How to Choose a Buyer's Agent: What to Look For and What to Ask

Choosing the right buyer’s agent may be the single most consequential decision you make in the home-buying process. A skilled agent will find properties before they hit the public market, structure competitive offers, navigate inspection negotiations, and guide you through closing without the deal unraveling. A poor one can cost you money, time, and missed opportunities. With the real estate industry undergoing significant changes following the 2024 National Association of Realtors settlement, understanding how buyer agents are compensated and how to evaluate them has become more important than ever.

What a Buyer’s Agent Actually Does

Many first-time buyers assume a buyer’s agent simply unlocks doors and writes up paperwork. In reality, a competent agent wears many hats throughout a transaction.

Property search and market analysis: A strong agent has access to the Multiple Listing Service (MLS) and maintains relationships with other agents that can surface off-market opportunities. They analyze comparable sales (comps) to help you understand whether a listing is fairly priced, overpriced, or a potential bargain.

Offer strategy and negotiation: When you’re ready to make an offer, your agent’s knowledge of local market conditions, seller motivation, and competing offers shapes a strategy that gives you the best chance of success without overpaying. This is where experience pays dividends — understanding how to structure contingencies, escalation clauses, and concession requests requires both market knowledge and negotiation skill. For a deeper look at offer strategy, see our guide on making a strong offer on a house.

Transaction management: After an offer is accepted, your agent coordinates inspections, communicates with the listing agent and lender, manages contingency deadlines, and troubleshoots the countless issues that arise between contract and closing.

Fiduciary responsibility: A buyer’s agent owes you fiduciary duties — loyalty, confidentiality, disclosure, obedience, reasonable care, and accounting. That means they are legally and ethically obligated to put your interests first, not the seller’s.

According to the National Association of Realtors, buyers who work with a buyer’s agent report higher satisfaction with the home-buying process and are more likely to feel they negotiated a good price.

How Buyer Agent Compensation Works After the NAR Settlement

The 2024 NAR settlement fundamentally changed how buyer agent compensation is handled in the United States. Understanding the new rules protects you from surprises and puts you in a stronger negotiating position.

The Old Model

Traditionally, sellers paid a total commission (typically 5-6% of the sale price) to their listing agent, who then offered a portion — usually half — to the buyer’s agent through the MLS. Buyers rarely paid their agent directly; the cost was baked into the transaction price.

What Changed in August 2024

Beginning August 17, 2024, MLS systems can no longer publish offers of buyer agent compensation. Sellers are still permitted to offer compensation to buyer agents, but those offers must now be negotiated separately rather than advertised on the MLS.

More significantly, buyers must now sign a written buyer representation agreement before touring homes with an agent. This agreement specifies the compensation the buyer’s agent will receive — either as a percentage of the purchase price, a flat fee, or an hourly rate — and is negotiated upfront between buyer and agent.

What This Means in Practice

You may pay your buyer’s agent directly, or you may negotiate with the seller to cover some or all of your agent’s fee as part of the transaction. Many sellers continue to offer buyer agent compensation because doing so attracts more buyers; others do not. Your agent and purchase contract will define how this is handled.

The key takeaway: buyer agent compensation is now explicitly negotiable. You should discuss fees openly with any agent you consider hiring, and compare compensation structures across candidates.

How to Find Candidates

Start with referrals from friends, family, or colleagues who recently bought in your target area. Personal recommendations from people whose judgment you trust are often the most reliable starting point.

Beyond referrals:

• Online reviews and ratings on platforms like Zillow or Realtor.com can surface well-reviewed local agents
• Local open houses give you a chance to observe agents in action — both the listing agent and buyer’s agents who attend with clients
• Professional designations such as ABR (Accredited Buyer’s Representative) signal additional training specifically in buyer representation
• Production volume is a useful indicator — agents who close dozens of transactions per year have seen more situations and built stronger industry relationships than part-timers

Look for agents who specialize in your target neighborhoods and price range. An agent who primarily works with luxury listings in another suburb may not have the local knowledge or vendor relationships you need.

Interview Questions to Ask Every Agent

Treat the agent interview seriously. Plan to meet with at least two or three candidates before committing. Here are the most important questions to ask:

“How many buyers did you represent in [target neighborhood] in the past 12 months?” Local transaction volume tells you whether the agent is genuinely active in your target market or simply licensed to work there.

