By Khaing Zin Thet, REALTOR® · Published October 26, 2026 · Sources: NAR, California Civil Code §1670.50, California DRE
If you've been browsing listings for a while, the first real conversation with an agent now includes something that used to come later: a document to sign. Before you tour a home with an agent, in person or on a live video walkthrough, you'll be asked to sign a written buyer agreement.
Key takeaways
- Since August 17, 2024, NAR rules require a written agreement before an agent tours a home with you, in person or live virtual.
- In California, the agreement can last at most 3 months (90 days) for individual buyers, and it can't renew automatically.
- The agent's pay must be stated specifically, not open-ended, and commissions are not set by law; they're negotiable.
That can feel early. You haven't found a home, and you may not have chosen an agent. The better question isn't whether to sign, but what you're signing and what you should be able to answer before you do.
What changed, and what didn't
Since August 17, 2024, National Association of REALTORS® rules say an MLS participant working with a buyer must have a written agreement in place before touring a home with them. That covers in-person tours and live virtual ones.
California law sets the timing and contents. Civil Code §1670.50 says the agreement must be signed "as soon as practicable," and no later than when you sign an offer. California's Department of Real Estate goes a step further: its regulations presume it's practicable to sign before an agent shows you a property, in person or virtually. The statute also says the agreement must cover, at minimum, the broker's compensation, the services provided, when compensation is due, and how the agreement can be ended.
What didn't change: a buyer agreement doesn't obligate you to buy anything. It sets out how you and a brokerage will work together.
What it has to say about pay
NAR's guidance says the compensation terms must be specific and conspicuous. The amount or rate, or how it will be determined, has to be objectively ascertainable and can't be open-ended. The agreement must also state that broker commissions are not set by law and are fully negotiable.
In practice, you should be able to read one sentence and know how the agent is paid and when. If you can't, ask for it to be rewritten until you can.
How long it can last
For individual buyers, California caps these agreements at three months. DRE's regulations define that as 90 calendar days, starting the day after the last person signs. The agreement can't renew automatically. A renewal has to be in writing, dated and signed by everyone before the original expires, and it's capped at three months too. (The cap doesn't apply to buyers that are corporations, LLCs or partnerships.)
That creates a real trade-off. A short term is easy to leave if the fit is wrong. It also means a long search comes with a renewal conversation, which is a useful moment to ask whether the relationship is working.
Four questions to ask before you sign
- How are you paid, in plain words? Ask the agent to walk through the compensation line with a sample purchase price, so you can see the number.
- What exactly will you do for me? Search, tours, pricing analysis, offer strategy, disclosure review, coordination through closing. The agreement should say which.
- What happens if we part ways? Ask how the agreement ends and what, if anything, carries over after it does.
- Can I read it before we tour? You should be able to review the form ahead of time. If a term is unclear, a real estate attorney can explain it.
When it's reasonable to wait
If you're still deciding whether to buy at all, you don't need to sign anything to learn. You can ask questions, review a sample agreement and talk through your budget first. The agreement becomes necessary when you want to walk through homes with an agent. That's a reasonable line to hold.
The trade-off
Signing early gets you an agent's full attention on tours and offers; waiting lets you compare agents and agreements first. Either works. What matters is that you read the four lines above before you sign, not after.
If you're deciding between renting longer and preparing to buy, a 20-minute readiness conversation may be more useful than another listing alert. Contact me through my website and I'll set one up.
Not legal advice. This post is general education based on the sources below. Contract questions belong with your broker or a real estate attorney.
Sources: National Association of REALTORS®, "Written Buyer Agreements 101" (May 31, 2024; effective Aug 17, 2024). California Civil Code §1670.50. California Department of Real Estate, regulations 10 CCR §2906.1-2906.3 (AB 2992).
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Khaing Zin Thet | Vanguard Properties | DRE #02443950