In Florida, a transaction broker:
Question & Answer
Review the question and all answer choices
Represents the buyer only
Answer A is incorrect because a transaction broker does not exclusively represent the buyer — by definition, a transaction broker provides limited representation to facilitate the transaction without being a dedicated advocate for either the buyer or the seller, and representing only the buyer would describe a single agent buyer's representative instead.
Represents the seller only
Answer B is incorrect because a transaction broker does not exclusively represent the seller; seller-only representation describes a single agent listing relationship, not a transaction broker relationship, which is specifically designed to avoid the exclusive advocacy that characterizes single agency.
Provides limited representation to both parties
Is not a legal relationship in Florida
Answer D is incorrect because transaction brokerage is not only a legal relationship in Florida — it is the default and most commonly used brokerage relationship in the state, expressly authorized and defined by Florida Statute §475.2755, and brokers must actively disclose this relationship to their customers.
Why is this correct?
Answer C is correct because Florida Statute §475.2755 defines a transaction broker as one who provides 'limited representation' to a buyer, a seller, or both in a real estate transaction, and this limited representation explicitly means the broker is not an advocate or fiduciary for either party. The transaction broker's role is to facilitate the transaction rather than to advance one party's interests over the other's, which is why the statute carefully uses the phrase 'limited representation' rather than 'full representation' or 'agency.' Florida further designates transaction brokerage as the presumed default relationship unless the parties agree in writing to a single agent or no brokerage relationship, making it the most common form of real estate brokerage in the state.
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