In certain situations, you may choose to give a portion of your commission back to a client, waive your commission, or provide a credit at closing. To stay compliant, these actions must be disclosed to all parties and documented properly.

Legal & Regulatory Notes

• Disclosure Requirement: In every state, if you rebate part of your commission to a client, it must be disclosed to all interested parties in the transaction. This includes the Buyer, Seller, Title Company, and Lender.

• HUD Guidance: According to the U.S. Department of Housing and Urban Development (HUD), commission rebates must be listed as a credit on the settlement statement, and the party providing the credit must be clearly identified. Read more here.

⚠️ Florida-Specific Note:
The Florida Real Estate Commission (FREC) Rule 61J2-10.028(2) specifically allows licensees to share brokerage compensation with a party to the transaction, provided there is full disclosure to all parties. All commission reductions in Florida must also be signed by the broker.

Dalton Wade Policy

Dalton Wade requires that any commission rebate, credit, or waiver be documented using the DW Commission Rebate-Credit-Waiver Disclosure Form.

This form is required if you are:

• Rebating a portion of your commission to your client

• Waiving your commission

• Providing a credit to your client

Adding the Form in Dotloop

1. Go to your Initial Docs or Mid-Transaction Docs folder.

2. Click Add Document (to the right of the folder name).

3. Select Templates.

4. Open the Dalton Wade Custom Forms folder.

5. Locate the DW Commission Rebate-Credit-Waiver Form.

   • Shortcut: type comm in the search bar (magnifying glass) and the form will appear.

6. Check the box next to the form and click Copy.

7. Fill out the form, sign it, and share with the broker in Dotloop for their signature.

8. Once signed, forward to the Title Company and Lender (if applicable).

CDA (Commission Disbursement Authorization) Notes

• Personal Transactions:

  • For personal sales or purchases, you must create a loop in Dotloop.

  • You are responsible for completing the CDA and paying the Dalton Wade transaction fee.

• Personal Sale:

  • If Section 8 (Compensation/Commission) of the listing agreement states “$0”, you do not need to complete the DW Commission Rebate-Credit-Waiver Form.

• Personal Purchase:

  • This form must be completed.

  • On the CDA, in the Commission Explained box, note that you are waiving the commission and will mail the DW fee directly to the office.

Mailing Commission Fee (if waived):

• Write a check payable to Dalton Wade, Inc.

• Include the property address on the check memo line to ensure proper recording.

• Mail to the office address listed on Line 1 of your CDA.