Understanding Buyer Agent Contracts in Massachusetts

When purchasing a home in Massachusetts, you may enter into a Buyer Representation Agreement with a real estate agent. This contract outlines the agent’s role, your obligations as a buyer, and the terms of the agreement. Here are the key aspects:

1. Exclusive Representation
   The contract typically grants the agent exclusive rights to represent you in buying a property. This means you agree to work only with that agent during the term of the agreement, and they will assist you in finding and purchasing a property.

2. Agent's Responsibilities
   Your agent commits to acting in your best interests, helping you locate properties, negotiating terms, and coordinating inspections or other activities related to the purchase. They owe you fiduciary duties, including confidentiality, care, loyalty, and honesty.

3. Designated and Dual Agency
   In some cases, agents from the same brokerage may represent both the buyer and the seller in the same transaction. This is called designated agency. If your agent also represents the seller of a property you're interested in, this creates a dual agency situation. In dual agency, the agent must remain neutral and cannot fully advocate for one party over the other. Both parties must consent to this arrangement.

4. Compensation
   Typically, the agent's commission is paid by the seller, but if the seller or listing broker does not cover the full commission, you may be responsible for paying the difference as outlined in the contract.

5. Term and Termination
   The agreement specifies a start and end date. If you enter into a purchase agreement before the contract ends, the agreement may be extended until the closing.