubtedly give a purchaser an advantage.

 

Another of the key benefits of working with a buyer’s agent is that they can provide objective advice and representation throughout the home buying process which may otherwise become an emotional decision. 

 

Because they work solely on behalf of the buyer, they can help their clients make informed decisions without being influenced by any other parties involved in the transaction. Additionally, many buyer’s agents will deploy methods and resources that can help buyers find and evaluate the right property more efficiently than they might be able to on their own. This includes accessing properties not listed for sale by traditional means (off-market or silent listings). 

What’s the difference between a real estate agent and a buyers agent?

Buying and selling real estate can be complicated. That’s where buyers agents and real estate agents come in. A real estate agent is a professional who sells properties. Who does a real estate agent represent? The seller. Real estate agents are paid through commission from either the seller or the vendor. A buyer’s agent, exclusively represents the buyer. They act in the buyer’s best interest and help them through the process of securing the property they want.

 

How much do buyers agents charge?

Many buyer’s agents charge for service like a real estate sales agent ie, a percentage commission. This can make sense if you’re selling a property as the sales agent is incentivised to achieve a higher sales price. Paying more commission to your buyers agent the more you pay for your property can make less sense for buyers In hotter market years such as during 2020- 2021, Unicorn Buyers Agents offered fixed fees, to protect our clients.

 

In neutral or cooler years we offer a percentage-based fee capped at a pre-agreed rate. This way our buyers may benefit from a lower-than-expected commission whilst also having the peace of mind of knowing the maximum they’ll pay. 

For maximum flexibility and transparency, we offer clients the choice to lock in a fixed fee or to hire us on a percentage-based fee capped at a pre-agreed amount.

 

Are buyers agents worth it?

In Australia until recently the use of a professional buyers agent to undertake one’s search and property purchase was uncommon.

 

Sydney house hunters have long been resigned to the stresses of endless weekend inspections and annoying agent phone calls, not to mention having to negotiate with seasoned professionals trained in the art of extracting the highest possible price for their client- the seller. 

 

In the last few years however Australians are increasingly following the trend of their US counterparts to engage a buyers agent to find, negotiate and secure residential owner-occupied and investment property. Why?

 

 The competition for the best property in the most desirable suburbs has intensified, with a significant percentage invisible to the average house hunter. Property prices have spiked- and so has the cost of making a mistake. And we have increasingly become time-poor professionals who realise the value in deploying another professional to do what they do best.

 

Hiring a buyers agent does make sense but what can you expect for your money, and how will you assess the value of your buyers agent’s services?

 

A good buyer’s agent in Sydney will understand your brief in detail, then tailor their services and fees to your exact needs. This may be as simple as attending an auction to bid on your behalf, or appraising a property you have found, or conducting the entire search campaign all the way from day one to contract settlement.

 

  • ‘Bid at auction’ gets you a hired gun as your proxy on the big day. They will bid, deploying one of many strategies they have available, which they believe is best on the day to secure the property for you for the lowest price possible whilst taking into consideration other bidders, and the auctioneers style.
  • An appraisal and negotiate service will see a buyers agent provide you with a professional opinion on the market value and likely selling price of a property you have found, based on recent comparable sales, market momentum, and level of interest in that particular property. The agent will then deploy their negotiation expertise and relationships to negotiate a purchase by private treaty.
  • A complete search really should be just that. The best buyers agents will go beyond public listings to use real estate agent outreach, professional research tools, community networking , door knocking and letterbox drops to source and shortlist potential properties. 

Dozens of physical inspections will follow, accompanied by detailed research to validate the properties have no issues and can be secured within your budget. They will have a team of professionals including building inspector, engineer, solicitor, builder, handyman and property manager- to do all the heavy lifting, and will coordinate them all on your behalf. They’ll deal with selling agents, so you don’t have to. And they’ll package up a shortlist of desirable options to make your decisions. easier.

 

 A top buyers agent will show you the property that ticks your boxes, and sometimes that may be unconventional- but a buyers agent will also show you how an easy low-cost renovation can leave you with the property you dreamed of.

