People don't Buy Properties Every Day
Real estate is potentially the single largest purchase a person will ever make. Not only is it expensive in its value, but it costs money to buy it (stamp duty) and sell it (marketing and agent's fees) and it is not particularly liquid, meaning it cannot be easily and cheaply converted into cash and it cannot be split into smaller pieces which can be sold off, as with shares. As well as this, the property needs to be sold to realise its actual value; until it sells, its sale price is only theoretical. Considering the cost of property purchase and the average person's inexperience at purchasing property, certainly, the wrong decision can be costly. Very costly.
How can a Buyer's Agent help? A buyer's Agent is a licenced real estate agent who specialises in representing buyers through the purchase process: it is the opposite side of the coin to a selling agent, who woks for the seller of the property to represent their needs. A buyer's agent successfully and efficiently matches properties to people, evaluates properties, negotiates the purchase and represents the buyer. They do not list properties for sale and do not represent sellers.
Do you really have the time?
Let's face it: most people work, have families, have a life. Finding a property - the right property - is a full-time job if done properly. You need to know what's on the market, know what the properties are worth, which ones represent great value, which ones are over-priced which ones are fantastic, red-hot properties vs which ones are ... not, which ones might sell now, which ones are likely to be passed in at auction and so on. Put simply, most people simply don't have the time to successfully purchase within a short time-frame, and also lack the time and resources to really know and evaluate the market. A buyer's agent buys properties all the time and does so as their full-time job. A buyer's agent takes over the searches for you, saving you time trawling through online ads, making dozens of enquiries of agents, evaluating the homes with access to professional property data that is only available to real estate professionals, attends inspections on cold wet days so that you don't have to, reports back to you on properties, short-lists them for you and negotiates the purchase of the right property for you. You can be involved as little or as much as you like throughout the process.
Are you sure this property is the best one for you - for now and in the future?
As mentioned above, it is expensive to buy and sell real estate. Yet so often, people buy the wrong home, and later regret and we find that that home is back on the market, often selling for a net loss. Ouch. A buyer's agent - skilled in knowing what people need and in matching homes to people's needs - as well as their skills in evaluating and negotiating purchase prices and terms - makes it a no-brainer. When your purchase is represented by a buyer's agent, you can be assured that the home you buy is right for you, both now and in the future.
Purchasing is emotional
For most people, the purchase of a property is an incredibly emotional experience. This results in many people over-paying (even beyond their means) at an auction, generously appraising a property - far more than its true value, viewing the property through rose-coloured glasses and revealing far more than they perhaps ought to o the selling agent. When you have a buyer's agent acting for you ad on your behalf, the emotion is removed.
- The only properties you get to know are the ones that are highly suited to your needs ... ie, the ones that you can fall in love with because they're highly likely to be "The One"
- Those properties are appropriately appraised both in terms of value and in terms of maximum purchase price
- The homes are less likely to pull at your heart strings because the agent will not be speaking of the in emotional terms that get you hooked: rather, the data will be presented in a more factual and evidence-based perspective which minimises emotional buying
- When the maximum limit is set, your agent will not go above this
Melissa Maimann is a Licensed Real Estate Agent and Buyer's Agent in Sydney. She assists home owners and investors alike with an affordable service that empowers you to make smart purchase decisions. Melissa's service is fast, efficient and accurate. If you need a hand with your next purchase, don't hesitate to make contact.