Buyer Agency Agreements in Michigan (2026)

Yes, and this is the single biggest change buyers ask me about. Since August 17, 2024, the rules that came out of the National Association of Realtors settlement require any agent who is a member of the MLS to have a signed written agreement with you before touring a home, whether that tour is in person or a live virtual walkthrough. It is not a Veronica rule or a Vylla rule, it applies to essentially every agent you would work with on the West Michigan lakeshore. The one exception is casual contact, so if we are just chatting at an open house or you are asking me about my services, no agreement is needed yet. Once we are ready to actually walk through a property together, we sign first.

At its core it spells out three things: that I am representing you and your interests, what services I provide, and how I get paid. Under the post-settlement rules my compensation has to be written in plain numbers, either a flat fee or a percentage, and it cannot be open-ended or vague. The agreement also has to state clearly that real estate commissions are not set by law and are fully negotiable, because they always have been. It defines our working relationship for a set period and scope. I walk through every line with my buyers before anyone signs, and because of my title and abstracting background I am genuinely comfortable explaining contract language rather than rushing you past it.

You can, and a lot of buyers do not realize that. The national rules deliberately left the term and scope flexible, so an agreement can be written for one day, one property, one zip code, or a longer exclusive relationship covering the whole lakeshore. If you have found one specific Ludington or Pentwater listing and just want representation to tour and possibly write an offer on that home, we can scope the agreement narrowly. If you would rather I act as your dedicated agent across an entire search, we write it broader. I would rather earn a longer agreement by showing you value on the first house than lock you into something before you trust me.

This is the most misunderstood part. The agreement you sign with me sets the compensation you are responsible for, but that does not mean it comes out of your pocket at closing. Sellers and their listing brokers can still offer to pay buyer-agent compensation, and many in West Michigan continue to do so to attract qualified buyers. The difference is that those offers are now negotiated directly rather than advertised on the MLS, which can no longer display buyer-broker compensation. When we write an offer, requesting that the seller cover my fee, in whole or in part, is one of the terms we negotiate. My goal is to structure each deal so that what you owe out of pocket is as low as the transaction allows.

Then we look at the gap and decide together how to handle it. The amount I can receive from any source cannot exceed what your agreement says, so if a seller offers less than that figure, the shortfall is something we plan for before you ever fall in love with a house. Sometimes we ask for the difference as a seller concession folded into the offer, sometimes we adjust offer price and terms, and occasionally a buyer chooses to cover part of it directly. There is no single right answer, it depends on the property, how competitive the situation is, and your cash position. I price this out for you up front so there are never surprises at the closing table.

It is fully negotiable, and there is no legal standard rate in Michigan or anywhere else. The settlement rules actually require buyer agreements to say this in writing, precisely because people assumed for years that commissions were fixed. What you pay reflects the scope of work, the complexity of your search, and the value an experienced agent brings. On the lakeshore, where seasonal pricing, well and septic systems, and waterfront considerations come into play, that experience matters. I am happy to talk openly about my fee and what you get for it, and I would rather have that conversation honestly at the start than have you wonder about it later.

I understand the instinct to keep things loose, but a signed agreement is what creates a true fiduciary duty to you. Without it, an agent is not legally bound to put your interests first. With it, I owe you loyalty, full disclosure, confidentiality, and my honest advice on price and condition, not just a door-opening service. It also forces a clear, written conversation about money before emotions get involved with a specific house. In my experience the buyers who feel most in control are the ones who understood and negotiated their representation up front, rather than signing something quickly under pressure on showing day.

Michigan law has long required agents to give you an agency disclosure form that explains who they represent before confidential information is shared. Most buyers work under what is called designated agency, meaning the specific agent named in your agreement represents only you. A situation can arise where the same brokerage has one agent representing the seller and another representing the buyer on the same property, which Michigan treats as disclosed consensual dual agency at the broker level. If that ever comes up in one of your transactions, I will explain it clearly and make sure you consent knowingly. Transparency about who works for whom is something I take seriously given my background on the title side.

Sit down with me for a buyer consultation before we ever schedule a showing. We go through the agency disclosure, talk through the buyer agreement so you understand exactly what you are signing and why, and map out how compensation will likely work for the kind of homes you are targeting in Ludington, Pentwater, or the surrounding towns. I would also get you pre-approved in that same window so we know your numbers. Walking into the new written-agreement era prepared, rather than reading a contract for the first time on a seller's front porch, is what separates calm, confident buyers from stressed ones. That preparation is exactly where I add the most value.