Renters Jasmin and Jason saved to afford a $13,000 buyer’s agent fee that would help secure an investment property that fit their budget.
They had no idea the fee designed to save them time and money would turn their property hunt into a nightmare experience.
A buyer’s agent is hired to represent the buyer by finding, evaluating, and negotiating a property purchase on their behalf.
In December, the Sydney couple, with advice from their buyer’s agent, purchased a $405,000 property in Wodonga in regional Victoria.
It was at this point, when they should have been celebrating their purchase, that things started going south.
The Wodonga home had several defects to be fixed before it could be tenanted. (Supplied)
Emails seen by the ABC showed that the buyer’s agent had assured them that the appliances were working and backyard rubbish would be removed.
But after settlement, the couple received a list of issues from the property manager that needed to be fixed before the property could be rented.
They were left with $15,000 in repair bills and lost rent due to the buyer’s agent overlooking Victoria’s tough rental regulations.
“There were appliances not working, ceiling fans were bent, switches missing, broken pipes, and piles of rubbish,” Jason said.
The buyer’s agent never inspected the property in person, relying solely on a video walk-through.
The couple said when they questioned the building and pest report, they were told the issues “wouldn’t stop us from getting tenants” — a claim they later found to be untrue.
“He even said he would add it to his own property portfolio,” Jasmin said.
“We’re not top earners. We’re Sydney renters trying to get ahead, and we feel blindsided and taken advantage of.”
The buyer’s agent has offered the couple a full refund, but the couple said they refused it because of the condition not to speak about their experience.Â
They said they were sharing their story to warn others to be wary of the buyer’s agent industry.
Qualification issues
Bendigo real estate agent Russell Muir said he had never seen so many buyer’s agents in his 30-year career.
“In the past year, there’s been a surge in buyer’s agents contacting us,” he said.
“They can be demanding — sometimes unrealistic — about terms, conditions, and response times, trying to prove their value to clients.”
Russell Muir says he has seen an increase in buyer’s agent approaching him. (ABC Central Victoria: Sarah Lawrence)
In Bendigo, Mr Muir said he often dealt with agents who never inspected the properties they pitched to clients.
“They wouldn’t even know what the neighbours look like,” he said.
“They rely on Google Maps — but so can the buyer.”
Real Estate Buyers Agents Association of Australia (REBAA) president Melinda Jennison warned that inexperienced buyer’s agents were causing headaches for customers.
Melinda Jennison is calling for more regulation for buyer’s agents. (ABC News)
Some online courses offer buyer’s agent qualifications for as little as $200, but Ms Jennison said they failed to teach key legislative requirements.
REBAA estimates around 2,000 buyer’s agents are working in Australia, though no official figures exist.
Since 2022, automatic mutual recognition has allowed qualifications to transfer between states.
While New South Wales and Victoria require two years of mentoring before independent practice, it is not required in other states such as Queensland.
 “Some agents get licensed in Queensland and use mutual recognition to work independently in other states without proper supervision,” Ms Jennison explained.
Calls for better regulation
Ms Jennison said she wanted tighter regulations as the industry expanded.
“Loopholes should be closed, but for now, consumers must check that their buyer’s agent is licensed, insured, and follows ethical guidelines,” she said.
Castlemaine buyer’s agent Sue Edmonds said she insisted on inspecting every property she recommended.
Sue Edmonds says she always walks through properties for clients. (ABC Central Victoria: Sarah Lawrence)
“Home buying is an emotional investment, and it’s a massive responsibility to do right by clients,” she said.
“You can’t do that without experience.”
She said she had also seen newcomers treating the industry as a quick money grab.
“Regulation is important, but client awareness matters most — knowing an agent’s background, expertise, and due diligence process,” she said.
Experience counts
While some buyer’s agents face growing scrutiny, some buyers find their expertise invaluable.
Melbourne’s Llew Stevens enlisted a buyer’s agent to help him bid and negotiate at auction for his first home earlier this year.
Llew Stevens used a buyer’s agent to help him at a Melbourne auction. (Supplied)
“Experience breeds competence,” he said.
“I’ll only buy a few homes in my life, but they do this all the time.”
For $3,000, he gained expert guidance and auction strategies, which he believed saved him $10,000 — and a lot of stress.
“Having someone by my side to calm my nerves and navigate the process was worth it,” Mr Stevens said.
“On a $700,000 purchase, the cost of a buyer’s agent felt like a drop in the ocean.”
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