{"id":43199,"date":"2023-06-18T14:37:19","date_gmt":"2023-06-18T02:37:19","guid":{"rendered":"https:\/\/propertynoise.co.nz\/au\/?p=43199"},"modified":"2023-06-18T15:09:22","modified_gmt":"2023-06-18T03:09:22","slug":"when-buying-property-choose-your-very-friends-wisely","status":"publish","type":"post","link":"https:\/\/propertynoise.co.nz\/au\/when-buying-property-choose-your-very-friends-wisely\/","title":{"rendered":"When buying property, choose your VERY friends wisely"},"content":{"rendered":"<p><strong>PHOTO: It&#8217;s important to understand the relationship between vendor, buyer and real estate agent when buying a property. FILE<\/strong><\/p>\n<p>REPUBLISHED WITH PERMISSION | <a href=\"https:\/\/www.apimagazine.com.au\/\">API MAGAZINE<\/a><\/p>\n<p>Despite the cautionary advice we have all heard about the real estate profession, there are many occasions when participants are still taken by surprise and even feel betrayed by the actions of agents.<\/p>\n<p>So, it bears repeating: an estate agent represents the vendor and is not the prospective buyer\u2019s friend nor confidante.<\/p>\n<p>That\u2019s not to say one should caricature agents as sneaky and untrustworthy. Most are professional, but you can only blame naivety and inexperience if you end up feeling betrayed by an estate agent because they sought an advantage for their client from something you let slip.<\/p>\n<p>Now while it\u2019s important not to be overly trusting, that doesn\u2019t mean going into lock-down mode.\u00a0 Keep the channel of communications open and active.<\/p>\n<blockquote class=\"wp-embedded-content\" data-secret=\"3VTPSfYrUq\"><p><a href=\"https:\/\/propertynoise.co.nz\/au\/new-twist-in-fraudsters-home-sell-off\/\">New twist in fraudster\u2019s home sell off<\/a><\/p><\/blockquote>\n<p><iframe class=\"wp-embedded-content lazyload\" sandbox=\"allow-scripts\" security=\"restricted\" style=\"position: absolute; visibility: hidden;\" title=\"\u201cNew twist in fraudster\u2019s home sell off\u201d \u2014 Property News Australia\" data-src=\"https:\/\/propertynoise.co.nz\/au\/new-twist-in-fraudsters-home-sell-off\/embed\/#?secret=x4kQ9Ozher#?secret=3VTPSfYrUq\" data-secret=\"3VTPSfYrUq\" width=\"600\" height=\"338\" frameborder=\"0\" marginwidth=\"0\" marginheight=\"0\" scrolling=\"no\" src=\"data:image\/svg+xml;base64,PHN2ZyB3aWR0aD0iMSIgaGVpZ2h0PSIxIiB4bWxucz0iaHR0cDovL3d3dy53My5vcmcvMjAwMC9zdmciPjwvc3ZnPg==\" data-load-mode=\"0\"><\/iframe><\/p>\n<p>If you like a property, it is in your interest for the agent to know. Otherwise, they could sell it \u2013 and this happens frequently \u2013 without you being given the chance to make a counter-offer.<\/p>\n<div class=\"article-insert\">\n<p class=\"mt10 mbn\">Writing exclusively for API Magazine, Damian Collins, Managing Director of Momentum Wealth, looks at why property investing without a plan is a recipe for failure.<\/p>\n<\/div>\n<p>Take control of the discussion with an agent from early on in the sales campaign.<\/p>\n<p>Ask pointed questions of the agent, questions like; What\u2019s the quote range (if it isn\u2019t listed in the sales material)? What comparable sales have been used to determine the quote? How many other parties are interested? In what price range is interest sitting? What is the vendor hoping for?<\/p>\n<p>Your questions can cut out much of the game-playing and allow you to ascertain whether you are a chance with a property.<\/p>\n<blockquote class=\"wp-embedded-content\" data-secret=\"5PDmjZBVbU\"><p><a href=\"https:\/\/propertynoise.co.nz\/au\/the-worst-mistakes-homeowners-make-when-putting-their-house-on-the-market\/\">The WORST mistakes homeowners make when putting their house on the market<\/a><\/p><\/blockquote>\n<p><iframe class=\"wp-embedded-content lazyload\" sandbox=\"allow-scripts\" security=\"restricted\" style=\"position: absolute; visibility: hidden;\" title=\"\u201cThe WORST mistakes homeowners make when putting their house on the market\u201d \u2014 Property News Australia\" data-src=\"https:\/\/propertynoise.co.nz\/au\/the-worst-mistakes-homeowners-make-when-putting-their-house-on-the-market\/embed\/#?secret=cJ2BM8dFYO#?secret=5PDmjZBVbU\" data-secret=\"5PDmjZBVbU\" width=\"600\" height=\"338\" frameborder=\"0\" marginwidth=\"0\" marginheight=\"0\" scrolling=\"no\" src=\"data:image\/svg+xml;base64,PHN2ZyB3aWR0aD0iMSIgaGVpZ2h0PSIxIiB4bWxucz0iaHR0cDovL3d3dy53My5vcmcvMjAwMC9zdmciPjwvc3ZnPg==\" data-load-mode=\"0\"><\/iframe><\/p>\n<p>It also takes the initiative from the agent and reduces their opportunity to probe you with their own questions designed to reveal your budget such as; What other properties have you been looking at? (your answer: oh, this and that) Or, more cheekily, What\u2019s your budget? (your answer: oh, it\u2019s pretty broad).