Buyer's Agent FeesWe can help you save TIME, STRESS and MONEY when purchasing YOUR ideal property
“How much are Buyer’s Agents fees?” is one of the most common questions people ask us when they first contact National Property Buyers.
“Are Buyer’s Agent’s worth their fee?” usually follows…
Let’s take a look at how our fee structure works and why it makes sense (for many reasons, not just the price) for property buyers to engage a buyer’s agent.
Think about it this way: buying a property, either as an owner occupier or as an investor, will likely be the biggest transaction you will ever make. You’re purchasing something worth millions of dollars; hundreds of thousands at the very least. And that’s just the financial cost. There’s also the emotional investment to think about: you’re buying your dream home or purchasing a property to grow your wealth to create the life you want to live.
Australian’s love property and most people believe they have a pretty competent understanding of the market. But buying property is never as easy as it seems. In fact it is fraught with many risks and pitfalls.
Everyone knows someone who made a bad purchase that has cost them an enormous amount of money. Or someone who spent months or even years missing out at auction or having offers knocked back and eventually had to settle on something they’re not happy with. Or someone who has simply paid far, far too much.
There is a lot at stake when it comes to property.
When you’re about to spend so much money on something that has such an enormous impact on your life now and into the future, why wouldn’t you seek expert support to help you buy the best option?
The Buyer’s Agent fee spent to engage National Property Buyers’ to search, assess and negotiate the purchase of your ideal property is the best investment you can make.
Is the fee worth it? Absolutely – we see it time and time again.
NPB Buyer’s Agents will save you money
It may be a surprise, but buyers put themselves in a better position to save money on their property purchase by investing in a Buyer’s Agent. Although you will spend a fee, you will get access to years of experience and expert knowledge that will give you a huge advantage over other buyers.
Our Buyer’s Agents will:
- Save you time.
- Access off-market property (property that is not advertised to the general public).
- Carefully assess property and establish a price guide to ensure you don’t over pay. Securing a good deal starts with this assessment.
- Use their expert skills in negotiation to get the lowest price.
- Be able to identify properties that are more likely to perform above the market average.
Buying faster and avoid price increases
80% of NPB clients purchase properties within 45 days (on average) of engaging us.
The national average to buy a property, from beginning the search to signing the contract, is about six and a half months. In that time property prices rise and you could end up spending more money.
Take this real life example of a two bedroom Brunswick apartment purchased by NPB for $458,000 in September, 2016, compared to buying on your own.
|NPB Client||Going It Alone|
|Search time||5 weeks||6.5 months|
|Percentage increase of median price in suburb during search time||1.1%||4.9%|
|Raw dollars of percentage increase, compared to purchase price||$5,038||$22,442|
|Buyer's Agent fee||$9,900||N/A|
Time in the market is one of the most crucial factors when buying a property. The longer you spend looking for a property the more prices are likely to increase. The more prices increase, the further away you get from purchasing the property you really want.
Buyer’s Agents find your ideal property and they find it quickly, ensuring you don’t spend any more time or money than you need to.
Negotiation is arguably the most difficult stage of the buying process. Inexperienced buyers are matched against a selling agent who negotiates transactions every day and will work as hard as they can to get the best result for their client, the vendor. Sounds unfair, doesn’t it?
NPB Buyer’s Agents negotiate the best outcomes for their clients every day. They are in your corner and will fight hard to secure your ideal property for the lowest possible price and best conditions.
Here’s a recent example from our Sydney office:
By Simone Luxford (NPB State Manager in NSW)
After searching themselves for 5 months and having missed out on a number of properties our clients were apprehensive about attending another auction, so they engaged us to assist with the assessment and negotiation for a property they had found.
We knew we needed to move quickly to secure the property before auction so we immediately arranged to inspect the property and afterwards conducted the necessary due diligence. There was a catch though, the vendor wanted to exchange contracts on or before 1 July, and we were 1 week away from auction day.
Working strategically with the selling agent and solicitors over a 24 hour period, we were able to arrange a “put and call option” which allowed us to secure the property prior to the end of the financial year and exchange unconditionally afterwards, this was a win / win situation for our clients and the vendor.
We were more than delighted to have secured this property for our clients within one week of them engaging our services and they were over the moon with the outcome. We managed the negotiation and took the necessary steps to ensure we secured this property for them $10k below their budget, and given they both work full time it would have been near impossible for them to manage this process without us.
Testimonial from our happy buyers:
“We had been looking at buying our first home in Sydney for quite some time, but with no success.
We were consistently outbid at auctions, and no vendor took us seriously when we approached them off the market. We credit Simone’s abilities with securing us our beautiful home in exactly the area we wanted, for a much better price than if it had gone to auction.
We’ve already recommended her services to a number of people.”
Neva (Newtown NSW)
Eliminate costly mistakes
Property is simply too expensive to make mistakes.
Investors put their money into property to get a return through steady capital growth and good rental return over time. Sounds simple enough. But they have to invest in quality property.
Too often, property investors make the wrong purchase decisions. They don’t do enough research or analysis or are persuaded to buy the wrong type of property. There are so many factors that determine a property’s value and potential to increase in value. Being unaware of just one of these factors can be the difference between buying a great property and a bad one.
