Buying Advice
Are Buyers Agents Worth It?
Not sure if a buyers agent is right for you? Here's an honest look at when they're worth it, when they're not, and what to ask before you hire one.
Considering using a buyers agent for your next property purchase? Here's an honest breakdown of the pros, cons, and costs to help you decide if it makes sense for your situation.
What Does a Buyers Agent Actually Do?
A buyers agent (also called a buyers advocate) is a licensed professional who works exclusively for you, the buyer. They search for, evaluate, and negotiate property purchases on your behalf. They're not working for the vendor. They're not trying to close a deal quickly to earn a commission from the seller's side. Their job is to get you the best outcome.
That often includes access to properties before they're publicly listed, negotiating on price, and guiding you through the process to settlement.
When a Buyers Agent Is Worth It
Access to off-market properties. A significant proportion of properties are sold before they ever hit the listing sites. Buyers agents with good relationships in the market can get you early or exclusive access.
Negotiation. A skilled agent knows how to negotiate without getting emotional. That can save you real money, particularly at auction or in a competitive market.
Time. If you're a busy professional or an investor managing a portfolio, handing off the search and due diligence saves you hours you probably don't have.
Buying interstate or from overseas. If you don't know the area, a local buyers agent with genuine market knowledge is invaluable. They know what things are actually worth and what to avoid.
Objectivity. It's easy to fall in love with a property and overpay. A good buyers agent keeps you grounded.
Auction support. They can bid on your behalf, strategically and without emotion.
When You Probably Don't Need One
You know the market well. If you've bought in the area before and have a strong read on values, you may not gain much.
You have the time to do it yourself. If you enjoy the process and can dedicate proper time to research and due diligence, the DIY route is legitimate.
You're on a tight budget. In lower price brackets, the fee becomes a larger proportion of the purchase price. Run the numbers carefully.
The market is slow. In a buyer's market with low competition, the edge a buyers agent provides is less pronounced.
What Does a Buyers Agent Cost?
Fees vary depending on the agent, the service level, and the market. Generally you'll see either:
- A flat fee (typically $7,000 to $25,000), or
- A percentage of the purchase price (usually 1.5% to 3%)
As an example: buying a $900,000 property with an agent charging 2% means $18,000 in fees plus GST.
Some agents offer lower-cost negotiation-only or auction-only services if you want help at a specific stage rather than the full service.
If you're buying an investment property, the fee may be tax deductible. Check with your accountant.
Always clarify the fee structure upfront. Some agents charge an upfront retainer or engagement fee in addition to their success fee.
A Few Other Things Worth Knowing
Not all buyers agents are the same. Some specialise in prestige homes, others in investment-grade properties or development sites. Make sure the agent you're considering has genuine experience in the type of property and market you're targeting.
If you're planning to build a portfolio over time, a good buyers agent relationship can compound in value. Repeat clients often get preferential access and better service.
Questions to Ask Before You Hire One
- Are they fully licensed?
- How do they charge, flat fee or percentage?
- What experience do they have in your target area?
- Can they show you recent examples of purchases they've helped with?
- Do they have any financial relationships with selling agents (conflict of interest)?
- Can they access off-market properties?
- How many clients do they work with at once?
- What's their approach in a competitive market?
Taking the time to ask these questions can make a real difference to the outcome.
The Bottom Line
A buyers agent isn't right for everyone. But in a competitive market, when buying interstate, or when you're short on time and experience, the right agent can absolutely earn their fee and then some.
The key word is "right." The quality varies a lot. Read reviews, ask questions, and make sure you understand exactly what you're paying for before you sign anything.