The mere mention of the word ‘contract’ leaves many feeling trapped and wary, often rightfully so. The Buyer Agency Agreement, however, is not a contract to be feared. It is important to understand who your REALTOR® is working for and the buyer agency agreement outlines this in writing, making it a legally binding contract. By choosing to work with a REALTOR® and signing the Buyer Agency Agreement, the buyer is guaranteed the very best in real estate service. Any questions about the Buyer Agency Agreement can be answered by a professional REALTOR® – just give yours a call!
When a seller lists his home with a listing agent they form an agreement which states that the REALTOR® must act for the sole benefit of the seller at all times. Most buyers assume that their REALTOR® is working on their behalf, but without the buyer agency contract the REALTOR® actually works as a sub-agent of the seller and therefore, has a fiduciary relationship with the seller, not the buyer. Without a contract, your REALTOR® is obligated to present a case that will support and protect the value of the property that the buyer is purchasing, but the rules change when a Buyer Agency Agreement is signed.
Once the agreement is signed, the buyer’s agent has a duty to educate the client. The agreement confirms your REALTOR®’s commitment to making the best effort for you by promoting and protecting your interest at all times. This means that your REALTOR® can now advise you of any defaults in the property; defaults which may even cause you to reject the home in favour of something more suitable. REALTORS® must give priority access to their clients and are obligated to use techniques and strategies that help advance the position of their clients. They must also disclose all details about the property, including information on any previous offers, financial and motivational details about the seller, and any knowledge that may strengthen the buyer’s position. The REALTOR® must work harder for you and make every effort to find you the home that best fits your needs and lifestyle, while negotiating the best possible price to meet your budget. The Buyer Agency Agreement was written with the buyer’s best interest in mind.
Again, if you have questions or concerns about the agreement, you should contact your REALTOR® – they are highly trained professionals with a wealth of experience in the real estate market.