Today we would like to talk about Documenting Buyer Representation. This post is helpful for buyers who would like to buy/lease a property. On the other hand, it is good knowledge for the buyers who would like to buy a business. We are explaining documents that each buyer needs to sign with their agent.
Buyer Representation Agreement:
A buyer representation agreement is an authority by a buyer to real estate brokerage to act on his/her behalf. With such a document, the agent has the authority to locating a suitable property for that buyer on terms and conditions set forth in the representation agreement.
Additionally, a buyer representation agreement, similar to the seller representation agreement, typically grants an exclusive authority to real estate brokerage to represent that party.
The representation agreement performs several functions:
- Establishes an exclusive buyer representation relationship.
- Sets out duties and responsibilities of both parties.
- Details commission arrangments and buyer responsibilities should commission not be paid by the seller.
Do You Need To Sign A Buyer Representation Agreement?
As an answer, it is legal to hire an agent without an agreement but it is safer to have everything in writing. Additionally, the buyer’s agent should negotiate the best deal in the shortest amount of time. Also, the agent should try to save the buyer money.
Our team is here to help our clients to find the best location. Also, we are working with a high range of sellers who would like to sell their businesses. Please reply if you need our help!