What is a transaction broker in Florida?

What does Florida law say a transaction broker is?

Fla. Stat. 475.278 defines a transaction broker as a broker who provides limited representation to a buyer, a seller, or both in a real estate transaction, but does not represent either in a fiduciary capacity or as a single agent. The parties give up their right to a broker's undivided loyalty, which is what lets one brokerage help both sides of the same sale.

Is that the default in Florida?

Yes. The statute presumes that every licensee is operating as a transaction broker unless a single-agent relationship or a no-brokerage relationship is established in writing with the customer.

What duties does a transaction broker owe?

Under Fla. Stat. 475.278(2), a transaction broker owes: 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 directed otherwise in writing; limited confidentiality, so the broker will not disclose that a seller will accept a lower price, that a buyer will pay more, the motivation of any party, or that a party will agree to financing terms other than those offered, unless authorized; and any additional duties mutually agreed. Florida residential sales also carry a required disclosure of these duties.

How does PBP work?

PBP Real Estate acts as a transaction broker in every transaction. Single-agent representation is not offered. Our full disclosure is on Florida brokerage relationships.