Real Estate Attorney vs Realtor in Florida: Who Do You Need to Sell Your Home?

The real estate attorney vs Realtor question comes up early for most Palm Beach County sellers, and the short answer is that Florida does not require an attorney to close a home sale. A licensed title agent can close it. Still, each of these people does a different job. A Realtor prices, markets and negotiates the sale. An attorney gives legal advice and fixes legal problems. A title agent runs the closing. This guide explains what each one does, how Florida law defines your agent's duties, when you want both, and what the main costs look like on a $500,000 sale.

Key takeaways

• Florida has no rule that an attorney must close a home sale. Licensed title agents close most deals, and Florida Bar attorneys can close them too.
• A Realtor handles pricing, marketing, showings, offers and the standard Florida Realtors/Florida Bar contract. An attorney handles legal review, title defects, probate, liens and disputes.
• Under s. 475.278, Florida Statutes, your agent is presumed to be a transaction broker unless you agree in writing to a single agent or no brokerage relationship.
• On a $500,000 Palm Beach County sale, deed doc stamps are $3,500 and the owner's title policy is about $2,575 at the state's published rates.
• Many sellers use a Realtor and bring in an attorney only when the file has a legal problem.

Real estate attorney vs Realtor: the short answer

Most Florida home sales close without a seller's attorney. That is legal, and it is common. The Florida Department of Financial Services says licensed title insurance agents can close a sale when title insurance is issued. Florida Bar attorneys can also close, either through a licensed title agency or through their own law office.

So the choice is less about who is allowed to close and more about what help you need. If your title is clean and the sale is simple, a Realtor and a title agent can carry the file. However, if the home came through an estate, carries a lien, or sits in the middle of a divorce, an attorney earns the fee.

The Florida Bar takes a cautious view, and sellers should hear it. Its consumer pamphlet on buying and selling a home calls legal help "prudent" and suggests hiring a lawyer before you sign the contract. It also points out that the closing agent may not represent your personal interest.

What a Realtor does when you sell

A listing agent's job is to get the home sold for the best price and terms the market will bear.

• Pricing the home from recent sales nearby, then adjusting for condition, view and timing.
• Preparing the home and the listing: photos, description, MLS entry and showings.
• Screening buyers and their lenders, then collecting and presenting every offer.
• Negotiating price, deposit, deadlines, repairs and credits.
• Filling in the standard contract and tracking each deadline until closing day.

That last task has a legal limit. In Keyes Co. v. Dade County Bar Ass'n, decided in 1950, the Florida Supreme Court held that brokers may fill in sale contracts for deals they negotiate. Drafting other legal documents, however, is the practice of law. So your Realtor can complete the contract, but should not write a custom deed or a settlement agreement for you.

Real estate attorney vs Realtor on the standard Florida contract

Most South Florida sales are written on a form from Florida Realtors. It offers the joint Florida Realtors/Florida Bar Residential Contract for Sale and Purchase, an "AS IS" version of the same form, and a separate Realtors-only form. The joint forms come from a committee of 13 attorneys appointed by The Florida Bar and 13 Realtor members appointed by Florida Realtors.

In other words, lawyers already helped write the contract your Realtor fills in. That is one reason many simple sales close without a separate attorney. Our page on the Florida real estate contract walks through the main sections.

What a real estate attorney does that a Realtor cannot

An attorney works for you and gives legal advice. The Florida Bar lists the work a lawyer can do in a sale. A lawyer can review the contract before you sign it, examine the title and find defects, and prepare title commitments. A lawyer can also advise you on the warranties in your deed and explain title insurance and financing terms.

Beyond that list, sellers in our area usually call an attorney for one of these reasons:

• The home is part of a probate or estate sale, and the court process controls who can sign.
• A lien, judgment or old mortgage shows up on the title search.
• Owners are divorcing or co-owners cannot agree, and a partition is possible.
• A buyer or seller is in a dispute over a deposit, a deadline or a repair.
• The seller is selling by owner, with no agent on their side of the deal.

An attorney does not market the home, run showings or find buyers. That work stays with the Realtor. If you plan to sell by owner, read our guide to selling a house by owner in Florida first, because the legal and pricing work then falls on you.

Real estate attorney vs Realtor fees: how attorneys charge

The Florida Bar describes several fee setups: hourly fees, flat fees, contingency fees (which must be in writing) and retainers. The Bar notes that flat fees are common for routine matters such as real estate. Fees vary by firm and by how messy the file is. Ask for a written quote before you hire anyone.

Real estate attorney vs Realtor vs title agent

Sellers often mix up the attorney and the title agent, so here are the three roles side by side.

The Realtor finds the buyer and gets the contract signed. Next, the title agent (or title company) searches the record, issues the title policy, holds funds and runs the closing. An attorney, when you hire one, gives you legal advice and can also close the deal.

Title agents need a license from the Department of Financial Services. To get one, a person completes a 40-hour course with 3 hours of ethics, or 12 months of supervised experience, and then passes an exam. Florida Bar attorneys in good standing are exempt under s. 626.8417, Florida Statutes.

Who picks the title agent? The DFS says that whoever pays the title premium generally chooses the closing agent, with lender approval when there is a loan. In Palm Beach County, by local custom, the seller typically pays for the owner's policy. However, the contract decides, so check yours. Our seller closing process page explains what happens in the weeks before closing day.

Your agent's duties under Florida law

Florida law spells out what a real estate licensee owes you, and the default may surprise you. Under s. 475.278, Florida Statutes, a licensee is presumed to be a transaction broker. That holds unless you set up a single agent or a no brokerage relationship in writing.

