Florida Transaction Broker vs. Single Agent: The 3 Relationships (2026)

Under Florida's Brokerage Relationship Disclosure Act (Section 475.278), a licensee can work with the public in only three ways: as a transaction broker, as a single agent, or with no brokerage relationship. Florida presumes every licensee is a transaction broker unless a single agent or no brokerage relationship is set up in writing. Dual agency, meaning one agent representing both buyer and seller as a fiduciary in the same deal, is not allowed. The difference that matters most: a single agent owes full fiduciary duties (including loyalty and confidentiality), while a transaction broker gives limited representation to one or both sides and owes no fiduciary duty. This section is 7% of the state exam, and it is one of the places Florida differs most from what national textbooks teach. For the chapter-length version, see authorized relationships, duties and disclosure.

A transaction broker provides limited representation to the buyer, the seller, or both, and owes these duties: 1. Dealing honestly and fairly. 2. Accounting for all funds. 3. Using skill, care and diligence in the transaction. 4. Disclosing all known facts that materially affect the value of residential property and are not readily observable to the buyer. 5. Presenting all offers and counteroffers in a timely manner, unless a party has directed otherwise in writing. 6. Limited confidentiality, unless waived in writing. 7. Any additional duties that are mutually agreed to. Limited confidentiality means the transaction broker may not reveal that the seller will take less than the asking price, that the buyer will pay more than their written offer, either party's motivation, that a party will accept different financing terms, or anything else a party asks to keep confidential. What limited confidentiality never covers is a known material defect. A transaction broker who knows the roof leaks must disclose it, no matter who asks them to keep quiet.

A single agent represents either the buyer or the seller, never both in the same transaction, and owes nine duties: 1. Dealing honestly and fairly. 2. Loyalty. 3. Confidentiality. 4. Obedience. 5. Full disclosure. 6. Accounting for all funds. 7. Skill, care and diligence. 8. Presenting all offers and counteroffers in a timely manner, unless directed otherwise in writing. 9. Disclosing all known facts that materially affect the value of residential property and are not readily observable. The four duties a single agent owes that a transaction broker does not are loyalty, confidentiality, obedience and full disclosure. Those four are the fiduciary duties, and they are the most tested fact in this whole area. A simple way to remember them is that a single agent is on one side, so they owe that side their loyalty, their silence, their obedience and everything they know.

A licensee can also deal with someone without representing them at all. The common examples are a seller's single agent working with an unrepresented buyer, or a licensee dealing with a For Sale By Owner seller while representing the buyer. With no brokerage relationship, the licensee owes only three duties: 1. Dealing honestly and fairly. 2. Disclosing all known facts that materially affect the value of residential property and are not readily observable to the buyer. 3. Accounting for all funds entrusted to the licensee. Notice that these three duties appear in all three relationships. Every Florida licensee, whatever the relationship, must be honest, must disclose known hidden defects in residential property, and must account for money.

The disclosure rules apply to residential sales, which Florida defines as the sale of improved residential property of four or fewer units, unimproved residential property intended for four or fewer units, or agricultural property of 10 or fewer acres. 1. Transaction broker: no notice is required, because the relationship is presumed. 2. Single Agent Notice: before, or at the time of, entering into a listing or representation agreement, or before the showing of property, whichever comes first. 3. No Brokerage Relationship Notice: before the showing of property. The broker keeps signed disclosures for at least 5 years. Disclosure is not required for nonresidential deals, rentals and leases (unless there is an option to buy), auctions, appraisals, open houses and model home visits where no confidential information is sought, casual conversations, or general factual questions about advertised property. The exam trap: a notice handed over at contract signing, after the agent already showed the house, is late.

A single agent can switch to transaction broker partway through a relationship, but only with the principal's written consent, given before the change, on the statutory Consent to Transition to Transaction Broker notice. The form explains that the principal gives up loyalty, obedience, full disclosure and confidentiality and keeps only limited confidentiality. The classic situation: you are a buyer's single agent, and your buyer falls in love with a house your own brokerage has listed. Because Florida bans dual agency, the brokerage cannot be a single agent for both sides. The answer is to get the consent signed and act as a transaction broker for both. Going the other way, from transaction broker to single agent, needs no transition form, but the Single Agent Notice must be given.

Florida's one exception to the no-dual-agency rule is the designated sales associate (Section 475.2755). In a nonresidential transaction where the buyer and seller each have assets of $1 million or more and both ask for it in writing, the broker may designate one sales associate as single agent for the buyer and another as single agent for the seller. It never applies to residential sales. A brokerage relationship ends when the deal closes, the agreement expires, the parties agree to cancel, a party breaches or abandons the agreement, the broker or principal dies or becomes incapacitated, a party goes bankrupt, or the property is destroyed or condemned. One more point that shows up on the exam: the relationship belongs to the broker, not the sales associate. If an associate leaves the brokerage, the listings stay with the broker. Want to test yourself on these? The free Florida practice exam includes questions on brokerage relationships alongside the rest of the 19 content areas.