PHOTO: FILE
Sydney Real Estate Agent Exposes Common High-Pressure Tactic and How Buyers Can Outsmart It
Sydney real estate agent Amir Jahan, 25, owner of A-Class Estate Agents, has unveiled a frequent tactic used by agents to pressure buyers into higher offers — and shared a key strategy to counter it. According to Jahan, some agents falsely claim they have higher offers on a property to drive up the price.
“Many agents are trying to secure extra money for the vendor by saying they have higher offers when they don’t,” Jahan revealed to Daily Mail Australia. “They’re lying.” This strategy, he believes, isn’t just about fetching the highest price for sellers but also serves as a way for agents to showcase their sales skills and attract future listings.
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Jahan explains that agents who achieve above-market prices in specific areas are more likely to gain additional business. “For example, if most properties in an area are selling for $1.5 to $1.6 million and an agent sells higher, they’re more likely to attract the next listing,” he shared. “But it’s unfair to buyers who may end up overpaying unnecessarily.”
Agents may employ this tactic even when a property owner is satisfied with an existing offer. By inventing a competing bid, agents can often convince an interested buyer to increase their offer without actual competition.
How Buyers Can Outsmart Agents’ Tactics
To counter this, Jahan recommends buyers use a calm and collected approach. “Don’t show too much interest in the property. Submit an offer and leave it there. Avoid chasing the agent — if they genuinely want to sell, they’ll come back to you,” he advises.
If agents counter with a “We have a higher offer” claim, Jahan suggests buyers respond firmly. “Tell them, ‘Go ahead with the higher offer.’ If there’s truly a better offer, the agent won’t waste time negotiating with a lower bidder,” he explained.
When to Request Proof of Competing Offers
In cases where buyers want to verify a higher offer, Jahan suggests asking for proof, especially in private treaty sales. “Agents can legally disclose competing offers for private treaty properties, though they’re restricted from doing so with auction properties,” he noted.
Mr Jahan (pictured) claims if an agent truly had a higher offer, they wouldn’t be wasting time with people who put in lower offers
The Importance of Research in Avoiding Overpaying
To ensure a fair price, Jahan emphasizes the importance of market research. “First-time buyers are often excited and may not scrutinize pricing. Take time to evaluate recent sales in the area, look at comparable listings, and gauge whether you’re overpaying or making a sound investment.”
Mr Jahan said to be sure an agent is being genuine, prospective buyers can ask for proof of the higher offer if the property is private treaty (pictured photo of buyers inspecting a Sydney property in August)
By following these strategies, prospective buyers can make more informed decisions, stand firm during negotiations, and avoid falling prey to high-pressure sales tactics often seen in Sydney’s competitive property market.
SOURCE: THE DAILY MAIL