A transaction broker owes you these duties:

• Honesty and fair dealing.
• Accounting for all funds.
• Skill, care and diligence.
• Disclosure of known facts that materially affect value and are not readily observable.
• Timely presentation of all offers.
• Limited confidentiality, unless you waive it in writing.

A single agent owes all of that, plus loyalty, confidentiality, obedience and full disclosure. The agent must give you a written disclosure before representation starts. With no brokerage relationship, the duties shrink to honesty and fair dealing, disclosure of known material facts, and accounting for funds.

So a transaction broker helps both sides close the deal but does not act as your advocate in the full legal sense. A single agent does. Neither one gives legal advice. That gap is where the Florida Bar's point about the closing agent matters, and it is also where an attorney fits.

When to hire both a real estate attorney and a Realtor

For a clean sale with clear title, most sellers here use a Realtor and a title company and skip the attorney. That works well when one owner (or one married couple) holds title, there is no estate, and the mortgage payoff is simple.

Bring in an attorney as well when the legal side gets complicated. For example, an heir selling a parent's home in Wellington may need probate before anyone can sign the deed. A couple in Boca Raton who are divorcing may need the court order to match the sale terms. A seller in Jupiter with an old contractor's lien may need a lawyer to clear it. Our page on probate and inherited property covers the estate side.

In these cases the two roles do not overlap much. The Realtor still prices and sells the home. Meanwhile, the attorney clears the path so the sale can close. A seller with a hard file usually needs both.

When an attorney alone can work

Some sellers already have a buyer, such as a relative, a neighbor or a tenant. In that case there is nothing to market, and an attorney can review or draft the paperwork and close the sale. The tradeoff is price. Without listing the home, you may never learn what the open market would have paid.

A $500,000 Palm Beach County sale: real estate attorney vs Realtor costs

Here is how the main costs break down on a $500,000 sale in Palm Beach County. Two numbers come from state rates. Your own contract and quotes fill in the rest.

• Documentary stamp tax on the deed: $3,500. Florida charges $0.70 per $100 of the price in every county except Miami-Dade. All parties are liable for the tax, no matter who agrees to pay it. In Palm Beach County it is commonly negotiated to the seller, so check your contract.
• Owner's title insurance: about $2,575 before endorsements. Florida sets the premium by rule at $5.75 per $1,000 for the first $100,000 and $5.00 per $1,000 from $100,000 to $1 million. That works out to $575 plus $2,000. This is an estimate from the published rates.
• Attorney fee: get a written quote. It depends on the firm, the fee type and the work involved.
• Realtor commission: set in your listing agreement. It is negotiable, and you agree to it before the home goes on the market.

The attorney fee and the commission pay for different work, and neither one replaces the doc stamps or the title premium. For a wider list of seller costs, see who pays closing costs in Florida.

Choosing a real estate attorney vs Realtor for your sale

Start with three questions. Do you need a buyer? Is your title clean? Is anyone likely to dispute the sale? If you need a buyer, you need a Realtor or a lot of time to do the work yourself. If the title or ownership is unclear, you need an attorney. Finally, if both are true, hire both early.

Then, interview people the same way. Ask a Realtor for a pricing plan backed by recent sales and a clear marketing plan. Also ask which brokerage relationship they offer and get it in writing. Ask an attorney what they will do, what it costs and who will handle your file. For the full seller timeline, our guide to selling a house in Florida lays out each step.

Frequently asked questions

Do I need a real estate attorney or a Realtor to sell my house in Florida?

Florida requires neither. Licensed title agents close most sales, and a Realtor is how most sellers find a buyer. The Florida Bar still suggests hiring a lawyer before you sign the contract, and an attorney is worth it for probate, liens, divorce or disputes.

Can a Realtor write my sale contract?

A Realtor can fill in a standard sale contract for a deal they negotiate. The Florida Supreme Court allowed that in 1950. Drafting other legal documents is the practice of law and belongs with an attorney.

Who chooses the title company when I sell?

Generally, whoever pays the title premium chooses the closing agent, with lender approval when there is a loan. In Palm Beach County the seller typically pays the owner's policy by local custom, but your contract decides.

Is my Realtor my advocate?

It depends on the relationship. By default a Florida licensee is a transaction broker, which means limited duties to both sides. A single agent, set up in writing, owes you loyalty, confidentiality, obedience and full disclosure.

How much does a real estate attorney cost in Palm Beach County?

Fees vary by firm and by the work. Florida attorneys may charge hourly, flat or other fees, and flat fees are common for routine real estate work. Get a written quote before you hire anyone.

This article is general information, not legal, tax or financial advice. Laws and rates change, so consult a licensed Florida attorney or other professional about your own sale.

Thinking about selling in Palm Beach County? Start with a clear price and a plan. Pure Equity will show you what your home is worth and how we would market it, and we work with your attorney when the file needs one. Get a free home value or book a listing consultation. Buying instead? Talk to a buyer's agent about homes across Palm Beach County and the Treasure Coast.

Sources

• The Florida Bar, consumer pamphlet on buying and selling a home
• The Florida Bar, consumer pamphlet on lawyer fees
• Florida Department of Financial Services, title insurance overview
• Florida Statutes s. 626.8417, title insurance agent licensing
• Florida Statutes s. 475.278, brokerage relationships
• Florida Realtors, contract law library
• The Florida Bar, notice on Florida Realtors/Florida Bar contract committee appointments
• Keyes Co. v. Dade County Bar Ass'n (Fla. 1950)
• Florida Administrative Code Rule 69O-186.003, title insurance premium rates
• Bayit Title, who pays title insurance in South Florida
• Florida Department of Revenue, documentary stamp tax