Six Questions to Ask Before Signing a Buyer Agreement

If an agent sends documents before your first tour, read them before signing. A buyer agreement can set out the services, your obligations and how the brokerage is paid. Reviewing it early gives you time to ask questions and consider the terms.

Under NAR’s applicable MLS policy, an MLS participant working with a buyer must enter into a written agreement before touring a home, including a live virtual tour. This is a rule for covered participants, not a statement that every U.S. showing is governed by one universal law. State law and the circumstances also matter. NAR Written Buyer Agreements 101

1. What services am I hiring you to provide? Ask what happens beyond opening doors. Who researches suitable properties, discusses pricing, helps prepare offers, and coordinates questions with the other professionals? If you need help comparing co-ops and condos or organizing a complicated search, discuss that before deciding whether the proposed service fits.
2. Which properties and locations does this cover? Read the scope against your actual search. A useful practical test is to name two different scenarios: a listing you found yourself and a home introduced by the agent. Ask how the agreement would apply to each. Identify any agreed exclusions clearly.
3. How long does the agreement last? Find the start date, end date, and any extension language. Check what happens if you sign a purchase contract shortly before expiration. NAR’s policy does not prescribe one required duration, property scope, or relationship type. NAR agreement guidance
4. Is the relationship exclusive? Ask whether you may work with another brokerage during the term and what obligations could arise if you do. If you already signed something with another agent, provide it for review before signing an overlapping agreement. A new conversation alone does not resolve an existing commitment.
5. What can I owe, and when? Identify the compensation amount or calculation, any upfront fee, the payment trigger, and how third-party payments are credited. Commissions are negotiable and are not fixed by law. Seller payment can be requested, but should never be assumed. Ask for a dollar example at your target purchase price, including a scenario where the seller pays nothing. NAR consumer negotiation guide
6. How can either side end the relationship? Find the notice procedure, termination conditions, and any continuing payment obligations. Ask what happens if you buy a previously introduced property after the agreement ends. Have unclear provisions explained before signing; consult an attorney about their legal effect. NAR notes that agreements can address termination and a subsequent carryover period. NAR Written Buyer Agreements 101

New York’s state buyer-and-seller agency disclosure form expressly says it is not a contract. It explains who the agent represents and the associated duties. A separate buyer agreement can establish service and compensation obligations. Signing an agency disclosure should not be treated as proof that you accepted an exclusive brokerage contract. Read every document in the package individually. New York Department of State disclosure form

Pay attention if dual agency is proposed. The state form explains that it requires informed written consent and limits the full range of fiduciary duties the agent can provide. Ask how the arrangement would affect advice and negotiations in your transaction before consenting.

Suppose you walk into a Sunday open house alone and speak with the listing agent. Under NAR’s guidance, simply attending on your own does not require a buyer agreement. The situation changes when an agent begins working with you and takes you on tours. Ask whom the hosting agent represents before sharing your negotiating limits. NAR open house guide

Do I have to accept the first version? You can discuss terms and decline an agreement you do not accept. Later changes should be mutually agreed and consistent with the agreement and applicable law. NAR negotiation guidance

Next, review cash needed beyond the down payment and what happens after a low appraisal.

Before arranging tours, confirm the services and agreement terms with a B Square Realty agent. Have your attorney review unresolved legal questions and keep complete copies of everything you sign.