Archive for the 'Real Estate Forms' Category

Buyer Agency vs. Limited Agency

Posted by Shawna Ebersole | Categories: Buyers, Home Buying Process, Real Estate Forms

OK, so you’re a Buyer getting ready to purchase a new home and the Realtor you’re working with presents you with an Exclusive Buyer Agency Agreement.  What is it and should you sign it?

Well, I think there has been a lot of confusion over the years (even among Realtors) about exactly what an Exclusive Buyer Agency Agreement and why it is important.

Essentially, if you’re working with a Realtor that you like and that you feel comfortable with, and you want them to represent you in your real estate transaction then yes, by all means, you need to enter into an Exclusive Buyer Agency Agreement with that Realtor.

It seems to be common knowledge that if you’re a Seller wanting to list your home, you sign a Listing Contract with your Realtor.  When you do this, it means that you (the Seller) and the Realtor have entered into an Exclusive relationship in which you have agreed to hire the Realtor to represent you in the transaction and the Realtor has agreed to represent you (the Seller) and your best interests in the transaction.

Well, if you’re a Buyer out running around calling the phone numbers listed on every For Sale sign you see, and you have not signed an Exclusive Buyer Agency Agreement with any one particular Realtor, then at the end of the day, who is really obligated to help you and represent your best interests in the real estate transaction?

No One!  The only people being properly represented in that real estate transaction are the Sellers!

So regardless of who you choose to work with, be sure you ask about getting an Exclusive Buyer Agency Agreement signed.  And Realtors, don’t be afraid to ask the Buyer to sign one.  It is in your Buyers best interest and gives them the assurance that you are going to be loyal to them and not jump ship mid way through the process!

PS – Want to take a sneak peak at what the Exclusive Buyer Agency Agreement looks like before signing one? By all means, please let us know, we’ll be happy to send you a copy!

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