What to look for in a buyer agreement before you sign
A buyer agreement is a contract between you and a brokerage. Read it like one.
The compensation clause
States what the brokerage will receive, as a percentage or flat fee, and who pays it. Check whether you owe the difference if the seller pays less.
The rebate clause
If the agent offers cash back, it should be here: a percentage of what the brokerage receives, how it is paid, and when. If it is not in the agreement, it is a verbal promise.
Term and exclusivity
How long the agreement lasts and whether it is exclusive. A short initial term, such as 60 or 90 days, lets you see how you work together.
Geographic scope
Some agreements cover a whole county or state. If you are also looking elsewhere, narrow it.
Cancellation
How you end it, and whether you owe anything if you buy a home the agent showed you after cancelling.
Canada
BC buyers usually sign a different document with similar purposes. The same rule applies: the rebate should be in writing.