Sign a buyer's agreement before even being shown a house?

[bpaikman]

WOW!! Quite interesting! As an infrequent buyer/seller of "real estate"; to me it's almost like buyer/seller beware.
So the % commission paid has to be negotiated, and who is paying it. I can see where the "old style" contract, the seller pays everything (whatever the agreed %)....broker %, selling agent %, & buying agent % too.
Under the new agreement, the buyer apparently is responsible to pay an agreed %, if it is not in the contract to be paid by the seller!
More simply....in the future a SELLER lists a property, & he pays a % to HIS agent & broker! The BUYER then contracts to pay his agent/broker a %. Each (buyer & seller) being responsible to only their representative. Do I seemingly have a fairly clear understanding of the new NAR agreement?? Your help is appreciated!
Dang, I better become very familiar with this law, as I will probably be selling this property in Florida, this year, or next!
GEEZ, What ever happened to the good ol "handshake" deal? Politicians, Lawyers, unethical people, or plain ol Greedy people?
Dang, Life has certainly gotten more confusing for us "ol folks"!

I really don't like it because I think the 6% is built into the price in our area.

 

[bpaikman]

Keep in mind, this only affects “realtors” and not all real estate agents and brokers. Regardless of the ruling, the entire industry has reacted.

For first time buyers / sellers or those that do so infrequently, the process will most likely be very different than it was prior to the ruling.

what's the difference between a realtor, an agent and a broker

 

[redbaron]

what's the difference between a realtor, an agent and a broker

Simplistically:

Real estate agent: works for a broker. Has less requirements, less legal liability, and less experience.

Broker: the one that is insured and bonded, and meets much higher requirements for both state and insurance.

Realtor: a club of agents, who brand themselves with a copyrighted name of realtor, and work together similar to a union.

All realtors are agents or brokers but not all agents or brokers are realtors.

Realtors lobby very hard and sue to protect the brand etc.

Realtors are the ones that are bound to the decision regarding non set fees, not listing in mls, etc. agents that are not part of the union are not bound by the decision.

 

[punkinhead]

I could be wrong but I don't think signing the agreement before viewing a house is a legal requirement - it's the realtor who's showing it making sure they get paid for their time. We were casually looking at properties from Aug-Dec of last year and had a realtor show us 6 or 8 before asking us to sign a buyers agreement. The problem with the "go look at it without a realtor" advice in our area is that a lot of the properties are unoccupied so the selling realtor puts a key in a lockbox and will only give the combination to another realtor. You might be able to view one at an open house event but those are rare at the rural properties we've been looking at.

 

[redbaron]

I could be wrong but I don't think signing the agreement before viewing a house is a legal requirement - it's the realtor who's showing it making sure they get paid for their time. We were casually looking at properties from Aug-Dec of last year and had a realtor show us 6 or 8 before asking us to sign a buyers agreement. The problem with the "go look at it without a realtor" advice in our area is that a lot of the properties are unoccupied so the selling realtor puts a key in a lockbox and will only give the combination to another realtor. You might be able to view one at an open house event but those are rare at the rural properties we've been looking at.

There is no legal requirement.

A confident and experienced agent/broker will not require it from a buyer who is looking, especially if there is some relationship existing.

A handshake agreement that if the buyer does buy the property and the agent/broker performs their duties timely and professionally then a fee of $xxx will be paid is all that is necessary.