If you’ve decided to buy a home in California using a Realtor, you’ll now need to sign a buyer-broker agreement before touring properties. This contract requirement is part of a nationwide change enacted in August. The new mandate is designed to add more transparency and shift key aspects of real estate transactions into the hands of buyers. This easy-to-follow guide will break down what a buyer-broker agreement is, why it’s required, and how it affects the home-buying process in California. Yes, California homebuyers using a Realtor with access to the multiple listing service (MLS) must now sign a buyer-broker agreement before touring homes with the agent. This requirement is part of the National Association of Realtors (NAR) rule changes that went into effect on August 17, 2024. The contracts ensure that buyers and agents formalize their business relationship before any property tours take place. This change might seem significant for buyers in California, but it aligns with practices that were already required in 18 states. The goal is to increase transparency and give homebuyers a better understanding of their financial and contractual obligations, including compensating their real estate agent.Do you have to sign a buyer-broker agreement in California?
