Home Buying in Pittsburgh>Question Details

terrydominach, Home Buyer in Pittsburgh, PA

Is a BAC required by Pa.RE Law in order to summit an offer?

Asked by terrydominach, Pittsburgh, PA Thu Dec 12, 2013

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Or do you mean Buyer Agency Contract? Either way, the answer is no. Buyer agency agreements are not required to submit an offer (e.g., if you buyer a for sale by owner property)...however, a real estate agent may refuse to work with you unless you sign one. This document ensures that the agent you are working with is the agent who receives the commission once the deal is done (sometimes when multiple agents have assisted the same client disputes over commission can arise). So this document is less about locking you into a contract and more about protecting the agent. Most agents don't want to waste time working with someone if they aren't sure they will be paid at the end of the day.

If you are being asked to sign one of these documents, just remember that many of the items in there are negotiable...including the duration of the contract. So if you aren't sure you want to work with a specific agent just yet, you can always change the duration to a couple of months, weeks or even days if you want.
1 vote Thank Flag Link Thu Dec 12, 2013
I meant submit an offer, not summit an offer.
1 vote Thank Flag Link Thu Dec 12, 2013
Hi Terry,

If you would like to make an offer on a home, I would be glad to help. Feel free to call any time.

You can create a customized search at my website. The link is below.

Best wishes,
Donna Wetherbee
0 votes Thank Flag Link Sun Dec 29, 2013
Buyer Agency Contract is not required, but if you submit with that agent without one, then that agent automatically becomes a sub-agent for the seller... meaning they now work for the seller and not you. If you want to be represented and have the agent working in your best interest, then sign it. The commission is almost always paid from the sellers proceeds so you shouldn't have to worry about any exorbitant fees. Your agent will supply a cost breakdown though also so you can check.
0 votes Thank Flag Link Fri Dec 13, 2013
PA licensing law requires a written agreement between a broker and a consumer when the consumer is or may be obligated to compensate the broker for services. (section 608.1 appendix C). An offer may be made orally but it is unenforceable. Therefore not practical,
when everything is written out everyone knows what is to be expected by everyone else.
Paulette E Grenesko
Northwood Realty Services
0 votes Thank Flag Link Fri Dec 13, 2013
No it is not required, it is a way that we as agents protect ourselves and make sure that we get paid for our services if you decide to make an offer.
0 votes Thank Flag Link Thu Dec 12, 2013
When you say BAC I take it you are using the abbreviation for buyer agency commission. If this correct the answer is No.

In the state of Pennsylvania a licensed real estate professional may be a seller agent, a subagent of the seller's agent and represent the seller or a Transaction Licensee and represent neither party.

A seller need not offer a BAC at all in a listing of a property for sale and the buyer could still have buyer agency representation although the buyer may be responsible to pay any buyer agent fees.
0 votes Thank Flag Link Thu Dec 12, 2013
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