Average Real Estate Commission in Florida: What’s New After NAR?

Traditionally sellers had to pay 5% to 6% real estate commission in Florida. Not anymore! The NAR Settlement makes it clear that commissions are negotiable. Where you had to pay $24,192 for a $403,200 home, you can now pay just $12,096.

Good news? There’s more to it.

With a Flat Fee MLS company like Houzeo, you can skip the listing agent fee. For just $399, you can list your home on the MLS within 24 hours. Plus, you’ll get high-tech assistance and 24/7 customer support.

What Is the Typical Real Estate Commission in Florida?

The average real estate agent commission in Florida is 5% to 6%, which covers both the buyer agent and listing agent fees. However, this rate may vary based on the agreement, property type, and market conditions.

Under the new settlement guidelines, the real estate commission in Florida is now negotiable. As a seller, this gives sellers more control over their selling costs.

Realtor Commission in Florida: With or Without a Listing Agent?

Consider this, you are selling a house in Florida priced at $403,200. Assuming you pay a 3% commission fee, you’ll end up paying $12,096 to your listing agent. With Houzeo, you could reduce that cost significantly. Here’s how:

Service Provider	Fee	Commission Due	Savings
Traditional Agent	3%	$12,096	$0
Houzeo	$399	$749	$11,347

Real estate agent commission rates also vary depending on your location. In major cities like Miami and Jacksonville, agents may charge up to 6% of the home’s value. For suburban or rural areas, commission rates may be slightly more affordable.

NAR Settlement Saves Sellers Thousands in Commission

The NAR Settlement went into effect on August 17, 2024. Buyer agent commissions can no longer be offered on the MLS. This means sellers will save thousands! But it also means there’s a lot more compliance and litigation risks.

Here’s what this means for you:

• Sellers Can Save Thousands in Commissions: You will likely pay much less than the traditional 3% buyer agent commission. That’s because buyer agent commissions will be negotiated twice: Once when buyers engage buyer agents, and again when sellers review offer contracts.
• Seller Priority #1 Will Be Paperwork (to Mitigate Compliance & Litigation Risks): Buyer agents mitigate all types of risks. From seller disclosures, offer contracts, contingencies, inspections, repair requests, appraisal, and closing – Buyer agents keep the paperwork tight. Their state licensing authorities, Realtor associations, and MLS’ audit paperwork compliance. Without buyer agents, sellers will have to learn and adapt. Or risk expensive litigation.
• Negotiations Can Now Feel Like Haggling: Buyer agent commissions will now be part of offer contracts and buyer agency agreements. Buyers may ask sellers to include commissions in the form of seller concessions. That means home buyers and sellers alike will be negotiating commissions. Sellers will need expert licensed brokers to help them with these negotiations.
• Buyer Agent Commissions Can Be Offered Offline: Buyer agent fees can still be offered outside of the MLS. They just cannot be advertised on the MLS.

Check out this video for a more in-depth look at how NAR came to this point of settlement.

Who Pays the Real Estate Agent in Florida?

In Florida, home sellers typically pay real estate commissions to the listing agent. The listing agent then split the fee with the buyer’s agent. The commission is deducted from the seller’s proceeds at closing. This means the buyer usually doesn’t pay agent fees directly.

However, due to the recent NAR settlement, sellers are no longer obligated to pay the buyer’s agent commission. This gives the seller more flexibility in negotiating fees and reduces their overall costs.

While the buyer now directly pays their agent, the seller can still offer concessions or incentives to help cover that cost.

Alternatives to Florida Real Estate Commission

If you’re looking for an affordable alternative to an agent-assisted sale, here are a few options to consider:

• List With a Discount Real Estate Broker: Many discount real estate brokers in Florida offer all the services traditional Realtors offer, but at discounted rates. They usually charge 1.5% to 2.5% commissions to list your home.
• Sell “For Sale By Owner”: You’ll need to rely on “DIY” marketing tactics to sell your home via Florida For Sale By Owner websites. You’ll have to handle marketing, research, offers, showings, etc without professional assistance. However, your home might get limited exposure on the MLS, which means it will stay longer on the market.
• Sell to an iBuyer or Cash Buyer: A cash buyer can make a cash offer instantly and help you sell your house fast in Florida. iBuyers have strict purchase criteria but can make cash offers as high as 80% of the Fair Market Value.
• List Your Home on the MLS for a Flat Fee: Florida Flat Fee MLS Listing service companies can get your property listed on your local MLS within 24 to 48 hours. This is your best chance to get top dollar for your house.

How to List on Florida MLS via Houzeo in 5 Simple Steps

Here are 5 easy steps to save thousands of dollars and have your listing active within 24 to 48 hours:

1. Create an Account: Visit Houzeo.com or download the Houzeo mobile app, then click on “Start Listing Now.” Provide basic details such as your name and contact information and set up your account.
2. Enter Property Information: Go to your Houzeo dashboard, login, and then click “Sell a Property.” Provide details about your home, like the number of bedrooms, bathrooms, square footage, and any standout features.
3. Set Your Asking Price: Use Houzeo’s home worth calculator to determine your home’s market value. Then set a competitive price for maximum benefit.
4. Choose a Flat Fee MLS Plan: Houzeo offers four flat fee MLS plans. Select the plan that suits your needs.
5. Upload Photos and Sign the Listing Agreement: Add aesthetic and nonpersonal photos to showcase your home’s best features. Upload pictures of your kitchen, bedroom, and bathrooms to attract potential buyers. Completing the listing agreement usually takes 20-30 minutes.

» Houzeo Reviews: Find out why Houzeo is one of Florida’s best Flat Fee MLS listing services.

How Can You Save on Real Estate Commission in Florida?

To save on real estate commissions in Florida, consider negotiating with your agent. The NAR settlement now allows you to negotiate buyer’s Realtor fees in Florida.

You can also opt for Flat Fee MLS Listing services like Houzeo and eliminate the 3% listing agent fee. Your home can be on the MLS within 24 to 48 hours. You will also get 24/7 customer support.

It will help you save thousands on commissions. Your listing will also receive maximum exposure via top real estate websites like Zillow, Trulia, Redfin, and more. As the real estate market in Florida evolves, it’s essential to stay informed and take advantage of these changes.

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