I would tell you that there isn't a "norm" however, most states utilize buyer's agents and seller's agents and all have signed contracts. You mentioned that the agent will work for the seller with no signed contract - all agents who show listings work technically as sub-agents of the listing agent and represent the seller. Their commission is paid by the seller so they do indeed have a signed contract with the seller. I would recommend that you interview agents just as you would if you were selling a home. The fees for buyer agency will vary, the same as they do when you are listing however remember the most important thing would be the services provided. If hiring a buyer's agent for 2 or 3 percent will save you thousands of dollars or help you buy a home for fair market value in a great neighborhood, school district etc. , isn't it worth paying for? Remember that most agents are paid out of the proceeds of the sale so, technically aren't you paying anyway in the price? Why not have a representative who has your best interests at heart which also may mean that if a home is priced correctly, you may even be advised to pay a bit more!

You can still have representation without any contracts and no additional fees. Did your agent explain the difference to you I wonder and if so do what feels right to you.

Anna

The CBR designation is given after an agent completes the study for it. The agent pays for the education, and therefore receives the designation.

I work as a buyers agent and a sellers agent similar to what was offered by your agent. I always start out as a sellers agent, because we have to get to know each other to see if we want to enter a formal agreement to work with each other exclusively. It is almost like dating, and maybe we will "go steady". Your agent is being professional by requiring a contract.

As a sellers agent, my fiduciary responsibility is to the seller, who has signed a formal contract with their Realtor to guarantee compensation to the cooperating broker. As a buyers agent, my fiduciary responsibility is to the buyer who has signed a formal contract to guarantee my compensation. There is a level of trust that is insured with a contract. In either case, the buyer always pays both Realtors, because the seller brings to the closing table the keys and the deed, and the buyer brings all the money.

The length of time and amount of compensation is negotiable. The contract should also state where you will be conducting your home search. I am licensed to practice in all of NY State, so if you got a job transfer to Albany during the time of our contract, you should be able to use a local Realtor with knowledge of that area to help you find your new home, without any obligation to me. As your Realtor knows, just crossing a street can change property values in particular areas, so you will want someone who practices in the locality where you are searching.

The only occasion I would work without a contract as a buyers agent is if it was someone I had a previous relationship, whether business or social, wanted one particular house, and I knew that the seller was offering appropriate compensation.

A contract means your agent can also seek unrepresented sellers. I got great deals for clients with sellers who are trying to sell on their own. or whose listings have expired.

This is probably the largest investment of your lifetime. As a client, instead of a customer, you would be entitled to all the knowledge that the buyers agent knows that the sellers agent might have to keep from you. The difference is, do you want someone to sell you a home, or help you buy a home?

Good Luck with your home purchase.

Carol Bromm, SRES, CBR
Associate Broker
Prudential Douglas Elliman- Babylon
631 422-8269

The Buyer Agent works in the best interest of buyer, however it does not require in Long Island, NY to Must Have Buyer Agent Signed Contract.
The buyer can work with Buyer's Agent without any signed contract. It means the buyer is not locked in for 6 months +/- or so, etc..
I am a Certified Buyer Agent (CBR), I represent them as a Buyer's Agent. They have stayed with me and bought homes with out any signed contract, because of mutual respect, honesty, trust, above & beyond customer service, etc.
Please feel free to email me if you have any questions, I will be happy to answer them.
Good Luck in your search..
jzilpelwar@yahoo.com

The norm for many years was that Realtors on Long Island had no idea what a buyer's agent was...we are the last to be civilized in the US!

That being said, we do represent buyers now and yes, it is typical to sign an agreement (length of time is up to the two parties...can be one day or one year). The percentage was probably stated at 2% because that is generally what is offered out to the "other" agent if a sale is made. This too is negotiable.

Is this asking a lot from you? When the listing agent signs an agreement with the seller for ...let's say 10% as an example...that 10% if accommodated for in the asking price so at the end of the day, the buyer is paying EVERYONE'S commission! It's all in the way you look at it.

Everywhere else in the US, none of this is an issue...there are buyer agents and they are reimbursed for their services.

You will find ABRs or CBRs in Long Island..if we don't have that designation, it doesn't mean we are not educated in buyer representation...it means we have not spent the money on the designation.

There are also a lot of Realtors who will represent you without signing the contract and obligating you and will merely seek the commission from the offered amount through the listing.

The important thing is to align yourself with an individual you like, you believe to be reputable, you therefore trust and displays knowledge in the field.

Feel free to contact me with any further questions or discussions. Centerport is part of my home base and I would be happy to discuss representation with you.

Gail@GailGladstone.com 631-425-6150

While I cannot speak for Long Island, it is typical practice to have a listing agreement to represent a seller (seller's agent). An exclusive right to buy, aka buyer rep agreement, is a fairly standard practice and is even required in some states.
A buyer rep agreement defines the ways in which your agent will work for you and you can typically add stipulations to that agreement including that they actively search for FSBO properties, etc. Keep in mind that if NY is a state that does not REQUIRE these agreements, it may not be a bad idea to check with a few other buyer agents. Checking out the REBAC website (rebac.net) and find an ABR (Accredited Buyer Rep) or just look for someone that has ABR on their card :-)
The ABR means they took a few extra classes on dealing with buyer related issues and may be slightly more qualified to help you if a buyer rep agreement is necessary.

Agency relationships also vary from state to state, but you can see a very basic overview of agency relationships by visiting one of my blog posts about them (in web reference below)

Hope this helps.