All Topics / Help Needed! / Property investing consultants?

Viewing 15 posts - 1 through 15 (of 15 total)
  • Profile photo of ChangChang
    Participant
    @chang
    Join Date: 2005
    Post Count: 7

    Hello,

    I have been approached by so-called real estate advisory companies who said that they can help me buy investment properties. I’m very new to property investing and dont know much about it. Does anyone know if these companies have financial services license to give advice or are they just realestate agents trying to sell me properties? Do realesate advisory companies require a license approved by ASIC before they can give advice on property investing?

    Thanks.

    Chang

    Profile photo of Alistair PerryAlistair Perry
    Participant
    @aperry
    Join Date: 2004
    Post Count: 891

    Hi Chang,

    Name the companies and I’m sure you’ll get lots of opinions.

    Regards
    Alistair

    Profile photo of ChangChang
    Participant
    @chang
    Join Date: 2005
    Post Count: 7

    I think it would probably be unfair if I start mentioning names of companies who have approached me. I really just want to know if so-called realetate advisory companies who help clients find investment properties are licensed and regulated by ASIC to protect consumers.

    Profile photo of maximusmaximus
    Member
    @maximus
    Join Date: 2003
    Post Count: 189

    Chang, just remember that these companies are set-up to make money, so you are probably paying their fees for things you could do yourself, however, if you feel that their fees are appropriate and if it gets you into the property market, then so be it.

    Makes it hard to comment without knowing the company/ies involved. There are some dubious ones out there

    Profile photo of Alistair PerryAlistair Perry
    Participant
    @aperry
    Join Date: 2004
    Post Count: 891

    Chang,

    Some do a good job for their clients, others not so good and they all have different structures and methods of doing business. It is simply not possible to comment without knowing who you are talking about.

    There are people who post on here who provide these services, you could try talking to one of them. Michael Yardney and Nigel Kibel come to mind, but there are others also.

    Regards
    Alistair

    Profile photo of XeniaXenia
    Member
    @xenia
    Join Date: 2002
    Post Count: 1,231

    Hi Chang,

    Most importantly, you need to determine whether the product/service they are selling can fit into your own wealth creation plan and only you can determine that.

    Cheers

    We buy properties in all conditions. Can offer Immediate Cash Settlements, No Real Estate Agents Required
    [email protected]
    phone 0412 437 582

    Profile photo of LightningLightning
    Member
    @lightning
    Join Date: 2005
    Post Count: 6

    Hi Chang,
    Regarding the property investing company you mentioned: Always get your own independant finance organised no matter how good they say their financing deals and structures are.
    You could end up paying too much for the property if you do.

    You haven’t missed the boat … it is passing you by.

    Profile photo of Nigel KibelNigel Kibel
    Participant
    @nigel-kibel
    Join Date: 2005
    Post Count: 1,425

    Mnay of these companies are marketing companies that have 20-30,000 commissions loaded into there property. Either do the research your self or use a buyers advocate that works for you not the vendor

    Nigel Kibel

    http://www.propertyknowhow.com.au

    Australian and New Zealand Buyers advocate
    service and seminars

    Nigel Kibel | Property Know How
    http://propertyknowhow.com.au
    Email Me | Phone Me

    We have just launched a new website join our membership today

    Profile photo of TerrywTerryw
    Participant
    @terryw
    Join Date: 2001
    Post Count: 16,213

    I don’t think ASIC require licencing by these sorts of companys, just the real estate licence. It may depend on how much of the advice they start giving you.

    Terryw
    Discover Home Loans
    North Sydney
    [email protected]

    Terryw | Structuring Lawyers Pty Ltd / Loan Structuring Pty Ltd
    http://structuring.com.au/
    Email Me

    Lawyer, Mortgage Broker and Tax Advisor (Sydney based but advising Aust wide) http://Terryw.com.au/

    Profile photo of MichaelYardneyMichaelYardney
    Participant
    @michaelyardney
    Join Date: 2001
    Post Count: 616
    Originally posted by APerry:

    Chang,

    Some do a good job for their clients, others not so good and they all have different structures and methods of doing business. It is simply not possible to comment without knowing who you are talking about.

