FAQs

Exclusive Buyer Representation Agreement


What is an EBA?

An Exclusive Buyer Representation Agreement (EBA for short) is a standard 3-page agreement that clearly outlines the commission rate and terms for your licensed Agent representation. Our real estate brokerage company, Berkshire Hathaway HomeServices Chicago processes this agreement. (Note: Additional industry-standard disclosures & guidelines are incorporated into the EBA for your reference.)

How long is an EBA active?

The standard term is (1) year. Buyer acknowledges working with only the selected Agent. The average homebuying process can take 6 months or longer, depending on the current market. If you chose to pause your search, the EBA term can be modified.

What is spelled out within the EBA?

Short answer: Our commitments to you and vice-versa. There are 4 key sections covered within the EBA: Exclusivity, Term Length, Compensation, and Termination.

Who signs the EBA?

The Buyer or Co-Buyers who will be purchasing the property will sign the Exclusive Buyer Representation Agreement.

What if I don’t end up buying a home?

The EBA functions similarly to a Listing Agreement when selling a home: If you decide not to purchase a home, there is no cost to you.

When should I sign the EBA?

If you’re pre-approved for a mortgage (or in the process of obtaining your pre-approval) – and you are ready to begin touring homes; you’re ready to sign!

How do I sign my EBA?

We will send you the Exclusive Buyer Representation Agreement through DocuSign—the application that allows you to sign and submit a form electronically.

The ATM Team Compensation

How does this work?

Contract changes are rolling out in the wake of the recent legal settlement with the National Association of Realtors (NAR) that modify how compensation is offered to the Buyer’s Brokerage. With these changes, there is a wider array of options for Buyer’s Agents to be compensated for their time and professional representation:

  • Historically, the Seller offers to cover the Buyer’s Brokerage Commission. This is typically included within the purchase price (reducing the net price to the Seller.)

  • While Sellers and their Listing Agents may not directly offer or communicate a cooperative commission, some listings may indicate a “concession amount” within the MLS. If applicable, this amount would be applied to the total commission due to Buyer’s Brokerage.

  • In more rare instances, a Buyer may need to compensate their Agent’s Brokerage directly at the closing:

    “Cash to Close” = Down Payment + Closing Costs + Buyer’s Brokerage Commission

    What is The ATM Team commission rate?

    Our commission fee is a flat 2.5% of the final purchase price.

    What is a Commission Addendum?

    Your ATM Team Agent will include a Commission Addendum to accompany any offer you decide to make. An Addendum is additional material added at the end of a document functioning as a supplement to the standard agreement.

  • We do everything possible to incorporate the commission amount into the final purchase price to avoid increasing your “cash to close.”

    Need More Help?

    We’re here to answer any questions you may have! Please don’t hesitate to reach out to your Team Agent. You may also email the Buyer’s Assistant directly at buyers@theATMteam.com.