How commission works | Getting low rates | Low commission companies | Methodology
📊 The data: We polled local agents and found that the average real estate commission in Florida is 5.50%, which is higher than the national average of 5.45%. |
For a house sold for $259,642, this rate translates to $14,280 in real estate agent commission costs.
Realtor commission is usually the largest cost that home sellers face, but the upside is that it also represents the biggest potential for savings.
» MORE: Learn how Clever can help you save on commission.
Below, we cover everything you need to know commission costs in Florida and also give you tips for getting low rates.
How real estate agent commission works in Florida
There are two real estate agents involved in a typical home sale:
- The seller's agent (also called the listing agent), representing the home seller
- The buyer's agent, who represents the person buying the home
The seller's and buyer's agent get paid a percentage of the home's final price when the sale is finalized. This payment is called real estate agent commission, and is baked into the sale price of a home and split between the two agents.
» LEARN: More about how real estate commissions work.
Based on our research, the average commission split in Florida has 49.79% of the commission going to the listing agent and 50.21% going to the buyer's agent.
Who pays for real estate commissions?
Home sellers are responsible for paying the real estate commission of both the agent representing them, as well as the agent representing whoever buys their home.
However, since the realtor commission is baked into the sales price you could say that the home buyer is paying — at least in-part — through a higher sales price.
» MORE: Who pays realtor commission.
How to save on real estate commission in Florida
💰Best ways to save While there are a number of options for home sellers looking to save on commission, good options for most home sellers include:
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» MORE: Options for saving on realtor commission
If you’re preparing to sell a home in Florida, you’re in luck. The Sunshine State is experiencing a hot seller’s market — which means you may be able to negotiate a lower-than-normal commission rate.
Best of all, home values are on the rise. Currently, Florida’s median sale price is $294,000, with most homes selling at or close to their listing prices. That’s nearly 20% higher than the 2019 median home value of around $246,000.
When demand for homes skyrockets, agents don’t have to hustle quite as hard to close deals. As a result, you may be surprised by their willingness to budge on commission.
Below we cover how you can negotiate lower rates, and list some of our recommendations of low commission real estate companies that you should consider.
Tips for negotiating realtor commission in Florida
Successfully negotiating commission rates depends mainly on two factors: your situation and the housing market.
Factor | You may have an easier time negotiating low rates if... |
|---|---|
Your situation |
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The Florida housing market |
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» LEARN: How you can negotiate lower commission rates.
While the personal factors that affect your ability to negotiate commission rates are unique to you, the local real estate market conditions will affect all home sellers in Florida.
In a seller's market — where home sellers have more leverage than buyers — a listing agent's job is easier and they may be more inclined to offer lower commission rates. The opposite is true in a buyer's market.
📖Definitions Months of inventory, is measured by dividing the homes listed for sale in the most recent month by the number of homes actually sold in that month. It is a key indicator of how much supply and demand there is for houses in a market. Sale-to-list is calculated by dividing the median sale price by the median listing price in a given area. If homes in your area are generally selling for more than their listing price, that is a good indication that you are in a seller's market. Home values rising in your area indicate that demand is growing. Whereas if this figure is falling, then it's more likely that homes in your area are becoming less desirable. |
To judge the current state of the real estate market, you can look at three factors: months of inventory, sale to list price, and home value trends. Below, we've included a current breakdown of these factors in Florida.
Stats and facts: The current state of the Florida real estate market
Factor | Trends | Indication |
|---|---|---|
Months of inventory | There's 1.4 months of housing inventory on the market | Seller's market |
Sale-to-list price | Homes are selling for 97.30% of their listing price | Seller's market |
Home value | Home values have risen/fallen 5.64% year over year | Seller's market |
Low commission real estate companies in Florida
Home sellers looking to save money when selling their home should consider a low commission real estate company. To help you out, Clever has picked some of the top discount and flat-fee MLS services across the state:
Discount real estate brokers in Florida
Discount real estate brokers are companies that will list your home for a reduced commission percentage or flat rate. The catch is that the service might not be on-par with what you'd get from a top local agent.
Clever
Clever Real EstateListing Fee
1% (minimum $3,000)
Clever Cash Back
0.5% on homes over $150,000
Avg. Customer Rating
4.8/5 (386 reviews)
- Clever Real Estate is a nationwide, online concierge and agent matching service for sellers and buyers — learn more
- Buyers and sellers are matched with multiple highly rated agents from major brands, such as Keller Williams, Century 21, Compass, RE/MAX, and more
- Sellers choose a full-service agent and pay a flat, $3,000 fee — or just 1% for homes more than $350,000
- Buyers may be eligible for 0.5% back after closing (in qualifying locations)
Clever has pre-negotiated lower commission rates with top agents in all 50 states, D.C., and Puerto Rico
Pros
| Cons
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As of May 20, 2020, Clever's average customer rating is 4.8/5 based on 386 reviews on Trustpilot.
