Buyers’ agent and co-host of Location, Location, Location Australia Veronica Morgan believes sales agents and buyers’ agents need to be very aware of managing clients’ expectations and know how to do so under different market conditions.
A seller’s market
The big fear for most buyers is paying too much. Basically we disregard what the agent is quoting and do our own price research. Then we can properly advise our client about what limit they should set and at what price to walk away.
A buyer’s market
Our buyers want to take advantage of a less competitive market, however often there is a lack of stock because vendors lack the confidence that they will get their price. We have to coach our clients not to buy anything that looks like a bargain, but to wait for a quality property to become available.
Going to auction
We advise our clients to decide on their maximum bid before we go to auction. It is important to set a limit with a clear head and not be caught up in an emotionally charged bidding war. By researching price and setting a limit in advance, they feel less shattered if somebody else is prepared to pay more than them.