Finding Your Dream Team: Essential Questions for Your Buyer's Agent

November 26, 2024 Anshu Vaidya

Buying an investment property is a big deal. It's not just about finding a good deal; it's about finding the right partner to guide you through the process. That partner is your Buyer's Agent (BA).

A top-notch BA should be more than just a market expert – they should be your trusted property partner throughout the buying process. To help you choose wisely, here’s a comprehensive guide to the essential questions you should ask.

1. Understanding Your Buyer's Agent

What's your investment story? Have they walked the walk? Understanding their personal investment journey can provide valuable insights. Their experience can help you navigate challenges and proactively identify costly issues.

Are you licensed and insured? This is a basic but crucial question to ensure you're protected. Buyer's Agents are required to hold real estate licenses in each state where they operate.

Who’ll be sourcing properties for me? Some agencies delegate property sourcing to inexperienced team members. Confirm whether the person you’re speaking to will personally manage your case.

What mistakes you’ve made in your investing journey, and what did you learn? This is a revealing question that offers insight into their experience, humility, and ability to learn from past challenges.

2. Market Mastery

What areas have you helped clients buy in that you no longer recommend, and why? Understanding their rationale for moving away from certain locations (e.g. unsustainable price growth) gives you a sense of their evolving strategy and market awareness.

How do you identify areas to invest in, and what key metrics do you consider? Look for a data-driven approach that balances growth potential with your personal investment goals.

When do you decide to start or stop buying in a particular area? This question probes their ability to time markets effectively and recognise when opportunities have peaked.

What areas do you avoid, and why? Hearing about locations they don’t recommend can highlight risks and help you understand their investment philosophy.

3. Property Selection

How do you select properties and conduct due diligence? What types do you avoid? Learn about their selection criteria, such as property configuration, land size, and building quality. Also, ask about properties they avoid, like those in housing commission areas, arterial roads, or near high voltage powerlines.

Can you share examples of properties you’ve shortlisted? Some BAs may be open to sharing detailed reports, videos, or documents they presented to their clients in the past. Even if the properties aren’t currently on the market, this will give you a sense of their process.

4. Service and Support

What's included in your fee? Understand exactly what services you're paying for.

Do you work exclusively as a buyer's agent, or do you have ties to property developers? This is critical to identify potential conflicts of interest. You want a BA who works solely in your best interest.

Do you have a network of trusted professionals? A reliable BA will have a team of experts, including solicitors, property managers, building and pest inspectors, accountants, mortgage brokers etc. to streamline your buying experience.

What’s your post-purchase support like? Check if they’ll assist you with tasks like tenant placement, or offer ongoing support after your purchase.

The Final Word

Remember, your BA is your partner in this journey. Choose wisely and you'll be well on your way to building a profitable property portfolio. Happy house hunting!

Buyers Agents for property investment