Rural Agents and City Buyers


It’s been recommended by some agents to include in the public remarks of a Listing that Listing Brokerage reserves the right to withhold a portion of Buyer’s agent’s cooperating commission if Listing Brokerage introduces a buyer to the property.

We’ve been doing this because we have so many out of area agent’s coaching their Buyers to tell us they don’t have an agent and have us show them the property. Then they show up with the Offer without having seen it themselves.

Is the following a wise and acceptable statement to put in the public remarks?

“Buyers agents must contact Listing Brokerage for showing instructions failing which Listing Brokerage reserves the right to withhold a portion of Buyer’s agent’s cooperating commission as per Sellers written instructions.”


It won’t work without Sellers being in agreement at the outset and potential Buyers signing off on this as well. So, simple: no showings without a 24 hour Buyer Representation Agreement (BRA) in place. That works. Nothing else does, if it’s challenged.

Effectively, go ahead and bring the Offer but we get paid the co-op commission. If you want to charge the Buyer a commission directly, then go ahead, but we already have them signed up.

First, you need the Seller’s permission.

Then, you need to notify the Buyer, so that they won’t be caught off guard.

If they simply show up at an Open House, their own City agent gets paid.

However, if they contact the Listing agent and that person needs to travel 90 minutes to get there, 60 minutes to show the property and another 90 minutes to return home, that amounts to 4 hours of their time without any possibility of compensation. That’s not fair!

So, get the Buyer to agree to sign the BRA. They will have to sign the Information Guide as well. The BRA will a holdover of 180 days will block out their City agent from compensation. Yes, the City agent should have showed the property. That’s how you earn commission. You actually have to do something!

Brian Madigan LL.B., Broker

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