 

 An expert buyers agent will be your voice of reason- guiding you to avoid psychological pitfalls like analysis paralysis, FOMO, buyers remorse, and more.

 

 Finally, a good buyers agent will ensure you pay the right price, the lowest price possible given market conditions. 

 

How much will it cost me not to use a buyer’s agent?

I talk to buyers every day and a comment I often hear is “I’d love to use a buyers agent to find my property but I really can’t afford it because I need to put every dollar toward my purchase”.

 

I put one to three on-market and off-market property matches in front of my clients every week. These properties are within budget, they have been physically inspected and researched to make sure they’re problem free. 

 

I know how the sales agent will run the campaign and by deal time I’ll know the minimum price that needs to be paid to secure the property. This saves my clients thousands of dollars of search time  and many thousands more by not overpaying. I’ll also buy a better house on a better street which means tens, or hundreds of thousands of dollars more in your pocket. 

 

How? Let’s assume you manage to buy without overpaying and you’ve chosen a good suburb, street, and property type that grows in value at say 4% a year for the next decade.

 

 Now let’s assume I could buy you a slightly better property that grows in value at a slightly better 5% for the next decade. That 1% extra on a $2m property means my purchase will be worth $200k more than yours in ten years time. Not using a good buyers agent will cost you money.

 

Do i need a buyers agent in today’s market?

In a seller’s market with FOMO running high it seems easier to understand the value proposition for a buyers agent.

But great buyer agent work is just as critical in a cooler market. Here’s a few reasons why.

  1. Selling agents get much better at returning your calls in a tough market but they still have one thing top of mind – squeezing the highest possible price out of you. That’s their job. 
  2. We have the relationships with agents which helps us find opportunities in the form of off-market /silent listings by anxious and distressed owners. We also help bring things to market. Potential sellers are more likely to list when a buyers agent walks through the home during an appraisal. 
  3. We assess up to the minute market value. Sydney property prices are volatile. Price action varies suburb to suburb, street to street. Last nights’ sale resets todays suburb benchmark. On a $2M home purchase overpaying by 3% is a $60,000 mistake and buying at a 5% discount to market is a $100,000 win.
  4. Cooling markets are a minefield of second grade properties and unrealistic vendors. We shortlist, inspect and present only the best, most viable options saving you time money and stress. 

How to choose a buyers agent?

Hiring a buyer’s agent is a significant investment. Understanding how to prepare for the buying process and how to choose the right agent for your search will save you in every respect. Avoid the following mistakes and you’re well on the way to a profitable, and enjoyable buyer’s agent experience.

 

Mistake #1. Hiring an agent before your finance is approved.

Serious property hunting without the funds available is unproductive. You cant buy if you haven’t got the money! The first step of buyer preparation is to have your finance in place- preferably a fully assessed loan rather than just an approval in principle.

 

It’s certainly advisable to research your property market, write your brief, and get your buying team in place whilst arranging finance. However, the right time to put your buyer’s agent to work officially is when your finance is approved.

 

Mistake #2. Choosing a buyer’s agent without a buying team if you don’t have one of your own

A successful buying assault on a sought-after home or investment requires a crack team of experts; In addition to your buyer’s agent you’ll need a top broker and solicitor, and if the property is a renovation project, an architect, private certifier, a builder, or tradespeople, an engineer a  quantity surveyor as well. This group comprises your personal army, your buying team.

 

If you don’t have a team at hand make it a high priority to select a buyers agent who can bring one to the table. Hiring this agent means you’ll inherit their panel of experts who have worked together in the past. You’ll enjoy the advantage of ‘synergy’ when an experienced team works together with your buyer’s agent for a great result -all without you having to lift a finger.

 

Mistake #3 Not choosing a buyer’s agent who is completely independent and working for you

A buyer’s agent must be  100% working in your best interest.

 

This means they should not accept any type of incentive or remuneration that would affect their ability to give you independent advice.  A clear contravention of this principle would be a buyer’s agent accepting an incentive from a builder or developer for an introduction that leads to a sale. 

