Builder registration rules, first visits, and commission protection strategies
In Alberta’s spec home market, losing commission to a builder almost always comes down to one thing: buyer registration.
If you are a licensed REALTOR® working with new construction, understanding builder registration policies is not optional. It directly affects whether you are recognized and paid on the transaction.
Here is how to protect your commission when working with builders on spec homes in Alberta.
What Is Builder Registration in Calgary & Edmonton?
Builder registration is the process of formally recognizing a REALTOR® as the cooperating agent on a new construction purchase.
Each builder sets their own policy. The rules determine:
- When the buyer must be registered
- Whether the agent must attend the first visit
- If online registration is allowed
- Whether re-registration is possible
If registration is missed or handled incorrectly, commission eligibility can be affected.
Know the policy before you bring a client to a showhome.
Why the First Showhome Visit Matters
The first visit often determines commission recognition.
Whenever possible:
- Attend the first showhome visit in person
- Introduce yourself clearly as the buyer’s agent
- Confirm registration with the sales representative
- If you cannot attend, pre-register the buyer according to the builder’s process and confirm receipt in writing.
- Do not assume your name will be noted. Confirm it.
What to Tell Buyers Before Visiting a Builder
Most buyers do not understand builder registration rules.
Explain it clearly:
“If you visit a showhome without me and do not mention my name, the builder may not recognize me on the purchase.”
Keep the explanation simple and direct.
Managing expectations early protects your role and avoids awkward conversations later.
Put Your Representation in Writing
A written buyer representation agreement reduces confusion.
An exclusive agreement offers the strongest protection. If the relationship is new, a short term non-exclusive agreement can still clarify expectations without creating pressure.
The goal is not control. The goal is clarity.
Make sure your client understands that you represent them on resale and new build purchases. Many buyers assume builder sales representatives act as neutral advisors. They do not.
Explain that the value your provide includes:
- Reviewing builder contracts
- Negotiating price and terms on spec inventory
- Tracking timelines and conditions
- Reviewing statements of adjustments
- Protecting their interests from offer to possession
When buyers understand your value, they are less likely to bypass you.
A Simple Script for New Clients
If you are early in the relationship and want to introduce a short term non-exclusive agreement, keep it straightforward:
“I suggest we sign a short term non-exclusive buyer agreement while we’re looking at all properties, including visiting showhomes. It simply confirms that I represent you and helps avoid any confusion with builders about registration or commission. It doesn’t tie you into anything long term. If we decide to move forward together, we can then sign a longer non-exclusive agreement.”
This is when you can explain the implications of them visiting a showhome without you.
Keep the tone calm and professional. When positioned as a clarity tool rather than a commitment tool, most buyers are comfortable signing a representation agreement.
Understand Builder Policies Before Writing an Offer
Builder commission structures and policies vary.
Before proceeding on a spec home:
- Confirm commission structure
- Confirm registration status
- Confirm possession expectations
- Confirm any deadlines tied to incentives
- Never assume two builders operate the same way.
Think Ahead and Avoid Preventable Mistakes
Most commission disputes are preventable.
Before your client visits or writes on a spec home, ask:
- Do I understand this builder’s registration rules?
- Is my buyer properly registered?
- Have I explained my role clearly?
Small steps protect significant income.
Frequently Asked Questions About Builder Commission in Alberta
Do builders in Edmonton and Calgary pay commission to REALTORS®?
Most builders pay cooperating commission when the buyer is properly registered under their policy.
What happens if my buyer visits a showhome without me?
Commission eligibility may depend on the builder’s registration rules and timelines.
Can I re-register a buyer with a builder?
Some builders allow re-registration within a limited window. Others do not. Always confirm in writing.
Should I always attend the first showhome visit?
Yes, whenever possible. If you cannot attend, register the buyer in advance and confirm receipt.
Protecting Your Commission in Alberta’s Spec Market
Commission protection on spec homes is not complicated. It requires clarity, upfront conversations, and consistent follow-up.
Homebassador is a centralized hub of builder spec inventory exclusively for licensed agents in Alberta. It helps REALTORS®:
- See available spec homes in one place
- Connect directly with builders
- Understand builder commission structures and registration policies before visiting a showhome
The more informed you are before the first visit, the fewer surprises you face.
In Alberta’s new construction market, professionalism starts with preparation.