A limited service listing in real estate is a type of listing where the listing agent waives most of their duties to the seller, and the seller essentially handles the sale on their own. This article will explain how limited service listings work in Ohio and how Flat Fee Brokers facilitate this type of sale.
- How does a Limited Service Listing work?
- Limited Service Listing and Waiver of Duties Statement
- MLS NOW Statistics Comparing Limited Service to Full Service Sales
- Who typically uses a Limited Service Listing?
- A Limited Service Flat Fee Listing? Who Does What?
- How to Obtain a Limited Service Listing
- More Details on Responsibilities the Seller Must Handle
- Pros of a Limited Service Listing
- Cons of a Limited Service Listing
- Who May Want Full-Service Representation?
- Limited Service vs Full-Service Realtor
- Frequently Asked Questions About Limited Service Listings
- Final Thoughts and Summary
How does a Limited Service Listing work?
A limited service listing differs from a traditional listing because the seller takes on most of the duties that the listing agent/broker would normally do.
Specifically, a limited service listing is a type of listing allowed in the MLS NOW that lets a seller waive the normal duties of the listing broker and allow for what’s commonly known as an MLS Entry Only Listing. The Ohio Department of Commerce allows this type of listing and requires a specific form called a “Waiver of Duties Statement” signed by the seller and listing broker.
Limited Service Listing and Waiver of Duties Statement
The Waiver of Duties Statement outlines what duties the listing broker may waive and what duties cannot be waived.
Duties that can be waived
- Seeking a purchase offer at a price and with terms acceptable to the seller
- Accepting delivery of and presenting any purchase offer to the seller in a timely manner, even if the property is subject to a contract of sale, lease, or letter of intent to lease
- Answering the seller’s questions and providing information to the seller regarding any offers or Counteroffers
- Assisting the seller in developing, communicating, and presenting offers or counteroffers
- Answering the seller’s questions regarding the steps the seller must take to fulfill the terms of any contract (within the scope of knowledge required for real estate licensure)
Duties that cannot be waived
- Exercise reasonable skill and care in representing the client and carrying out the responsibilities of the agency relationship;
- Perform the terms of any written agency agreement;
- Follow any lawful instructions of the client;
- Be loyal to the interest of the client;
- Comply with all requirements of Ohio real estate licensing laws and other applicable statutes, rules, and regulations, including state and federal fair housing laws;
- Disclose any material facts of the transaction of which the licensee is or should be aware;
- Advise the client to obtain expert advice related to material matters when necessary or appropriate;
- Account in a timely manner for all moneys and property received in which the client has or may have an interest; and
- Keep all confidential information confidential, unless permitted to disclose the information pursuant to ORC 4735.74(B). This includes the duty to not disclose confidential information to any licensee who is not an agent of the client.
MLS NOW Statistics Comparing Limited Service to Full Service Sales
Here is data we obtained from MLS NOW in Ohio showing a comparison between Limited Service Listings and Traditional Listings.
| MLS NOW | Limited Service Listings | Limited Service Listings Sold | % Closed | All Listings | All Listings SOLD | % Closed |
|---|---|---|---|---|---|---|
| MLS NOW 2025 | 1,745 | 1,016 | 58% | 55,958 | 43120 | 77% |
| MLS NOW 2024 | 1,743 | 1,120 | 64% | 53,305 | 41850 | 79% |
This data clearly shows the popularity of Limited Service Listings. While the percentage rate of closed sales is lower than traditional sales, there is a significant level of success with limited service sales. What this data cannot show is the success rate of full-service flat-fee MLS listings and discount brokerages. Those sales are lumped in with the stats from traditional service listings.
Who typically uses a Limited Service Listing?
Any seller seeking to save money on listing commissions. These types of listings are typically done by a Flat Fee Listing Broker. Here are common types of sellers looking for this service
- Experienced Sellers
- FSBO and DIY Sellers
- Investors
- Builders
- Anyone who wants to save money on commissions
At Team Results Realty, we close several hundred limited service listings each year and save our combined clients over a million dollars in commissions each year.
REAL WORLD EXAMPLES: One of our sellers in the Cincinnati MLS recently saved $137,000 in commissions using our limited service plan. Another client of ours in Blacklick, Ohio, recently saved $ 69,000 in commissions with our limited service flat fee MLS service.
A Limited Service Flat Fee Listing? Who Does What?
Here is a breakdown of common duties that the listing broker does and what the seller does.
Broker Duties
- MLS listing entry
- Photo uploads
- Basic listing setup
- Syndication to Zillow, Realtor.com, and other sites
Seller Duties
- Negotiating offers
- Hosting showings
- Pricing strategy
- Handle Contracts
- Repair negotiations
- Coordinating inspections
- Find a title agent and coordinate closing
How to Obtain a Limited Service Listing
Step 1: Seller Chooses a Flat Fee MLS Company
- First, a seller must select a flat-fee listing broker. A local Ohio-based company is usually best because their brokers are more familiar with local Ohio laws and how Limited Service Listings work in the State of Ohio. Some national Limited Service (flat fee MLS) companies may operate across multiple states and may not provide Ohio-specific guidance. Sellers should carefully review all fees, services, and MLS coverage before choosing a provider. A local Ohio company will also place your listing in the appropriate local Ohio MLS, unlike many national companies that use State MLS, which is not seen by local realtors.