 

Standard agency agreements in all states generally make provision for an agent to disclose referral fees and commissions so you can understand whether there is a financial incentive involved with any of your buyers agents associations.

 

Mistake #4 Not choosing the buyer’s agent service that corresponds to your needs

Good buyers agents generally have three or four core offerings ranging from “Done For You” to appraisal, negotiation, and auction attendance. Choosing the appropriate service will require you to be realistic about your own property skillset and the time you can allocate to your house hunting.

 

 If you have the network, resources, and experience to access suitable properties then an ‘appraise and negotiate’ or ‘bid at auction’ service may really be all you need.


Be aware that although you think you can do the job using just these services, you can’t buy what you can’t see and this approach may cost you more time and money in the long run. 

 

Mistake #5 Not choosing a buyer’s agent who specializes in your desired area

An agent that works (and lives and plays) in the suburbs you are searching within is tuned into the important details that can affect a successful purchase. A formal appraisal or valuation is no comparison to the local knowledge of a seasoned area specialist. Bad neighbours, upcoming poor development, problematic executive committees..a local specialist will be aware and steer you clear of troublesome issues that are not apparent to an outsider.

 

Mistake #6 Not paying the right price for the service you’re getting

Buyer’s agents’ pricing can vary widely, and with good reason. Any good agent will tailor the scope of works to your circumstance and most will agree on a fixed price that reflects the work involved. It is worthwhile to understand what that work entails.

 

 A detailed, particular brief for a property in a tightly held suburb should command a premium and what you’ll be paying for is the buyer’s agent’s network of local selling agents, business people, and community, as well as their less conventional methods of sourcing property.

 

More abundantly available property in a less salubrious suburb will see you paying a buyer more for their time conducting inspections and putting together the deal, or their analytical skills if it is an investment property.

 

Paying an entry-level agent an entry-level fee for a challenging brief will not give you an expert outcome.

 

Be as wary of ‘cheap’ fees as exorbitant fees. Take a moment to consider the difficulty of the task at hand and the time and expertise required.

 

Mistake #7 Not assessing the methods your buyer’s agent will use to find your ideal property

Good buyer’s agents will apply multiple resources to source property and it merits asking how your buyer’s agent operates. Key activities you should listen for include personal outreach to a selling agent network, extensive use of research tools such as RPData, and personal outreach to potential sellers, amongst others. Opportunities arise from contact with people and the best agents spend all day talking and researching.

 

Mistake #8 Not choosing an agent with auction experience if that’s the likely method of sale for your property

If the common method of sale for your future home or investment is via an auction then your buyer’s agent should have extensive bidding experience.

 

Auctions are volatile environments where the odds are stacked against the seller. There is plenty of room for error leading up to, and on the day and you will need an agent that, is calm, knows all the rules, and has multiple battle-tested bidding strategies. A well-chosen agent will often know the auctioneer and their calling style which can help.

 

It’s not considered rude to ask your prospective buyer’s agent about their auction experience, and their preferred bidding strategies.

 

Mistake #9 Not screening your agent for negotiating power

Buyer’s agents are negotiators. They are the conduit between you and all the other players in a high-stakes situation. They’ll likely even mediate between you and your spouse when the pressure is on at deal time! To screen for a good negotiator you’ll need to trust your instincts rather than ask questions. Your prospective hire should leave you with the sense that things are going to go your way. Chances are they’ll be waving that magic wand over the other parties too which makes a good deal more likely.

 

Mistake #10 Not having a well-defined brief for your agent

The more thoroughly you detail and communicate your wants and needs, the better your outcome. A good brief goes way beyond just the property attributes. If the property is to be an investment share your overall long-term goals, how the purchase will fit into your portfolio, and when and how it will be divested.

 

If it’s your family home share what you do for work sports and hobbies, what your evenings and weekends look, like where your kids spend their time. Property choice is driven by lifestyle and understanding this is key for your agent to find that perfect property match.

 

Mistake #11 Not confirming your buyer’s agent will be working exclusively on your brief

A buyer’s agent cannot work in your best interest if they have signed on other clients looking for the same type of home in the same suburb and a similar price range.