<\/p>\n<p>From the agent\u2019s answers and tone, it is often possible to gather a sense of whether they are expecting the final price to fall within the quoted range or sit well above it.<\/p>\n<p>Make a note of the answers you receive because you should repeat many of the questions later in the campaign, as the process can reveal a shift in the agent\u2019s level of confidence.<\/p>\n<h2>Research is crucial<\/h2>\n<p>Your own research\u00a0will also help you validate or mark as dubious an agent\u2019s claims.<\/p>\n<p>Your efforts must be a combination of keyboard and shoe leather research. Collect the weekend auction results, analyse recent sold prices on the real estate websites and\u00a0attend lots of auctions\u00a0and open for inspections in your target area.<\/p>\n<p>Don\u2019t be too hard on yourself if these efforts don\u2019t immediately deliver a return.<\/p>\n<blockquote class=\"wp-embedded-content\" data-secret=\"ukfmQbHTSC\"><p><a href=\"https:\/\/propertynoise.co.nz\/au\/what-the-average-ray-white-real-estate-agent-earns\/\">What the average Ray White real estate agent earns<\/a><\/p><\/blockquote>\n<p><iframe class=\"wp-embedded-content lazyload\" sandbox=\"allow-scripts\" security=\"restricted\" style=\"position: absolute; visibility: hidden;\" title=\"\u201cWhat the average Ray White real estate agent earns\u201d \u2014 Property News Australia\" data-src=\"https:\/\/propertynoise.co.nz\/au\/what-the-average-ray-white-real-estate-agent-earns\/embed\/#?secret=zQvlicca7B#?secret=ukfmQbHTSC\" data-secret=\"ukfmQbHTSC\" width=\"600\" height=\"338\" frameborder=\"0\" marginwidth=\"0\" marginheight=\"0\" scrolling=\"no\" src=\"data:image\/svg+xml;base64,PHN2ZyB3aWR0aD0iMSIgaGVpZ2h0PSIxIiB4bWxucz0iaHR0cDovL3d3dy53My5vcmcvMjAwMC9zdmciPjwvc3ZnPg==\" data-load-mode=\"0\"><\/iframe><\/p>\n<p>Realistically, most buyers misread the market initially and it often takes one or two unsuccessful attempts to purchase before they wise-up to the rules of the game. But your objective must be to\u00a0truncate this education.<\/p>\n<p>You may even find that your homework will eventually allow you to turn the tables on an unscrupulous agent. There\u2019s nothing more delicious than starting a negotiation with an agent after a property has been passed in to you comfortably above the top of an absurdly low quote range and then hearing \u2013 not unexpectedly \u2013 that the owner\u2019s reserve is much higher again.<\/p>\n<blockquote class=\"wp-embedded-content\" data-secret=\"eWbcD8kHpb\"><p><a href=\"https:\/\/propertynoise.co.nz\/au\/sydney-real-estate-agents-spiral\/\">Sydney real estate agent\u2019s spiral<\/a><\/p><\/blockquote>\n<p><iframe class=\"wp-embedded-content lazyload\" sandbox=\"allow-scripts\" security=\"restricted\" style=\"position: absolute; visibility: hidden;\" title=\"\u201cSydney real estate agent\u2019s spiral\u201d \u2014 Property News Australia\" data-src=\"https:\/\/propertynoise.co.nz\/au\/sydney-real-estate-agents-spiral\/embed\/#?secret=LPUF4H2dz7#?secret=eWbcD8kHpb\" data-secret=\"eWbcD8kHpb\" width=\"600\" height=\"338\" frameborder=\"0\" marginwidth=\"0\" marginheight=\"0\" scrolling=\"no\" src=\"data:image\/svg+xml;base64,PHN2ZyB3aWR0aD0iMSIgaGVpZ2h0PSIxIiB4bWxucz0iaHR0cDovL3d3dy53My5vcmcvMjAwMC9zdmciPjwvc3ZnPg==\" data-load-mode=\"0\"><\/iframe><\/p>\n<p>This is when the disconnect between the quote and the vendor\u2019s higher reserve gives grounds to ask questions about judgement and ethics and subsequently corner an agent into agreeing a price that is substantially below what the vendor ideally wanted.<\/p>\n<p>Agents, beware the wise buyer.<\/p>\n<p>&nbsp;<\/p>\n","protected":false},"excerpt":{"rendered":"<p>PHOTO: It&#8217;s important to understand the relationship between vendor, buyer<span class=\"more-link\"><a href=\"https:\/\/propertynoise.co.nz\/au\/when-buying-property-choose-your-very-friends-wisely\/\">Read More &rarr;<\/a><\/span><\/p>\n","protected":false},"author":1,"featured_media":32965,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_monsterinsights_skip_tracking":false,"footnotes":""},"categories":[461747081],"tags":[478118991,478116067,478102195,478121898,478098521,478099852,478098519,478098535,478098579,478098510,478098509],"class_list":["entry","author-data123nz","post-43199","post","type-post","status-publish","format-standard","has-post-thumbnail","category-australian-property-real-estate-news","tag-aussie-first-home-buyer","tag-australian-homebuyers","tag-australian-homes","tag-australian-real-estate-buyers","tag-australians","tag-buying-property","tag-home-ownership","tag-house-prices","tag-property-market","tag-property-news","tag-real-estate-news"],"yoast_head":"<!-- This site is optimized with the Yoast SEO plugin v28.6 - 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