Buyer Brokerage Compensation Pre-Showing Addendum (Option A)

๐Ÿ“– 2 min read

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Buyer Brokerage Comp Addendum

The Option A / Option B election form โ€” used when a buyer wants compensation handling in writing.

Lesson 3 of the Required Disclosures course. This Disclosure & Election Addendum confirms how buyer brokerage compensation will be handled when the Seller-paid compensation in the Purchase Agreement differs from the Pre-Showing Buyer Brokerage Agreement amount.

๐Ÿ“ When this form is used

This is a client-requested form โ€” used when a buyer wants the compensation handling in writing. It is NOT required in your file. Use it when the client asks for clarity in writing.

Background

  • Buyer and Brokerage previously entered into a Pre-Showing & Buyer Brokerage Agreement establishing agreed-upon brokerage compensation (NRS 645.252).
  • Subsequently, the Purchase Agreement states brokerage compensation payable by the Seller โ€” which may be less than the Pre-Showing agreed amount.
  • Nevada law permits brokerage compensation to be paid by the Seller, the Buyer, or a combination โ€” provided fully disclosed and agreed to in writing prior to collection.
  • Only ONE option may be selected.

Option A โ€” Buyer to Pay Difference (Authorized by Buyer)

Use Option A when the Pre-Showing compensation exceeds what the Seller agreed to in the Purchase Agreement, and the Buyer is willing to cover the difference.

  • Buyer acknowledges: the brokerage compensation agreed to in the Pre-Showing Agreement exceeds the amount payable by the Seller under the Purchase Agreement.
  • Buyer agrees: to pay the difference directly to Brokerage at or before closing.
  • Buyer expressly authorizes escrow to disburse brokerage compensation consistent with this election.

Required Disclosure Under Nevada Law (Option A)

  • Total brokerage compensation per Pre-Showing Agreement: $_________
  • Brokerage compensation paid by Seller per Purchase Agreement: $_________
  • Difference payable by Buyer: $_________

Buyer acknowledges that the Pre-Showing & Buyer Brokerage Agreement has been provided to escrow as required to support this compensation structure.

Option B โ€” Brokerage Accepts Seller-Negotiated Amount

  • Brokerage elects to accept the compensation amount stated in the Purchase Agreement as complete compensation.
  • Buyer shall not owe or be charged any additional brokerage compensation.
  • Any higher compensation in the Pre-Showing Agreement is waived by Brokerage for this transaction only.

๐Ÿงพ Why this matters

This is NOT an amendment to the Purchase Agreement โ€” it confirms compensation handling consistent with Nevada law and the parties’ prior written agreements. Keep it in your toolkit; use when a client wants the difference in writing.