How to Fill Out C.A.R. Form BRBC: California Buyer Agreement Steps

C.A.R. Form BRBC, the California Buyer Representation and Broker Compensation Agreement, is filled out by working through it section by section with your agent: identify the buyers and brokerage at the top, choose non-exclusive or exclusive representation, set the geographic and property scope, pick a start and end date within the 90-day maximum, negotiate the compensation amount and initial the required advisory, and confirm the cancellation and protection-period terms before signing. Knowing how to fill out C.A.R. Form BRBC matters because since January 1, 2025, California law requires a signed buyer representation agreement before you submit an offer, and the NAR settlement rules that took effect August 17, 2024 require it before you tour any MLS-listed home.1Department of Real Estate. What Licensees Need to Know Changes to Buyer Representation and Compensation2National Association of REALTORS. Written Buyer Agreements 101 Your agent will usually prepare the form in transaction software and walk you through it, but you should check each entry against what you actually agreed to.

Choose Your Representation Type First

The form offers two representation types, and the choice controls whether you can work with other agents and when your broker earns a fee.

Non-exclusive is the default. Unless the exclusive option is specifically checked, the broker has a non-exclusive right to represent you, meaning you can hire other brokers at the same time. Your broker earns compensation only when there was sufficient “broker involvement” with the property you actually buy.3California Association of REALTORS. Buyer Representation and Broker Compensation Agreement4California Association of Realtors. Procuring Cause Guidelines

Exclusive representation means you agree to work with one brokerage only for the entire term. The broker earns the agreed compensation on any property you buy during the period, regardless of who found it. Choosing exclusive requires an extra step: you must initial a separate paragraph (paragraph 14 or 15, depending on the form revision) confirming you understand the commitment. Skip those initials and the exclusive election is invalid, and the agreement defaults back to non-exclusive.3California Association of REALTORS. Buyer Representation and Broker Compensation Agreement

Fill In the Parties and Scope

At the top of the form, enter the full legal names of every buyer who will appear on the purchase contract and the licensed brokerage firm’s name — not just the individual agent’s name.

Paragraph 2B(2) defines the geographic scope. Pick the counties or cities where you want the broker to search on your behalf.3California Association of REALTORS. Buyer Representation and Broker Compensation Agreement You can also specify property types (single-family homes, condos, multi-unit buildings) so the broker’s obligations match what you’re actually shopping for.

Paragraph 2B(1) contains a blank line for listing individual property addresses. Filling that in narrows the broker’s authority to just those specific homes. Most buyers doing a general search leave 2B(1) empty and rely on the location fields in 2B(2) instead.5Danielle Lazier. BRBC Form

Paragraph 2D is where you list exclusions. If you’re already working with another agent on a specific property or have a deal in progress, write those addresses here. When a property is excluded, the broker has no obligation to help you with it and you owe nothing if you buy it.5Danielle Lazier. BRBC Form Skipping this step is how buyers end up owing two agents on the same house.

Set the Representation Period

Paragraph 2A(1) has blanks for a beginning date and an ending date. The ending date cannot be more than three months (90 calendar days) after signing. Any agreement that exceeds that limit is void and unenforceable under AB 2992.6Department of Real Estate. Notice of Rulemaking Proposal – AB 2992 Buyer-Broker Representation Agreements The form specifies that the agreement ends at 11:59 PM on the date entered, or upon completion of a resulting transaction, whichever comes first.3California Association of REALTORS. Buyer Representation and Broker Compensation Agreement

Automatic renewals are prohibited. If your term expires and you want to keep working with the same broker, both parties must sign a fresh, dated written renewal, and that renewal also maxes out at 90 days.6Department of Real Estate. Notice of Rulemaking Proposal – AB 2992 Buyer-Broker Representation Agreements

Fill In the Compensation Fields

The compensation section is where most of the negotiation happens. The form gives you three ways to express the broker’s fee: a percentage of the purchase price, a flat dollar amount, or a combination. You can also attach a separate compensation schedule.3California Association of REALTORS. Buyer Representation and Broker Compensation Agreement

