Why agents care
Buyer agreements now come earlier in the relationship, so the first conversations with buyers need to show value quickly. Sharing useful numbers, like a payment or cash-to-close estimate, helps.
Glossary term
Buyer representation agreement
A buyer representation agreement is a written contract between a homebuyer and a broker that describes the services provided, the term and how the broker is compensated. Since NAR's practice changes took effect on August 17, 2024, MLS participants working with buyers must have a written agreement before touring a home, and compensation must be clearly stated and not open-ended.
Example
Example: before a first showing, a buyer signs an agreement that states the broker's compensation and the term, and that compensation is negotiable.
Pairs well with
Calculators that use this term
Related terms
Questions by topic
Buyer representation agreement: common questions
Is a buyer agreement required before touring?
For MLS participants under NAR's 2024 practice changes, yes. State law may add requirements. Follow your brokerage's guidance.
Is the compensation in the agreement negotiable?
Yes. Compensation is negotiable and must be stated in the agreement.
Put these numbers in front of your visitors
Calculators with built-in definitions, free on the Agent plan.