Removal of Compensation in Space Coast MLS

All compensation fields will be removed from the Multiple Listing Service (MLS). You will not be permitted to communicate offers of compensation in any portion of the MLS including but not limited to: the public remarks, private remarks, marketing remarks, showing services, and/or any product of the MLS.

If an offer of compensation is communicated within the MLS or any of the ancillary products, the offer of compensation will be removed immediately by the MLS department and you will be subject to the administrative fines as established in the Space Cost MLS Rules and Regulations.

This includes but is not limited to inputting a link on the MLS directly to a listing broker's property listing which includes the an offer of compensation.

Do you have listings in Space Coast MLS?

Action Needed by August 15!

Remove any information in Public and Private Remarks for ALL property types that mention the following:

• Bonus
• Compensation
• Commission
• Any intent to communicate the above

Compensation after August 15:

Offers of compensation are still permissible, you will now communicate and faciliate the offers of compensation off-MLS.

There are many ways to be compensated for your licensed professional services and representation in a real estate transaction and will depend on the broker-consumer negotiations.

• Listing Broker to Buyer Broker 
• Seller to Buyer Broker Buyer to Buyer Broker 
• Representation fees paid through concessions 
• A combination of above

Reminder: Any compensation paid must go through the brokerage.

Compensation is always negotiable and should always be negotiated between agents and the consumers they serve.

Where Can I Communicate Offers of Compensation?

You are still able to communicate the offer of compensation by other means outside of the MLS, this could include: 



• On the listing brokers website 
• Signs and Sign Riders 
• Social Media Text, Email and Phone Calls 
• Flyers

As we have long believed, it is in the best interest of the seller, buyers, and their brokers to make offers of compensation.

Other Property Types:

Compensation fields will be removed for all property types, this includes Residential, Residential Lease, Residential Income, Land, and Commercial. 

Prior to touring residential properties you are required to have written buyer agreements. 

Residential property is considered not less than one nor more than four residential dwelling units. 

When working with clients and customers in all other property types you are not required to have a written buyer agreement, however, will want to make sure you use an agreement that stipulates in writing how much you as a REALTOR will be getting paid in closing of the real estate transaction.

Fines for Non-Compliance:

Agents who relay offers of compensation in any way on the MLS or ancillary products will be subject to the following:

MLS Staff will immediately remove the offer of compensation

• First Violation: $1,000 fine and 2hr required MLS Course 
• Second Violation: $1,500 fine to both agent and Broker* 
• Third+ Violation: $3,000 fine to both agent and Broker*

*Required attendance at a Space Coast MLS sponsored course on Rules and Regulations Violation Notices: Violation notices are always sent to the agent and the broker of record.

Florida Realtors Forms to Consider Using:

• Form 1: Compensation Agreement - Seller to Buyer's Broker (CASB-1). This new form is a compensation arrangement in which the seller agrees to compensate the buyer's broker for procuring a buyer for a listed property. CLICK HERE TO PREVIEW CASB-1
• Form 2: Compensation Agreement - Seller's Broker to Buyer's Broker (CABB-1). This agreement memorializes any agreement between the brokers. The seller's broker, also known as the listing broker, to compensate the buyer's broker for the listed property. This agreement is property specific, and the arrangement between the brokers should relate to the listed property, not serve as a blanket agreement between the brokerages. CLICK HERE TO PREVIEW CABB-1
• Form 3: Modification to Compensation Agreement - Seller to Buyer's Broker. This form allows the parties to make changes to any material terms of the underlying compensation agreement between the seller and the buyer's broker. CLICK HERE TO PREVIEW MCA-2
• Form 4: Modification to Compensation Agreement - Seller's Broker to Buyer's Broker. CLICK HERE TO PREVIEW MCA-1

Code of Ethics: Standard of Practice 16-16

Does Standard of Practice 16-16 prohibit the negotiation of buyer broker compensation in a buyer’s purchase offer?

No. A buyer can always ask their buyer broker to make it a term of an offer to purchase that the seller pay certain compensation to the buyer broker.

Standard of Practice 16-16 prohibits a REALTOR® from attempting to modify the terms of a listing agreement through the terms of an offer because the listing agreement is a contractual matter between the seller and the listing broker. However, the seller and the listing broker may independently choose to amend the listing agreement or take any other action they deem appropriate based on the seller’s negotiations with the buyer. Standard of Practice 16-16 also prohibits a REALTOR® from delaying or withholding delivery of a buyer’s offer while attempting to negotiate a buyer broker compensation.