Whatever figure goes in the blank becomes the maximum the broker can receive from any source for that representation. It’s a ceiling, not a floor.1Department of Real Estate. What Licensees Need to Know Changes to Buyer Representation and Compensation

The form includes an advisory, requiring both buyer and agent initials, stating that who pays the broker and how much is negotiable and not fixed by law.3California Association of REALTORS. Buyer Representation and Broker Compensation Agreement Any later change to compensation has to be in writing and signed by both parties. Verbal changes, emails, and texts don’t count.1Department of Real Estate. What Licensees Need to Know Changes to Buyer Representation and Compensation

Who Actually Pays the Fee

In many transactions, the seller or listing agent still covers the buyer’s broker fee through the offer negotiation. The form’s default approach is for the broker to seek payment from the seller’s side first. But if the seller offers less than the amount in your BRBC, you owe the difference at closing. If your agreement sets a 3% fee and the seller offers 2%, you cover the remaining 1%.3California Association of REALTORS. Buyer Representation and Broker Compensation Agreement If the seller refuses to pay anything, the full amount falls on you.

Run the math on your actual budget before signing. A 2.5% fee on a $600,000 home is $15,000 you might need at closing on top of your down payment and closing costs.

For-Sale-By-Owner Properties

When you buy directly from an owner who has no listing agent, there’s no seller-side commission to draw from. Your BRBC fee obligation still applies, so you’ll pay the broker directly unless the seller separately agrees in writing to cover it. Some brokers prepare a standalone compensation agreement for the seller to sign, but the seller has no obligation to sign it. Budget accordingly when shopping FSBO listings.

Review the Cancellation and Protection Period

Either party can cancel by delivering written notice. How quickly the cancellation takes effect depends on the representation type.

For non-exclusive agreements, cancellation is effective upon receipt of the notice, or after a specified number of days if one was filled in on the form. For exclusive agreements, cancellation requires 30 days’ written notice.3California Association of REALTORS. Buyer Representation and Broker Compensation Agreement

Cancellation doesn’t necessarily end your financial exposure. The form includes a protection period — a specified number of calendar days after the agreement expires or is cancelled during which the broker can still claim compensation if you buy a property the broker was involved with. To preserve that right, the broker must deliver a written list of those properties within five calendar days after the effective cancellation date.7Siskiyou County. Buyer Representation and Broker Compensation Agreement If you later sign a new representation agreement with a different broker, the protection period from the old agreement generally falls away.

The number of days in the protection-period field is negotiable. Leaving it blank or accepting a long window expands the broker’s claim on your next purchase, so look at that field before you sign.

Acknowledge the Dual Agency Disclosure

Paragraph 6 covers the possibility that your broker might also represent the seller in the same transaction, known as dual agency. The form requires the broker to confirm the agency relationship in writing before or at the same time you sign a purchase contract. You must also acknowledge receipt of C.A.R. Form AD (Disclosure Regarding Real Estate Agency Relationship) and, where applicable, Form PRBS (Possible Representation of More Than One Buyer or Seller).3California Association of REALTORS. Buyer Representation and Broker Compensation Agreement Dual agency changes some of the protections you’d otherwise receive, particularly the duty to share information that could help your negotiating position, so read Form AD before initialing.

Sign and Keep Your Copy

Form BRBC is typically prepared and signed through electronic platforms like DocuSign or Lone Wolf, which create a timestamped audit trail. Both you and an authorized representative of the brokerage must sign for the agreement to take effect. Once all signatures are captured, the system distributes a fully executed copy to everyone automatically. Keep yours — you’ll need it to verify the compensation amount against the closing disclosure on any purchase you make during the representation period.

If you’re asked to sign a paper version, make sure you receive a physical copy at the time of signing. The terms apply the same whether you signed digitally or with a pen, so don’t leave a signing appointment without your own copy in hand.