Buyer agent PPOR Sydney

Considering using a buyers agent to purchase our next PPOR house in Sydney. We want to make the right choice because this will be our home for ar least 10 years or longer.

So what value can a buyer agent add given the following scenario:

1. We know the suburb where we want to buy. This is a rather large suburb. However, we are targeting a particular school catchment.

2. It is a high demand suburb, mostly established homes. There is competition for properties. So being able to buy below or at market value seems difficult.

 

Castle Hill?

 

I'm not sure what value a BA will give you under those circumstances. For a BA to be successful they need to know what you want in a home. No matter what criteria you put in place, you are going to be relying on someone else's interpretation of what is suitable for you. You know the area, and live in Sydney, so go to all the opens and take a good look yourself.

 

Even if you use a buyers agent to guide you through the process, if you already have just one catchment in mind, go to a lot of opens anyway.

 

May I ask what suburb you have in mind?

A buyer's agent can always add value through experience and knowledge. Yes, for a PPoR it is preferable a client views the property if possible, but the value isn't in just going to opens, even though for some people this time saving is a big part because shortlisting is still a considerable time saving for highly time-leveraged people. The value is because most people aren't well versed on dealing with contracts, negotiating, liasing with brokers and generally navigating the whole purchasing process. They often lack confidence and market knowledge and can quite easily be taken for a ride with the agent, particularly when competition is heating up as seems to be the case here.

We forget sometimes on PC that many people here are seasoned buyers but even then, most aren't buying property week in week out. As with anything, skill sets are built with regularity and for most people, a BA's fee is usually negotiated out of the purchase price compared to what they could do themselves, notwithstanding all the other aspects of the purchase there are to think about that are taken care of. Most sales agents will also tell you that they prefer dealing with BAs in general, so in a competitive market that alone can help to yield results.

As markets heat up, buying 'below market value' becomes more difficult, but buying at market value is absolutely still possible because no one should ever be paying above that anyway. I'm sure you have your criteria for a property and it sounds like school catchment is a big one. If you point out the suburb(s) then you'll probably get some good recommendations. My hunch is also Castle Hill as it's a pretty big suburb with varied school catchments....interested to hear where!

- Andrew

 

Letter box drop. That's how my aunty secured a home in the street she wanted back in the mid 1980's. They are still at that address.

 

Castle Hill.

 

@Jacque lives and buys up that way. You should get in touch with her to have a discussion which may help you decide.

- Andrew

 

Buyersbuyers.com.au

 

Thanks for the shoutout @MyPropertyPro

Hi @mpty we certainly can help as we're the longest standing and most experienced BAs in the Hills- been buying here for clients for 15 years. Our aim is to "get inside your head" and clearly find out what it is you want before assessing thoroughly and taking you on as a buyer. We pride ourselves on our awarded service and are well known in the industry, although we're a boutique agency. Core areas Hills and north-west, West (as far as Blacktown) North Shore, Parramatta, Ryde, Hornsby, Inner West.

Castle Hill is certainly busy right now and we should know! Just bought a nice one in Castle Hill off market, within a month, for a buyer who's been looking for well over 6 mths without success. Another in Cherrybrook pre-market on an auction campaign (and with a cool off!) also for a buyer keen to get into a particular school catchment (I'll let you guess which one )

Much of our work comes down to our experience, local market knowledge and relationships with local agents and constantly canvassing to find properties... in fact the last 4 deals we made you won't find online as none of them made it to RE.com and Domain. So sometimes you can go to all the opens, but you're not seeing everything out there unless you're on the ground and working those phones constantly...

While most of our buys are still traditionally publicly exposed sales, unless you're active in the market, know how the agents strategically work (and a lot of them operate differently!) and are up to speed with the latest sales and market intelligence it can be tough, highly time-consuming and stressful. After all, most buyers only buy a handful of properties in their lifetime. Being ready, financed and able to move quickly (after conducting the relevant DD) in the current market also benefits enormously and a good BA assists with this process, ensuring you get the front foot on new stock, honed negotiation skills and the ability to appraise accurately so you don't overpay, and have confidence here...

But, yes, there is a fee to all this work for the outcome. Just like selling agents, we charge, but when it comes down to it we usually do a LOT more work for a lesser fee (compare the 1.8-2.2% typical commission selling agent fee structures with a BA fee and you'll soon see which side of the fence the value lies) Ultimately, like any outsourcing service, it's up to you to decide if a BA is right for you. Just like when you sell, why use a selling agent when you can go it alone?

If you want to go solo, however, here's what I'd do if I were you:

1. Privately canvass every suitable home in your school catchment (eg: Castle Hill High) In order to know which homes suit (features, size, build type etc), it's preferable, however, to have a subscription to RPData Core Logic or Domain Pricefinder otherwise you'll be wasting a LOT of letters Start wearing out that shoe leather, or buy several boxes of stamps!

2. Contact every agent that services CH (there's approx 36 agencies, excluding the odd out of area agent) and let them know of your brief. Target the key listing agents in each office. Call them weekly to maintain contact/remind them that you're still searching etc. Follow up with email/text but most importantly stay on their radar. Relationship building is key here as a genuine financed buyer, not a time waster.

3. Get your finances sorted and be ready to make an offer as soon as you're in a position to do so. Good homes are selling quickly in this suburb and you may not have the luxury of time on your side in this market. Being prepared, confident and knowledgeable will get you much further. This includes having a good conveyancer/soli ready to go (to review contracts, and look for one who works Saturdays) building/pest/strata inspector on board and liquid funds.

4. Sure, set up the usual alerts on the RE portals but they're not 100% reliable so make sure you still check out new listings daily and send off enquiries asap if interested. This includes properties that state "under contract" as some sales will be rescinded. Retain files on each property you enquire on, to track any price discounts (not likely at the moment!) changes in sales methods/info provided by agent etc. Follow and track sales results to gain most up to date sales knowledge (not all are advertised so call the listing agents and ask if price is withheld)

5. Seek private appointments asap if a property tickles your fancy. Some aren't only not making it online but not even to their first open. If keen, get a copy of the COS prior to be extra prepared.

6. Don't assume all AUCTION advertised homes will make it to their scheduled date. Agencies like McGrath often sell prior so be prepared and indicate interest early. Also, if you've never been to an auction in the Hills, get along to some to see what goes down. Every auctioneer is different in their approach and it also builds confidence, seeing how they play and what really happens. Watch and learn Some are more masterful than others..

Best of luck with your search and I wish you every success!