Buyer Agreements Explained: What You Sign Before You Tour
If you work with a real estate agent to buy a home, you will likely sign a buyer agreement before you tour your first house. Here is what it is and what to check before you sign.
Why this is now standard
Since August 2024, agents who belong to a multiple listing service (MLS) run by a Realtor association must have a written agreement with a buyer before touring a home with them. Many states have their own rules too.
What the agreement says
- How your agent is paid. The amount or rate must be clear, like a set dollar amount or a percent. Your agent cannot get paid more than the agreement says.
- How long it lasts. It could be for one home, one day or several months.
- Exclusive or not. Can you work with other agents at the same time?
- How to end it if it isn't working.
The fee is negotiable
Agent pay is not set by law. You can ask questions and negotiate. In many deals the seller pays some or all of the buyer's agent fee, but it is not guaranteed. Your offer can ask the seller to help with it.
Questions to ask before you sign
- How will you be paid, and what if the seller does not cover it?
- How long does this agreement last?
- Can I end it early? What happens if I do?
- Is it just for touring, or for the whole purchase?
- What will you do for me at each step?
Read it like any contract
Take your time. Ask for a copy. If something is unclear, ask your agent to explain it, or ask a real estate attorney.
Quick answers
Do I have to sign a buyer agreement?
If you want an agent who belongs to a Realtor-run MLS to tour homes with you, you will need one first. You can still visit open houses on your own.
Can I cancel a buyer agreement?
It depends on what you signed. Ask how to end it before you sign, and get the answer in writing.
Who pays my agent?
The agreement says how much and who pays. The seller may cover some or all of it, but it is not guaranteed. See the first-time buyer checklist, earnest money and the buying timeline.
First-time buyer checklist · Home buying guide · Find a local agent
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