Commission Statement

Send Commission Statements to Listing Broker

A reminder from last August…  If you are accepting the buyer’s agent or facilitator compensation that is offered in the MLS, please be aware that the firm’s BROKER should send your co-broke bill (if generating one) ONLY to the listing BROKER and NOT to the closing attorney. It is the listing brokerage’s responsibility to issue the standard closing statement for their office and to communicate with the attorney on how payments are to be made. Two commission statements are confusing the CD process –  listing agents are rightfully invoicing for the full brokerage commission due as outlined in the Exclusive Right to Sell, and arranging to pay cooperating brokerage commission outside of the transaction to satisfy their agreement to pay the procuring cause of sale made in the MLS – and responsible for the tax reporting for cooperative payments that it requires. If a listing broker makes an alternative arrangement, that is THEIR prerogative and the buyer Broker should not interfere. Watch your upcoming REcap for best practices for prompt payment of a co-brokerage check since REALTORS are not attending closings. (hint: we say PROMPT for a reason!)