Invest
How important is a buyer’s agent in a rising market?
In a hotly contested seller’s market, investors are being alerted to the importance of a good buyer’s agent.
How important is a buyer’s agent in a rising market?
In a hotly contested seller’s market, investors are being alerted to the importance of a good buyer’s agent.
Recent CoreLogic stats have revealed a growth in dwelling prices nationally by 2.1 per cent in the month of February, with capital cities, including Sydney and Hobart, growing even faster.
The growing number of buyers is seeing experts such as Commonwealth Bank’s economist, Gareth Aird, predict a 16 per cent price surge, nationally, over the next two years.
While Sydney and Melbourne are tipped to rise by 7.5 per cent and 7 per cent in 2021, respectively, it’s the regions just outside of the two largest capitals that are tipped to outperform.
Moreover, Darwin is predicted to rise by 12 per cent by the end of this year, Perth by 10 per cent, Brisbane by 9.5 per cent and Hobart, Adelaide and Canberra all by 9 per cent.
According to the host of the Smart Property Investment Show, Phil Tarrant, in a rising market, buyer’s agents really prove their value.
“A lot of people will say buyer’s agents are good in markets where there’s more properties for sales because they are good at negotiating,” he said.
“That’s fair enough, and it’s a good point.”
“However, if you don’t buy well and time your buying well in this market, if you miss out on a property for whatever reason and you try again in a month’s time, potentially you’re looking at three, four, five percent, in this market, higher,” he explained.
Pure Property Investment’s Paul Glossop explained that even for industry professionals, the market is tough.
“It’s painful for me because we’ve bought two properties for a client, literally got under contract, gone through building and pest, and got to the point of subsidence in both of them exactly the same thing,” he said.
“We had cracking in brickwork on one corner, it was dropping away. We couldn’t get them to agree to, it was about a 12, 15k rectification.”
“We weren’t comfortable taking away that property for them, and we’ve walked away from it. And in that time, the market’s grown by another 6 or 7 percent,” Mr Glossop concluded.
Tune in to Paul Glossop’s episode on The Smart Property Investment Show to know more about the importance of making smart and informed decisions in the current market.
RELATED ARTICLES
About the author
About the author
Property
New investment platform Arkus allows Australians to invest in property for just $1
In a groundbreaking move to democratise investment in property-backed mortgage funds, GPS Investment Fund Limited has launched Arkus™, a retail investment platform designed to make investing ...Read more
Property
Help to Buy goes live: What 40,000 new buyers mean for banks, builders and the bottom line
Australia’s Help to Buy has opened, lowering the deposit hurdle to 2 per cent and aiming to support up to 40,000 households over four years. That single policy lever will reverberate through mortgage ...Read more
Property
Australia’s mortgage knife‑fight: investors, first‑home buyers and the new rules of lender competition
The mortgage market is staying hot even as rate relief remains elusive, with investors and first‑home buyers chasing scarce stock and lenders fighting for share on price, speed and digital experienceRead more
Property
Breaking Australia’s three‑property ceiling: the finance‑first playbook for scalable portfolios
Most Australian investors don’t stall at three properties because they run out of ambition — they run out of borrowing capacity. The ceiling is a finance constraint disguised as an asset problem. The ...Read more
Property
Gen Z's secret weapon: Why their homebuying spree could flip Australia's housing market
A surprising share of younger Australians are preparing to buy despite affordability headwinds. One in three Gen Z Australians intend to purchase within a few years and 32 per cent say escaping rent ...Read more
Property
Tasmania’s pet-positive pivot: What landlords, BTR operators and insurers need to do now
Tasmania will soon require landlords to allow pets unless they can prove a valid reason to refuse. This is more than a tenancy tweak; it is a structural signal that the balance of power in rental ...Read more
Property
NSW underquoting crackdown: the compliance reset creating both cost and competitive edge
NSW is moving to sharply increase penalties for misleading price guides, including fines linked to agent commissions and maximum penalties up to $110,000. Behind the headlines sits a more ...Read more
Property
ANZ’s mortgage growth, profit slump: why volume without margin won’t pay the dividends
ANZ lifted home-lending volumes, yet profits fell under the weight of regulatory and restructuring costs—an object lesson in the futility of growth that doesn’t convert to margin and productivityRead more
Property
New investment platform Arkus allows Australians to invest in property for just $1
In a groundbreaking move to democratise investment in property-backed mortgage funds, GPS Investment Fund Limited has launched Arkus™, a retail investment platform designed to make investing ...Read more
Property
Help to Buy goes live: What 40,000 new buyers mean for banks, builders and the bottom line
Australia’s Help to Buy has opened, lowering the deposit hurdle to 2 per cent and aiming to support up to 40,000 households over four years. That single policy lever will reverberate through mortgage ...Read more
Property
Australia’s mortgage knife‑fight: investors, first‑home buyers and the new rules of lender competition
The mortgage market is staying hot even as rate relief remains elusive, with investors and first‑home buyers chasing scarce stock and lenders fighting for share on price, speed and digital experienceRead more
Property
Breaking Australia’s three‑property ceiling: the finance‑first playbook for scalable portfolios
Most Australian investors don’t stall at three properties because they run out of ambition — they run out of borrowing capacity. The ceiling is a finance constraint disguised as an asset problem. The ...Read more
Property
Gen Z's secret weapon: Why their homebuying spree could flip Australia's housing market
A surprising share of younger Australians are preparing to buy despite affordability headwinds. One in three Gen Z Australians intend to purchase within a few years and 32 per cent say escaping rent ...Read more
Property
Tasmania’s pet-positive pivot: What landlords, BTR operators and insurers need to do now
Tasmania will soon require landlords to allow pets unless they can prove a valid reason to refuse. This is more than a tenancy tweak; it is a structural signal that the balance of power in rental ...Read more
Property
NSW underquoting crackdown: the compliance reset creating both cost and competitive edge
NSW is moving to sharply increase penalties for misleading price guides, including fines linked to agent commissions and maximum penalties up to $110,000. Behind the headlines sits a more ...Read more
Property
ANZ’s mortgage growth, profit slump: why volume without margin won’t pay the dividends
ANZ lifted home-lending volumes, yet profits fell under the weight of regulatory and restructuring costs—an object lesson in the futility of growth that doesn’t convert to margin and productivityRead more
