Virginia Buyer Representation Agreements and Agent Compensation: A First-Time Buyer Guide
Before you sign, focus on the exact services, term, scope, compensation, payment timing, and exit provisions in the agreement. The amount in the agreement matters because it defines what you and the broker have agreed to—not what a seller happens to offer.
At a Glance
| Situation | Current practical answer |
|---|---|
| Private tour with the agent representing you | Yes. The buyer-engaged Virginia licensee needs the brokerage agreement before showing the property. |
| Live virtual tour conducted by your buyer’s agent | Yes. Virginia’s definition of “showing property” includes a live virtual tour when the buyer is not physically present. |
| Open house you attend on your own | Not solely because you walked in. NAR guidance says independent open-house attendance does not by itself require a written buyer agreement. |
| Seller/listing agent shows you the seller’s property | A buyer agreement is not required merely for that seller-engaged licensee to conduct the showing under the seller’s brokerage agreement. That agent is not thereby your representative. |
| Agreement length | Virginia calls for a definite termination date. The 90-day rule is only a statutory fallback when no definite date is stated. |
| Seller-paid buyer-agent compensation | Still possible, but negotiable and never guaranteed. NAR policy prohibits communicating offers of compensation through the MLS; off-MLS arrangements can still be made under applicable rules. |
What Changed in Virginia—and When?
Two separate changes are often treated as one. They should stay separate because one is NAR/MLS policy and the other is Virginia law.
- Date
- August 17, 2024
- What changed
- NAR / MLS practice change
- Why it matters to a buyer
- Covered MLS Participants working with buyers had to use written buyer agreements before touring, and offers of buyer-broker compensation could no longer be communicated through the MLS.
- Date
- July 1, 2025
- What changed
- Virginia statutory change
- Why it matters to a buyer
- Virginia removed the former showing exception for a licensee engaged by a buyer. A buyer-engaged licensee must now enter the brokerage agreement before showing property.
Virginia already had written brokerage agreements before 2025. The 2025 legislation changed the timing by removing the old exception that had allowed a buyer-engaged licensee to show property before the agreement was executed. (NVAR legislative explanation).
NAR’s separate written-agreement policy applies to MLS Participants and includes specific compensation terms: compensation must be disclosed in a specific, conspicuous, objectively ascertainable way; it cannot be open-ended; the Participant cannot receive more compensation for brokerage services than the buyer agreed to; and the agreement must state that broker fees and commissions are not set by law and are fully negotiable. (NAR Policy Statement 8.13).
When Do You Need a Buyer Agreement Before Seeing a Home?
A private tour with your buyer’s agent
Once a Virginia licensee is engaged to represent you as the buyer, the brokerage agreement must be in place before that licensee shows you property. Virginia defines “showing property” broadly enough to include taking you through a property, conducting a live virtual tour for you, answering non-public-record questions while at the property, or otherwise providing brokerage services there. (Virginia Code § 54.1-2130).
An open house or a showing by the listing agent
The rule is different when the person showing the home is working for the seller. Virginia law says a licensee engaged by a seller does not need to enter a buyer brokerage agreement with a prospective buyer merely to show that seller client’s property under the seller’s existing brokerage agreement. NAR guidance also says that simply visiting an open house independently does not, by itself, require a written buyer agreement. (Virginia Code § 54.1-2131).
The distinction is representation. A listing agent can let you into the seller’s home without becoming your buyer’s agent. If you are unrepresented, pay attention to whom the agent says they represent before you rely on advice about price, terms, or negotiation strategy.
| Situation | Buyer agreement before entry? | Who the agent is representing | What to clarify |
|---|---|---|---|
| Your buyer’s agent schedules and conducts a private showing | Yes | You / buyer, under the brokerage agreement | Ask what the agreement covers before the first tour. |
| Your buyer’s agent conducts a live virtual tour for you | Yes | You / buyer | Treat it like a showing for agreement timing. |
| You walk into an open house independently | Not solely because of the visit | Usually the seller/listing side if the host is the listing side | Ask whom the host represents before discussing strategy. |
| The seller’s/listing agent shows you that seller’s property | No buyer agreement merely for that showing | Seller | Do not assume the listing agent is also your representative. |
If you are just starting your search, see the first-time homebuyer guidance in Northern Virginia for the broader buying process beyond the agreement itself.
What Must a Virginia Buyer Brokerage Agreement Contain?
Virginia calls the document a “brokerage agreement”: the written agreement that creates the brokerage relationship between the client and the licensee. For a buyer, that is the contract that sets the terms of the buyer-broker relationship.
Under Virginia Code § 54.1-2137, the written agreement must address these core items:
- A definite termination date. If the agreement does not state one, Virginia law provides a 90-day termination point after the agreement date.
- The amount of brokerage fees and how and when those fees are to be paid.
- The services the licensee will render.
