What is the primary function of a buyer representation agreement?

The primary function of a buyer representation agreement is to formalize the relationship between the buyer and the agent. This agreement serves as a contract that outlines the duties and responsibilities of both the buyer and the real estate agent, establishing a professional relationship where the agent agrees to represent the buyer's interests in the property search and acquisition process.

This relationship is crucial because it ensures that the buyer receives the necessary guidance and support, including fiduciary duties such as loyalty, confidentiality, and full disclosure from the agent. The agreement typically includes details such as the scope of the agent’s work, the duration of the agreement, and any fees or compensation arrangements.

While establishing a sales price, agreeing on property inspections, and finalizing the transaction are important parts of the buying process, they are not the primary focus of the buyer representation agreement. These tasks might be addressed in the course of the buying journey but fall outside the foundational purpose of the representation agreement itself.