We all want life to be a little easier sometimes. Having the means to pay somebody else to do something you’d rather avoid is one marker of financial success. Even the most skilled investor may need specialised help to address the complexity of tax rules. I reached out to several professionals to get their top tips for finding a greater partner to help you along your investing journey.

How to find a good accountant

We all want to minimise taxes. There are many ways an accountant can help reduce the amount you owe the Tax Office. Accountants can identify investment deductions, structuring, and/or work deductions. Tax expert Andreas Kyriacou, Senior Manager – Business and Private Client Advisory at SW Advisors suggests that you should prioritise accountants with specialised experience in the fields that are most important to your financial situations. For example, if you have a property investment, find an accountant that specialises in property tax, particularly in tax deductions and capital gains tax expertise. You want an accountant that has clients in similar circumstances as you and understands your situation.

Importantly, your financial support needs don’t exist in silos. You need an accountant that is across your investment strategy, offers proactive tax planning and advises on optimal ownership structures. They should be focused on long-term financial advice, have transparent fees and be available for ongoing communication.

Building a relationship with your accountant will help you over the long term as they understand you and your situation in depth.

How to find a good financial adviser

Rob Jowett, Financial Adviser at Paterson Financial Planning believes that word of mouth is a great way to find a financial adviser. Lean on friends of family that have had good experiences with financial advisers.

If you can’t get a recommendation, Jowett suggests starting with a firm’s website. You may find some client testimonials that will be useful. Pay attention to the ownership of the financial planning business, particularly to understand if they may be swayed towards offering a product or service based on links to a product manufacturer.

Once you have found a few potential advisers, organise initial appointments. Typically, firms won’t charge for this. In this meeting understand what services they offer, how they will charge and whether these services align with what you are trying to achieve.

I’ve written an article before on how to find a good financial adviser. It includes the below list of questions that you can ask a financial adviser in your first meeting with them:

  • Have you helped clients that are in a similar situation to me, and could you give me an example of the value you have provided?
  • How does your fee schedule work? What would I receive for any upfront costs, and what are the services included in any ongoing costs?
  • Could you walk me through the process of how you generate a financial plan for your clients? How many people are involved in the process?
  • Do you have any partnerships or are you aligned with any financial services companies? Do you operate independently?
  • How often do you review a client’s portfolio?

Rob believes that in this initial meeting, you should be doing most of the talking and an adviser should focus on listening to you and understanding your needs. He says, ‘You need to feel confident that a strategy can be tailored to meet your personal goals and objectives rather than you being fitted into a ‘cookie-cutter’ recommendation.’

It also helps if they’re able to demonstrate that they’ve dealt with clients in similar circumstances to you.

How to find a good buyer’s agent

There are professionals to help you with making a good investment property purchase - buyer's agents. Residential property is complex, and expensive. They are physical assets that require maintenance. The level of income generated is based on geography, configuration, condition, the abilities of the property manager – the list goes on. Capital growth is influenced by geographic location and the specific neighbourhood – both of which can fall in and out of favour. This is what a buyer’s agent helps with.

Kitty Parker shared her insights regarding how to find an investment property. Now, she shares tips on how to find a good buyer’s agent that has your best interests at heart.
She starts with the basics – ensure the buyer’s agent is licensed to purchase in the state that you’re interested in. This is more relevant for investment properties where many investors look out of state.

She stresses confirming the fee structure up front and ensure that it is obtained in writing. Typically, you will pay a retainer and a success fee payable after the property is purchased. Understand when the final fees are payable, and whether it is in line with your expectations. For example, will the buyer’s agents services end at the point of contract exchange or at settlement?

She also notes that buyer’s agents can charge a percentage or a fixed fee. A fixed fee will remove ambiguity around potential conflicts of interest. If the buyer’s agent receives a higher fee for a higher property price, there is an incentive to not always act in your best interest.

Understand whether they are qualified for your situation and circumstances by querying the number and types of properties they’ve assisted clients to purchase. Understand the proportion of their properties that are off-market vs. on-market, and why. She adds that access to off-market stock is vital, but at times the on-market property can be negotiated further.

You’ll be working with a Buyer’s Agent for 1-6 months on one of the largest purchases you will ever make. It’s important that you feel comfortable. If you don’t feel like you can trust them, it is worth moving along.

How to find a good estate planning lawyer

Abbey John, Partner at Partners Legal Solutions believes that the best place to find a good estate planning lawyer is through a trusted professional who can leverage their network. For example, an adviser, accountant or financial planner.

Accountants and Financial advisers will usually have a list of recommended referral partners including for estate planning, as this is a crucial piece of a holistic financial plan.
She also believes that a specialist in estate planning is valuable as there are skills in navigating issues such as succession that generalist lawyers do not have.

Estate planning isn’t just Will writing. We’ve spoken about the different types of documents that form a comprehensive estate plan here. Estate planning requires advice and consideration for assets and beneficiaries that are more involved than just writing a standard Will.

Abbey adds that there are important signs and information to look for in a preliminary meeting. It is important that the lawyer focuses on your goals and pain points, and that they are personable and can have an open conversation about what can sometimes be complex family situations.

They will also ask for key contacts such as your financial adviser or accountant to ensure that your wishes line up with the rest of your financial plan.

Some indications that they might not be the right fit is that they are a generalist lawyer, and they don’t ask about superannuation or understand whether valid nominations are made. She adds that planning for superannuation assets is often forgotten by generalist lawyers.

How to find a good mortgage broker

Lionel Singh, Director at Sabea Financial believes that the best way to find a good broker is through referrals. He recommends asking family and friends for trustworthy mortgage brokers. If they do recommend someone, it means that they were completely satisfied with the experience they have had with their broker.

The secondary source that individuals can lean on are other industry professionals – solicitors, financial planners, real estate agents. People who work parallel to mortgage brokers that you may already trust, who are able to point you in the right direction. These professionals will likely have worked with mortgage brokers on other deals and have an intimate understanding of whether they are competent and trustworthy.

Lionel believes that some good questions to ask during an initial meeting with a mortgage broker are:

  • How do you get paid?

Mortgage brokers usually get paid through banks instead of through the customer. Lionel adds that 90% of lenders pay the same upfront and trailing commission with 5% paying roughly 0.05% more or less than a majority of lenders. This means that a broker should only be motivated by finding the best solution for you.

  • How many banks do you have available to you?

How many lenders a broker has at their disposal is important. Not every client scenario fits within the lending appetite of your major lenders or second tier lenders. More banks means more options. Some banks may not offer a loan large enough to purchase the home that you want as borrowing capacity may differ between lenders. A larger selection means that there is a better chance for a competitive rate with the right borrowing capacity. For context, Lionel has over fifty lenders on his panel.

  • How many banks have you utilised in the last year?

If a mortgage broker has 50 lenders on his panel but only utilises 5-6, that is an indicator that they are not comprehensively searching for the best solution.

Key takeaways

The professionals that you work with to build and maintain your holistic financial plan can make or break the outcome you achieve They must be able to work cohesively together to get the best results for you. One key takeout from speaking to these professionals is that they deal with each other often, and one of the best ways to find a professional is to lean on the insights of one you already know and trust. Utilise free initial first meetings that are common across all of these professions to get a feel for the best fit.

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Resources mentioned:

  • How to successfully pick an investment property
  • Protecting yourself and your assets
  • Choosing a financial adviser