Yes — in South Dakota, if you want an agent to tour a home with you, you’ll need to sign a written buyer agency agreement first. Since August 17, 2024, national rules require any agent who uses the MLS to have a signed written agreement with you before showing you a home, whether in person or on a live video tour. The important part most buyers don’t realize: that agreement can be as small as a single home for a single day, and the fee is negotiable.
Quick Answer: In South Dakota you must sign a written buyer agency agreement before an agent tours a home with you — a rule in effect nationally since August 17, 2024. But it doesn’t lock you in. The agreement can cover just one property or one day, must state the agent’s compensation in clear terms, and every term, including the fee, is negotiable before you sign.
By Tyce Ortman — August 17, 2026
If you’ve started house hunting in Sioux Falls recently, an agent probably asked you to sign something before scheduling showings. That’s new for a lot of buyers, and it catches people off guard. Here’s what changed, what you’re actually agreeing to, and how to sign smart.
What the Agreement Is — and Why It’s Now Required
A buyer agency agreement is a written contract between you and a real estate agent that spells out what the agent will do for you and how they’ll be paid. It’s not a mortgage, and it’s not a commitment to buy a house — it’s a services-and-compensation agreement.
As part of the National Association of Realtors settlement, a rule took effect on August 17, 2024 requiring any MLS-participating agent “working with” a buyer to sign a written agreement with that buyer before touring a home — including live virtual tours. The goal is transparency: you should know, up front, exactly what your agent does and what it costs before you ever walk through a front door.
One requirement matters more than the rest. The agreement must state the agent’s compensation in specific, objective terms — a flat fee, a set percentage, or an hourly rate — not an open-ended “whatever the market pays.” If the number is vague, that’s a red flag worth questioning before you sign.
You Are Not Locked Into a Long-Term Contract
This is the part that relieves most buyers. A buyer agency agreement can be as narrow or as broad as you both agree to.
- A single-property or “touring” agreement can cover just one home, or one day of showings, sometimes for little or no fee. It satisfies the legal requirement without committing you to anything beyond that house.
- A broader exclusive agreement might run 90 days and cover your whole search, which makes sense once you’ve found an agent you trust and want them fully in your corner.
If you’re just starting out and want to see a house this weekend without a long commitment, you can ask for a short, limited agreement. If you already know who you want representing you, a longer exclusive one protects both of you. Either way, the length, the scope, and the terms are all negotiable — this is a conversation, not a take-it-or-leave-it form.
What It Means for Who Pays
Signing an agreement that states your agent’s fee doesn’t necessarily mean the money comes out of your pocket. In many Sioux Falls transactions, the seller still offers to cover some or all of the buyer’s agent compensation — it’s just no longer assumed or advertised the way it once was, so it gets negotiated deal by deal.
The written agreement sets the ceiling on what your agent can collect. If the seller offers to pay that amount, you may owe nothing. If the seller offers less, the difference is something you and your agent sort out — ideally before you’re emotionally attached to a house. This is closely tied to who pays the buyer’s agent commission in Sioux Falls, and it’s worth reading alongside this so the fee conversation doesn’t surprise you at the offer stage.
It’s also why getting your financing lined up early matters. When you know your budget and your potential out-of-pocket costs, the compensation terms are much easier to evaluate — which is one more reason to get pre-approved before you start house hunting.
What to Check Before You Sign
Read it, don’t just initial it. Here’s what to look at:
- Term length. How long does it last — one showing, one week, 90 days? Shorter is lower-commitment.
- Scope. Does it cover one specific property or your entire search? A single-property agreement keeps your options open.
- Compensation. Is the fee stated as a clear flat amount or percentage? Is it in line with the local market?
- How the fee gets covered. What happens if the seller pays less than the agreed amount, or nothing?
- Termination. Can you end the agreement early, and how? Understand the exit before you enter.
There’s no single “standard” number, and you’re allowed to negotiate every one of these points. A good agent will walk you through the form line by line rather than rushing you to sign. This is exactly the kind of conversation I have with buyers before we ever schedule a showing — because a buyer who understands the agreement makes calmer, better decisions all the way to closing. If you’re weighing whether now is even the right time to start, here’s an honest look at whether 2026 is a good time to buy in Sioux Falls.
Frequently Asked Questions
Can I tour a home in Sioux Falls without signing anything?
Not with an MLS-participating agent. Since August 17, 2024, they must have a signed written agreement with you before touring a home in person or by live video. You can, however, ask for a limited single-property or single-day agreement rather than a long-term one.
Does signing mean I have to buy a house?
No. A buyer agency agreement covers representation and compensation — it is not a commitment to purchase. You can look at homes, and walk away, without being obligated to buy anything.
Do I have to pay my agent out of pocket?
Not necessarily. In many Sioux Falls deals the seller still offers to cover the buyer’s agent compensation. Your agreement sets the maximum your agent can be paid; if the seller covers it, you may owe nothing. Any gap is negotiated, ideally before you make an offer.
Is the commission or fee negotiable?
Yes. Compensation is not set by law or fixed at any standard rate — it’s negotiable, and the agreement must state it in clear, objective terms (a flat fee, a percentage, or an hourly rate) rather than an open-ended amount.
Can I use different agents for different houses?
You can if your agreements are limited in scope. A single-property or touring agreement covers only that home, leaving you free to work with someone else elsewhere. A broad exclusive agreement asks you to commit to one agent for your whole search.
The rule sounds intimidating, but it works in your favor: you now get the terms in writing, in plain language, before you tour a single home. Sign a scope that matches where you are — short and narrow if you’re just looking, broader once you’ve found an agent you trust — and negotiate the fee like you would any other term.
If you’d like someone to walk you through a buyer agency agreement line by line before you sign anything, I’m happy to help — no pressure and no obligation. You can also grab the free Sioux Falls Buyers Guide to get oriented. Reach out anytime.
Sources
- National Association of Realtors — Written Buyer Agreements 101
- National Association of Realtors — What the NAR Settlement Means for Home Buyers and Sellers
About Tyce Ortman
Tyce Ortman is a residential real estate agent with the Jeff Merrill Team at eXp Realty, serving Sioux Falls, South Dakota and surrounding communities including Brandon, Harrisburg, and Tea. He works with both buyers and sellers, guiding them from first search or listing all the way through closing.
Tyce Ortman | eXp Realty 
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