Summary:

The number of buyer’s agents in Australia is exploding, but many are entering the industry with little to no experience in construction, negotiation, or due diligence. REBAA has issued a national call for stronger licensing, while builders are left asking: are these agents helping us sell — or creating more problems on site? This article breaks down what builders need to know about working with buyer’s agents, what to watch out for, and the key questions to ask before letting them near your client pipeline.

There is no question the buyer’s agent model is booming in Australia.

Whether it’s interstate investors, time-poor professionals, or overwhelmed first home buyers, more people are engaging buyer’s agents to guide their purchase decisions, including on new builds and house-and-land packages.

But as demand for buyer’s agents grows, so too do concerns around professionalism, training, and oversight. The Real Estate Buyers Agent Association of Australia (REBAA) has warned that a wave of underqualified buyer’s agents is flooding the market, and builders may be the ones left dealing with the fallout.

The industry is booming — but quality is inconsistent

“Many new buyer’s agents are being drawn in by online courses that do not prepare them for real-world challenges,” said Melinda Jennison, REBAA President.

“Buyer’s agents handle what is often the most significant financial decision in a person’s life. The fact that someone can get licensed in just a few days without specialised buyer’s agent training is simply unacceptable.”

According to Jennison and other industry voices like Veronica Morgan, the lack of practical training in property assessment, due diligence, and construction understanding is putting clients and by extension, builders at risk.

What this means for builders: help or hindrance?

Builders have mixed views on buyer’s agents. Some bring qualified, ready-to-buy clients and streamline the sales process. Others complicate deals, overstep their role, or misinform clients due to inexperience.

If you’re a builder or sales consultant, here’s what you need to consider:

• Does the buyer’s agent understand how builds actually work?
  
  Can they interpret inclusions, manage expectations on timelines, and explain contract conditions accurately?
  
• Are they trying to control the sales journey, or support it?
  
  Unqualified agents may slow the deal, add confusion, or encourage clients to renegotiate on false assumptions.
  
• Are they legally authorised to act for the buyer?
  
  Do they have a signed authority agreement or buyers’ agency agreement in place?
  

One volume builder told The Good Builder anonymously:

“We have had buyer’s agents argue with our sales team about site costs, slab classifications, even council approvals, and it was clear they did not understand any of it.”

7 questions every builder should ask a buyer’s agent

To avoid misunderstandings and potential risk, builders should treat buyer’s agents the same way they would any other third-party stakeholder with professional curiosity and due diligence.

Here are key questions to ask before proceeding:

1. What stage of the sales process do you typically stay involved through — contract signing, build progress, post-handover?
   
2. Do you have formal accreditation, or are you a REBAA member?
   
3. What construction experience do you or your team have?
   
4. What are your commission structures, and when do you expect them to be paid?
   
5. Have you previously worked with builders or only handled established homes?
   
6. How do you brief your clients on build timelines and expectations?
   
7. Are you the authorised representative for your client, or just advising?
   

The answers to these questions can reveal a lot, including whether you’re dealing with a genuine professional or someone out of their depth.

What are the risks of working with an unqualified buyer’s agent?

Here are some common issues builders have encountered with inexperienced or improperly trained agents:

• Delays in decision-making due to agents encouraging unnecessary re-quotes, plan changes, or legal review based on inaccurate interpretations
  
• Poor communication with the client, where agents pass on the wrong details or promise inclusions not offered
  
• Pushback on industry-standard clauses due to misunderstanding of build contracts
  
• Conflicts around commission timing, where agents expect payment before contracts are unconditional or builds are confirmed
  
• Unrealistic resale advice, which can cause buyers to withdraw or lose confidence
  

These issues create inefficiencies, hurt client experience, and damage your pipeline.

Final word

Buyer’s agents can be powerful partners, but only if they understand what they are doing.

As REBAA pushes for stronger regulation, builders are encouraged to set their own quality standards when engaging with these agents. That means asking the right questions, protecting your process, and ensuring only informed professionals are part of your sales environment.

Because when a buyer’s agent gets it wrong, it’s the builder who wears the fallout.

—

Have you had a great (or not so great) experience with buyer’s agents?

We want to hear your perspective. Reach out to The Good Builder or connect with us via LinkedIn.

Author: TGB Editorial