Quote:
Originally Posted by manaboutown
"A Florida buyer agency agreement grants a licensed agent the opportunity to locate a property for a potential buyer and make offers on their behalf. An agent will typically receive compensation in the form of a sales commission when the transaction is complete, although certain brokerages may demand payment in the form of a one-time fee or hourly wage. The agent will have the authority to represent the buyer until a suitable property is purchased or upon the expiration of the contract; four (4) months to one (1) year is standard but any duration is permissible."
From: Free Florida Buyer Agency Agreement - Word | PDF – eForms |
The compensation clause is very confusing. If the buyer's agent is receiving part of the listing contract commission, then the buyer broker is being paid by both the buyer and the seller. This appears to be a conflict of interest and a violation of Florida law. But, if the buyer is paying a separate commission to the buyer broker, and the buyer broker receives none of the listing contract commission, there would be no conflict, but very few buyers are going to be willing to do that.
The Florida law in this area is about as clear as mud. But, it does say:
"A real estate licensee may not operate as a disclosed or nondisclosed dual agent. As used in this section, the term “dual agent” means a broker who represents as a fiduciary both the prospective buyer and the prospective seller in a real estate transaction."