When buying or selling a home, clients expect to pay certain costs—things like inspections, appraisals, and standard commissions. But one fee that often raises eyebrows is the broker transaction fee, also known as an admin, compliance, or processing fee. This charge—typically between $200 and $600 or more—is added by some brokerages to cover internal administrative tasks related to your transaction.
At Bay Realty Michigan, we don’t believe in passing that cost along to our clients. That’s why we never charge a broker transaction fee—ever.
The issue isn’t necessarily the fee itself—it’s the lack of transparency. Many buyers and sellers aren’t told about the broker transaction fee until they’re reviewing closing paperwork. By then, it can feel like a surprise charge with no clear justification.
Even more concerning, some agents may never bring it up at all during the initial consultation or listing presentation, leaving clients unaware until it’s too late to ask questions or push back.
Before starting Bay Realty Michigan, we worked at a brokerage that required us to charge clients a broker transaction fee. It was never easy to explain, and honestly, we struggled to justify it. Clients would often ask, “What exactly is this fee for?”—and we didn’t have a solid answer beyond “It’s just what the brokerage charges.”
Over time, that didn’t sit right with us. We felt the fee was unnecessary, especially when our clients were already paying a fair commission for our services. It became clear that the best way to provide honest, transparent service was to remove these types of hidden costs altogether. That’s a big part of why we left that brokerage and founded Bay Realty Michigan.
Our philosophy is simple: clients should never be surprised by unexpected charges. If there’s a fee, we’ll talk about it up front. In our case, there isn’t one. We include everything—contract management, compliance, paperwork, marketing support—within the standard commission. No nickel-and-diming. No fine print.
If you’re talking with other agents or considering relisting your home, we encourage you to ask about broker transaction fees. Some brokerages don’t bring them up until the closing table. You deserve that information from the beginning so you can make informed decisions.
If you're ready to sell or just exploring your options, we’d love to connect. With Bay Realty Michigan, you get full-service support with no hidden fees and no pressure—just honest, experienced guidance every step of the way.