As the buyer’s agent industry grows, so too does the choice available to buyers. A quick search will uncover everything from large national firms to boutique local practices, often with vastly different levels of experience, service and fees.
So, how do you choose the right one?
Look Beyond the Fee
When making a property decision worth millions of dollars, saving a few thousand dollars on the person advising you can quickly become a false economy.
An experienced buyer’s agent may identify an issue others overlook, uncover an opportunity you would otherwise never see, negotiate a better outcome, or simply stop you from buying the wrong property. Any one of those decisions can outweigh the difference in fees many times over.
Experience Matters, but Relevant Experience Matters More
Look at how long the person has actually been dealing in the market in which you intend to buy. Local property knowledge is accumulated over years, not months.
It comes from inspecting hundreds of properties, following transactions, understanding individual streets and buildings, knowing why one property achieved a premium while another did not, and developing relationships with the agents who control much of the local stock.
It is also worth considering whether your buyer’s agent has experience on the other side of the transaction. Someone with a background in property sales understands what is happening behind the scenes, how selling agents manage competing buyers, communicate offers, create urgency and navigate negotiations on behalf of their vendors.
Having been part of hundreds of these conversations, they can often recognise how a situation is likely to play out, read between the lines and understand when to push, when to hold back and when to walk away. That perspective can be invaluable when it comes time to negotiate your own purchase.
Who Will Actually Be Representing You?
Buyer advocacy can be a difficult business to scale. A firm may have an exceptional founder or senior buyer’s agent whose reputation, relationships and market knowledge have been built over many years. That does not necessarily mean the same experience or leverage extends equally across every member of a larger team.
Ask who will actually be searching for your property, attending inspections, speaking with agents, assessing value and negotiating on your behalf.
This is one area where a smaller, established practice can have an advantage. You may be engaging directly with the business owner or senior adviser, the person whose reputation is attached to every acquisition and who has spent years developing relationships within that particular market.
Ask the Local Selling Agents
Selling agents know which buyer’s agents are active in their market. They know who regularly attends inspections, who understands value, who follows through, who is professional to deal with and, importantly, who has established genuine relationships within the area.
Speak with a few respected local agents and you will often hear the same names come up.
A good buyer’s agent and a good selling agent should have a strong professional relationship. Their interests in a transaction may sit on opposite sides, but their businesses depend on credibility, communication and the ability to work together.
A buyer’s agent who is respected by the local agent community can often have conversations, gain access and obtain information that someone without those relationships simply cannot.
Choose the Person, Not Simply the Firm
Ultimately, choosing a buyer’s agent should be approached in much the same way as choosing any trusted professional adviser.
Look beyond the fee and the marketing. Consider their experience, their depth of local knowledge, their reputation, their relationships and, most importantly, who will actually be sitting beside you when it comes time to make the decision.
A few thousand dollars saved on a fee can feel insignificant compared with the cost of getting a multimillion-dollar property decision wrong.