Property Investors Can Now Use A Buyer’s Agent For Free
A new service for property investors is promising a free buyer’s agent with a pricing model that’s set to shake up the Aussie property market.
Seekology is a brand new service exclusively for property investors. Unlike traditional buyer’s agencies, Seekology is offering its buyer’s agent service for free.
Wait, what’s a buyer’s agent again?
A buyer’s agent (or buyer’s advocate) is a licensed professional that does the majority of hard work for you when it comes to purchasing property. They specialise in searching, evaluating and negotiating the purchase of property on behalf of the buyer.
The main benefit to using a buyer’s agent is the fact that these guys know the market very well. Some agents will have access to a wider range of properties that you may not have seen or properties that might not have been advertised yet. Another key benefit is the fact that you’ll be able to save countless hours of searching, researching and evaluating by letting a trained professional do it for you. That way you’ll have freed up some extra time for inspections and finding the right property for you.
But – and it’s a big but – the service can be costly (as in, thousands of dollars). Remarkably, Seekology have managed a way around this.
How do buyer’s agents make money?
Traditionally, buyer’s agents can charge an engagement fee before they begin working with a client. Users can also expect to pay a flat fee or a percentage of the property’s purchase price.
Alternatively, Seekology is paid by the seller or the seller’s agent, instead of the buyer footing the bill. This inevitably saves buyers thousands of dollars compared to the cost of a standard buyers agent.
How Seekology works
This unique pricing model gives Seekology a bit of an edge over its competitors. For an established property, Seekology earns an industry standard referral commission from the seller or seller’s agent. For new properties, the developer or marketing agent pays for the Seekology service. By having the sellers pay for the buyer’s agent service instead of the buyer, property investors can benefit from having a team of property experts working solely for them, sourcing and negotiating the purchase of a property, as well as bidding at auction.
The only cost to the buyer is a temporary $1000 engagement fee, which is fully refunded once the property is purchased.
Does that mean Seekology work with preferred sellers and property developers?
We wanted to find out, so asked Seekology if they have agreements with certain property developers, and were assured that’s not the case. Tim Godden, National Director of Seekology, told The Cusp that the company is “100% independent and unbiased.”
“Seekology only engages in discussions with sellers after we have recommended a property to our client and our client is interested in making a purchase,” Mr Godden says. “By not knowing the commission, this reinforces our unbiased approach. Seekology is 100% transparent on commission. We always declare the commission to the buyer.”
Mr Godden added, “We do not sell property. We have access to every property that is on the market, as well as many additional investment opportunities that are strictly off-market. We are committed to putting every property through a rigorous selection criteria, ensuring only the top 1% of properties are recommended to our clients. Our sole focus is to find our client the best possible investment property that fits their brief.”
To find out more about Seekology, check out their website here.
Rebecca Russo is a freelance writer, editor, community radio dabbler, occasional hiker and celebrity autobiography enthusiast. She has written for online publications including Junkee, AWOL, Fashion Journal and Tone Deaf. Find her online here.