What is an Independent Buyer’s Agent?

 

Definition: ‘Independent’:

  • not influenced or controlled by others in matters of opinion or conduct;
  • is not subject to another’s authority or jurisdiction;
  • not influenced by the thought or action of others;

 

What is an Independent Buyer’s Agent?

Specifically, an independent buyers agent represents the best interest of their client, and is paid exclusively by the buyer.  Their only motivation is to source the best possible property and to secure it for the most favourable price and conditions.  An independent buyers agent is not involved in property sales, and does not receive fees from any other service providers.  (This includes direct repayments, referral fees, or any other monetary reward.)

 

Why is it important to employ an Independent Buyer’s Agent?

If a buyer’s agent is not independent, then the advice they provide cannot be completely relied upon.  If a buyers agent is involved in property sales, or receives income from developers, then this will impact the advice they provide creating a conflict of interest.

 

An independent buyers agent is able to provide trusted recommendations for services such as mortgage brokers, property managers, and solicitors.  Referrals to third parties should be based on the quality of their service (and not made because the buyers agent receives a benefit themselves).  Buyers should be aware that a conflict of interest may exist, if they are referred to in-house mortgage brokers, financial planners, and/or property managers.

 

How do you know that a Buyer’s Agent is Independent?

Buyer’s Agents should be asked directly whether or not they are involved in property sales, and if they have any affiliations with developers, solicitors, accountants, building and pest inspectors or property managers that could create a conflict of interest.

 

Consumers should check that their buyer’s agent is a member of the Real Estate Buyers Agent Association of Australia (REBAA), and therefore abides by its code of conduct.

 

Buyers can also search the agents name, on the major real estate portals (Realestate.com, Domain) to see if they are also involved in sales and/or property management.

 

About us

Your Property Hound is an independent buyers agent that assists homebuyers and investors to purchase residential property in Brisbane.  We do not receive any payments from developers, sales agents, solicitors, building inspectors, property managers or other professionals.   Our only motivation is to find the best property to suit our client’s needs.

 

Contact us for more information.