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LuckyOne

We All Hate Estate Agents ......

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Unlike the markets that I know better, the U.K. market is very fractured without a MLS (multiple listing service) equivalent where an agent can sell a house listed by a different agent.

This alone makes it very time consuming and inefficient to buy a house here.

Has anyone ever tried using a buyer's agent? There fees are typically the larger of between 1.25% and 1.5% of the sales price and between 10% and 12% of the saving relative to the asking price

From what I can see, there are some advantages to using a buyer's agent :

- EAs act solely for the benefit of the seller. It could be useful to have someone working on the buyer's behalf

- People who buy houses for other people as a living must be better equipped to find houses for sale at fair market value than an amateur (even a very enthusiastic one)

- They are a time saver as they deal with the EAs on behalf of the buyer

As far as I can tell, there are a few disadvantages as well :

- I hate spending money on things that I think that I can do myself

- There is still an agency problem. Saving the buyer the last 10k is really not that material to their pay.

- The biggest problem of all is that the buyer's agent doesn't get paid until a house is actually bought. They are at risk of behaving the same way as an EA does as they have the same motivation in the end.

Any thoughts or experiences?

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Looking at the limp wristed offers phil and kirsty put in I think your better off doing it yourself, yeah they might be working for you but they have a vested interest to get you to buy something so they aren't much/any better than a normal EA! IMHO they will offer higher than a tight fisted bear, in the hope that they will get there fee quicker.

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We do this in the commercial world. Agents are retained by buyers to acquire. The fee could be argued as a driver, but the buyers will normally have an idea of where they are coming from in terms of price. In addition, fee can be linked to savings achieved, plus other incentives secured.

I think it could work in the resi market, but the main problem has been too many people armed with massive mortgages outbidding for property. I would say in this market though, that it would work better?

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Isn't that what our lad Phil Spencer did? :blink:

No. They take your spec's and look around for your type of house and charge you quite a bit.

I think a buying agent sounds quite a good idea in a falling market. I have no idea how to haggle over price. My strategy would be to offer x and to raise it to x + a bit and then hold firm.

I was reading on here just the other day someone said how they managed to convince the vendor that their offer was all they could afford. That seemed pretty weird to me. If you have one person who wants to buy your property at twenty percent off and it's all they can come up with then maybe sell to them. If cash buyer offers twenty percent off and says that's all I'm offering, tell em to eff off as they are bottom feeding parasites?

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We do this in the commercial world. Agents are retained by buyers to acquire. The fee could be argued as a driver, but the buyers will normally have an idea of where they are coming from in terms of price. In addition, fee can be linked to savings achieved, plus other incentives secured.

I think it could work in the resi market, but the main problem has been too many people armed with massive mortgages outbidding for property. I would say in this market though, that it would work better?

The thing with commercial is they're going to work for a well known agency and will know the market. The advantage is they get the deals first and are credible when making offers on behalf of clients. Chances are your agent in London will know, for example, the agent acting for the seller in Manchester. This won't really be the case with residential agents and I don't know how chummy various local estate agents are with each other.

Screening out any old numpty that's decided they've got a laptop and want to be a pwoperty egent would be difficult as well.

It's a service I would be prepared to use If I thought you could get value from it.

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We do this in the commercial world. Agents are retained by buyers to acquire. The fee could be argued as a driver, but the buyers will normally have an idea of where they are coming from in terms of price. In addition, fee can be linked to savings achieved, plus other incentives secured.

I think it could work in the resi market, but the main problem has been too many people armed with massive mortgages outbidding for property. I would say in this market though, that it would work better?

A local chap round here - let's call him "Mr Muddle" shall we - had the same idea a couple of years back.

He was such a totally cr@p EA that he even got a smack in the chops in a local pub one night. So, clearly, he set out to create his big "Property Finders" vision. Same tired old idea, same complete lack of talent, same failure....

There's simply no value-add in the concept in the residential market, for which any sane person would pay good money. Which is presumably why some EA's think it's the way out, because they still don't recognise that they add no value whatsoever to society, and therefore have zero long term sustainability. And it's why Phwil has gone, inevitably, bust....

Interestingly, "Mr Muddle" now manages his former employer's Winchester office. Demonstrating that these to$$ers simply have no idea which way is up...

Speechless.

B

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Guest DissipatedYouthIsValuable

You'd have to incentivise properly or you'd have two of them ripping you off.

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FFS go to an auction.

So far, I haven't seen very much in any of the catalogues that I have looked at that I would like to live in ......

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FFS! If you're not capable of doing a search on rightmove, deciding which houses you like the look of and contacting they vendor's agent on your own, then it's probably best that you stay out of the property market (in fact you probably should stick to living with your parents).

Furthermore, it sounds like it's in the buying agent's interest to find you overvalued properties so that they can take max commission from sale value and negotiated discount.

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Waste of time, and plenty of cash, imo, you're far better off doing the leg-work yourself.

As for a buyers agent managing to negotiate better prices for the buyer, this is often total rubbish. Most (but not all!) the ones I havecome accross are far more focused on securing a fee for themselves rather than a good deal for their client.

the ones near me tend to be bored middle-aged housewives who think that because they've watched Location x 3 a couple of times they're overqualified to spend someone elses money. :rolleyes:

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FFS! If you're not capable of doing a search on rightmove, deciding which houses you like the look of and contacting they vendor's agent on your own, then it's probably best that you stay out of the property market (in fact you probably should stick to living with your parents).

Furthermore, it sounds like it's in the buying agent's interest to find you overvalued properties so that they can take max commission from sale value and negotiated discount.

Well said

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