Why Do I Need To Sign A Buyer Agency Agreement?

Buying a home, whether it is your first home, or you've done it before, is a big financial transaction.  There are a lot of steps involved in navigating the process!  And one of the things you will be required to do is sign a Buyer Agency Agreement with your Realtor!

WHY SIGN A BUYER AGENCY AGREEMENT?

The main reason is that it's the law in Virginia. In 2012, a law was passed stating that all buyers must have a signed buyer agency agreement before discussing specific properties. This is to ensure that when you have questions while looking at houses, your buyer agent can answer them. So, it's important to have the agreement in place even before starting the home search. This way, you can have a smooth and informative buying experience.

IS THAT REALLY THE BEST ANSWER TO GIVE YOU?

Signing a written Buyer Agency agreement is not just about following the law, it's about protecting yourself and having a clear understanding of the services your Buyer Agent will provide. It outlines the responsibilities of both parties and ensures a mutually beneficial relationship. It may seem like an extra step, but having this agreement in place allows for transparency and accountability throughout the home buying process. You'll have peace of mind knowing that your interests are being properly represented and that you have a dedicated professional guiding you every step of the way

WHAT DOES MY BUYER AGENT HAVE TO DO?

When you sign a Buyer Agency Agreement, it means that your Buyer Agent is committed to representing you and looking out for your best interests. This agreement ensures that they will fulfill certain responsibilities to help you navigate the home buying process smoothly.

• One of the main duties of your Realtor is to find and show you homes that meet your specific needs and preferences. It's important to remember that the listing agent represents the seller, so having your Buyer Agent will ensure that your interests are taken into consideration.
• Additionally, your Buyer Agent will negotiate the terms and conditions of your purchase agreement.
• They will provide you with advice on the current market conditions so that you can make informed decisions when making written offers or counter-offers.
• Your Realtor is also obligated to promote your interests throughout the entire buying process and maintain the confidentiality of your personal and financial information.
• Finally, they will handle any money received in which you have an interest, ensuring transparency and accountability. By signing a Buyer Agency Agreement, you can rest assured that your Realtor is committed to providing you with dedicated representation and guidance every step of the way.

WHAT DO I HAVE TO DO?

Signing a Buyer Agency Agreement with a brokerage and agent can be beneficial for several reasons.

• First, it provides a sense of security as you know that the agent is exclusively working for you and has your best interests at heart. With so many Realtors and ads out there, it can be difficult to determine who is truly looking out for you.
• Additionally, when you contact the agent who has listed a house you're interested in, they may not be able to provide you with all the information you need due to their representation of the seller. However, with your own Buyer Agent, you can ask questions about price negotiation, seller contributions, and the reasons behind the sale, and receive unbiased guidance.
• Moreover, a dedicated Buyer Agent will often go the extra mile to search for potential homes that fit your criteria, both on and off the market.
• Lastly, it's important to remember that Virginia is a Caveat Emptor state, meaning the buyer bears the responsibility to conduct due diligence. Having a Buyer Agent can be invaluable during this phase of the purchase process.

WHAT DOES THE BUYER AGREEMENT SAY?

The Buyer Agency Agreement is a concise one-page form, but it contains vital information for both you and the brokerage. It clearly outlines the tasks you are hiring the brokerage and your agent for, such as finding you a home. The agreement also specifies the duration, which can range from a single day to a year or even for a specific property. It details the expectations from your Buyer Agent, as well as what is expected from you as the buyer, including exclusive cooperation with your agent. The agreement also explains how your Buyer Agent will be compensated and who will bear the costs. Lastly, it reminds you to be cautious about discussing confidential information during house visits, as sellers may have recording devices.

WHAT IF I AM UNHAPPY WITH MY BUYER AGENT AFTER I HAVE SIGNED THE AGREEMENT?

If you find yourself in a situation where things aren't going well and you want to exit a Buyer Agency agreement before the agreed term, it's best to start by discussing your concerns with your agent. Explain why you're dissatisfied with their service and what you think they should be doing differently. If you can't find a resolution with your agent, consider reaching out to their managing broker to explore other options. And if all else fails, you can request to be released from the Buyer Agency Agreement. Remember, open communication is key in finding a satisfactory solution.

HOW DO I FIND THE RIGHT BUYER AGENT FOR ME?

Finding the right Buyer Agent is crucial for a successful home search. Before looking at homes, sit down and talk to a Buyer Agent, asking them plenty of questions. Make sure they go over the Buyer Agency Agreement with you. If you're not comfortable signing a 90-day agreement, start with a shorter term like one day, one property, or one week. Once you feel comfortable with the agent, signing a 90-day agreement is best to ensure they work diligently for your interests. Remember, it's important to feel confident and trust your Buyer Agent throughout the home buying process.