What Is a Buyer Representation Agreement in Ontario? (And Why You Have to Sign One)

If you've started house-hunting recently and been asked to sign something called a Buyer Representation Agreement before your agent will show you a single home, you're not being singled out — it's now a legal requirement for every buyer in Ontario. Here's what it actually is, why it exists, and what's worth checking before you sign one.

Why This Became Mandatory

The Trust in Real Estate Services Act (TRESA) took effect December 1, 2023, replacing Ontario's previous real estate legislation (REBBA). Under TRESA, a brokerage can no longer show you homes or submit an offer on your behalf without a written representation agreement in place first — the informal, verbal arrangement that used to be common isn't legally sufficient anymore. A related change eliminated "Customer Service Agreements," a lighter-touch option that used to exist alongside full representation — that option is gone, so a written Buyer Representation Agreement is now the only way to work with an agent as a represented client.

What the Agreement Must Legally Include

TRESA doesn't leave the contents up to guesswork — Ontario's regulator, the Real Estate Council of Ontario (RECO), requires every representation agreement to clearly, comprehensibly, and prominently set out:

• The date it takes effect and the date it expires. A Buyer Representation Agreement isn't indefinite — it has a defined term.
• How your agent's remuneration (commission) is determined. The method has to be specified, not left vague.
• Any circumstances where that remuneration could change — for example, if the listing brokerage's offered commission is lower than what you've agreed to pay your own agent.

Before you're even asked to sign, your agent is also required to walk you through RECO's standardized Information Guide and get your written acknowledgment that you received it — this is a separate, mandatory step that has to happen before the representation agreement itself.

Commission Is Negotiable — This Is a Real Right, Not Just a Talking Point

One of the more significant practical changes under TRESA: buyer-side commission is explicitly negotiable, and the agreement can specify a "top-up" arrangement — meaning if the seller's offered commission to buyer agents is lower than what you've agreed to pay, you and your agent can address how (or whether) that gap gets covered. This is exactly the kind of detail worth actually discussing with your agent up front, not something to leave until an offer is on the table.

What's Worth Checking Before You Sign

• The term length. Agreements can run anywhere from a single showing to several months — make sure the length actually matches how long you expect your search to take.
• Whether it's exclusive. Most Buyer Representation Agreements are exclusive to one agent for the term — understand what that means for you before signing.
• The commission structure and any top-up clause, discussed above — ask directly if anything is unclear.
• How to end it early if your circumstances change. A reasonable agreement should have a clear, fair way out.

The Bottom Line

A Buyer Representation Agreement isn't a trick or a sign of a pushy agent — it's simply how real estate representation legally works in Ontario now, for every buyer, with every agent. The useful thing to focus on isn't whether you have to sign one, but making sure the specific terms — length, commission, exit terms — actually fit your situation before you do.

Have questions about what a Buyer Representation Agreement with Justin would actually look like? Reach out directly — happy to walk through it before you're asked to sign anything.