- Sales Associate
- A licensee who performs real estate services for compensation but must work under the supervision of a licensed broker; a sales associate cannot operate independently.
- Broker
- A licensee qualified to operate a real estate business independently, hold escrow funds, and supervise sales associates and broker associates who work under the brokerage.
- Fiduciary Duties
- The legal obligations a licensee owes to a principal, commonly summarized by the acronym OLD CAR: Obedience, Loyalty, Disclosure, Confidentiality, Accounting, and Reasonable care.
- Single Agent
- A brokerage relationship in which the licensee represents either the buyer or the seller (but not both) with full fiduciary-style duties owed to that one party.
- Transaction Broker
- A brokerage relationship in which the licensee provides limited representation to a buyer and/or seller without full fiduciary duties, acting as a neutral facilitator; in Florida this is the presumed relationship unless another is established.
- Escrow (Trust) Account
- A separate account where a broker holds funds—such as earnest money deposits—belonging to others, kept apart from the broker's own operating funds to prevent commingling.
- Commingling
- The prohibited practice of mixing clients' or customers' escrow funds with a broker's personal or business operating funds.
- Fee Simple
- The most complete form of real property ownership, granting the owner full rights to the property for an unlimited duration, transferable by sale, gift, or inheritance.
- Encumbrance
- Any claim, lien, easement, or restriction on a property held by a party other than the owner that may limit its use or transfer, such as a mortgage or easement.
- Deed
- The legal instrument used to transfer title to real property from a grantor to a grantee; different deed types (such as warranty or quitclaim) offer different levels of title protection.
- Comparative Market Analysis (CMA)
- An estimate of a property's likely selling price derived by comparing it to recently sold, similar nearby properties; it is a pricing tool a sales associate may prepare and is distinct from a formal appraisal.
- Passing Score
- On the Florida Real Estate Sales Associate Exam, a candidate must earn a grade of 75 points or higher to pass the 100-question exam, which allows 210 minutes to complete.
- Broker
- A person licensed to operate a real estate brokerage and to supervise sales associates; a broker may work independently and hold others' licenses.
- DBPR (Department of Business and Professional Regulation)
- The Florida state agency that oversees professional licensing, including real estate licenses, and houses the regulatory boards.
- FREC (Florida Real Estate Commission)
- The regulatory body within the DBPR that administers and enforces Florida's real estate license law and adopts rules governing licensees.
- Escrow (Trust) Account
- A separate bank account in which a broker holds funds belonging to others, such as earnest money deposits, until a transaction closes or the funds are properly disbursed.
- Fiduciary Duties
- The legal obligations an agent owes a principal, commonly remembered as OLD CAR: Obedience, Loyalty, Disclosure, Confidentiality, Accounting, and Reasonable care.
- Transaction Broker
- A brokerage relationship in which the licensee provides limited representation to a buyer or seller without becoming a fiduciary of either party; this is the default relationship in Florida.
- Single Agent
- A brokerage relationship in which the licensee represents only one party — either the buyer or the seller — and owes that party full fiduciary duties.
- Comparative Market Analysis (CMA)
- An estimate of a property's likely selling price based on recent sales of comparable properties, used by licensees to help price a listing.
- Passing Score
- The minimum result required to pass the Florida sales associate exam, which is a grade of 75 points or higher out of the 100 multiple-choice questions.
- Steering
- The illegal practice of guiding prospective buyers toward or away from particular neighborhoods based on race, religion, or other protected characteristics, prohibited under fair housing law.
- Escheat
- The reversion of property to the state when an owner dies without a will and without any identifiable heirs to inherit it.
- Broker
- A licensee qualified to operate a real estate business independently, employ sales associates, and hold escrow deposits; brokers carry supervisory responsibility for the associates registered under them.
- Fiduciary Duties
- The obligations a licensee owes to a principal in a single-agent relationship — commonly summarized as loyalty, confidentiality, obedience, disclosure, accounting, and reasonable care.
- Single Agent
- A brokerage relationship in which the licensee represents only one party — either the buyer or the seller — in a transaction and owes that party full fiduciary duties.
- Transaction Broker
- A brokerage relationship in which the licensee provides limited representation to a buyer and/or seller without full fiduciary duties, facilitating the transaction while remaining honest and dealing fairly with both.
- Escrow (Trust) Account
- A separate, non-interest or interest-bearing account in which a broker holds funds belonging to others, such as earnest money deposits, keeping them apart from the brokerage's operating funds.
- Earnest Money Deposit
- A good-faith sum a buyer submits with an offer to show serious intent to purchase; it is typically held in escrow and applied toward the purchase price at closing.
- Steering
- An illegal fair-housing practice of guiding prospective buyers or renters toward or away from particular neighborhoods based on a protected characteristic such as race, religion, or national origin.
- Novation
- The substitution of a new contract or a new party for an existing one, with all parties' consent, so that the original obligation is extinguished and replaced.
- Encumbrance
- Any claim, lien, easement, or restriction on a property held by a party other than the owner that may limit its use or transfer, such as a mortgage or an easement.
- Ad Valorem Tax
- A property tax levied "according to value," calculated by applying a millage rate to the assessed value of real estate.
- Passing Score
- The minimum result required to pass the Florida Sales Associate exam, which consists of 100 multiple-choice questions taken over 210 minutes; a candidate must earn a grade of 75 points or higher.
- Sales Associate
- A licensed individual who performs real estate services for compensation under the supervision of a licensed broker and may not operate independently.
- Sales Associate
- A person licensed to perform real estate services for compensation while working under the supervision of a licensed broker; a sales associate cannot operate independently or hold escrow funds in their own name.