Transaction broker or single agent in Florida
Florida presumes your agent is a transaction broker unless another relationship is set up in writing. What each one owes you, and when the notices come.
The short answer
Florida presumes every licensee is a transaction broker unless a single agent or no brokerage relationship is set up in writing1. A transaction broker gives limited representation, isn't your fiduciary and can assist both sides. A single agent represents only you, as a fiduciary, and owes you loyalty, obedience and full disclosure, which a transaction broker doesn't, and full rather than limited confidentiality12. Dual agency isn't allowed1.
- What Florida presumes every licensee is, unless a single agent or no brokerage relationship is set up in writing1
- Transaction broker
- On a single agent's list in the statute, loyalty, confidentiality, obedience and full disclosure among them1
- 9 duties
- On a transaction broker's list, with limited confidentiality, the last being any more duties agreed with a party1
- 7 duties
- A single agent notice is due by the time you sign an agreement for representation, or before the first showing if that comes first1
- Signing or first showing
On this page
In Florida, a real estate licensee can work with you as a transaction broker or as a single agent, the two brokerage relationships the law allows, or with no brokerage relationship at all1. Each owes you a different set of duties, and the law decides which one you have unless something is put in writing.
This guide sets out both from Florida's real estate license law, chapter 475, with every rule linked to its source. Which relationship you have depends on what you set up in writing with the brokerage, and this guide doesn't recommend one.
Have a home in mind?
Paste its link. Comped reads the listing and the county's records for that home, and a licensed agent is there when you want to see it.
No link yet?
What's the difference between a transaction broker and a single agent?
A single agent represents only you, as a fiduciary. A transaction broker gives limited representation to the buyer, the seller or both, and represents neither as a fiduciary12.
A fiduciary, in the license law, is a broker in a relationship of trust and confidence with you as its principal. Its duties are loyalty, confidentiality, obedience, full disclosure, accounting, and skill, care and diligence2. A single agent represents the buyer or the seller, never both in the same transaction2.
Florida doesn't allow dual agency, disclosed or not. No broker may represent both the buyer and the seller as a fiduciary1. A third arrangement, no brokerage relationship, carries the fewest duties of all1.
| Duty | Transaction broker | Single agent | No relationship |
|---|---|---|---|
| Dealing honestly and fairly1 | Yes | Yes | Yes |
| Accounting for all funds1 | Yes | Yes | Yes |
| Disclosing all known facts that materially affect the value of residential real property and are not readily observable1 | Yes | Yes | Yes |
| Skill, care, and diligence in the transaction1 | Yes | Yes | Not on its list |
| Presenting all offers and counteroffers in a timely manner1 | Yes | Yes | Not on its list |
| Confidentiality1 | Limited, unless waived in writing | Yes | Not on its list |
| Loyalty1 | Not on its list | Yes | Not on its list |
| Obedience1 | Not on its list | Yes | Not on its list |
| Full disclosure1 | Not on its list | Yes | Not on its list |
| Any additional duties that are mutually agreed to with a party1 | Yes | Not on its list | Not on its list |
Yes means the duty is on that relationship's list in the statute. A transaction broker's and a single agent's lists say the duties include these, so those two aren't closed. With no brokerage relationship, the accounting is for funds entrusted to the licensee1.
- No brokerage relationship3 duties
- Transaction broker7 dutiesSix named duties, and any more agreed with a party
- Single agent9 duties
Which one do you have if you sign nothing?
A transaction broker. Florida law presumes every licensee is one unless a single agent relationship, or no brokerage relationship, is set up with you in writing1.
“It shall be presumed that all licensees are operating as transaction brokers unless a single agent or no brokerage relationship is established, in writing, with a customer.”
Who pays the licensee doesn't decide it on its own. The law says payment, or a promise to pay, doesn't by itself determine which relationship exists4. How part of that pay can come back to you is in how a commission credit works at closing.
Do you have to sign a buyer agreement?
Florida's license law says it doesn't require a customer to enter a brokerage relationship with any licensee1. A single agent relationship has to be in writing, and without that writing the presumption of transaction brokerage stands1.
If a brokerage asks you to sign an agreement, read which relationship it names, what it says about pay and how long it runs. A single agent's notice of its duties can sit inside that agreement1.
What does a transaction broker owe you?
Seven duties, in the statute's words1:
- Dealing honestly and fairly
- Accounting for all funds
- Using skill, care, and diligence in the transaction
- Disclosing all known facts that materially affect the value of residential real property and are not readily observable to the buyer
- Presenting all offers and counteroffers in a timely manner, unless a party has previously directed the licensee otherwise in writing
- Limited confidentiality, unless waived in writing by a party
- Any additional duties that are mutually agreed to with a party
Limited confidentiality keeps five things private, unless a party waives it in writing1:
- That the seller will take less than the asking or listed price.
