The Cassity Team | COMPASS, Inc.The Cassity Team | COMPASS, Inc.
  • About
  • Our Marketing
  • Our Reviews
Get started

Who We Are

  • Home
  • About
  • Reviews
  • Services
  • Blog

Buying and Selling

  • Search For Homes
  • Featured Listings
  • Compass Bridge Loans
  • Mortgage Calculator
  • Compass Concierge

The Cassity Team | COMPASS, Inc.

655 W Broadway Ste 1650, San Diego, CA 92101

  • 619-800-6178
  • [email protected]

Exclusive Representation Agreements In Real Estate

Exclusive Representation Agreements are a hot topic in the real estate world right now. What Is An Exclusive Representation...

  • Jana Matic
  • December 23rd, 2021
  • 3 min read
Featured Image

Exclusive Representation Agreements are a hot topic in the real estate world right now.

What Is An Exclusive Representation Agreement?

An Exclusive Representation Agreement is an agreement between a real estate agent and their buyer client on the purchase of a home. It commits the buyer to working with that particular agent exclusively on the purchase of their home.

Some agents will actually require that their buyers sign these types of agreements before going out and doing showings with their buyers. Often times, the buyer showings are time and money consuming, and the agent will want to protect themselves from doing weeks/months of work to have their buyer then write an offer with another agent at the end of the day.

Should Real Estate Agents Require Their Buyers To Sign Exclusive Representation Agreements?

Tricky question… answers will vary.

I am personally not an agent that requires my clients to sign ERA’s, as I am a firm believer in the concept of “choice.” If I get out and show a buyer a few homes, and they’re not happy with my level of expertise or knowledge, they should not be forced to continue working with me. I am willing to “bet” my gas and time expended during that first meeting on the fact that the client will want to work with me.

Different Types Of “Exclusives”

There are actually a few different types of “exclusives” that buyers and agents can agree to.

A time period “exclusive” states that for x amount of time, the buyer is electing to work with a specific agent, and the agent may be entitled to a commission for any homes found during that time period (even if the purchase doesn’t close until after the timeframe).

A specific address “exclusive” means that the agent will be entitled to a commission if a specific property is purchased, regardless of timeframe. These are usually used when the agent has the inside information on an off market home, and is able to get the client inside for a viewing before the home is active on the local MLS.

An area exclusive is pretty similar to the specific address, but just encaptures an entire area or zip code. These are often used when agents send out “i have a buyer” letters to a lot of homeowners in a specific area in an attempt to find an off market listing for their buyer.

Want Content Like This Delivered To Your Inbox?

Get Home Value

Author Photo
About the author

Jana Matic

[email protected]
Where do you call home???Belgrade, Serbia. Though I love to travel, I always look forward to coming home.What do you do when you’re not working?I just like to relax and go out with friends, but most of the time you'll find me playing Counter-Strike with Vlad :)What do you love about your job?I love the creative freedom it provides and constantly learning new things.What’s your favorite TV show?It's hard to pick just one, because I really like to watch TV shows :) If I had to pick one I'd probably say The Simpsons. The most recent show I was very excited about was American Horror Story.Favorite movie?Terminator 2.Favorite food?Gyros, definitely...
Where do you call home???Belgrade, Serbia. Though I love to travel, I always look forward to coming home.What do you do when you’re not working?I just like to relax and go out with friends, but most of the time you'll find me playing Counter-Strike with Vlad :)What do you love about your job?I love the creative freedom it provides and constantly learning new things.What’s your favorite TV show?It's hard to pick just one, because I really like to watch TV shows :) If I had to pick one I'd probably say The Simpsons. The most recent show I was very excited about was American Horror Story.Favorite movie?Terminator 2.Favorite food?Gyros, definitely...

Similar posts like this

2022 Real Estate Predictions: What to Expect From the Market

When the COVID-19 outbreak took the world by storm in March 2020, there were many uncertainties. With all the chaos and unknowns,...

Read more

Top 6 Things You Need to Know Before Selling Your Home in 2022

The real estate market is busy right now. The pandemic has allowed people to rethink their lifestyles and look for more space....

Read more

6 Things to Add to Your Holiday Wish List For Your Home

The holiday conjures a lot of tradition, and one of these is making a wish list. Children are busy writing their lists of...

Read more
The Cassity Team | COMPASS, Inc.

We are Curaytor

Curaytor Demo

Preview-Curaytor.com

  • 619-800-6178
  • [email protected]
Join Our Email List:

*We respect your inbox. We only send interesting and relevant emails.

Curaytor Demo © 2022

Privacy Policy
Powered by