Buying a home in California? Congrats—you’re about to embark on an exciting journey. But before you start daydreaming about backyard barbecues or that perfect reading nook, let’s talk paperwork. Specifically, the forms you’ll likely encounter along the way.
California Association of Realtors (CAR) forms are designed to make the home-buying process smooth and transparent, but let’s be real—they can feel like a foreign language. Fear not! This guide will break down the key forms, when you might see them, and what to watch out for.
1. Buyer’s Representation Agreement (BRE)
What It Is: This form outlines the relationship between you and your agent, including their duties and your obligations as a client.
When You’ll See It: If you decide to work with a buyer’s agent to help you find a home.
Watch Out For: Make sure you’re comfortable with the exclusivity period—this determines how long you’re locked into working with that agent.
2. Broker Compensation Advisory (BCA)
What It Is: Explains how a buyer’s agent gets paid, often through a commission offered by the seller.
When You’ll See It: Early in your discussions with a buyer’s agent.
Watch Out For: Understand whether you’re agreeing to pay the agent’s commission if the seller doesn’t offer one.
3. Buyer (or Tenant) Non-Agency Agreement (BNA)
What It Is: A disclosure form stating that the agent you’re talking to is not representing you.
When You’ll See It: If you interact with an agent but haven’t signed a formal representation agreement.
Watch Out For: This form doesn’t mean the agent won’t answer your questions—it’s just clarifying they’re not your fiduciary.
4. Residential Listing Agreement (RLA)
What It Is: This agreement is usually between a seller and their listing agent, but it’s worth knowing about if you plan to represent yourself.
When You’ll See It: If you’re considering representing yourself as a buyer or seller, refer to section 2C(2) to understand your rights.
Watch Out For: Sellers may push for you to use their agent—know your rights to represent yourself.
5. Buyer Representation and Broker Compensation Agreement (BRBC)
What It Is: A formal agreement between you and your buyer’s agent, outlining their compensation.
When You’ll See It: If you agree to exclusive representation.
Watch Out For: Ensure the compensation terms are clear—this is where flat-fee services like All House can save you money.
6. Open House Visitor Non-Agency Disclosure and Sign-In (OHNA-SI)
What It Is: A disclosure and sign-in sheet that clarifies you’re not forming an agency relationship just by attending an open house.
When You’ll See It: At open houses or showings where an agent represents the seller.
Watch Out For: It’s harmless—just be aware it doesn’t commit you to anything.
7. Property Showing and Representation Agreement (PSRA)
What It Is: Details the terms under which an agent will show you properties and represent you in negotiations.
When You’ll See It: Before an agent commits to showing you homes.
Watch Out For: Understand the scope—are they showing you just one home or committing to broader representation?
Quick Tips for Navigating California Association of Realtors (CAR) Forms
Ask Questions: Don’t hesitate to clarify terms or sections you don’t understand.
Know Your Rights: Many forms are designed to protect you, but they also define responsibilities—read carefully.
Consider Alternatives: If you’re looking to save money or avoid long-term commitments with agents, services like All House can guide you through the process without the hefty fees.
The Bottom Line
CAR forms might not be thrilling, but they’re essential for a smooth, transparent home-buying process. Whether you’re working with an agent, touring homes solo, or representing yourself, understanding these forms can save you time, money, and a whole lot of headaches.
Comments