There are a few different agreements and contracts you might encounter during the buying process. It’s important to understand what they mean and which ones are actually required.

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Buyer Representation Agreement

This is a big one. A representation agreement spells out the agent’s duties and your financial obligations to them. You will likely need to sign one if you want an agent to officially represent you in negotiations and through closing. It will typically state how much commission you owe them (usually 2-3% of the purchase price, but way less if you use Bramble) and what services they will provide.

What to watch out for:

• Commission rate: Negotiate this down whenever possible. Make sure there is no language allowing the agent to collect more than the agreed-upon percentage, even if the seller offers more. Some agents might try to get you to sign a modification agreement to pocket extra commission—don’t fall for it. 
• What happens if the seller doesn’t pay: Ensure it’s clear how much you will owe out of pocket if the seller won’t cover the full amount.
• Exclusive vs. Non-Exclusive: if you sign an exclusive agreement, you generally owe the agent commission for any home purchase made during the contract’s lifetime, regardless of whether they helped you (ex. even if you buy a new-build house directly from a builder). Non-exclusive contracts give you a lot more flexibility here.

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Touring or Showing Agreements

Some brokerages have started offering short-term agreements, often called touring or showing agreements. These allow you to view homes with an agent without fully committing to long-term representation. These are not mandatory, but they can be helpful if you’re unsure about the agent and want to test the waters.

What to watch for:

Make sure the touring agreement does not lock you into paying a full commission unless you’re comfortable with it. In many cases, these agreements are designed to transition into a full representation agreement once you make an offer.

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Purchase Agreement

This is the contract between you and the seller when you’ve agreed to buy the house. Your agent will help you draft this when you’re ready to make an offer and ensure it covers important details like price, contingencies (e.g., inspections, appraisals), and closing costs. For a deeper dive, check out this post.

Watch out for:

Agents who tell you that only their forms are valid or “legal.” In reality, offers can be made using a variety of legal forms or even drawn up by an attorney.