Property Acquisition Methods Chart

Property Acquisition Methods – Comparison Chart ©

Here’s a summary of the 3 approaches to buying property, with advantages & disadvantages of each listed and compared. A ‘Buyer Agent’ levels the playing field between you and the property seller, by coming between you & the Seller’s agent, and working exclusively for you.

When considering a purchase as large as a piece of real estate, it’s wise not to buy on impulse, but to plan ahead & ensure you not only get ‘good value’, but also the property is the most suitable of those available, for your requirements, and is acquired for the best possible price.

Item	‘Mainstream’ Agent	Single (‘Buyer’) Agent	D.I.Y.
Works for…	Vendor	Purchaser Client (buyer)	Do all the work yourself
Fee (cost)	Included in price, & tied to ‘high-as-possible’ sale price	Fixed in advance Includes counsel, research, travel, property screening, negotiation, documentation, inspections and more Your agent has no incentive toward higher price	Includes extensive research, travel, documentation, negotiation skills & unknown negotiation outcomes
Price	As high as agent can get	As low as agent can negotiate Protection against emotionally ‘over-paying’ Objectively review property against your requirements	Depends on buyer’s ability to negotiate with a (often) skilled and experienced agent
Property limitations	Agent’s property listings only	No limitation; Search & screen any and all property meeting your requirements, including property not actively ‘on-the-market’	On-market property only
Attitude	Justifies vendor’s view of price & value	Finds every reason to reduce price Working exclusively for Buyer-client Dispassionate – no emotional involvement with the property	Time & frustration often play a major part; Can fall-in-love with a property
Advantages	No perceived cost; Familiar to most Australians	Access to all suitable properties Extensive current market & property information Fixed cost No buying pressure Client anonymity Access to many industry insider contacts & resources Someone in ’your corner’ working to get you the Best Deal	Vary with the person’s expertise, time, contacts, perseverance etc
Disadvantages	Pressure to buy at highest possible price; No objective property analysis	Single Agency (Buyer Agency) is unfamiliar to many Australians	Generally limited to ‘on-market’ property; Unknown cost; May require much research