Connecticut law requires that the real estate broker furnish the Buyer with a written agreement (contract) should Buyer wish to be represented by an agent.
WHAT IS A CONTRACT?
A contract is a legally binding agreement between two or more parties. When you use a broker to help you find a home, you must sign what is called in the trade, an Exclusive Right to Represent Buyer Agreement, or a Buyers Broker Agreement. This is a Contract. This contract stipulates the terms of your agreement with that Broker. This includes the services the broker will provide; the obligations that you, as the buyer, undertake; the compensation that will be paid; the towns you will work with the Broker in ("Exclusive Towns"); and the start and end date of the contract.
When you sign the Buyer Broker Agreement with a Real Estate Firm you, the buyer, and the Broker are both legally obligated to fulfill all of the terms of the contract. It is important that you fully understand any contract that you sign. You might want to consult with an attorney if there is any part of the agreement that you do not understand.
STANDARD BUYER BROKER CONTRACTS:
Most Brokers use a standard buyer broker contract. It usually comes from the local MLS. You are obligated to use only the Broker you are signing the contract with for the entire duration of the contract. A standard contract typically obligates you to pay the buyer broker a minimum fee, usually 2 to 3 % of the purchase price of the home, should you purchase a home while the contract is in effect. This means that if you find a home where the seller is not compensating the buyer broker the full amount you have agreed to pay in your contract, you must pay the buyer broker that fee on top of what you will be paying for the house.
PREOH BUYER BROKER CONTRACT:
The Preoh Buyer Broker contract is short and easy to understand. Preoh doesn't need an onerous contract to keep customers. Either party can cancel the contract with a two week notice. In the Preoh Buyer Broker agreement you, the buyer, agree to pay a total of only one percent of the purchase price if the seller is not compensating the buyer broker.
