The Buyer Representation Agreement serves as a foundational document in U.S. real estate transactions, establishing the legal and professional framework for the relationship between property buyers and their chosen real estate representatives. This agreement is essential when a buyer wishes to engage professional representation in their property search and purchase process. The document typically includes detailed provisions about the agent's duties, compensation structure, exclusivity terms, and the geographical area or property types covered. It ensures compliance with state-specific real estate regulations and provides clear guidelines for both parties throughout the property search and acquisition process. The agreement becomes particularly important in protecting both parties' interests, establishing clear expectations, and defining the scope of services to be provided.
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1. Parties: Identifies the buyer(s) and the real estate brokerage firm/agent, including complete legal names and contact information
2. Background: Brief context explaining the buyer's intention to retain the broker's services for property purchase
3. Definitions: Key terms used throughout the agreement including 'Property', 'Purchase Price', 'Buyer's Agent', 'Exclusive Right', etc.
4. Appointment and Term: Establishes the agency relationship and specifies the duration of the agreement
5. Agent's Duties and Services: Comprehensive list of services the agent will provide to the buyer
6. Buyer's Obligations: Specifies the buyer's responsibilities, including working exclusively with the agent and providing accurate information
7. Compensation: Details of the agent's commission structure, payment terms, and circumstances under which compensation is earned
8. Property Parameters: Describes the type, price range, and location of properties the buyer is interested in
9. Agency Relationships: Explains the nature of the agency relationship and potential conflicts of interest
10. Termination: Conditions and procedures for ending the agreement
11. Dispute Resolution: Procedures for handling disagreements, including mediation or arbitration provisions
12. General Provisions: Standard contract clauses including governing law, entire agreement, amendments, and notices
13. Execution: Signature blocks and date of agreement
1. Dual Agency Consent: Required when the brokerage may represent both buyer and seller in a transaction
2. International Buyer Provisions: Additional terms for non-resident buyers, including FIRPTA considerations
3. Team Structure: Details when multiple agents from the same brokerage will be working with the buyer
4. Virtual Services: Provisions for remote property viewings and electronic communications
5. Buyer's Broker Rebate: Terms for any commission rebates offered to the buyer
6. Property Management: Additional terms if the agent will assist in property management after purchase
7. Confidentiality: Special provisions for high-profile buyers or sensitive transactions
1. Schedule A - Property Requirements: Detailed list of buyer's property preferences and requirements
2. Schedule B - Commission Structure: Detailed breakdown of commission rates and payment terms
3. Schedule C - Excluded Properties: List of properties excluded from the agreement
4. Schedule D - Additional Services: Detailed list of any additional services agreed to be provided by the agent
5. Appendix 1 - Agency Disclosure Form: State-mandated agency disclosure documentation
6. Appendix 2 - Fair Housing Notice: Required fair housing information and acknowledgments
7. Appendix 3 - Consumer Protection Notice: State-required consumer protection notifications
Authors
Relevant legal definitions
Clauses
Relevant Industries
Real Estate
Legal Services
Financial Services
Property Development
Property Investment
Professional Services
Residential Housing
Commercial Property
Relevant Teams
Legal
Real Estate
Compliance
Sales
Operations
Business Development
Contract Administration
Property Management
Transaction Processing
Client Relations
Relevant Roles
Real Estate Agent
Real Estate Broker
Property Buyer
Real Estate Attorney
Legal Counsel
Compliance Officer
Real Estate Manager
Property Consultant
Transaction Coordinator
Sales Director
Branch Manager
Managing Broker
Real Estate Operations Manager
Contract Administrator
Business Development Manager
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