Buying a home involves a mountain of forms, and it is easy to feel like you are just signing your life away. In Washington, laws that went into effect in early 2024 were designed to make the process more transparent for you. Here is a breakdown of what you are signing and why it matters, in everyday terms.
The Buyer Brokerage Services Agreement
This is the core contract between you and my firm, Real Broker, LLC. It officially appoints me, Cal Erwin-Svoboda, as your representative.
- The Timeline: This agreement lasts for 90 days (unless specified otherwise). If we are in the middle of a deal when it expires, the clock automatically pauses until we close or the deal ends.
- The Relationship: We generally opt for an Exclusive relationship. This means we are a team and you agree to work only with my firm to find your home during this period.
- The Compensation: My firm’s fee is set at between 2.5%-3.0% of the purchase price.
- Who Pays?: We will often ask the seller to cover this fee as part of your offer. If the seller pays less than the agreed amount, you are responsible for the difference. If they offer more than 2.5%, we can request that the extra be credited back to you to help with closing costs.
2. Understanding “Limited Dual Agency”
Sometimes, you might fall in love with a home that I (or another agent in my office) have listed for sale.
- The Middle Man: If I represent both you and the seller, I become a “Limited Dual Agent”.
- The Rules: In this case, I cannot take sides or advocate for terms that hurt one person to help the other.
- The Cost: For these specific types of deals, the total compensation is 5%.
3. Your Safety & Health Disclosures
Part of my job is making sure you are protected from more than just bad curb appeal.
- Wire Fraud Alert: Scammers love to intercept real estate emails to steal down payments. The golden rule: Never wire money until you call me or the escrow officer at a trusted number to double-check the instructions.
- Lead-Based Paint: If your dream home was built before 1978, it likely has lead-based paint. This is a serious health hazard, especially for children. You get a 10-day window to have a pro test for it before you are fully committed to the purchase.
- Mold & Moisture: In the Pacific Northwest, moisture is a constant battle. The key to mold control is keeping humidity low (ideally between 30% and 50%). If you find a moldy patch larger than 10 square feet, it is time to call a professional.
4. Inspections: The Best Insurance Policy
I will always recommend a professional home inspection.
- Appraisal vs. Inspection: An appraisal is for the bank to check the home’s value; an inspection is for you to check the physical condition of the house.
- Referrals: I have provided a list of trusted local inspectors. Washington law requires me to tell you that I do not have any hidden business or family ties to these folks—I recommend them because of their professional standing.
5. Signing the Agreement: How the Process Works
Here is what you can expect when it comes time to electronically sign the agreement:
• Easy Electronic Signing: The agreement will arrive in your inbox via “Authentisign” (similar to Docusign). As long as you have an internet connection, you can sign right from your phone, tablet, or laptop.
• Guided Steps: The program will automatically prompt you in every area where you need to initial or sign. Once you are finished, it will ask you to confirm a couple of times before giving you a “success” notification.
• Total Flexibility: Your agreement can be extended or even terminated at any time without a financial penalty, provided we aren’t already under contract for a property.
The Bottom Line: These forms are here to ensure you know exactly who is representing you, how they are being paid, and what your rights are as a buyer.
Got questions about a specific paragraph? Give me a shout! I am here to help you get the keys, not just the paperwork.
Leave a Reply