Thinking about purchasing property?
This has made some investors consider a move back into the property market, because of the strong rental demands for properties and low vacancy factors. With the purchase prices falling & rent staying the same or increasing marginally, we are starting to see yields increase from the low 3% to now being 4 - 6% on investment properties (depending on the areas and location).
The big disadvantage for investors is the time taken to source and find the appropriate investment property. This has lead to more people considering using a Buyers Agent.
Buyers Agents are licensed real estate professionals that specialise in searching, evaluating and negotiating the purchase of property on behalf of the buyer.
A Buyers Agent can provide the following benefits to the purchaser:
- Having one point of contact – as opposed to dealing with numerous agents (representing the vendor) calling you.
- More properties can be appraised by the buyers agent - based on their skills, knowledge and the time they have available to dedicate to the process (as opposed to most buyers that are restricted to just their weekends to research & view properties)
- Time and cost saving from start to finish in buying a property - don’t underestimate the amount of time it will take & the number of weekends that it will occupy in finding a property you consider may be suitable to buy
- Understanding what is a fair market price to pay for the property – this is based not only on the condition & type of the property but also the price range segments of the area, prior sales in the area together with the current market trend/direction
- Takes the emotion out of price negotiations
- Receive realistic expected rental returns on the property
- Access to properties not advertised on the internet.
These are just some of the benefits of why you may consider using a buyers agent & the reason why using a buyers agent can make the buying process less stressful and more enjoyable.
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Source: Written by Craig Williams, Principal Elders Mosman
