Agency and Fiduciary Duties, 17% of the examination
Buyer representation agreement
A written agreement defining a buyer broker's services, compensation, agency relationship, and duration.
Also called: Buyer-broker agreement
California requires a buyer's agent to execute the agreement with the buyer as soon as practicable and no later than the buyer's execution of an offer to purchase real property. A 2026 regulation creates a rebuttable presumption that obtaining it before the agent conducts an in-person or qualifying virtual showing is practicable. It must address compensation, services, when compensation is due, and termination. For an individual buyer, the regulation defines the three-month maximum as 90 calendar days, subject to its starting-date rules. The cap does not apply to agreements with a corporation, limited liability company, or partnership. The agreement cannot renew automatically, and any renewal must be written, dated, and signed. For a transaction covered by the statutory agency-disclosure law, the buyer's agent must provide that disclosure before the agreement is signed.
See also
Test the distinction
A relevant question from Agency and Fiduciary Duties, selected because its facts or explanation use this concept.
A California buyer's agent is preparing a buyer representation agreement for a covered transaction. What must happen before the buyer signs that agreement?
Written to DRE's published topic list. Not a real examination question, since reproducing those is a misdemeanor under B&P Code section 123.
Primary sources
Use these authorities when a course summary, forum answer, or older flashcard conflicts with the current California rule.