- Other terms of the brokerage relationship agreed to by the client and licensee.
- Applicable dual-representation disclosures when the agreement is entered in conjunction with the client’s consent to dual representation.
Virginia also requires a licensee, before entering the brokerage relationship, to advise the prospective client about the proposed type of brokerage relationship and the broker’s compensation. (Virginia Code § 54.1-2136).
Virginia Law, NAR/MLS Policy, and Your Contract Are Not the Same Thing
Layer
Virginia law
What it governs
When a buyer-engaged licensee must have the agreement; written-agreement contents; duties and disclosures; seller-agent showing exception.
Why the distinction matters
Applies according to Virginia statute and the facts of the relationship.
Layer
NAR / MLS policy
What it governs
For covered MLS Participants: written agreement before touring; specific and objectively ascertainable compensation; no receiving more than the buyer-agreed amount/rate; statement that fees are not set by law and are fully negotiable.
Why the distinction matters
Policy is not the same thing as Virginia statute.
Layer
Your signed agreement
What it governs
The actual term, services, scope, compensation, payment timing, exclusivity language, termination provisions, and any other agreed clauses.
Why the distinction matters
This is the document that controls the buyer-broker contractual obligations, within applicable law.
Which Parts of a Buyer Agreement Can You Negotiate?
NAR’s consumer guidance says agreements are negotiable, including the services the agent will provide, compensation, and how long the agreement will last. Virginia’s 2025 law did not create one mandatory exclusive agreement type or require a specific negotiated term length. That does not mean a broker has to accept every term you propose; the point is to understand the offer and reach terms both sides accept before you sign. (NAR consumer guide to negotiating written buyer agreements).
| Topic | What to clarify | Why it matters |
|---|---|---|
| Compensation | What exact amount, rate, or calculation is stated? When is it due? | This defines the compensation you and the broker agreed to. |
| Length | When does the agreement start and end? | You should know the commitment period before the first private tour. |
| Scope | Does it cover all homes, a geography, a property type, or a more limited search? | Scope can affect when the agreement applies. |
| Services | What will the broker and agent actually do for you? | The agreement should match the help you expect to receive. |
| Exclusivity | Is the relationship exclusive or non-exclusive, and what does that mean in this form? | Virginia law does not itself require every buyer agreement to be exclusive. |
| Ending the relationship | How can the agreement be terminated or changed, and are there obligations after termination? | Do not assume you can cancel at any time simply because the terms were negotiable before signing. |
How Buyer-Agent Compensation Works in Virginia
Start with the amount in your agreement
A simple way to understand compensation is to separate two questions: what compensation did you agree the broker may receive, and where might the money come from? The agreement answers the first. The transaction may provide different sources for the second.
Under NAR Policy Statement 8.13, compensation for an MLS Participant must be stated in a way that is specific and objectively ascertainable. In plain English, you should be able to determine the agreed amount or method from the document. “Whatever the seller offers” is not an acceptable open-ended compensation term under that policy.
A seller can still pay—but that payment is not guaranteed
The post-2024 rules did not make seller-paid buyer-broker compensation illegal. NAR policy prohibits communicating offers of compensation through the MLS, but a seller or listing broker may still agree to buyer-broker compensation off MLS under applicable rules. NAR’s broker-to-broker guidance says seller authorization is required before the listing side offers or pays another broker acting for the buyer. (NAR Broker-to-Broker Agreements 101).
| Possible payment source | How it can work | What to verify |
|---|---|---|
| Buyer | The buyer pays compensation as required by the signed agreement and transaction documents. | Ask how any outside payment reduces or satisfies what the agreement says you owe. |
| Seller | The seller may agree in the transaction to pay some or all buyer-broker compensation. | Seller payment is negotiable, not automatic or guaranteed. |
| Listing broker / other permitted off-MLS source | Compensation can be arranged outside the MLS under applicable rules and seller authorization. | The buyer broker still cannot receive more than the buyer-agreed amount/rate under NAR Policy 8.13. |
What if outside compensation is less than, equal to, or more than the agreement?
| Scenario | General rule | Buyer question to ask |
|---|---|---|
| Less than the amount in your agreement | The signed agreement and transaction terms control. A buyer could have contractual exposure for an unpaid amount if the agreement provides for it. | Do not assume the brokerage waives the difference. Ask for the exact treatment before you write an offer. |
| Equal to the amount in your agreement | The outside payment may satisfy the agreed compensation if the written transaction documents provide for that payment. | Confirm how it is credited and shown in the transaction documents. |
| More than the amount/rate in your agreement | For an NAR MLS Participant, the Participant may not receive compensation for brokerage services above the amount/rate agreed with the buyer. | Do not assume the excess automatically becomes a buyer credit or rebate. Any change to the agreement needs proper, compliant handling. |
Who supplies the money does not decide whom the agent represents. Virginia law expressly says that payment or a promise of compensation to a broker does not, by itself, create a brokerage relationship. (Virginia Code § 54.1-2140).
