Buyer's Guide Series: Let's "Shake On It"

Good news/bad news time! The good news: You don’t pay your real estate agent until you buy a property. The bad news: You don’t pay them until you buy a property. In other words, your agent invests time, effort, and expertise into your home buying process with all the risk on their shoulders—risk that they might not get paid at all.

That can create tension: Do you trust their guidance, or do you worry they’re just trying to close the deal faster? At Destination Real Estate, we’re “partners” with our clients. We want you to feel confident that our advice is honest and in your best interest, every step of the way.

Buyer’s Agreement: What’s New and Why It Matters

Starting August 2024, agents must sign a Buyer’s Agreement with you before showing any properties. This written agreement clarifies the amount of real estate compensation your agent will receive and outlines how you’ll work together. For many areas, this is a new step, but it’s designed to protect both you and your agent.

What’s in the Buyer’s Agreement?

1. Stated Compensation: You’ll see exactly how much your agent is paid.
2. No Open-Ended Payments: Compensation is spelled out, often as a set fee or percentage.
3. Protecting You: If a seller offers more than you agreed, your agent only receives what you’ve negotiated.
4. Negotiable Fees: Commissions have always been negotiable, but now it’s in writing.

Remember, you can “shop around,” but also consider the value of an agent’s experience, market knowledge, and level of service—just like you would with an accountant or attorney.

While signing a buyer’s agreement may feel like a big step, it can actually benefit you by creating transparency. You get expert guidance without doubting your agent’s motives, and your agent knows they have your loyalty. That’s something worth shaking on!