If you’re wondering how much a buyer agent charges for their services, you’re not alone.
There are several interpretations of ‘buyer agent’, ranging from a casual “I’ll help you find a place” to various levels of engagement and informal input up to a truly professional and comprehensive service where the agent is your fiduciary and handles the entire property search, due diligence and acquisition process on your behalf.
As you might expect, fees vary depending on the level of service provided.
Generally, a buyer agent would charge a similar fee to an agent selling a property. According to RealEstate.com.au, 1.5% – 2% would be a fair fee, and you should avoid agents charging more than this.
But there’s another possible concern.
An agent selling a property normally charges a percentage of the sale price, so they’re incentivised to get the highest price possible.
But with a buyer agent, there’s usually an expectation to get the lowest possible price. So if the agent ties their fee to the contract price, they’re facing a conflict of interest and you’d be tempted to wonder whether they negotiated as hard as they could to get the price down.
RealTeam avoids this conflict of interest by simply charging a 1-time engagement fee plus a fixed fee, agreed in advance, with the dollar amount written into the agency agreement.
Contact us for more details.