For example, a common mistake investors make is buying an apartment in an area that has multiple high density dwellings either under construction or in the planning stage. Once these dwellings come onto the market supply increases and it’s harder for other property to grow in value.
This is the type of valuable information that a Buyer’s Agent will uncover through their research and investigation; information that will allow you to make the best investment decisions.
Stop buying on emotion
Buying a property is a hugely emotional undertaking. It’s absolutely understandable that you seek to get the home you want that fits your lifestyle. It’s not called a ‘dream home’ for nothing.
But allowing yourself to be overcome by the emotion of buying your dream home can cost you money. It’s not uncommon for buyer’s to pay more than they have or more than the property is worth when they become frustrated, desperate, or too caught up in the moment.
An experienced Buyer’s Agent will take the emotion out of the process for you. They will act as your independent advisor and ensure you don’t make any decisions that result in paying too much for the property.
During the final price negotiations they are aware you may have a higher budget but they will only put forward realistic offers, low enough to secure the contract or entice the vendor to make a counter offer with the aim being to buy your dream home for the lowest possible price.
Buyer’s Agents will save you time
All house hunters accept they will spend a long, long time searching and inspecting properties until they find what they’re looking for. But they don’t have to.
Buyers can spend hundreds of hours looking for a property.
Here’s how much time you can save by engaging an NPB Buyer’s Agent.
|NPB Client||Going It Alone|
|Engaging BA / Search time:||3 hours||130 hours|
|Assessing properties on site:||5 hours||80 hours|
|Total Cost:||8 hours||210 hours|
At a conservative estimation searching for a property could take up to one or two hours a day. 15 or 20 minutes here and there during the day and an hour a night all quickly adds up. Going to inspections can take another three or four hours out of the weekend, depending on where the property is located.
It’s not unreasonable to assume that people can spend between 5 to 10 hours a week looking for property. Over the course of the average time of six and a half months to buy a property, that can add up to over 180 hours searching and inspecting.
Engaging National Property Buyers means you get your time back. Your nights and weekends are free from the constant worry and stress that you’re missing properties – you don’t need to worry because an experienced professional is taking care of everything for you.
What will National Property Buyer’s purchase for me?
Only the very best property available. NPB Buyer’s Agents are so rigorous in their search that less than 5% of properties are selected for inspection. That includes stock both publically and privately listed for sale, which is termed ‘Off Market’. They will only source the best properties that fit (or exceed) your criteria.
This incredibly thorough assessment ensures that you secure property that has the strongest potential for capital growth, putting you in the best possible position to grow your wealth through property and if you so desire, to buy again.
Take this real life example of our NPB client:
By Stephen McGee (NPB Director / Qld State Manager)
Our investor client had a very specific brief to meet. With a budget of up to $1.4 million, they wanted to purchase a high end property in a high growth area, or make two purchases.
If the client had the opportunity to make two purchases, the properties had to be in good condition with the ability to add value, while also being tenant ready.
NPB advocates sourced a property through their off market networks. Three standalone adjoining blocks with existing houses in the emerging Redcliffe Peninsula. All within a short walk to water, schools, shops, and cafes. At 1,365qm, the three combined allotments were a rare offering and would attract intense competition once on the market as a potential development site.
NPB advocates were the first agents through the property and recognised the excellent opportunity they presented. An offer was quickly submitted before the property went onto the market which triggered negotiations. Thanks to the NPB advocates expertise and understanding of this market, the three properties were purchased for $1,022,000, which was $103,000 under the $1.125m asking price, and $378,000 under the client’s budget.
Buyer’s Agent Services and Fees
National Property Buyers are able to tailor a service to suit your needs and ensure you get the best value for your investment.
Premium service: search, assess and negotiate
Our full service includes regular online searches and sourcing off-market properties, unlimited inspections, full assessment with detailed reports and negotiating the successful purchase.
An engagement fee is paid to begin the search & the balance of the success fee is only paid once a property has been purchased. The fee for this service is 2% of the purchase price and depending upon your budget, the fee may be negotiable.
Assess and Negotiate
The Assess and Negotiate service is suitable if you’d like to do the property search for yourself, or have already found the property you would like to buy. We will inspect the property, prepare a detailed property and price analysis and negotiate the purchase on your behalf.
An engagement fee is paid to begin the assessment of the property and to devise the purchase strategy. The balance of the success fee is only paid once a property has been purchased and the fee for this service is 1% of the purchase price. Depending upon your budget the fee may be negotiable.
This service is for those who are uncomfortable with the auction bidding process or are simply not going to be available on the day of the auction. Depending on the state you are purchasing in, engagement fees for this service are generally between $500 and $1,000 (plus GST) and up to $1,500 payable upon success. There is no better way, than having an expert represent you at auction, especially if the property passes in to you, would you know how to negotiate the lowest price?
If you’d like to book a no obligation, free consultation with one of our buyer’s agents please fill in the form on this page.
If you’re ready to tell us what type of property you’re interested in, please fill out our “Help Us Help You” form or click on “Get in touch” below.
Help us Help you!
Let us know what you are looking for