Buyer Brokerage Agreement

Buyer Brokerage Agreement

Overview

A buyer brokerage agreement is a written contract between a real estate broker and a buyer that establishes an agency relationship. Under Washington law (RCW 18.86 and SB 5191), this agreement must be signed before the broker shows property to the buyer.

Purpose

The agreement protects both parties by:

• Establishing the broker's duties to the buyer
• Disclosing how the broker will be compensated
• Setting the duration of the relationship
• Clarifying the scope of the broker's services

Types of Buyer Agreements

• Exclusive Buyer Agency Agreement: Buyer agrees to work only with this broker for a specified period
• Non-Exclusive Agreement: Buyer may work with multiple brokers

Key Provisions

• Start and end dates
• Property type and geographic area
• Compensation (amount, who pays, and fallback if seller offers less)
• Services the broker will provide
• Dispute resolution

Key Terms

• Agency: Legal relationship where broker acts on behalf of the buyer
• Fiduciary Duty: Highest standard of care owed by broker to client
• Exclusive Agreement: Locks buyer to one broker for the contract period