Without a Buyer Agency Agreement I would be limited to performing ministerial acts for my "customers". Having a buyer sign a Buyer Agency Agreement allows me to represent them and look out for their best interests as my "clients".
I;m not sure how the rules of agency disclosure differ in other states but in Georgia we are required to educate our buyers on the different types of agency. If a buyer chooses not to enter into an Exclusive Buyer Brokerage Agreement then they must sign a "Customer Acknowledgment" that they have declined representation.
i won't pretend that the protection it gives my commission is not important.... we work hard for our commission. I recently had a client mention to me while we were out looking at condos one afternoon that another agent had shown her property over the weekend. Fortunately, I had a Buyer's Agency Agreement on file in case she had decided to buy the property she looked at over the weekend. :)
Bottom line is that the Buyer Agency Agreement allows me to help my clients to the best of my ability and the guarantee of compensation only secondary.
I always use a buyers agent agreement. Aside from the reason that we are supposed to ,it spells out to the buyers my commitment to them to represent them in an honest & ethical manor. More important it gives me documentation showing proof of my buyers agent relationship with them should someone else claim
to have introduced them to a particular house that I am selling.
If you explain the difference in agency, I find it is extremely useful in getting the buyers to agree to sign.
I used them a few times. It's not widely used as I found out and most buyers I encounter don't want to be locked in with a buyer's agent. I know I should use them on every buyer because i've been burnt plenty of times. I'd also like to implement a retainer fee and make it refundable at closing. What do you Agents think of that?