- Trustpilot: 4.8/5 (379 reviews)
- BBB: An A rating
REX Real Estate
REX Real EstateListing Fee
2% ($9,000 min.)
Buyer Rebate
Up to 1-1.5%
Avg. Customer Rating
4.6/5 (536 reviews)
- Sellers get full service (minus MLS access) for a 2% listing fee — $9,000 minimum fee for homes below $450,000
- REX does not post listings on the MLS. Instead, it uses digital advertising to target unrepresented buyers and help you avoid paying a buyer’s agent commission (typically 2-3%)
- This may significantly reduce your pool of prospective buyers (roughly 87% of buyers work with agents), making it harder to attract offers
- Represented buyers must cover their agent's fee themselves, which could hinder their ability or desire to purchase your home
- If you buy a non-REX home with a REX agent, you may qualify for a 1-1.5% commission rebate. If you buy a REX-listed home, you are not eligible for a rebate
| Arizona | California | Colorado |
| New Jersey | New York | Florida |
| North Carolina | Georgia | Pennsylvania |
| Oregon | Illinois | Texas |
| Maryland | Vermont | Massachusetts |
| Virginia | Nevada | Washington, D.C. |
Pros
| Cons
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As of May 20, 2020, REX Real Estate’s average customer rating is 4.6/5 based on 536 reviews across Zillow, Facebook, and Google. See the breakdown below.
>> VIEW REX’s Better Business Bureau profile here.
*These reviews are for REX's main California office. Reviews may vary by location. We recommend conducting your own research for customer reviews specific to your area.
» MORE: About discount real estate brokers.
Flat-fee MLS listing services Florida
Flat-fee MLS listing services offer to post your home on your local MLS for a low rate often around $100-300. The trade-off is that you'll have to handle almost the entire home-selling process yourself. If you're a real estate novice, this might not be a good option for you.
beycome
beycomePrice Range
$99-299
Number of Photos
36
Listing Term
Until sold
- Beycome is a real estate brokerage that offers flat-fee MLS listing services to for sale by owner (FSBO) sellers in Florida, Illinois, Minnesota, Georgia, and Rhode Island.
- Beycome’s lower-tier programs are also offered in California and South Carolina.
- Listing will be syndicated on other sites like Realtor.com, Zillow, Redfin, IDX, and more
- Listing typically goes live within 36 hours
- Unlimited changes, photos, and no expiration on listing term
- Built-in comparative market analysis (CMA) tools
- Offers a 90-day money-back guarantee
$99 - Flat Fee MLS
| $199 - Flat Fee MLS Premium
|
Pros
- All inquiries and leads directly forwarded to you
- Built-in home valuation tools
- Unlimited listing term
- 90-day money-back guarantee (unless you close, are under contract, or you receive at least 2 legitimate offers)
- Live customer support
Cons
- While beycome offers more built-in services than most flat-fee MLS companies, you’ll still get limited service and support with your listing
- Free downloads for forms and documents, but no support or legal oversight
- Flat Fee MLS Max package not offered in California or South Carolina
As of July 31, 2020, Beycome has an average rating of 4.4/5 based on 228 reviews across Zillow, Facebook, and Google.
Florida Flat Fee MLS
Florida Flat Fee MLSPrice Range
$188-298
Number of Photos
6-12
Contract Length
6-12 months
- Florida Flat Fee MLS is a licensed real estate brokerage in that specializes in flat-fee MLS services across the state of Florida
- 3% buyer’s agent commission (no commission if you find an unrepresented buyer)
- Agent and buyer inquiries forwarded directly to you
- Make free changes to your listing
$188 - Basic
| $298 - Premium
|
Pros
- Work directly with the broker, not a referral service
- Bulk discounts for property investors
- Inquiries forwarded directly to you — no buyer’s agent commission if you find a buyer
Cons
- Only 6 photos included in Basic package
- No a-la-carte service options
As of August 11, 2020, Doug Addeo (Florida Flat Fee MLS’s broker) has a 4.8/5 rating on Zillow (14 reviews).
» MORE: About flat-fee MLS services.
Methodology
Data on commission rates is based on a survey of 554 of our partner agents, in which we asked them to indicate the typical rates for both buyer's and seller's agents in their area.
Additionally, we utilized the following data from Zillow and Realtor.com:
- Home values, list prices, and sale prices: Based on Zillow data as of September, 2020
- Sale prices and sale-to-list ratios: Based on Redfin data as of September, 2020 (unless specified otherwise)
- Months of inventory: Based on Realtor.com data as of September, 2020