You may see the following categories in your MLS listing
(3% just an example & may differ from your commission):
| Commission | Trans Broker Comp 3% |
Buyer Agent Comp 3% |
Non-Rep Comp 3% |
If you're not a real estate licensee, the above might be interpreted as one or more of the following:
- I am paying 9% commission!
- This must mean ADDvantage® is earning a commission!
- I am paying 3% (non-rep comp) even if I sell my home to an “unrepresented buyer!”
In fact, none of those interpretations are true…
Short translation of above MLS categories:
You will only be paying one commission to the one agent who finds you a buyer.
Details:
The different fees all apply to the commission being offered to the agent representing a buyer. None of those fees/commissions mentioned refer to the listing agent. The commission being paid to the listing agent is never displayed on an MLS. The different types (buyer's agent, non-rep, transaction broker-and in some MLS's, Sub-Agent) all represent the different relationships that a buyer potentially has with the agent who finds them a property. Not all buyers have an exclusive relationship with their agent (buyer's agent relationship). When you list with us, there is only one commission being offered and that is to the agent who brings a buyer to you, regardless of their relationship with the buyer.
The most common question is: “What does non-rep mean?”
Definition according to a Florida Realtor® Association:
Nonrepresentative Broker: A legal brokerage relationship in which brokers do not represent either buyers or sellers in a transaction. Under Florida law all brokers are presumed to be transaction brokers unless the client or customer requests in writing to have another form of representation; that is, single agent or non-representative broker.
Longer translation:
In Florida, there are 3 types of “classifications” of an agent representing a buyer: (1) Buyer's Agent; (2) Transaction Broker; (3) Non-Rep or non-representative broker. By Florida law, when a licensed person first meets with a buyer prospect, they must “notice” (give in writing) the buyer prospect declaring what type of agency relationship (representation) that agent will have with regard to that prospect buyer.
ADDvantage® has a “Non-representative” relationship with you. Other agents representing buyers can have any of the three relationships listed above as well. In other words, they get to wear one “hat”. Which hat depends on their buyer and what their buyer believes is best for them. Most brokers require their agents to be transaction brokers and this is most common. But, the IMPORTANT thing to remember is you, the seller, will be paying only the one stated commission to one agent, regardless of the relationship the agent has with their buyer.
Many of our new clients call and question the “Non-rep Comp” and think that means unrepresented buyers. It does not. It means non-representation relationship of the agent with their buyer.
The bottom line is you will only be paying the one commission (that you set on our website) to one agent if that agent finds you a buyer.
Even longer answer:
If you wish to read the exact terminology from the Florida Statutes with regard to the three types of representation, click here.