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What Is a Buyer Broker Agreement in Utah ?

What Is a Buyer Broker Agreement in Utah and Do You Have to Sign One?

Why This Exists: The NAR Lawsuit

For decades, how buyer agents got paid was mostly invisible to buyers. When a home was listed on the MLS, the seller's agent would offer a portion of their commission to whoever brought the buyer. The buyer often had no idea their agent was being paid, how much, or by whom.

A series of class action lawsuits argued this system was anticompetitive. Per HomeLight's January 2025 guide, the National Association of Realtors settled these lawsuits for $418 million in 2024, with the settlement taking effect August 17, 2024.

Three things changed:

Buyer agent compensation can no longer be advertised in the MLS
Agents must have a signed written agreement with buyers before showing any property, with compensation spelled out clearly
Sellers can still offer to pay buyer agent compensation, but it's now negotiated property by property

Do You Have to Sign Before an Open House?

No.

Per NAR's official consumer guidance on open houses and written agreements, if you are simply visiting an open house on your own or asking a real estate professional about their services, you do not need to sign a written buyer agreement. The agent at an open house is there at the direction of the listing broker or seller and is not required to have a written agreement with buyers touring the home because they represent the seller.

The written agreement requirement applies when an agent is actively working with you scheduling showings, advising on offers, representing your best interests.

Showing Agreements vs. Buyer Broker Agreements

For scheduled showings, some brokerages offer a Showing Agreement a limited document that allows an agent to show you a specific property without establishing full agency representation.

Per the Institute of Real Estate Education's August 2024 UAR forms summary, the Utah Association of Realtors did not create a separate showing agreement form but some local MLSs have. The UAR's buyer-broker agreement can also be scoped to a single property address, giving buyers a similar middle ground within the full agreement framework.

What a Showing Agreement does:

Allows you to tour a specific home
Satisfies the NAR settlement requirement that something be signed before a showing
Does not establish a fiduciary relationship

What a Showing Agreement does NOT do:

Does not obligate the agent to advocate for your interests
Does not create the legal duties of full representation loyalty, confidentiality, disclosure, obedience

A showing agreement lets you see a home. It doesn't protect you while you're in it. If you're serious about a property and want an agent working for your interests during negotiation, you want full representation.

The Commitment Goes Both Ways

When you sign a buyer broker agreement, your agent is legally obligated to advocate for your best interests, keep your information confidential, not disclose anything that affects your interests, and follow your lawful instructions.

Before this requirement existed, buyers could work with an agent for weeks with no clear understanding of whose side the agent was actually on and Buyer Broker agreements typically were not signed until writting an offer on a property.

The agreement formalizes that your agent is working for you. That matters in negotiations.

What the Buyer Broker Agreement Actually Covers

Services. What your agent will do identifying properties, scheduling showings, writing and negotiating offers, coordinating inspection and appraisal, managing the transaction through closing.

Compensation. How your agent gets paid and in what amount. Per the NAR settlement, your agent cannot accept more than what's agreed to in this document from any source.

End date. The agreement has a specific end date. Know it before you sign.

Protection period. After the agreement ends, a protection period applies. If you purchase a home your agent showed you during the agreement period even after the agreement expires your agent may still be owed compensation. Know the length of this window.

Scope. Which geographic area and properties the agreement covers. It can be limited to a specific county, city, or even a single property address.

You can view a sample Utah buyer agency agreement here: Buyer Broker Agreement

Note: The official UAR Exclusive Buyer-Broker Agreement is a proprietary form available through Utah Association of Realtors member MLS. Your agent will provide the current version when you're ready to sign.

The Agreement Is With the Brokerage, Not the Agent

The Exclusive Buyer-Broker Agreement is a contract between you and the brokerage not the individual agent you're working with. The agent is assigned to represent you on behalf of the broker.

If the relationship isn't working, the broker can reassign you to a different agent or release you from the agreement entirely. Most brokers handle this reasonably when a buyer raises the concern directly. Ask how this works before you sign.

Can You Have More Than One Agreement?

Yes as long as they cover different areas.

You can have an agreement with one agent covering Summit County and a separate agreement with a different agent covering Salt Lake County. Both are valid at the same time because the geographic scopes don't overlap.

Signing with two agents covering the same area at the same time creates real risk. If both show you the same home and you buy it, you may owe compensation to both. Work with one agent per geographic area.

How Buyer Agent Commission Works and Why Agents Put 3%

The compensation amount in your buyer broker agreement sets a ceiling. Your agent cannot accept more than this from any source. They can accept less.

If your agent puts 3% in the agreement and the seller only offers 2.5%, your agent may choose to accept 2.5% or you may be responsible for making up the difference you should ask how this senario is handled should it happen. If your agent put 2.5% and the seller offered 3%, your agent cannot take the full 3% the agreement caps it.

Agents put a higher number in the agreement to preserve flexibility. They can always come down. They can't easily go up after the fact.

Roughly 90% of Utah sellers still cover buyer agent compensation as part of the deal. When a seller offers compensation, it offsets your obligation under the buyer broker agreement.

All commissions are negotiable.

My professional fee is 3%. There may be agents and brokerages willing to work for less, and you are absolutely free to choose the representation that feels right for you.

I do not discount my fee. I run a full-service business, and my pricing reflects the level of strategy, negotiation, market expertise, and transaction management I provide.

My goal is not to be the cheapest option. My goal is to make sure the value of my representation far exceeds the cost.

It may feel like 3% is higher than what another agent is willing to charge, and I completely understand that. You should work with the person and fee structure that make the most sense for you.

Risks of Signing a Buyer Broker Agreement

Compensation obligation. If you buy a home your agent showed you during the agreement period, you owe compensation per the terms even if the seller doesn't offer it.

Protection period exposure. After the agreement ends, the protection period means you may still owe compensation on homes your agent showed you. Know how long this window is.

Overlapping agreements. Signing with two agents covering the same area creates real risk of owing both.

Locked into a term. If the relationship isn't working, address it with the broker directly don't just start working with someone else without resolving the original agreement.