Many agents will offer to work as a buyer's agent, someone who agrees to represent your interests. If you're in the market to buy property and prefer to work with a buyer's agent, the buyer agency contract you sign may require that you work exclusively with that person. Nonexclusive agreements are available, but most agents will not work in that capacity. Being a buyer's agent takes a great deal of effort, so agents aren't inclined to devote time and energy to your search if you are not committed to stick with the relationship.

Some states allow buyer's agents to work temporarily with a verbal agreement, giving the agent and the client the opportunity to get to know each other before signing a formal contract. Usually, the verbal agreement must be put in writing before an offer is made on a property. Never sign a contract with an agent until you are sure the agent is the best choice for your needs.

The Agent's Duties and Responsibilities

Buyer's agents have additional duties and responsibilities to the buyer that seller's agents either aren't obligated to perform or cannot perform. First and foremost, a buyer's agent must be loyal, keeping the buyer's personal information confidential. The buyer's agent must also disclose all known facts about the properties that are up for sale and the sellers — anything that could influence the buyer's decision to make an offer.

Buyer's agents also provide help by researching past sales to help formulate an appropriate offer for the property; suggest contract contingencies to protect the buyer's interests; and are closely involved in the closing process. This includes helping the buyer to find a lender, tracking the progress of the loan, ordering inspections, working with the closing officer — every detail that will get the buyer's contract to the closing table.

Negotiating the Buyer Agency Agreement

The details of a buyer agency contract can be negotiated with the agent. Here are specific points you might consider including in the contract:

• Search area: You can limit the geographical area an agent works in, preventing agent overlap if you are searching for properties in multiple areas.

• Time period: Agreements can remain in force for any length of time you both agree to, even as little as one day or for the showing of one property.

• Exceptions: You can ask the agent to insert an exclusion that allows you to work with and purchase FSBO listings on your own, without paying the agent a fee.

Buyer's agents are usually paid a portion of the seller's commission at closing. Ask your agent if any scenario exists under which you would owe him a commission. Don't sign an agreement until you understand every term within it.