Buyer Representation Agreement Template for South Africa

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Key Requirements PROMPT example:

Buyer Representation Agreement

"I need a Buyer Representation Agreement for a foreign investor client looking to purchase commercial properties in Cape Town, with exclusive representation starting March 1, 2025, including provisions for virtual property viewings and international payment terms."

Document background
The Buyer Representation Agreement serves as a foundational document in South African real estate transactions, establishing a formal relationship between property buyers and their chosen real estate representatives. This agreement becomes necessary when a buyer seeks professional assistance in property acquisition and wants dedicated representation of their interests. The document comprehensively covers the scope of services, commission structures, and professional obligations while ensuring compliance with South African legislation, particularly the Property Practitioners Act 22 of 2019 and Consumer Protection Act. It protects both parties by clearly defining expectations, responsibilities, and terms of engagement, including property search parameters, negotiation services, and transaction support. The Buyer Representation Agreement is particularly crucial in South Africa's dynamic property market, where professional representation can significantly impact transaction outcomes.
Suggested Sections

1. Parties: Identification of the buyer (client) and the real estate agent/agency, including full legal names, registration numbers, and contact details

2. Background: Context of the agreement, including the buyer's intention to purchase property and the agent's qualification to represent the buyer

3. Definitions: Key terms used throughout the agreement, including 'Property Requirements', 'Commission', 'Exclusive Representation', etc.

4. Appointment and Scope: Formal appointment of the agent and detailed scope of services to be provided

5. Duration: Term of the agreement, including start date and end date or continuation terms

6. Agent's Obligations: Detailed listing of all services and duties the agent will perform for the buyer

7. Buyer's Obligations: Buyer's responsibilities, including providing accurate information and cooperating with the agent

8. Commission Structure: Detailed explanation of the agent's compensation, including rates, payment terms, and conditions

9. Confidentiality: Provisions regarding the handling of confidential information and privacy requirements

10. Termination: Conditions and procedures for ending the agreement by either party

11. General Terms: Standard contractual provisions including notices, entire agreement, amendments, and governing law

Optional Sections

1. Dual Agency: Required when the agent might represent both buyer and seller in a transaction

2. International Considerations: Required for foreign buyers, including compliance with foreign investment regulations

3. Property Type Specifics: Special terms for specific property types (commercial, industrial, agricultural)

4. Financial Advisory Disclaimers: Required when providing any form of financial guidance or mortgage assistance

5. Team Representation: Required when multiple agents will be working with the buyer

6. Digital Communication Consent: Optional section for consent to electronic communications and digital document signing

Suggested Schedules

1. Schedule A - Property Requirements: Detailed description of the buyer's property requirements and preferences

2. Schedule B - Commission Structure: Detailed breakdown of commission calculations and payment terms

3. Schedule C - Agent's Services: Comprehensive list of all services included in the representation

4. Appendix 1 - Statutory Disclosures: Required disclosures under South African property and consumer protection laws

5. Appendix 2 - Agency Credentials: Copies of agent's licenses, certifications, and professional memberships

6. Appendix 3 - FICA Requirements: Checklist and requirements for Financial Intelligence Centre Act compliance

Authors

Alex Denne

Head of Growth (Open Source Law) @ Genie AI | 3 x UCL-Certified in Contract Law & Drafting | 4+ Years Managing 1M+ Legal Documents | Serial Founder & Legal AI Author

Relevant legal definitions
Relevant Industries

Residential Real Estate

Commercial Real Estate

Industrial Real Estate

Agricultural Real Estate

Luxury Real Estate

Property Development

Real Estate Investment

Property Management

Relevant Teams

Legal

Real Estate Operations

Property Services

Client Relations

Compliance

Contract Administration

Property Acquisitions

Investment Advisory

Document Management

Risk Management

Relevant Roles

Real Estate Agent

Property Practitioner

Real Estate Broker

Property Buyer's Agent

Real Estate Agency Principal

Property Investment Advisor

Real Estate Legal Advisor

Property Transaction Manager

Client Relations Manager

Real Estate Operations Manager

Industries
Teams

Employer, Employee, Start Date, Job Title, Department, Location, Probationary Period, Notice Period, Salary, Overtime, Vacation Pay, Statutory Holidays, Benefits, Bonus, Expenses, Working Hours, Rest Breaks,  Leaves of Absence, Confidentiality, Intellectual Property, Non-Solicitation, Non-Competition, Code of Conduct, Termination,  Severance Pay, Governing Law, Entire Agreemen

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