Difference Between a Real Estate Agent and a Buyer’s Agent

In property transactions, knowing the roles and responsibilities of a real estate agent and a buyer’s agent is important to prospective buyers navigating the competitive market we are in. Experts at BMC Buyers Agency believe that clarity in these roles can impact the success of your property investment journey. In this guide, you will learn the differences between these two titles and get a proper understanding of factors that could influence your real estate experience.

You can make your decision precise and correct by knowing their responsibilities, who they represent, and how their fees differ. Avoid misconceptions and misunderstandings, and have your needs fulfilled by the right people. Let’s get started!

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What Does a Real Estate Agent Do vs. a Buyer’s Agent?

Buying or selling property can feel like stepping into a setting where timing, negotiation skills, and market knowledge can save or cost you thousands. That’s why most people lean on professionals to guide them, but the terms “real estate agent” and “buyer’s agent” are often used interchangeably, blurring two very different roles. Below, we discuss what sets these two roles apart.

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Real Estate Agents: Selling Property for Vendors

When it’s time to sell, a real estate agent becomes the vendor’s strategic partner - part marketer, part negotiator, and part project manager; working to turn bricks and mortar into the best possible return and sale price. From the moment a property is appraised, the agent maps out a data-driven pricing strategy, drawing on recent comparable sales, buyer demographics, and local demand trends to position the home competitively.

1. Property Appraisal and Marketing Strategy

• Appraisal: Real estate agents begin by appraising the property to determine its market value. This involves analysing comparable sales in the area, market trends, and the property's unique features.

• Marketing Strategy: Agents develop a marketing strategy once a price is set. This includes preparing professional photographs, creating compelling property descriptions, and listing the property on multiple platforms like REA and Domain, as well as social media.

2. Open Houses and Viewings

Agents organise and conduct open houses and private viewings to showcase and present the property to potential buyers. They highlight the property's best features and answer any questions prospective buyers may have.

3. Negotiations and Closing

• Negotiations: Real estate agents handle negotiations with buyers to secure the best price for their clients. They use their expertise to navigate offers and counteroffers, aiming to achieve favourable terms for the vendor.

• Closing: Once an offer is accepted, agents assist in the closing process, coordinating with solicitors, conveyancers, and other professionals to ensure all legal and financial obligations are met.

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Buyer’s Agents: Finding and Securing Property for Buyers

When you enlist a buyers agent in Sydney, you’re hiring a specialist whose focus is to locate, evaluate, and secure the right property on your behalf; often before the broader market even knows it is for sale. Acting as your advocate from initial brief to settlement, they bring deep market intelligence, access to off-market listings, and sharp negotiating skills that can translate into meaningful savings and a smoother buying experience.

1. Client Consultation and Needs Assessment

• Consultation: Buyer’s agents begin with an in-depth consultation to understand the client's preferences, budget, and long-term goals. This includes discussing desired property features, location preferences, and financial constraints.

• Needs Assessment: Based on this consultation, buyer’s agents conduct a thorough needs assessment to create a tailored property search strategy.

2. Property Search and Evaluation

• Search: These professionals use their extensive network and market knowledge to identify suitable properties, often gaining access to off-market listings and exclusive opportunities.

• Evaluation: They conduct detailed evaluations of shortlisted properties, considering factors such as price, condition, location, and future resale potential.

3. Due Diligence and Negotiations

• Due Diligence: Before making an offer, buyer’s agents perform due diligence, including property inspections, reviewing strata reports, and assessing any potential risks.

• Negotiations: They negotiate on behalf of their clients to secure the property at the best possible price and terms. Their negotiation skills are instrumental in achieving positive outcomes for the buyer.

4. Assistance Through Purchase and Settlement

Buyer’s agents guide their clients through the purchasing process, liaising with solicitors, mortgage brokers, and other professionals to ensure a seamless transaction. They assist with paperwork, contracts, and any issues that may arise during settlement.

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Distinct Objectives and Daily Responsibilities

The core distinction between real estate agents and buyer’s agents lies in their objectives: one aims to sell properties for the best price, while the other seeks to find the perfect property at the best value. Their daily responsibilities mirror those goals, with real estate agents focusing on marketing and selling, and buyer’s agents dedicated to searching and securing. Understanding these differences is crucial for anyone who wants to explore the property market, whether buying or selling.

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Who They Represent and Why It Matters

The division of loyalties is more than a technicality. It shapes every conversation you have, every piece of advice you receive, and the outcome of one of the biggest financial decisions you will make. Knowing exactly who an agent represents helps you read between the lines of marketing material, spot potential conflicts of interest, and make strategic choices that protect your budget and long-term goals.

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Real Estate Agents Represent the Seller’s Interests

Real estate agents, sometimes referred to as listing agents, represent the interests of the seller. Their main objective is to sell the property at the highest possible price and ensure that the seller maximises their return on investment. This representation includes marketing the property, arranging viewings, and negotiating with potential buyers. Since their loyalty is to the seller, real estate agents are ethically bound to disclose information that benefits the seller's position while simultaneously protecting the seller's confidential information from potential buyers.

