Thinking about buying a home? There's something you should know before scheduling your first showing. And no, you're not signing your life away!
If you've purchased a home before, you might remember calling your Realtor, scheduling a few showings, and heading out to find your dream home. Pretty simple, right?
Well, things have changed a little. Since August 17, 2024, many real estate professionals are required to have a signed written buyer agreement before touring homes with their clients.
Now, before you start thinking, "Great, another document I have to sign!" let me explain what this actually means and why it's not as intimidating as it sounds.
What Exactly Is a Buyer Agreement?
Think of a buyer agreement as a game plan between you and your Realtor.
It outlines three important things:
What your Realtor will do for you. From helping you find the right home to negotiating offers and guiding you through the buying process.
What you can expect. Clear expectations about the services you'll receive.
How your Realtor gets paid. No guessing games or unexpected surprises.
Essentially, we're putting everything on the table before we start working together. And personally, I think that's a good thing. When you're making one of the biggest financial decisions of your life, you deserve to know exactly what you're agreeing to.
Does This Mean I'm Stuck With a Realtor?
This is probably one of the biggest concerns buyers have. The short answer? It depends on what you agree to.
Buyer agreements are negotiable. That includes how long the agreement lasts, what services are provided, and how compensation works. Want an agreement for a shorter period? That's something we can discuss.
Have questions about the terms? Let's talk about them.
Need to make changes later? Depending on the agreement, changes or cancellation may be possible, including by mutual agreement.
The important thing is understanding what you're signing before putting pen to paper. After all, we're buying a house, not signing up for a lifetime gym membership you can't cancel!
Wait… Does This Mean I Have to Pay My Realtor?
Not necessarily! This is another question I've heard from buyers, and understandably so. Under the buyer agreement, compensation is discussed and agreed upon upfront. However, that doesn't automatically mean you'll be paying your Realtor directly out of pocket.
In many transactions, buyers can negotiate for the seller to contribute toward their agent's compensation.
Here's what matters: Agent compensation is negotiable, and sellers are not automatically required to pay it. If the seller doesn't cover the agreed compensation, you may be responsible for the difference based on the terms of your agreement.
That's why I believe it's important to have this conversation early, rather than discovering something unexpected halfway through purchasing a home. Nobody likes financial surprises, especially when you're already figuring out where to put the couch!
Do I Have to Sign Before Looking at Any Homes?
Here's something many buyers don't realize. You generally don't need to sign a buyer agreement just to attend an open house on your own or have an initial conversation with a Realtor.
However, when you're ready to tour homes with an agent who will be working with you, a written agreement generally needs to be in place before those tours, whether in person or virtually.
And that's where I come in. Before we start scheduling showings, I want to make sure you understand the process, what I'll be doing for you, and what our agreement means.
No complicated real estate language. No rushing you through paperwork. Just an honest conversation.
Why Should This Matter to You?
Let me ask you something. Would you rather work with someone who clearly explains their responsibilities, compensation, and expectations upfront, or find yourself asking questions after you've already made an offer?
My goal has always been to educate my clients so they can make confident decisions. A written buyer agreement helps establish that understanding from the beginning. It doesn't guarantee a perfect transaction, but it gives us a clear starting point for working together.
Buying a Home Should Be Exciting, Not Confusing!
Whether you're purchasing your first home, moving into something bigger, or downsizing into something more manageable, you deserve an agent who takes the time to explain the process.
I've always believed that a good Realtor does more than unlock doors and write offers. My job is to help you understand your options, navigate challenges, negotiate on your behalf, and make informed decisions along the way. Yes, occasionally talk you out of buying a house just because it has a really nice kitchen!
The bottom line? A buyer agreement isn't something you should be afraid of. It's something you should understand. If you're working with me, you can expect us to review it together before you sign.
Thinking About Buying a Home?
Whether you're ready to purchase tomorrow or just beginning to explore your options, I'd be happy to answer your questions and help you understand what to expect.
No pressure. No confusing real estate jargon. Just honest answers and a game plan that works for you.
Disclaimer: Buyer representation agreements and compensation are negotiable. Agreement terms, cancellation provisions, and applicable requirements may vary. Review your agreement carefully and ask questions before signing.