FAQs: Right to Represent Form

Is this form new?

The form has been a “best practice” for several years and has always been a used by Haefer Homes. As of August 2024, the Department of Justice and the National Association of Realtors® have made a Right to Represent Buyer Agreement a federal requirement prior to showing any house, with the exception of Open Houses. More information can be read at www.nar.realtor/the-facts/nar-settlement-faqs#consumer

What does the form say in common English?

Here’s what is says without all the mumbo jumbo:

  1. Representation: This agreement allows your Haefer Homes REALTOR® to represent you exclusively in buying a property, acting in your best interest throughout the process. You’re giving your REALTOR® written permission to work for you. They kind of your employee and won’t get paid until you receive the keys to your new home.

  2. Timeframe: The agreement is valid for a specific period, clearly outlined at the start. Legally, this can only be 12 months, but can be renewed at anytime. We typically assign then to expire at midnight on January 1st to stay in federal compliance. If it expires, we simply sign a new one for the year.

  3. REALTORS® Duties: Your Haefer Homes REALTOR® will help you find suitable properties, negotiate on your behalf, and maintain confidentiality for your personal and financial information. If, in your opinion, he fails to due so then you can fire him without argument. We firmly hold that you should be served in a manner that you would never consider using another agent. If we fail at anytime before we find you a home or if we fail to successfully negotiate the home in your favor, you can let your Haefer Homes REALTOR® know they’re fired. You’re our client, the boss, and it’s your decision. No fees. No penalties. Guaranteed.

  4. Buyer’s Duties: You agree to work exclusively with your REALTOR® for the buying experience, provide necessary information, and inform sellers or other agents that you already have REALTOR® representing you. 

  5. Compensation: Your REALTORS® payment is outlined in the agreement. It’s paid only when you receive your keys, and (1) paid for entirely by the seller, (2) paid for partially by the seller and partially by you, or (3) lumped into your closing costs. All commissions are negotiable and must be agreeable by all parties. Your REALTOR® may provide a discount from the form’s amount,  but cannot be paid more without your permission.

  6. Dual vs. Designated Agency: Your Haefer Homes REALTOR® does not typically engage in Dual Agency, where the same REALTOR® represents both the seller and the buyer simultaneously.
    In most circumstances, another agent will be “designated” to help one of the
    parties so that confidential negotiations can commence. You will be notified in
    writing if a Dual Agency or a Designated Agency situation arises.

  7. Disclosures About Dual Agency: You will be notified in writing if a Dual Agency or a Designated Agency situation arises.

What is the Easy Exit Policy?

We firmly hold that you should be served in a manner that you would never consider using another agent. If we fail at anytime before we find you a home or if we fail to successfully negotiate the home in your favor, you can let your Haefer Homes REALTOR® know they’re fired. You’re our client, the boss, and it’s your decision. No fees. No penalties. Guaranteed.

Why do I need this form now?

Buying a home is one of the largest investments you’ll ever make, and the Exclusive Right to Represent form is designed to protect your interests. It outlines your agent’s fiduciary responsibility to you, ensuring professionalism, confidentiality, and a commitment to act in your best interest at every step of the home-buying process.

When do I need to sign this?

Before your REALTOR® can engage in any “substantial real-estate related activities,” including showings, professional searches, and legal representation.

What can my REALTOR® do before I sign this?

Your REALTOR® can assist you occasionally, but cannot engage with any “substantial real-estate related activities.” 

Where can I get more information?

More information is available through the National Association of REALTORS® website at www.nar.realtor/the-facts/nar-settlement-faqs#consumer

I lost the link to the Docusign?

Just call 434-944-6982 and your Haefer Homes REALTOR® will assist you.