Buyers have been reluctant to sign the agreement to work with a representative. There are many reasons given for not wanting to sign, but mostly it is because people are uncomfortable with a legal commitment. The buyer’s agreement defines the responsibilities of the representative to the client, ensuring the best possible service.
Here are some examples of buyer’s objections to signing the agreement:
I will only see the home the representative has for sale.
The buyer’s agreement compels the representative to show you ALL homes that meet your criteria.
I will have to pay the representative even if I don’t buy through them.
You will never have to pay for services you did not receive. If you purchase a property the buyer representative found for you, the representative is entitled to be paid for their service. Buying the same property privately or through another representative is fraud and would be contested with or without a buyer’s agreement.
What if I choose a property that my representative has listed?
This is called duel agency. The representative is obligated to treat all parties fairly. If your are concerned that the representative has a on going relationship with the seller, contact the representative’s broker and you can choose another representative from the company look after your interests during negotiations . You do not have to agree to duel agency if you do not want to.
I just don’t want to sign a contract.
Nobody can force you to sign. However, you are asking the representative to provide their services without ensuring that, if successful, they will be paid. How much time and effort would you put into a job that you might not get paid for?
I will have to pay the representative out of my own pocket.
Payment for the buyer representative is usually set by the listing agreement. The only time the buyer would be responsible for payment is when they contracted for services to buy a property that does not include the buyer representative’s Compensation. (Example-new home)
What if I want out of the agreement?
You can get out of the agreement at any time if you don’t believe the representative is right for you. Many times buyers have tried to get out of paying the representative for their services after they have found a property. For that reason the agreement states the representative is entitled to be compensated if you buy a property that the representative has already found for you.
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