Buying With Confidence

Written Agreement Required: You will sign a written Broker’s Agreement with your agent before touring a home

Compensation Clarity: Before signing this agreement, you should ensure it reflects the terms you have negotiated with your agent and that you understand exactly what services and value will be provided, and for how much.

The buyer agreement must include four components concerning compensation:

⦁ A specific and conspicuous disclosure of the amount or rate of compensation the real estate agent will receive or how this amount will be determined.

⦁ Compensation that is objective (e.g., $0, X flat fee, X percent, X hourly rate)—and not open-ended (e.g., cannot be “buyer broker compensation shall be whatever the amount the seller is offering to the buyer”).

⦁ A term that prohibits the agent from receiving compensation for brokerage services from any source that exceeds the amount or rate agreed to in the agreement with the buyer; and,

⦁ A conspicuous statement that broker fees and commissions are fully negotiable and not set by law.

⦁ You can still accept concessions from the seller, such as offers to pay your closing costs.