The Amsterdam housing market is overheated. After years of crisis, buyers are returning in large numbers. Last month, de Volkskrant published an article about the added value of working with a buying agent. Vereniging Eigen Huis was critical of the role buying agents play. Fortunately, the article was balanced, and I was also invited to explain what a buying agent actually does.
In 2016, Amsterdam home prices rose by roughly 20 percent. Buyers are willing to bid above the asking price. Some are even prepared to waive contingencies in the purchase agreement, which is not advisable.
What is the role of a buying agent?
As a buying agent, I represent the (prospective) buyer. My main task is to assess whether a home is a good purchase at a fair price. I look at the condition of the property, its market appeal, and of course, whether the asking price is reasonable. I apply the brakes when necessary. I do not recommend placing an offer after a first viewing. I also help buyers avoid poor investments. Buying a home with structural issues is not wise, especially if the price does not reflect the needed repairs.
Misunderstandings about the role of the buying agent
De Volkskrant recently ran an article on the role of buying agents in Amsterdam. The piece included both my input and the opinion of Vereniging Eigen Huis. According to Vereniging Eigen Huis, buying agents have become a necessary evil. We believe you absolutely need a good buying agent—but not because the market forces you into it. It is to protect you from making a costly mistake.
What is Vereniging Eigen Huis’s view?
They argue that buyers in Amsterdam are forced to hire a buying agent just to have a chance. Homes are often sold before they ever appear on public platforms like Funda. Many are already viewed or even sold through buying agents beforehand. Vereniging Eigen Huis states: “It has become an elbows-out fight.” As a result, home seekers feel pushed toward buying agents.
What is my view on their opinion?
Vereniging Eigen Huis paints a distorted picture of our role. They describe a practice that does occur but is not standard. I support buyers throughout the process, but I do not reserve homes that are not yet on the market. Some agents may work that way, but it is not how I operate.
My role is to protect buyers from making poor decisions. In their eagerness or fear of missing out, buyers may take unnecessary risks. Waiving a financing condition, for example, is risky especially when bidding above the asking price. There is no guarantee the bank will approve the mortgage, since the property still needs to be appraised high enough to qualify.
I am here to help you find the right home. I stay grounded and always keep your interests front and center.
