澳洲Australia property Are BAs a ripoff like many REAs &


在澳大利亚 The pool at of an IP needs to be resurfaced (or so the pool doctor says), the cost was estimated to be $10K ($10,000), after recoverying from my impresssion of a cat coughing up a fur ball, it just seems far too much. Its just a standard poo I need some advice regarding a property purchase. Property - semi-detached house Bedrooms - 2 Condition - average needs internal reno to modernise Street - one of the best in suburb Location - excellent Close to schools - yes Transport - 50m


Just relocated, new to the city but not to buying IPs. Contacted couple of BAs, they will go to source IPs where they are told. Don't offer much insights which suburbs offer the best value & growth, there is no mentioning of buying below market value etc etc. Feel like I will just hand over a large sum of money (> tens of thousands) and they simply find something on realestate.com, which I could have easily done myself and hassle free. Your thoughts.  

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Well you asked, but being a BA myself you have to take what I say as containing the bias that it obviously must.

bornfree said: ↑
Contacted couple of BAs, they will go to source IPs where they are told.Click to expand...
You are the client. If you want an IP in suburb "X" then a BA will look in suburb "X" for you.

bornfree said: ↑
Don't offer much insights which suburbs offer the best value & growth,Click to expand...
Ah well did you ask them for such? If so then my only comment would be that in any profession you get 80% average to hopeless and 20% good. Of the 20% good you get a small % that are really really good. The trick of course is finding the really really good ones. I'm quite happy as a BA to recommend suburbs for past histories of CG or high rental yield if that is what people ask for - and many do. Otherwise I do as instructed.

bornfree said: ↑
there is no mentioning of buying below market value etc etc.Click to expand...
Again did you ask? Bear in mind that if it is Melbourne you are looking in, then it, like Sydney, is in a boom. Although you may get a good property, it will not always be possible to buy below market when the market is a "seller's market".

bornfree said: ↑
Feel like I will just hand over a large sum of money (> tens of thousands)Click to expand...
Wow - I'm moving to Melbourne. Perhaps get a fixed price quote? How much $'s are you looking to spend on an IP?

bornfree said: ↑
which I could have easily done myself and hassle free. Your thoughts.Click to expand...
Well at the risk of repeating myself, I've said on previous occassions:
I will be the first to admit that Buyers’ Agents are not for everybody.
If you:
• have the time and patience to go looking for a property or properties, attending ‘open-for-inspections’ and auctions,
• know what price you should be paying for a particular property,
• get calls from Real Estate Agents when good value properties are about to come onto the market (before they are advertised),
• are confident putting in offers, negotiating and dealing with Real Estate Agents and the games they play,
then you probably don’t need a Buyers Agent.  

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I've been working with a Buyers Advocate who I believe offers excellent value for money. She recently helped one of my clients buy an inner city Melbourne property.

The property has two stand alone houses on a single title and can be sub-divided for minimal cost within less than 3 months. I estimate the value will increase by 30% in the initial purchase price and outlay. They're looking at about $250k increase in value.

I don't believe this property ever hit any of the property websites. It's highly unlikely that the client would have found it themselves.

I've also been very impressed by the way she's able to put together a complete investment strategy, then execute it. Certainly an experienced investor can do this, but very few newbies are capable of achieving similar results.  

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Propertunity said: ↑
• get calls from Real Estate Agents when good value properties are about to come onto the market (before they are advertised),Click to expand...
That would be pushing the legal/ethical boundaries thereby adding to the mistrust the public has of REA's and BA's....2cents..:confused:

But the rest I agree is a good service BA's offer.

How much does a BA charge please Prop...?  

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Propertunity if you operate in my city I will definitely use your service as I read your posts and believe you are honest & trustworthy. So the issue here is I don't know if I can trust these BAs will give me value for the money or simply pass me some IPs they find on realestate.com, without even trying to get it for a good price.  

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Thorpey said: ↑
That would be pushing the legal/ethical boundaries thereby adding to the mistrust the public has of REA's and BA's....2cents..:confused:Click to expand...
Think of it this way: Why would a Real Estate Agency spend time, effort & money advertising a property, putting up signs and window displays and holding “Open For Inspections”, when they could make one or two simple phone calls to their “contacts” (Buyers Agents and investors) to gain a quick sale on a good property?