- That the buyer will pay more than the price in a written offer.
- Why any party is buying or selling.
- That a seller or buyer will agree to financing terms other than those offered.
- Anything else a party asks to keep confidential.
Under limited representation, you aren't responsible for the licensee's acts, and you give up your right to its undivided loyalty2. That's what lets one licensee assist both the buyer and the seller2.
“…a licensee will not work to represent one party to the detriment of the other party when acting as a transaction broker to both parties.”
The duty to disclose known facts is the licensee's. The seller has disclosures of its own, such as Florida's flood disclosure, due at or before the time the contract is signed5.
What does a single agent owe you?
Nine duties, in the statute's words1:
- Dealing honestly and fairly
- Loyalty
- Confidentiality
- Obedience
- Full disclosure
- Accounting for all funds
- Skill, care, and diligence in the transaction
- Presenting all offers and counteroffers in a timely manner, unless a party has previously directed the licensee otherwise in writing
- Disclosing all known facts that materially affect the value of residential real property and are not readily observable
Loyalty, obedience and full disclosure are on a single agent's list and not on a transaction broker's. Confidentiality is on both, and only a transaction broker's is limited1.
A single agent's duties, by whether a transaction broker owes them too. A single agent's duties 9 duties. Also on a transaction broker's list, 5 duties, 56%. On it in limited form (confidentiality), 1 duties, 11%. Only a single agent's (loyalty, obedience and full disclosure), 3 duties, 33%.
| Segment | Value | Share |
|---|---|---|
| Also on a transaction broker's list | 5 duties | 56% |
| On it in limited form (confidentiality) | 1 duties | 11% |
| Only a single agent's (loyalty, obedience and full disclosure) | 3 duties | 33% |
The person a single agent represents is its principal2. The statute names a single agent's duties without defining them further, so ask the brokerage how it carries each one out.
Can a single agent become a transaction broker?
Yes, at any point in the relationship, and only once you've agreed in writing1.
“A single agent relationship may be changed to a transaction broker relationship at any time during the relationship between an agent and principal, provided the agent first obtains the principal's written consent to the change in relationship.”
The statute sets the consent form's words. The form says the change lets the licensee assist both the buyer and the seller with a limited form of representation, lists a transaction broker's duties, and ends with a line you initial or sign: "I agree that my agent may assume the role and duties of a transaction broker."1
Without your consent, the change can't happen1. The statute doesn't say what follows if you decline, so ask the brokerage early.
Have a home in mind?
Paste a home's link; Comped reads the listing and, in the counties it covers, the county's records for that home, and a licensed agent is there when you want to see it.
No link yet?
Which notices will you get, and when?
It depends on the relationship. A single agent gives you a written notice of its duties by the time you sign an agreement for representation, or before you're shown a home if that comes first. A licensee with no brokerage relationship gives one before a showing, and a transaction broker needs none1.
| Notice | When it's due | What it takes |
|---|---|---|
| Single agent notice | Before or at the time you sign an agreement for representation, or before a showing, whichever comes first | In writing, on its own or inside the agreement, in the statute's words, with lines for a date and a signature1 |
| Consent to transition to transaction broker | Before a single agent becomes a transaction broker, at any point in the relationship | Your written consent on the statute's form, initialed or signed1 |
| No brokerage relationship notice | Before a showing | In writing, in the statute's words1 |
| Transaction broker | No notice | None: the law presumes this relationship unless another is set up in writing1 |
A notice inside another document must be in type at least as large as the rest, placed where it's conspicuous, with its first sentence in capitals and bold1.
First questions
No notice needed
General questions about homes advertised for sale need none, nor does an open house where nothing confidential is asked and nothing is signed or negotiated.
Before you sign or see a home (key date)
Single agent notice
If the licensee will be your single agent: by the time you sign an agreement for representation, or before a showing if that comes first.
Before a showing
No brokerage relationship notice
If the licensee has no brokerage relationship with you. A transaction broker gives no notice.
Before any change (key date)
Consent to transition
A single agent gets your written consent, initialed or signed, before becoming a transaction broker.
A signed contract
Notices kept on file
When the deal results in a written contract, the licensee keeps the disclosure documents.
The notice rules cover residential sales: homes of four units or fewer, residential land meant for four units or fewer, and agricultural property of 10 acres or fewer13.
When no notice is needed
The notices aren't required when the licensee knows you already have a single agent or a transaction broker1. The same goes when an owner sells new homes it built and the setting, such as the sales office's location, its signs or the staff's name badges, should tell you the salesperson acts for the owner1. Nor are they required in situations such as these1:
- An open house or model home showing with no confidential information asked for, no offer or agreement for representation signed, and no negotiating.
