Document background
The Buyer Agency Agreement is a crucial document used in Indonesian real estate transactions when a buyer wishes to formally engage a professional real estate agent to act on their behalf in property searches and negotiations. This agreement becomes necessary when buyers need expert representation in the Indonesian property market, whether for residential, commercial, or industrial properties. The document establishes the agent's authority, defines the scope of services, outlines compensation terms, and sets performance expectations. It includes specific provisions required under Indonesian law, including compliance with the Civil Code (KUH Perdata) and real estate regulations. The agreement is particularly important in protecting buyer interests in Indonesia's unique property market, where foreign ownership restrictions and local regulations can significantly impact transactions. It serves as the foundational document governing the professional relationship between the buyer and their chosen agent throughout the property search and acquisition process.