I'm not here to defend the ethics of REAs that do this - whatever you think of them. But as a BA acting on behalf of a buyer, I'm not about to discourage a REA calling me and giving me first right of refusal on a good property they know we might have a client for ;) I have no contractural obligation whatsoever to a seller. They choose the selling agent - nothing to do with me.


Thorpey said: ↑
How much does a BA charge please Prop...?Click to expand...
Mostly I see anywhere from 1.1% to 2.2% and some (like me and Jacque Parker and others too I'm sure) will quote a fixed fee.  

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Buyer's agent

Hiya

For me personally, the buyer agent's fee of $5K plus was one of my best

investments! It returned me many times over! Would i use a buyer's agent

again? Definitely!

Don't sweat the small stuff!

Cheers!  

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Buyers agent = SPIV

Any spiv, can hang up a shingle and call themself a buyers agent!

Be very very careful. This is a warning from a person who has been burnt, by a Melbourne buyers agent. I could write a book on My experiance.  

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Propertunity said: ↑
Think of it this way: Why would a Real Estate Agency spend time, effort & money advertising a property, putting up signs and window displays and holding “Open For Inspections”, when they could make one or two simple phone calls to their “contacts” (Buyers Agents and investors) to gain a quick sale on a good property?

*snip*Click to expand...
..because in not marketing the property they are potentially depriving the person for whom they are legally obliged to act in the best interests of, the vendor, of the maximum price for their property.

So other than the legal and ethical issues, all good ;)  

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bornfree said: ↑
Just relocated, new to the city but not to buying IPs. Contacted couple of BAs, they will go to source IPs where they are told. Don't offer much insights which suburbs offer the best value & growth, there is no mentioning of buying below market value etc etc. Feel like I will just hand over a large sum of money (> tens of thousands) and they simply find something on realestate.com, which I could have easily done myself and hassle free. Your thoughts.Click to expand...
If you think that it's a service that doesn't offer you value for money, then the choice is simple. Don't use one.
Just as some sellers believe they can do a better job and achieve a superior result by selling themselves, rather than entrusting the job to a third party, so they are entitled. No- one forces you to use an REA when selling real estate either.

Naturally, as a BA I have a biased opinion here, but I stand by my clients, all of whom have been happy with both my service and results. Being a BA is so, so much more than simply looking on realestate.com and choosing a few properties- if this is what you think is entailed in the job, you're sadly mistaken. I would suggest you ring a few more reputable BA's and ask them more in-depth questions, along the line of what it is you'd like them to do for you. Good luck.  

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virgo said: ↑
Hiya

For me personally, the buyer agent's fee of $5K plus was one of my best

investments! It returned me many times over! Would i use a buyer's agent

again? Definitely!

Don't sweat the small stuff!

Cheers!Click to expand...
I think Sydney BAs are a bit cheaper than in Melbourne. I spent just over $6k in Sydney in 2007 and was happy with the service I got for that price. Spoke to a BA in Melbourne yesterday who quoted $18k for a similar sort of property. I'd find it hard to justify spending that much money. If someone knows of a BA in Melbourne closer to the $6k mark, I'd be interested to have some contact details.  

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mr-ed said: ↑
Any spiv, can hang up a shingle and call themself a buyers agent!

Be very very careful. This is a warning from a person who has been burnt, by a Melbourne buyers agent. I could write a book on My experiance.Click to expand...
Without naming names, could you please elaborate?

Keen to hear about your experiences if you would be kind enough to share....  

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Token Funder said: ↑
..because in not marketing the property they are potentially depriving the person for whom they are legally obliged to act in the best interests of, the vendor, of the maximum price for their property.

So other than the legal and ethical issues, all good ;)Click to expand...
A valid point- and, yes, you're right in that most agents will, naturally, market to as wide a variety of potential buyers and sources as possible. As they should, their fiduciary responsiblity is to their vendor in achieving the highest price and best terms in "most" situations.

