How a Buyer Representation Agreement Protects Your Interests

By Kandie Frederick

Growing up on the central coast, Kandie is a third generation family in the North County and a second generation family in real estate. Joining Country Real Estate in 2000, and graduating from Cal Poly in San Luis Obispo, she brings a background of Agricultural Business to combine with her knowledge of the local real estate market. Working with her family and their decades of local real estate development, she is deeply connected to the roots of our community and its growth.

What if the very first mistake you make in today’s real estate market happens before you ever write an offer?

I’m seeing a lot of buyers returning to the market, which is great. Many have been out of the market for a while. Others are first-time buyers who are not aware of the recent changes. They’re excited. They’re proactive. They’re calling listing agents directly, visiting open houses, and setting up their own appointments.

But here’s the problem: real estate is not a casual shopping experience. It’s a contract law. And before you seriously start touring homes, you need to understand what an agency and buyer representation agreement is, because it protects you.

So before you book another showing or step into another open house, let me explain something most buyers don’t fully understand.

Let’s start with a simple but critical question: who represents whom?

When you walk into an open house or call the number on a listing, you’re usually speaking with the seller’s agent. That agent’s fiduciary duty is to protect the seller, negotiate the highest price, and structure terms favorable to the seller. They’re not obligated to protect you if you do not have your own agent established.

Without your own representation, you may share information that weakens your negotiating position. You could accidentally enter into dual agency. You might even sign documents without fully understanding their impact. These are not small details. They can directly affect your deposit, your negotiating power, and the outcome of your transaction.

This is why representation matters.

What is a buyer representation agreement? In California, buyers now typically sign a buyer representation agreement before seriously touring homes. This agreement does several important things.

• First, it clearly establishes that I represent you, not the seller.
• Second, it outlines how compensation works.
• Third, it defines the time frame and scope of our relationship. Fourth, it protects you from conflicts or confusion about agency.

It is not a trap. It is not a pressure tool. It simply puts everything in writing so expectations are clearly defined.

With this agreement in place, I negotiate only for you. I protect your deposit. I review disclosures with you. I manage contingencies. I advise you objectively on value.

Without this agreement in place, the agency can become unclear, especially if you have been contacting multiple agents or touring homes independently. Having everything properly established at the beginning prevents major problems later.

Why working with one agent matters. When buyers shop with agents while shopping for homes, it creates confusion.

If two agents believe they are representing you, or if you have already engaged with the listing agent on a property, negotiations can become complicated. Commission structures can also become complicated. You don’t want to be obligated to pay someone you did not intend to work with.

The cleanest and safest approach is this: interview an agent, choose one you trust, sign a clear agreement, and then begin touring strategically. You want one experienced professional guiding your transaction from beginning to end.

The risk of signing at open houses. Many open houses now require signed forms before you tour the property.

Some of those forms can establish agency between you and the agent, create payment obligations, and limit your flexibility. If you sign without understanding what you’re agreeing to, you may unintentionally change the dynamics of your transaction.

Before signing anything at a property, you should already know who represents you. That understanding protects your options and your negotiating position.

Why a local lender is just as important. Let’s talk about financing. Loan issues are one of the biggest reasons transactions fall apart.

Using an out-of-area or online lender can create slow appraisals, missed contingency deadlines, underwriting surprises, communication gaps, and closing delays. All of these can jeopardize your sale. Timelines are strict, and your deposit is on the line.

A strong local lender knows local property types, understands local requirements, has relationships with local appraisers, and can solve problems quickly. Local experience reduces risk.

The step-by-step plan that protects you. There is an order to this process that protects you.

• Step one: meet with a local lender and get properly pre-approved.
• Step two: meet with a buyer’s agent and discuss strategy. Your agent will often have names of great local lenders.
• Step three: review and sign a buyer representation agreement so everyone is clear about the relationship.
• Step four: begin touring homes intentionally. At this stage, you are ready to write an offer.

When you do it this way, you are protected legally. You are positioned competitively. You avoid agency conflict. You reduce financing risks.

Buying a home is one of the largest financial decisions you will make. You would not walk into court without representation. You should not walk into a real estate negotiation without it either.

If you would like to understand how the buyer representation agreement works before you look at homes, reach out anytime to (805) 878-2225, email kandie@countryrealestate.com, or visit countryrealestate.com. I’m happy to walk you through it. No pressure. Just a straightforward explanation so you know exactly where you stand.