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Buyer’s Agents Represent Only the Buyer’s Interests

In contrast, a buyer’s agent represents the interests of the buyer. This role involves understanding the buyer’s needs and preferences, conducting detailed market research, and identifying properties that meet the buyer’s criteria. They are committed to securing the best possible terms for the buyer, which includes negotiating the purchase price and other contract terms. Unlike a real estate agent, a buyer’s agent is obligated to provide advice that is in the best interest of the buyer, ensuring transparency and advocating for the buyer throughout the home-buying process.

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How Representation Affects Negotiation and Advice

The nature of representation influences negotiation strategies and the advice given to clients. Real estate agents will typically aim to highlight the property’s strengths while downplaying any weaknesses, aiming to secure the highest offer. Their advice to the seller revolves around pricing strategies, home presentation, and timing the market to optimise the sale.

On the other hand, buyer’s agents approach negotiations with a focus on obtaining value for their clients. They inspect the property’s condition, assess market comparables, and identify leverage points to negotiate. Furthermore, they give suggestions on offer structures, potential contingencies, and even the long-term value of the property to ensure that the buyer decides with proper information.

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How Fees, Access, and Misconceptions Differ

Property buying and selling often feels like a maze of jargon, fees, and conflicting advice. Two roles that confuse many are the traditional real estate agent and the independent buyer’s agent. While their titles may sound similar, the way each professional is compensated, the level of property access they can secure, and the myths surrounding their services are very different.

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How Real Estate Agents and Buyer’s Agents Are Paid

Understanding the compensation structures for real estate agents and buyer’s agents is crucial for anyone considering entering the property market. In Australia, real estate agents are paid through a commission, which is a percentage of the property's sale price. This commission is negotiated between the seller and the agent and is only payable once the property is sold. The agent's primary objective is to achieve the best possible price for the seller, which might sometimes conflict with the buyer's interests.

On the other hand, the fees of buyer’s agents can be structured in various ways, including a flat fee, a percentage of the purchase price, or a combination of both. This alignment of interests can be an advantage for buyers looking for unbiased advice and representation in the competitive real estate market.

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Access to Off-Market Opportunities Through Buyer’s Agents

A significant benefit of engaging a buyer’s agent is their access to off-market opportunities. These are properties that are available for sale but are not advertised publicly. Off-market properties can arise for various reasons, such as sellers seeking a discreet sale or testing the market before a public listing.

These professionals leverage their extensive networks and relationships within the real estate industry to uncover these hidden gems, providing their clients with access to properties that they might not find through traditional channels. In a competitive market, accessing off-market opportunities can give buyers a crucial edge. This is beneficial for those looking for unique properties, or seeking to avoid the stress of public auctions.

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Debunking Myths About Using a Buyer’s Agent

Every buyer is keen to gain an edge, yet many still hesitate to enlist a buyer’s agent because of outdated assumptions. From fears that “agents just add extra fees” to the belief that “everything worth buying is already online,” these misconceptions can steer homeowners and investors away from a service designed to protect their interests. Here, we’ll look at the most persistent myths surrounding buyer’s agents and replace them with facts drawn from real-world transactions, industry data, and professional practice.

1. “A buyer’s agent just adds another layer of fees.”

In most markets, the buyer’s agent commission is already built into the selling fee the vendor has agreed to pay; if you forgo representation, the entire amount often still goes to the listing agent. In other words, you’re already paying for professional help - why not have it on your side?

2. “I can find every suitable property online, so I don’t need an agent.”

Major portals rarely show off-market and pre-market listings, yet those deals can account for 15–30% of transactions in tighter capital cities like Sydney or Brisbane. Buyer’s agents leverage agent networks, silent listings and buyer-matching databases that never reach the public feed.

3. “I’ll still have to do all the legwork.”

A full-service brief covers suburb short-listing, due diligence checks (building, pest, strata, flood, easements), price modelling, negotiation, and settlement coordination. Your time investment shrinks from weeks of Saturday inspections to a few decisive viewings and final approvals.

4. “An agent can’t save me money in a seller’s market.”

Skilled buyer’s agents don’t rely on ‘low-ball’ tactics; they combine suburb-level price modelling with auction-day strategy, vendor-motivation intel, and contract conditions that shift risk back to the seller. Independent studies by REBAA show median savings of 2–4% even in rising markets.

5. “I’ll lose bargaining power if the seller knows I have an agent.”

Seasoned selling agents usually view a professionally represented buyer as more credible: finance is pre-vetted, paperwork is prompt, and settlement risks are lower. That can give you an edge in multi-offer situations, not a handicap.

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In conclusion, understanding the roles and objectives of real estate agents and buyer's agents is crucial for anyone navigating the property market. Real estate agents focus on selling properties for vendors. In contrast, buyer's agents dedicate their expertise to finding and securing properties that align with the needs of buyers. This difference in representation impacts how each party negotiates and advises its clients. Additionally, the payment structures and access to opportunities differentiate the two. While real estate agents often operate on commission based on the sale price, buyer's agents typically charge a fee for their services. Despite some misconceptions, employing a buyer's agent can provide invaluable advantages, offering personalised services and strategic insights. By acknowledging these differences, you can make a more informed decision that aligns with your property goals.