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Representation Explained

Representation Explained

Buyer Representation is an agreement between a Real Estate Brokerage and an Individual that grants permission for the Brokerage to act on the buyer’s behalf in the purchase of a property.

  It is necessary, according to the Code of Ethics that a Real Estate Salesperson who is engaging in a relationship with a Buyer shall reduce their relationship to writing at the earliest possible convenience.

What are the Benefits to the Buyer?


Top of Mind Search 

A typical Real Estate Sales Representative is a social creature, who is consistently discussing his career with his friends, relatives, neighbours etc.  Many of these acquaintances will make statements such as “…hey if you ever see a house that has so-and-so, give me a call…” Sometimes a dozen or more a week!  Having a signed Buyer Representation Agreement indicates to the Real Estate Sales Representative that you are indeed serious about pursuing a new property, and puts you into a high-priority group.  This means you will be notified immediately of any new listings, and offered first priority when it comes to booking appointments!

Automatic Notification of New Listings

I have a very sophisticated system to automatically search new listings as soon as they are posted, and instantly email them to you!  The system that Real Estate Sales Representatives use is the backbone of www.realtor.ca, and is updated instantly.  Sometimes waiting for the perfect listing to show up on the Public site can take a day, or two!  That could mean that another buyer, with a Signed Buyer Representation Agreement sees the opportunity to buy your dream house before you are even aware of it being on the market!  Don’t let this happen to you!

No Cost

Signing a Buyer Representation Agreement comes with no up-front cost to the Buyer.  The agreement DOES indicate the Commission to be paid, but in a typical Real Estate Transaction, the Buyer Representative is paid through the Listing Brokerage, not by the Buyer.  It is important to note that there ARE exceptions to this, and they should be discussed with your Sales Representative prior to signing the Buyer Representation Agreement.

Cut down on “followup calls”

Having a Buyer Representation Agreement with the Sales Representative of your choice means that you will not have to deal with any other Real Estate Sales Representatives.  Your Buyer Representative will handle all inter-agent communications for you!

Have you ever been to an open house, signed a “sign-in sheet” that the Agent told you was “for the owners protection,” only to be called and harassed by that Agent for the next month? I have.  To avoid this, simply tell the Agent in question that you’re already committed to another Sales Representative, or even write my name down on the sign-in sheet!  That should keep them at bay!

Delivering the Truth regarding property values

A Buyer Representative is obliged to protect your best interests while purchasing your new property.  Don’t leave the negotiations for your biggest investment up to the Listing agent, get your own representative, who will share with you what comparable homes have sold for, what other comparable listings might be currently active, what the current trends are in the marketplace, and what is happening in the specific neighbourhood.

Advise you on conditions, terms of your offer  

Buyer Representatives have plenty of experience working for Buyers in Real Estate transactions.  By having an experienced Buyer Representative look out for your best interests, you can be comfortable knowing that you will be protected by several standard, and optional conditions.  Buyer Representatives can draft conditions, and then walk you through the necessary steps to satisfy those conditions!

Negotiating solely on your behalf

By hiring a Buyer Representative, you’ve eliminated the risk of compromising your bargaining position by dealing directly with the Listing Agent.  Although Multiple Representation (One Sales Representative working for both the Seller and the Buyer) is not ALWAYS a bad idea, it is important that you trust your Sales Representative implicitly, and make sure that he/she explains the process of Multiple Representation to you!


The Buyer Representation Agreement outlines:

The Names of All Parties

The Date Range that applies to the agreement

The Type of Property being searched for

The specific Geographic Location in which the agreement will be in effect

How Commission is to be paid

Information on Representation / Agency

Standard terms and Commitments by the Buyer and the Sales Representative


For a Clause-By-Clause description of the Standard “Buyer Representation Agreement,” click HERE!


Representation is a tricky concept, that often creates many questions in the Buyer’s minds.  As with any matter, I am readily available to assist in clarifying any questions you may have.  Email me today for a quick response!


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