Association News
Buyer Broker Agreements
September 10, 2024
In compliance with the NAR settlement, Lake Country Board of REALTORS® updated its policies on Buyer Broker Agreements (BBAs), effective August 5, 2024.
What is Required?
All members of the Lake Country Board of REALTORS® Multiple Listing Service are now required to have a signed Buyer Brokerage Agreement (BBA) with their customers before they can tour a property.
To clarify, property touring occurs when a buyer and/or the agent from the brokerage working with a buyer physically enters a home, or when the agent physically delivers a live virtual tour where the buyer isn’t present. In this case, a home is defined as a residential property of one to four dwelling units. Please note: a Buyer Broker Agreement is not required for any other property class, including rentals.
Requirements of a BBA
A Buyer Broker Agreement formalizes the working relationship between you and your client, outlining roles, responsibilities, and expectations. It establishes an exclusive relationship, protects both the client and the brokerage, and fosters transparency and trust. The National Association of REALTORS® requires the following components in any Buyer Broker Agreement:
- The specific amount or rate of compensation and how it will be determined must be disclosed. The amount must be specific, easily verifiable, and not open-ended.
- A clause prohibiting the brokerage from receiving more compensation services than the agreed amount or rate in the BBA.
- A clear statement that broker fees and commissions are not set by law and are fully negotiable.
Compliance with Buyer-Broker Agreements
While the Lake Country Board of REALTORS® will not collect Buyer Broker Agreements, we must ensure that they exist and contain all required components. Similar to listing contracts, we will request a copy of the original agreement if improper use is reported.
More to Explore
Lake Country Board of REALTORS® is proud to support you in the important work you do. We work diligently to keep you informed about how these changes will impact your business and ours. Please explore our resources, designed to support you and your real estate business through these changes.
About the PCBR Market Brief
The Pickens County Board of REALTORS® (PCBR) Market Brief is compiled by First Multiple Listing Service (FMLS). For more information on details of this month's report, please contact the Board at 770.866.1397.
*Each month, the numbers reported for the previous month are updated to reflect additional recordings.
About the Pickens County Board of REALTORS®
The Pickens County Board serves as a central source of information for our members and our main focus are real estate education, the promotion of professionalism in our industry and representing our REALTOR® members with legislative initiatives to create positive change for the real estate community. Throughout its history, the Pickens County Board has exerted its influence in civic affairs in its capacity of representing a substantial segment of the business community across the Pickens area. The Board has contributed to various charities over the years by hosting fundraisers.
About First Multiple Listing Service
First Multiple Listing Service (FMLS) is the premier data services provider for real estate professionals in Georgia. FMLS was founded in 1957 by a group of Brokers who wanted to share their listings and connect buyers and sellers. Today FMLS is the largest MLS in Georgia & the 4th largest MLS in the United States, serving nearly 54,000 real estate Agents & Brokers. For additional information or to start a discussion about how to partner with FMLS please contact join@fmls.com.