There is nothing quite like a coaster ride to feed my adrenaline addiction. I’m not talking about the coaster ride that is analogous to the one we are all on, known as life, but the old-fashioned amusement park coaster rides. If we are talking about our own Lagoon amusement park, I prefer the old rickety white coaster to any of the others. There’s always an element of risk (is it actually going to hold up for one more ride?), as well as an historic element (it was built back in 1921). I’ve been riding this coaster every year since I was tall enough to do so (which with heels, wasn’t until I was 9). I love the excitement of anticipating my turn for the front row (you catch a little air in the front), hearing the clicks of the safety bar as I pull it forward toward my lap and the awaited announcement, “hold on tight and have fun!”

This is exactly the same thing I expected when I saw the new forms drop for our Exclusive Buyer-Broker Agreement and Agency Disclosure. The recent NAR (National Association of Realtors) lawsuit settlement facilitated some provisional changes for our industry. The most relevant and evident to the consumer is the use of this new form. As licensed Realtors, we must have this form signed by the potential buyer before touring any property. Here is the irony: In Utah, we have already had this form in place for some time. This is the same form that all buyers eventually sign with their Realtor. It is a form that is required as part of the necessary paperwork to submit an offer. The language is now more specific and transparent, but it is, essentially, a similar form. So why are we buckling up?

While it has always been a strong suggestion to have this form signed before a showing, it is now a requirement. Lest you are fretting, rest assured that signing this form does not have to lock a buyer in for life to the first Realtor who shows you a home. Much to the credit of the forms committee as well as the legal council for the Utah Association of Realtors, they have created a form that is incredibly flexible and, if used correctly, can really protect the consumer.

The first section addresses the duration of the agreement. This duration can be anything from hours to years. Both parties, the buyer and the broker (represented by the Realtor), get to decide. This section also addresses location. This can be one specific property address, or it can be an entire county, depending on what works best. There is also a secondary part to this section that essentially asks if the buyer is under any other agreement with another Realtor. This is for the protection of both the buyer and the agent so as not to conflict with another contract that may have been signed with a different party. We don’t want anyone stepping on toes.

The next section of the agreement, again, is something that Utah has already had in place. This has to do with the brokerage fee. This is how we feed our families, so we don’t do this for free. However, this fee can be satisfied by a third party. Often, a seller has offered compensation to a buyer’s broker because it is an incentive for a buyer’s agent to bring a ready, willing and able buyer to the table. It has been in the past and will continue to be in the future. What has changed about this is the simple language. Here is the add on verbatim: “BROKERAGE FEES ARE FULLY NEGOTIABLE AND ARE NOT SET BY LAW, ANY BOARD OR ASSOCIATION OF REALTORS®, MULTIPLE LISTING SERVICE (the ‘MLS’), OR IN ANY MANNER OTHER THAN BETWEEN THE COMPANY AND BUYER.” This has always been the case, but now it is in all caps. This means that if there was ever any question, this should no longer be the case.

All in all, not much reason to hold on tight. Certainly reason, however, to insure you hire a reputable Realtor.

Jen Fischer is an associate broker and Realtor. She can be reached at 801-645-2134 or jen@jen-fischer.com.