What Is a Buyer Representation Agreement and Should I Sign One in San Diego?

What Is a Buyer Representation Agreement?

A buyer representation agreement (BRA) — also called an exclusive buyer's agency agreement or buyer-broker agreement — is a contract between you and a buyer's agent that formalizes your working relationship. It defines the agent's duties to you, the duration of the representation, the geographic area, and the compensation terms.

Why Buyer Representation Agreements Matter Now

Following the NAR settlement that became effective in August 2024, California buyers are now required to sign a written buyer representation agreement before their agent can show them most properties. This is a significant change from prior practice where many buyers worked informally with agents. Understanding what you are signing before you commit is important.

What a Buyer Representation Agreement Typically Contains

• Duration: The period of the agreement — typically 90 days to 6 months
• Geographic scope: The area where the agent is representing you
• Buyer's agent compensation: The amount or rate of compensation, how it is to be paid, and whether the buyer must pay the difference if the seller offers less
• Exclusivity: Whether you agree to work with only this agent during the agreement period
• Agent duties: The fiduciary obligations the agent owes you
• Termination provisions: How either party can exit the agreement if the relationship is not working

What to Clarify Before Signing

• Can you exit the agreement if you are unhappy with the service?
• Is the compensation structure transparent and clearly defined?
• How will your agent be paid if the seller does not offer buyer agent compensation?
• Does the geographic scope match where you are actually searching?
• Is the duration appropriate for your expected timeline?

Rieder Homes Group and Buyer Representation

We provide every potential buyer client with a complete explanation of our buyer representation agreement before asking for a signature. We want you to understand exactly what you are agreeing to and what we will deliver in return. Our goal is to earn your commitment through service quality, not lock you in through contractual complexity. Call us at 858-295-0556.

Related Reading on RiederHomes.com:

→ Blog #47: Choosing a Buyer's Agent

→ Blog #65: Buyer's vs. Listing Agent

→ Blog #46: Getting Started Buying

→ Blog #86: Making an Offer

— Mance Rieder, Broker Associate | Rieder Homes Group | REAL Broker | riederhomes.com | 858-295-0556