    There are people who post on here who provide these services, you could try talking to one of them. Michael Yardney and Nigel Kibel come to mind, but there are others also.

    Regards
    Alistair

    Thanks for the plug Alisair. [blush2]

    Both Nigels company http://www.propertyknowhow.com.au and ours http://www.buyingmelbourne.com.au are licensed estate agents and have professional indemnity insurance . We are members of the REIV.

    Neither have properties for sale but are paid by the client to find our clients a bargain.

    Property marketing companies are paid large commissions by the developer and this is added to the price the invetsor pays.

    As others say, you must do your homework very carefully.

    Michael Yardney
    METROPOLE PROPERTIES
    Author of Australia’s leading property e-magazine.
    Join over 10,000 readers each month.
    FREE subscription http://www.metropole.com.au

    Profile photo of TerrywTerryw
    Participant
    @terryw
    Join Date: 2001
    Post Count: 16,213

    Brokers are often approached by ‘marketing’ companies who wish us to refer customers.

    There is one out there that offers us 4% commission (of sale price) for just referring customers.

    Terryw
    Discover Home Loans
    North Sydney
    [email protected]

    Terryw | Structuring Lawyers Pty Ltd / Loan Structuring Pty Ltd
    http://structuring.com.au/
    Email Me

    Lawyer, Mortgage Broker and Tax Advisor (Sydney based but advising Aust wide) http://Terryw.com.au/

    Profile photo of ChangChang
    Participant
    @chang
    Join Date: 2005
    Post Count: 7

    Thank you all for replying back to my posted question.

    Is it safe to assume now that so-called property advisors are really just real estate agents (who does not carry Australian financial services license)trying to sell me properties they have on stock?

    Also, if the so-called advisors are going to act as a buyer’s agent to help find investment properties for the investor (buyer) and the source of properties that they are going to recommend is from a developer who they know and is paying them commission (i.e. working for the developer)then wouldnt there be some conflict of interest there? Is’nt that illegal as stated in Property, Stock and Business Agents Act?

    Profile photo of LightningLightning
    Member
    @lightning
    Join Date: 2005
    Post Count: 6

    It is safe to assume property advisors are simply real estate agents. Some don’t even bother to get real estate licences to properly disclose commissions .

    Profile photo of Nigel KibelNigel Kibel
    Participant
    @nigel-kibel
    Join Date: 2005
    Post Count: 1,425

    I cannot not speak for everyone, however I do not deal with developers or marketing companies I only get paid by the buyer. I work for them not the vendor. Most market companys get huge commissions from the vendor but pretend that they are on your side. When you deal with companies like mine or Michael Yardneys you who that we look for the best and right deal for you

    Nigel Kibel

    http://www.propertyknowhow.com.au

    Australian and New Zealand Buyers advocate
    service and seminars

    Nigel Kibel | Property Know How
    http://propertyknowhow.com.au
    Email Me | Phone Me

    We have just launched a new website join our membership today

    Profile photo of MichaelYardneyMichaelYardney
    Participant
    @michaelyardney
    Join Date: 2001
    Post Count: 616
    Originally posted by Lightning:

    It is safe to assume property advisors are simply real estate agents. Some don’t even bother to get real estate licences to properly disclose commissions .

    You are correct- many marketing companies do not even hold an estate agency license.

    And Chang is correct that acting as a buyer’s advaocate and getting a commision from the seller is definately a conflict of interest.

    Michael Yardney
    METROPOLE PROPERTIES
    Author of Australia’s leading property e-magazine.
    Join over 10,000 readers each month.
    FREE subscription http://www.metropole.com.au

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