Do you have to sign a buyers agreement for purchasing?

Question

Ryan Landis · Answer

All fair points above. So not every agent requires them, some do though. For context, I agree with the idea that you should not sign something until you feel confident in working with a person. That being said, it goes both ways. As an agent/broker, if the client is not committing to you, how committed are you to the client (if you ask them about this).

The quality of agents runs the gamut, but I bet you don't ask the attorney to represent you and tell them I won't pay you until I am sure you win the case (obviously some do work that way but talking about the situations where that is not the case).

That being said, if you ask someone to run around and do a bunch of "free" work eventually that tapers off as they find clients that respect their time, energy, resources (assuming they are worth their weight).

Not saying you said any of the above, but I personally sign them frequently on properties before they are presented, etc. It is just part of how people protect the fact they are doing a job that doesn't get them paid until closing...

Keith Thomas · Answer

@Chad Dunham Chad as a investor you should never sign anything that locks you in with one person. I had a brand new agent try to slip that in with an off-market deal to myself and once I informed them that I do not sign those, they tried to get my partner to sign as well. I would talk to the broker and let them know your not looking to burn bridges but this agreement you may have not been clear on. Good Luck

Charlie Cameron · Answer

@Chad Dunham, I became and agent after I started investing. I only have limited experience for what this is worth but, I recommend you never sign a buyer's agreement that locks you into an exclusivity with an agent. I don't ask my clients to. When I work with an agent and they aren't panning out, I never want to lock myself in to that person. Same goes for me - if my clients think I suck, they should go elsewhere. It sounds counter intuitive, but if I'm doing my job, they'll stay. Just my own opinion.

Aaron K. · Answer

@Chad Dunham the last thing you want to do is buy a multi $100k asset that performs poorly because you didn't want to be a bother to someone, speak up at least to the broker and say it isn't clicking with the agent, they can try to find you another agent, let you go, or be a massive pain (which is unlikely because their business runs on referrals and reputation).

Chad Dunham · Answer

Aaron, thank you for the quick response. I am currently stuck in a BA contract and I do not want to ask to back out, as I do not want to burn any bridges. The Broker is helpful but the agent is more challenging. Not really sure what to do. I feel this holding me back. I have cash ready to buy, but no motivated agent to drive this next purchase to close.

Aaron K. · Answer

No, but some realtors may require it if you want to work with that realtor.

Do you have to sign a buyers agreement for purchasing?

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