 

You need to ask the question- will your brief, price range and instruction have exclusivity in your agents’ portfolio, until they have found your property? It’s not a rude question to ask a prospective buyers agent what other types of clients they will concurrently be working on and what assurances they can give you there will be no conflict of interest.

 

It’s easy for buyer’s agencies large and small to blur the line by having multiple clients with similar briefs. In a tight market with short supply who gets first dibs on something matching multiple briefs?

 

Mistake #12 Choosing a larger agency and being assigned a junior or an associate.

As with many professional services sectors you run into the possibility of being pitched to by a senior expert only to have your brief delegated to a junior once you are on board.

 

 This can be a frustrating experience. If you are choosing a larger organisation always confirm that the agent you want to be looking after you actually will personally be responsible for your search.

 

Mistake #13 Not reference checking your Buyers Agent

Just as you would when you hire an employee- dont be afraid to ask your buyers agent for one or two names of past clients who would be happy to comment on how they worked. Confidentiality issues aside a good buyers agent should be able to agree to this. 

 

So there it is in a nutshell. Using a buyer’s agent will be a profitable and enjoyable experience so long as you can avoid the above mistakes.

What questions should i ask a buyer’s agent before hiring them?

 

When you’re hiring a buyer’s agent, it’s important to ask a few questions to ensure that they’re the right fit for you. Here are some questions you may want to consider:

 

  1. What experience do you have as a buyer’s agent?
  2. How do you plan to help me find the right property?
  3. How familiar are you with the local real estate market?
  4. Can you provide references from previous clients?
  5. How will you communicate with me throughout the buying process?
  6. How do you handle negotiations and bidding wars?
  7. Do you have experience working with first-time homebuyers?
  8. How do you get paid for your services?
  9. How many clients do you currently have?
  10. Do you work full-time as a buyer’s agent or do you also handle listings?

Asking these questions will help you get a better sense of the agent’s experience, expertise, and approach to working with clients, which will help you make an informed decision when hiring a buyer’s agent

 

Can you claim buyers agent fees on tax?

If you are using a buyer’s agent to purchase an investment property, for example, your buyers agent fees may be capitalised into the purchase and be deductible on sale. Even if you are using a buyer’s agent to purchase a personal residence, it’s worthwhile hanging on to the invoice. Check with your accountant and tax agent to see what portion of fees may be expensed and how. 

Can a property seller contact the buyer agent directly?

Yes, a property seller can contact the buyer’s agent directly. This does in fact happen. Here at Unicorn Buyers Agents we are contacted daily by sellers interested to avoid sales agents commissions by seeing if we may have a buyer for their property.

A property seller who already has their home listed with a sales agent is much less likely to contact the buyers agent directly as they trust their nominated agent to facilitate the transaction. 

 

A property seller who is selling privately will contact the buyer agent directly and we have conducted a number of purchases directly with the seller.

 

On occasion, a buyers agent may contact a seller directly even if they have a sales agent- but always with the permission of the sales agent. It may be to clarify some detail directly, to give a client peace of mind. 

 

Do i have to sign a buyer agent agreement?

Yes, you do have to sign a buyer agent agreement. A buyers agent operating in NSW is required to be either a class one or class two real estate agent and must operate under legislation set down in the Property, Stock and Business Agents Act and Regulation. The legislation stipulates that an agency agreement must be in place between an agent and a principal, outlining the terms on which the work will be conducted.

Can you have multiple buyers agents?

Whilst you could theoretically have multiple buyers agents working for you, it would be both unlikely and undesirable for you to enter into this arrangement. Most buyers agents will require you to enter into an exclusive agency agreement which recognizes they alone are working for you and their fee is liable to be paid even in the instance another buyers agent finds a property.

 

Here at Unicorn Buyers Agents we work with clients confident to trust us to find and purchase their home and as such only enter into exclusive agency agreements. We do not co-opt with other agents. 

 

So saying, we do occasionally collaborate with buyers agent colleagues outside of our organisation to assist us with a challenging brief. In this instance, we negotiate remuneration directly from our commission and no further fee is payable by our clients.