- Casual, unplanned conversations of the same kind.
- Answers to general factual questions about homes advertised for sale.
- General information about the licensee's qualifications, background and services.
- Rentals and leases, unless they come with an option to buy property with four or fewer residential units.
- Nonresidential deals, auctions and appraisals.
Kept on file and enforced
When a deal results in a written contract, the licensee keeps the disclosure documents, and a broker keeps its brokerage records for at least five years6.
Breaking §475.278, its duties included, is a ground for discipline against a license7. A first failure to give a notice at the right time can be settled with a citation and a $600 fine8.
Does a designated sales associate apply to a home purchase?
No. A designated sales associate is for transactions other than a residential sale, where the buyer and the seller have assets of $1 million or more9.
In those deals, at the customers' request, a broker may name different sales associates to act as single agents for different customers in the same transaction. Both customers sign disclosures that their assets meet the threshold and asking for that form of representation9. A home of four units or fewer is a residential sale, so the option isn't open there1.
What to ask before you sign
The notices come early, so ask before the first showing:
- Which relationship will we have, and where is it written?
- If you'll be my single agent, when will I get the single agent notice?
- If the home I want is listed by your brokerage, will you ask me to consent to a transaction broker relationship, and what happens if I don't?
- How are you paid, and does any of it come back to me at closing?
Have your own agreement read
Your brokerage or a Florida real estate attorney can walk you through what your own agreement says. This guide explains Florida's rules in general and isn't a reading of any agreement.
Questions buyers ask
Florida law presumes every real estate licensee is a transaction broker unless a single agent relationship or no brokerage relationship is set up in writing with the customer. Licensees may also work as single agents, who represent one side as a fiduciary. Dual agency, where one broker represents both the buyer and the seller as a fiduciary, isn't allowed in Florida.
A single agent represents only the buyer or only the seller, as a fiduciary, and the statute lists nine duties for it, among them loyalty, confidentiality, obedience and full disclosure. A transaction broker gives limited representation to the buyer, the seller or both and isn't a fiduciary, and the statute lists seven for it, including limited confidentiality. Under limited representation, a customer gives up the right to the licensee's undivided loyalty.
A transaction broker can give limited representation to both. It isn't a fiduciary to either, keeps certain things confidential unless a party waives that in writing, such as a seller's willingness to take less or a buyer's willingness to pay more, and won't work to represent one party to the detriment of the other. Florida doesn't allow a dual agent, who would represent both as a fiduciary.
Yes, at any point in the relationship, and only with your written consent first. Florida law sets the words of the consent form, the Consent to Transition to Transaction Broker, which you initial or sign. Without your consent, the change can't happen, so ask the brokerage early what it would do if you decline.
Florida's real estate license law says it doesn't require a customer to enter a brokerage relationship with any licensee. A single agent relationship must be set up in writing; without that, the licensee is presumed to be a transaction broker. If a brokerage asks you to sign an agreement, read which relationship it names, what it says about pay and how long it runs.
Before or at the time you sign an agreement for representation, or before you're shown a property, whichever comes first. It must be in writing, on its own or inside the agreement, and if it's inside, in type at least as large as the rest and placed where it's conspicuous. The rule covers residential sales, such as homes of four units or fewer.
Sources
Primary sources only: the statutes, rules and agency documents each figure comes from.
- 1.Fla. Stat. §475.278, Authorized brokerage relationships; presumption of transaction brokerage; required disclosures
The Florida Senate · flsenate.gov · checked
- 2.Fla. Stat. §475.01, Definitions
The Florida Senate · flsenate.gov · checked
- 3.Fla. Stat. §475.274, Scope of coverage
The Florida Senate · flsenate.gov · checked
- 4.Fla. Stat. §475.255, Determination of agency or transactional brokerage relationship
The Florida Senate · flsenate.gov · checked
- 5.Fla. Stat. §689.302, Disclosure of flood risks to prospective purchaser
The Florida Senate · flsenate.gov · checked
- 6.Fla. Stat. §475.5015, Brokerage business records
The Florida Senate · flsenate.gov · checked
- 7.Fla. Stat. §475.25, Discipline
The Florida Senate · flsenate.gov · checked
- 8.Fla. Admin. Code R. 61J2-24.002, Citation Authority
Florida Administrative Code · flrules.org · checked
- 9.Fla. Stat. §475.2755, Designated sales associate
The Florida Senate · flsenate.gov · checked
General information about Florida law, not legal or tax advice. For your home, ask your county's property appraiser, a tax professional or your Comped agent.
What changed
When a law, a rule or a county's figures change, we update the guide and note it here.
Published.
Keep reading
Get started
Found a home you like?
Send it to Comped.
Skip the forms and the app downloads. Paste the link, say what you want to do, and we take it from there.
No link yet?