“What is your average list-to-sale price ratio for buyers?” This measures whether the agent consistently negotiates below asking price — though market conditions affect this significantly, so ask them to contextualize the number.

“How do you communicate, and how quickly do you respond?” In a fast-moving market, a 24-hour response time can cost you a property. Clarify upfront whether they use text, email, or phone calls and what their availability looks like on evenings and weekends.

“What is your availability, and do you have a team or assistant?” Some top-producing agents are so busy they hand buyers off to junior team members. Know whether you’ll be working with the person you interview.

“Can you walk me through how you would handle a multiple-offer situation?” The answer reveals their negotiation philosophy, creativity, and composure under pressure.

“What is your compensation, and how is it structured?” With the new buyer representation agreement requirements, this conversation should happen early and transparently.

“Can you provide references from past buyer clients?” Reputable agents welcome reference requests. Follow through and actually call them.

Red Flags to Watch For

Not every licensed agent is equally qualified or trustworthy. Watch for these warning signs:

• Pressure to waive contingencies without explanation. A buyer’s agent who pushes you to remove inspection or financing contingencies without a clear strategic reason may be prioritizing a quick close over your interests.
• Unfamiliarity with the neighborhood. If an agent cannot speak knowledgeably about recent sales, school districts, or local market trends, they may not be the right specialist for your search.
• Reluctance to show you homes listed by other brokerages. This is called steering, and it is both unethical and illegal.
• Vague or verbal compensation agreements. Under the new NAR rules, compensation must be in writing. Any agent who resists a written buyer representation agreement should be avoided.
• Dual agency without full disclosure. Dual agency occurs when one agent (or one brokerage) represents both buyer and seller in the same transaction. This creates a fundamental conflict of interest. Many states require explicit written consent for dual agency, and some states prohibit it entirely.
• Overpromising on purchase price or timelines. An agent who tells you what you want to hear rather than what the market data shows is not serving your interests.

Understanding Buyer Representation Agreements

A buyer representation agreement (also called a buyer agency agreement) is a legally binding contract between you and a real estate brokerage. It defines:

• Exclusivity: Whether you are committed to working exclusively with that agent or retain the right to work with others
• Duration: The length of the agreement (commonly 30 to 90 days)
• Compensation: The fee structure and how it will be satisfied (seller concession, direct buyer payment, or a combination)
• Geographic scope: The types of properties and locations covered

Read this agreement carefully before signing. Key points to negotiate include the duration (request a shorter term initially, with the option to extend), the ability to terminate if the relationship is not working, and whether the agent’s fee is reduced if the seller offers compensation that partially covers it.

The Consumer Financial Protection Bureau recommends reviewing any agent agreement with an attorney if you have questions about your obligations.

Can You Buy a Home Without a Buyer’s Agent?

Technically, yes — buyers can purchase a home without representation, particularly in for-sale-by-owner (FSBO) transactions. However, without an agent, you are responsible for researching comps, drafting offer documents, managing contingency deadlines, and negotiating directly with a seller (or their agent) who has professional representation. For an unrepresented buyer, that is a significant disadvantage.

If you do choose to proceed without an agent, consider hiring a real estate attorney to review contracts and a transaction coordinator to manage deadlines. Understanding exactly how much leverage you have at each stage of the process is essential — our guide to how to negotiate a house price provides a framework you can use regardless of whether you have an agent.

A competent buyer’s agent more than pays for their compensation through better pricing, avoided mistakes, and smoother transactions. The key is choosing the right one — and the interview process is the most reliable way to do that.

Making Your Final Decision

After interviewing candidates, trust your data and your instincts equally. Choose the agent who demonstrates the deepest knowledge of your target market, communicates in the style that works for you, and has a track record of delivering results for buyers in your price range.

Review the buyer representation agreement carefully, negotiate any terms that concern you, and sign only when you feel confident. The right agent will welcome your questions, explain their compensation clearly, and make you feel like a priority — not just another transaction.

According to Bankrate, buyers who take the time to properly vet their agent report significantly higher satisfaction with the overall home purchase experience. That research investment of a few hours can pay dividends throughout what is likely the largest financial transaction of your life.