However (and I speak from BA experience here) there are sometimes circumstances where a fast sale is warranted (typical reasons include financial difficulty, separation/divorce, seller anonymity) and the highest price isn't necessarily as relevant- REA's know that the local BA (who buys for clients on a regular basis) is more "likely" to have a buyer than your typical purchaser who buys once every 7 yrs or an investor who adds to their portfolio annually.... it's part of being a BA. I get emailed on a very regular basis by agents or private sellers (either via my canvassing services or simple advertising) with properties. I have posted before about such "silent listings" as well- sure, they make up a small part of the investigated listings but they exist and certainly don't necessarily make it to realestate.com ads :D

Just yesterday I had a call from an agent about a "sensitive" seller, who wishes to garner interest from buyers before placing his property on the market for sale. He doesn't want his neighbours (or family) to know he's selling and so asked the agent to prospect for buyers first. I am first on this agents list, as he's dealt with me a no. of times and knows that I bring genuine committed buyers to the situation. Though I didn't have anyone of interest this time around, this won't stop this agent from ringing me again. He knows that I'm a "source" of buyers, should he have a property that requires a quick sale.  

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Kudos Jacque:D  

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dallee said: ↑
I think Sydney BAs are a bit cheaper than in Melbourne. I spent just over $6k in Sydney in 2007 and was happy with the service I got for that price. Spoke to a BA in Melbourne yesterday who quoted $18k for a similar sort of property. I'd find it hard to justify spending that much money. If someone knows of a BA in Melbourne closer to the $6k mark, I'd be interested to have some contact details.Click to expand...
The BA I work with often charges between $5k & $10k. There are a number of factors involved in her quotes, but I'm yet to hear a complaint about her prices.

BTW, I get nothing from her by recommending her to people, I just like to recommend people who are good at what they do.  

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Token Funder said: ↑
..because in not marketing the property they are potentially depriving the person for whom they are legally obliged to act in the best interests of, the vendor, of the maximum price for their property.

So other than the legal and ethical issues, all good ;)Click to expand...
When you look at it like that,there seems to be uncertainty outside the plan itself,:rolleyes:pity the poor vendor..willair..LOL..  

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Peter,

Care to name her on the forum? On face value that sounds like a great deal, things like that don't seem to come up all the time!

PT_Bear said: ↑
I've been working with a Buyers Advocate who I believe offers excellent value for money. She recently helped one of my clients buy an inner city Melbourne property.

The property has two stand alone houses on a single title and can be sub-divided for minimal cost within less than 3 months. I estimate the value will increase by 30% in the initial purchase price and outlay. They're looking at about $250k increase in value.

I don't believe this property ever hit any of the property websites. It's highly unlikely that the client would have found it themselves.

I've also been very impressed by the way she's able to put together a complete investment strategy, then execute it. Certainly an experienced investor can do this, but very few newbies are capable of achieving similar results.Click to expand...
 

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Token Funder said: ↑
..because in not marketing the property they are potentially depriving the person for whom they are legally obliged to act in the best interests of, the vendor, of the maximum price for their property.Click to expand...
Yes agreed .....to a point.

Bear in mind though, along with the points that Jacque has already mentioned, that if a BA comes up with a recommended or estimated buying price for a property based on a good number of comparable sales for his purchaser client AND the selling agent has done the same for his vendor AND the vendor is happy with the price also, then you could make a case for just cutting the deal there and then, without the whole 6 week campaign that may, in all likelihood, end up with the same or worse result for the vendor.

Just something to consider. ;)  

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bornfree said: ↑
Contacted couple of BAs, .... Don't offer much insights which suburbs offer the best value & growth, .... Your thoughts.Click to expand...
Now why would a buyers agent's give/tell you for free which suburbs offer the best value & growth?

The BA's have done the 'hard yards' researching this information themselves and no doubt paying data subscriptions etc.

My thoughts would be spending some time seeking word of mouth referrals from people you respect to locate a quality BA.

Already you have found out approximate fee and now you know that you can negotiate a fixed fee as you can tell them you are an experienced IP investor.


Regards
Sheryn  

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PT_Bear said: ↑
The BA I work with often charges between $5k & $10k. There are a number of factors involved in her quotes, but I'm yet to hear a complaint about her prices.

BTW, I get nothing from her by recommending her to people, I just like to recommend people who are good at what they do.Click to expand...
Hi Peter,

I would definitely be interested in speaking to a good Melbourne BA as well.

Are you able to share contact details?

Regards,
Steve.  

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