What Are Buyer Agency Contracts?

Most of the people I know never need a Realtor ... until they need one. They weren't really thinking about moving … until the opportunity came up. The better house, a new job, or some other life situation suddenly pops up, and it’s a rush to make that move. Honestly, as a real estate broker/advisor, I sometimes find myself playing catch-up with clients, getting up to speed about their thought process so I can help them best achieve their goals.

Because people don’t move often, it’s never just like the last time. Things change. The market changes. Dynamics shift. Rules and processes evolve. That’s why you should know a significant change took effect last year and going forward: Indiana law now requires written buyer agency contracts for all prospective homebuyers.

Much like sellers signing a listing contract to sell their home, it is mandated that prospective homebuyers sign a written buyer agency contract with their real estate broker before receiving agency services. This includes touring homes, submitting offers, or engaging in any formal representation.

What’s a Buyer Agency Contract? A buyer agency contract is intended to provide clarity and structure to the home buying process. It includes:

  - a detailed description of the services the broker will provide

  - a property description of the type of home you’re looking for, including size, location, features, and price range

  - clear terms about how the broker will be paid, by who, if and when

  - start and end dates as a timeline for the agreement, ensuring the process is defined

  - it's negotiable and there's flexibility to adjust the contract as needed

Why Was This Law Introduced? This new requirement pushes more transparency in real estate transactions, protecting buyers and establishing clear terms for the services brokers provide. With a higher degree of professionalism, buyers should gain a clearer understanding of the services they’ll receive and how brokers are compensated for those services. Buyers should have more confidence knowing they're working with licensed professionals. It also protects buyers buy safeguarding them from unlicensed “wholesalers” who typically offer below-market cash deals with no less transparency, guidance or representation.

Buyer agency contracts lay a stronger foundation in writing for your home-buying journey. It's a clear, professional commitment between you and your broker. With over 20 years of experience, I strive to offer a personalized approach tailored to clients unique needs, granting access to all the insights, such as homes before they hit the market. I’ve seen firsthand how a buyer agency agreement strengthens the relationship between buyers and brokers. It allows me to focus on delivering exceptional service while ensuring your needs remain the top priority.

Ready or Not  to Make Your Move?

If you’re considering a move at all—or if life suddenly presents you with even an opportunity—let’s talk about how we can work together to realize that opportunity before you ever sign anything. If you have any inkling of a desire to make move now or later, it's a good idea to connect sooner, have a conversation so that you'll be ready when the time comes.