Buyer’s Representation Agreement
ReMax advises consumers to never sign anything they have not read carefully. Your agent should provide documentation in advance, with enough time to read everything and raise questions.
Remember if you don’t have a signed Buyer’s Representation Agreement and you are using the listing agent, the agent has a legal obligation to have the seller’s interest at heart. Most agents will negotiate a fair transaction regardless, but it is something you should be aware of as a buyer.
Below is some information from the Real Estate Council of Alberta, RECA.
Are written Buyer Representation Agreements mandatory?
Frequently Asked Questions - Buyer Representation Agreements
Yes. Effective July 1, 2014, if you are interested in buying residential property and are the client of a real estate professional in Alberta, you will be asked to sign a written service agreement (buyer representation agreement).
What is the difference between an exclusive and a non-exclusive buyer representation agreement?
In an exclusive buyer representation agreement, you, as the buyer, agree to only use the services of that brokerage to represent and assist you in purchasing a property.
In a non-exclusive buyer representation agreement, you, as the buyer, may use the services of multiple brokerages at the same time. You can enter into multiple non-exclusive buyer representation agreements.
Does my buyer representation agreement have to be exclusive?
No. However, your agreement will need the consent of the brokerage(s) you're working with. Consumers should make an informed choice about the type of relationship they wish to have with a real estate professional. They should also understand the implications of the options available to them.
When I agree to enter into a written service agreement, is there a specific form I will be asked to sign as a buyer?
The answer to this question depends on two factors:
- are you interested in buying residential property?
- will you be entering into an exclusive buyer representation relationship?
If you are not interested in residential real estate OR you want a non-exclusive agreement, your real estate professional is not required to use the mandatory content. However, you will be asked to enter into a written agreement that meets the requirements of the Real Estate Act Rules. You can review RECA’s sample non-exclusive buyer representation agreements here.