3 Documents All Buyers Should Sign

When you reach out to a realtor to find your next home, you will be getting several documents at some point throughout the time you work with them—without proper explanation, seeing these documents would worry any new buyer. However, these documents protect you and equip you with knowledge. This blog post will tell you the documents you should be signing with every realtor and why you are signing them.

Buyer/Tenant Representation Agreement

This representation agreement is signed by both future homeowners and those looking to lease. The Buyer Representation Agreement or BRA is a document you and your realtor sign that keeps both buyer and agent committed to each other for a certain period. 

Why you are signing

You must sign this document for three reasons:

1. It sets expectations 

Your agent gives you a complete breakdown of not only what they are required to do but the limitations on how they will serve you based on what you’ve said you needed. Some restrictions will include how long the realtor will service you and the area in which the realtor will look with you.

2. It requires the agent to put you and your interests first. 

That may include but is not limited to:

• Shopping for homes with your needs
• Writing offers on your behalf
• Negotiating on your behalf
• Making sure the property appraises for the asking price.
• Getting you to the closing table

3. It shows that they are of service to you. 

Once clear expectations are set and understood, your realtor can now take off the stress that comes with searching and buying a new home. You currently have someone in your corner with the know-how to present you as the best offer or application. Their only aim is to see you succeed and work with you to ensure that you do. 

Wire Fraud Notice

The Wire Fraud Notice is a notice that educates any buyer/leaser on wire fraud. Wire Fraud happens when a hacker poses as a realtor and gets clients to wire their closing funds to them. It is becoming more common practice for agents to give their clients this document as the rate of this crime increases. This notice informs you of this and tells you how not to fall victim to it when making transactions regarding your new home.

Why you are signing

This document will aid you in noticing the red flags of wire fraud. Knowing these red flags is vital because leasing/buying a home is not an everyday purchase. Even if this is not your first purchase or lease, please read over the Wire Fraud Notice to know any changes over time. With the aid of your realtor, you will be able to steer clear of the possibility of falling victim to this crime. Your signature for this document only proves that you have signed it. 

Information About Brokerage Service 

The Information About Brokerage Service is another record created to educate you. This notice informs you what a broker is, what they do, and what role they will play in your real estate journey. It also tells you how an agent differs from the broker. The IABS familiarizes you with what your agent is, what they do, and their responsibilities to a client. 

Why you are signing

This document is to empower a client with knowledge of who you are working with and their capabilities. It will help you to understand that your realtor is a representative of a broker by law. Thus, the broker and agent are a package deal. 

By signing it, you acknowledge that you have received it. 

Conclusion

In conclusion, signing the Buyer representation Agreement, Information About Brokerage Service, and Wire Fraud Notice secures you. It provides you with knowledge for any buyer to take control of your real estate journey. If they have not, ask your realtor to give you these documents for signature. 

Have any questions? Leave a comment or reach out to one of our Savants.