• The flat fee that you pay replaces the much higher listing fee, usually 2.5 to 3.5 percent of the sales price, that you otherwise would pay if you were using a full service Listing Broker in your local area. As a result, you will not have to pay additional fees to the listing broker that are typically based on the contract selling price. See Flat Fee MLS Hypothetical Illustration.

• The arrangement between the real estate broker and the property owner ("seller") typically requires that the parties enter into an exclusive-agency listing agreement, a listing contract under which the owner appoints a real estate broker as his or her exclusive agent for a designated period of time to sell the property, on the owner’s stated terms. The owner reserves the right to sell without paying a commission if he or she sells to a prospect who has not been introduced or claimed by any specific broker (i.e. a partially "Brokerless MLS" transaction). In return, the seller will be required to pay the listing broker a flat fee for his/her limited services provided.

• You will, however, be required to pay a Cooperating Brokerage fee, usually between 1.5 to 3.5 percent, stated as a percentage of the total purchase price. The title agent conducting your closing will be be instructed, pursuant to your purchase and sales agreement (or listing agreement), to disburse any fees due to the Cooperating Broker.

[ Back ]