What Home Buyers Need to Know About Representation & Broker Agreements

Buying a home? Let’s make sure you’re fully in the know before you sign anything.

I’m Kallie Orr — a real estate agent here to guide you through every step, including one of the most overlooked (and misunderstood) parts of the process: the buyer representation agreement and how broker compensation really works.

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 Watch the YouTube video here

What Is a Buyer Representation Agreement?

In simple terms, it’s a contract between you and a real estate agent (like me!) that says:

✅ I’m committed to helping you, the buyer
✅ You agree to work with me for a certain amount of time

Think of it like defining the relationship; it makes things official, so I can truly go to bat for you.

Bonus: When you’re represented, I can legally advocate for your best interests (and get into deeper strategy with you than I can as just a tour guide).

How Does Broker Compensation Work?

This is changing in 2025, and there’s a lot of misinformation out there. Here's the truth:

• Traditionally, the seller pays the agent commission (both the listing agent and the buyer’s agent).

• Now, you may be asked to sign a form agreeing to your agent’s compensation, even if the seller still covers it(this is a negotiable item in the contract).

We’ll go over your options up front, and I’ll walk you through where the money’s coming from before you commit to anything. No surprises. Just strategy.

What Should You Know Before Signing?

Here’s the short list: