What is a buyer broker agreement in Maryland, and do you have to sign one?
A buyer broker agreement is a written contract between a homebuyer and a real estate agent that establishes the terms of representation — including how the agent will be compensated, what properties and timeframe the agreement covers, and the duties each party owes the other. Since August 17, 2024, the NAR settlement requires buyers to sign a written agreement before touring any home with an agent. Maryland already had a framework requiring written agency disclosure, and GCAAR’s Buyer Agency Agreement (Form 803) is the standard form used in Montgomery County and the DC metro. Compensation is negotiable and must be disclosed in writing; fees are not set by law or any association.
By Pey Behin | May 7, 2026
Since August 17, 2024, something changed in how buyers and agents formalize their relationship. Before you tour a single home — not before making an offer, not before going under contract, but before the first showing — your agent is required to have a signed buyer broker agreement in place.
If you’re buying in Bethesda or Montgomery County and this is your first time encountering this requirement, here’s exactly what that agreement is, what it commits you to, and what questions to ask before you sign.
What Changed — and Why
The National Association of Realtors settlement, which took effect August 17, 2024, included two major rule changes:
- MLSs can no longer advertise or communicate buyer broker compensation in property listings
- Buyer agents are required to have a signed written agreement with their clients before touring any property
Maryland wasn’t starting from zero. State law already required real estate agents to provide written disclosure of their agency relationship early in the process — but the NAR settlement tightened the timing and specificity of what must be in writing before the first showing.
The net effect: if you contact an agent in Bethesda today and ask to see a home, you’ll receive an agreement to sign before that showing happens. That’s not the agent being difficult — it’s now a firm requirement.
What the Agreement Actually Covers
The standard form used in Montgomery County and the DC metro is GCAAR’s Buyer Agency Agreement (Form 803). Most buyers are surprised by how readable it is.
At its core, the agreement covers four things.
The scope of representation. The agreement defines what type of property you’re looking for, the geographic area, and the timeframe — typically 90 days to six months, though this is negotiable. You’re agreeing to work with this agent for purchases within that defined scope.
Compensation. This is the most-discussed change. Your agent’s compensation — including any amount they hope to receive from the seller — must be listed explicitly. It can be a flat fee, a percentage of the purchase price, or a defined dollar amount. The agreement must state that fees are negotiable and are not fixed by law or any association.
What happens if the seller pays. In most transactions in the Bethesda market, sellers still offer buyer-side compensation — even though that amount is no longer published in the MLS. Your agent will inquire about or negotiate seller-offered compensation when writing your offer. If the seller’s offered compensation covers what you and your agent agreed to, you pay nothing out of pocket. If it doesn’t cover the full agreed amount, you may owe the difference.
Your obligations. The agreement generally requires you to work exclusively with this agent for the defined scope. If you buy a property that falls within that scope during the agreement period, your agent is owed their agreed compensation — even if the seller ultimately pays it.
Is It Negotiable?
Yes — and a good agent will tell you that clearly before you sign.
The compensation amount is negotiable. The timeframe is negotiable. The geographic scope is negotiable. The termination provisions are negotiable.
What isn’t negotiable is having the agreement in writing before touring. That part is firm.
In the Bethesda and Montgomery County market, a few things are worth clarifying before you sign.
Termination clause. Most GCAAR agreements include a provision allowing either party to terminate with notice. If the relationship isn’t working, you’re not permanently locked in. Ask specifically how termination works and what the notice period is.
The compensation figure. Ask your agent what their typical fee is, how they’ve approached compensation discussions with sellers in recent transactions, and what happens if a seller offers less than the agreed amount. A straightforward agent will walk you through this without hesitation.
Exclusivity scope. If you’re focused on a specific area, exclusivity within that geography makes sense. If you’re still deciding between Bethesda and Arlington — or Bethesda and Potomac — clarify how the scope is defined and whether it creates any conflicts if you’re working with agents across different areas.
How Compensation Works in Practice
For most buyers in the Bethesda market — where homes routinely transact between $700,000 and $2 million — seller-paid buyer compensation remains common. Sellers who want the broadest possible buyer pool have strong incentive to offer compensation, even though it’s no longer listed in the MLS.
Here’s the typical sequence: your agent inquires about or negotiates seller-offered compensation as part of writing your offer. If the seller’s offer meets or exceeds your agreed fee, your out-of-pocket is zero. If the seller offers less — or nothing — your agent may ask you to cover the shortfall, or may negotiate with the seller as part of the offer terms. Some buyers in competitive situations choose to offer seller compensation as part of their offer package to make their bid more attractive.
Understanding your full closing cost picture before you make offers matters. If you haven’t looked at what buyers typically pay at settlement in this market, this breakdown of buyer closing costs in Bethesda for 2026 walks through all the numbers.
What About Going Unrepresented?
You can choose to tour homes and negotiate without a buyer’s agent. Nothing prevents that.
What changes: if you tour a home with the listing agent (the seller’s agent), that agent represents the seller — not you. They can answer factual questions about the property, but their fiduciary duty runs to their client. Some buyers navigate straightforward transactions this way; most don’t fully appreciate the difference until they’re mid-negotiation on a complicated offer.
In Bethesda — where inspection contingencies, escalation clauses, and pricing strategy involve real nuance — having your own representation typically matters. Understanding what contingencies protect you is part of knowing what you’d be giving up.
How to Approach the Conversation
The buyer broker agreement conversation, handled well, takes about 10 minutes. A few things make it productive.
Ask the agent to walk you through the compensation section specifically. If they’re uncomfortable discussing fees directly, that tells you something.
Ask what their experience has been since August 2024 — how sellers in this market have responded to compensation requests, what typical transactions have looked like, and whether they’ve had situations where buyers needed to contribute to the agent fee.
Ask what happens if you decide the relationship isn’t working. A confident agent will give you a clear, direct answer.
Then read what you’re signing. GCAAR’s form is written in plain English — take 10 minutes with it before the first showing.
If you’re still deciding whether the Bethesda market makes sense for your situation right now, this overview of current market conditions in 2026 is a useful starting point.
Frequently Asked Questions
Do I have to sign a buyer broker agreement before touring homes in Maryland?
Yes. Since August 17, 2024, all real estate agents who are members of the National Association of Realtors are required to have a signed written buyer agreement in place before showing any property. In Maryland and the DC metro area, the standard form is GCAAR’s Buyer Agency Agreement (Form 803). This requirement applies regardless of whether you’ve worked with the agent before or how informally the showing was arranged.
Is the buyer broker fee negotiable in Maryland?
Yes — the agreement itself must state that compensation is negotiable and not fixed by law or any association. The amount, structure (percentage vs. flat fee vs. dollar amount), timeframe, and geographic scope can all be negotiated before signing. How an agent responds to direct questions about fees is a reasonable thing to evaluate when choosing who to work with.
What happens if the seller doesn’t offer buyer agent compensation?
If the seller offers no buyer-side compensation, the fee must be covered another way — either you pay it directly, it gets negotiated as a seller concession within the offer, or your agent agrees to a reduced fee. Your agent should explain how they’ve handled this in recent transactions, since it has come up with increasing frequency since August 2024.
Can I work with multiple buyer agents at the same time?
It depends on the scope of each agreement. If you’ve signed an agreement with one agent covering Montgomery County for 90 days, you generally cannot use a different agent for properties in that area during that window. Most agreements define a specific geographic area and property type — which is why it’s important to discuss scope carefully before signing, especially if you’re comparing multiple markets.
How long does a buyer broker agreement last?
There’s no required minimum or maximum — it’s whatever you and your agent agree to. In Montgomery County, 90-day to 180-day terms are typical. Shorter terms are reasonable if you’re early in your search; longer terms make sense if you have a clear timeline and strong confidence in your agent. Most agreements also include a termination provision that allows either party to end the relationship with advance notice.
The buyer broker agreement is a relatively new formal requirement, but the relationship it formalizes — your agent representing your interests — is not new. The main change is transparency: you see and agree to compensation terms before you’ve seen any homes or gotten emotionally invested in a particular property.
If you’re preparing to start touring in Bethesda or Montgomery County and want to walk through what the agreement covers before you commit to working with anyone, I’m happy to do that. Reach out anytime.
About Pey Behin
Pey Behin is a residential real estate agent serving the Washington, DC metro area, with a focus on Bethesda, Montgomery County, and Northern Virginia. He works with buyers and sellers who want clear strategy, data-driven pricing, and direct guidance throughout the transaction process. His approach combines market analytics, negotiation expertise, and modern marketing to position clients effectively in competitive conditions.
