Ask these 10 from Buyer's Agent
In the Australian context, a buyer's advocate plays an essential role in navigating our unique property landscape, where auctions are common and market dynamics can vary significantly between states and territories.
Here are ten crucial questions you must ask your Buyer Agent
"What's your experience with auction bidding strategies?"
This is particularly vital in Australian capital cities where auctions are prevalent. Your advocate should be able to explain their approach to auction bidding, including how they determine maximum bids, manage vendor bids, and handle different auction scenarios. Their expertise in this area can be the difference between securing a property and missing out in our competitive auction environment.
"Are you a licensed real estate agent in this state?"
In Australia, buyer's advocates must hold relevant real estate licenses for their state or territory. For example, in Victoria, they need to be licensed under the Estate Agents Act, while in NSW, they require a Real Estate License from NSW Fair Trading. This ensures they operate within legal frameworks and understand local property laws.
"What's your approach to dealing with off-market properties?"
The Australian property market has a significant off-market sector, particularly in premium suburbs. A skilled advocate should have established relationships with selling agents and access to properties before they're publicly listed on realestate.com.au or Domain.
"How do you handle building and pest inspections in the local context?"
Australian properties face unique challenges, from termites to structural issues specific to different building eras. Your advocate should understand which inspections are crucial in your target area and have relationships with reputable local inspectors who know state-specific building codes and common issues.
"What's your understanding of local zoning laws and council development plans?"
Australian property values are significantly impacted by council regulations and zoning. Your advocate should be able to explain how local council plans might affect future property values, particularly regarding development restrictions, heritage overlays, or planned infrastructure projects.
"How do you determine fair market value in the current market?"
Understanding property valuation in the Australian context is crucial, especially given our market's unique characteristics like the prevalence of comparable sales data through CoreLogic and other sources. Your advocate should explain their methodology for determining fair value using Australian market metrics.
"What's your experience with different property types in this area?"
Whether it's period homes in Melbourne's inner suburbs or beachfront properties in Queensland, each property type has specific considerations in the Australian market. Your advocate should demonstrate deep knowledge of local property types and their particular challenges.
"Can you explain your fee structure, including any success fees?"
Australian buyer's advocates typically charge either a flat fee or a percentage of the purchase price. Understanding their fee structure, including GST implications, is essential for your budgeting. Some advocates also charge engagement fees or retainers.
"How do you manage negotiations with selling agents in this market?"
The relationship between buyer's advocates and selling agents in Australia has its own dynamics. Your advocate should explain their negotiation strategies, particularly in dealing with common local practices like price guides and auction reserves.
"What's your process for reviewing strata reports for apartments?"
With many Australians buying apartments and townhouses, understanding strata documentation is crucial. Your advocate should be able to explain how they review strata reports, including checking for special levies, building defects, and potential issues specific to Australian strata schemes.
The reason these questions are particularly important in Australia is that our property market has distinct characteristics that differ from other countries. We have a unique auction culture, specific legal requirements around property transactions, and market dynamics that vary significantly between cities and regions.
Think you can do on your own? Use our 5 data backed properties every Sunday to begin your journey become a paid member