There is also a practical compliance reason to keep compensation within the brokerage’s approved process. Under the Virginia Real Estate Board regulation effective April 1, 2026, a salesperson or associate broker generally may not accept compensation for licensed activity from someone other than the principal or supervising broker without the principal broker’s prior written consent. (18VAC135-20-280).
Best Reston Agent’s current buyer process and cost FAQs explain that buyer-agent compensation is discussed for the buyer’s specific situation before the buyer representation agreement is signed.
Buyer Agreement Terms to Review Before You Sign
A first-time buyer does not need to become a contract lawyer. You do need to know what the document says about the relationship you are about to enter. Read the agreement closely enough to answer these questions:
For the broader purchase process, see the Northern Virginia buyer services page and the home buying guide.
Financing Checkpoint: Could Agent Compensation Affect Cash to Close?
Yes. If you may have to pay any compensation directly, that amount can affect the funds you need at closing. Do not assume a buyer-agent fee can simply be rolled into the mortgage. The treatment depends on the loan program, the payment source, and the current lender and agency rules.
Fannie Mae and Freddie Mac have separate guidance on when seller-paid buyer-agent fees fall outside their contribution limits, depending on whether the fees are customary under their respective rules. Those policies are not a universal rule for every mortgage or transaction. Ask your lender to confirm the current treatment for your loan before deciding how a compensation request affects cash to close.
10 Questions a First-Time Buyer Should Ask Before Signing
If an answer is vague, ask for the exact clause in the agreement and have it explained in ordinary language. You should know the money and relationship terms before the first private tour, not discover them while an offer is being written.
First-Time Buyer FAQ
Is a buyer representation agreement the same as a purchase contract?
No. The buyer representation or brokerage agreement creates and defines the relationship between you and the broker. A purchase contract is the agreement to buy a particular property from a seller. They are separate contracts with different jobs.
Does Virginia require an exclusive buyer agreement?
Virginia’s 2025 change requires the brokerage agreement before a buyer-engaged licensee shows property, but it did not create one mandatory exclusive agreement type. A brokerage may have its own forms and relationship options, so ask what is being offered and what exclusivity language means before signing.
Do these rules apply to live virtual tours?
Yes, when your buyer-engaged Virginia licensee enters the property to provide you a live virtual tour. Virginia’s statutory definition of “showing property” expressly includes that situation.
Can I ask for a one-property or short-term agreement?
You can ask about the scope and length you want, because those are contract terms to discuss. Whether the brokerage offers or accepts a one-property, one-day, short-term, non-exclusive, or other limited arrangement depends on the brokerage and the agreement it is willing to enter. Do not assume a particular option is available until it is confirmed in writing.
What should I do if I do not understand a clause?
Do not rely on a blog post—including this one—to interpret your contract for you. Ask the broker to explain the clause and how it affects your obligations. If the legal effect is still unclear or important to your decision, speak with a Virginia real-estate attorney before signing.
Getting Clear Before Your First Northern Virginia Tour
The best time to understand representation, compensation, term, and exit provisions is before you are standing in a driveway waiting for a showing to start. A careful buyer should be able to explain what the agreement covers, what the broker will do, what the compensation is, and what happens if another party pays less—or more—than the amount in the agreement.
If you are buying in Northern Virginia, Nikki Lagouros can walk you through the buyer process and explain the representation agreement and compensation structure for your specific situation before you decide whether to move forward. Contact Nikki to talk through your buyer questions before your first private tour.
Sources
Primary legal and policy sources checked for this guide:
- Virginia Code § 54.1-2130 — Definitions (“showing property”)
- Virginia Code § 54.1-2131 — Licensees engaged by sellers
- Virginia Code § 54.1-2132 — Licensees engaged by buyers
- Virginia Code § 54.1-2136 — Preconditions to brokerage relationship
- Virginia Code § 54.1-2137 — Brokerage agreements required
- Virginia Code § 54.1-2140 — Compensation shall not imply brokerage relationship
- Northern Virginia Association of REALTORS® — 2025 buyer brokerage agreement legislation
- NAR Policy Statement 8.13 — Written Buyer Agreements Required
- NAR — Consumer Guide to Negotiating Written Buyer Agreements
- NAR — Broker-to-Broker Agreements 101
- Virginia Administrative Code 18VAC135-20-280 — Improper financial transactions and dealings
- U.S. Department of Veterans Affairs — Circular 26-24-14
- VA Home Loans — Current circular index
- Fannie Mae — Real Estate Commissions and Interested Party Contributions
- Freddie Mac — Buyer Agent Commissions Paid by Property Sellers or Their Agents
Educational information only. . Laws, policies, brokerage forms, and loan guidance may change.