Step 2: Property is Entered into the MLS
- After you have selected a flat fee broker, they gather your property data and photos and will list your property on your local MLS. Your name and phone number are listed in the MLS as the appropriate contact rather than the listing broker.
Step 3: Buyer Agents Schedule Showings
- Buyer agents will reach out to you directly rather than going through the listing broker. They will contact you for showings, questions, and contracts. Also, most flat fee brokers forward buyer leads directly to you, so if the buyer doesn’t have an agent, you can contact them directly.
Step 4: Seller Handles Most Communication
- As the seller, you will handle all calls, showings, offers, and negotiations. It will be your responsibility to communicate effectively throughout the transaction.
Step 5: Seller Coordinates the Transaction
- You will be responsible for coordinating that sale all the way through closing. You will handle all inspections, repair requests, appraisals, and the closing process
More Details on Responsibilities the Seller Must Handle
Pricing the Home Correctly
In our experience of working with sellers for over 25 years, the number one most common mistake we see in limited service DIY and FSBO sellers is overpricing their homes because they don’t have access to a professional CMA.
Pricing your home correctly is crucial for attracting serious buyers and ensuring a smooth sale. Setting the price too high can discourage interest, cause your property to sit on the market longer, cause the listing to become stale, and ultimately lead to price reductions with lower offers. By pricing your home accurately from the start, you increase the chances of receiving strong offers and a quicker sale.
Managing Showings
Sellers typically handle showings on their own, coordinating directly with potential buyers to schedule appointments. They are responsible for preparing the home, being available to answer questions, and guiding visitors through the property. While this approach gives sellers more control over the process, it also requires time, flexibility, and strong communication skills to make a positive impression on buyers.
Negotiating Offers
Sellers must be prepared to handle negotiations directly with buyers or their agents. This means being knowledgeable about the market, understanding their home’s value, and staying objective during discussions about offers, counteroffers, and contingencies. Effective negotiation requires clear communication and the ability to respond to requests or concerns professionally, all while working toward a fair agreement that satisfies both parties.
Understanding Ohio Contracts
Understanding Ohio contracts and real estate laws is essential for anyone selling a home in the state. These laws outline the legal requirements for disclosures, offer procedures, and the terms of sale, helping to protect both buyers and sellers. Without a solid grasp of these regulations, sellers risk making costly mistakes or facing legal disputes. Familiarity with Ohio’s real estate laws ensures a smoother, more secure transaction.
Coordinating Closing Tasks
Closing the sale involves coordination with the title company to ensure all paperwork, payments, and legal requirements are in order. Sellers must work closely with the title company to resolve any outstanding issues, verify the transfer of ownership, and confirm that all contractual obligations are met. Additionally, arranging a final walkthrough with the buyer allows both parties to confirm the property’s condition before officially completing the sale.
Pros of a Limited Service Listing
Lower Commission Costs
The biggest advantage to a limited service listing is the huge savings in listing commission. While you still might pay a buyer agent fee, there is a significant savings on the listing fee, totaling several thousand dollars.
More Control for Sellers
A limited service listing offers sellers more control over the entire sale, including pricing, contract terms, and scheduling. The most significant aspect is that the seller maintains full control over contract negotiations.
MLS Exposure Without Full Commission
The best way to get massive exposure to a property listing is through the MLS. A limited service listing solves the issue of limited exposure while still paying a low commission, just like a FSBO.
Cons of a Limited Service Listing
Less Professional Guidance
The most obvious drawback of a limited service listing is that you are handling the selling process on your own, without the guidance of a real estate professional. This means you are solely responsible for marketing, negotiations, and handling all the complexities of the transaction.
More Time Commitment
Because you are taking on the responsibilities of a listing agent, you should expect to spend significantly more time managing all the typical tasks an agent would handle. This includes coordinating showings, marketing the property, responding to inquiries, and overseeing the entire transaction process.
Potential Pricing Mistakes
Pricing the property correctly is essential to maximizing the profits of your sale. Overpricing can cause a stale listing and lower offers. Underpricing could leave money on the table. Incorrect pricing can reduce the sale price and/or delay the sale.
Limited Negotiation Expertise
Experienced agents may negotiate better outcomes. A lack of professional negotiation skills can make it challenging to secure the best possible terms and price for your home.
Who May Want Full-Service Representation?
A first-time seller might want to use a full-service realtor and get full representation to help them navigate the difficulties of the sale. There are also very complex sales and slow market conditions where a seller could benefit from a higher level of expertise.
If a seller still wants to save on commissions, they should consider a Full Service Flat Fee Realtor or a Discount Broker. With each of these types of listings, they get the expertise they need but still pay a low fee compared to traditional agents.
Limited Service vs Full-Service Realtor
| Features | Limited Service Realtor | Full Service Realtor |
| Commission Costs | A flat fee or reduced commission, saving sellers thousands of dollars. | Charges a percentage-based commission, commonly 5%–6% of the sale price. |
| Seller Responsibilities | Seller handles most aspects of the sale, such as scheduling showings, communicating with buyers, and managing certain paperwork. | A realtor handles most day-to-day tasks and guides the seller through the entire process. |
| Negotiation Support | Limited or no negotiation assistance depending on the service package selected. | Provides full negotiation services, including offers, counteroffers, repairs, and closing terms. |
| Marketing Assistance | Typically includes MLS listing only. | Provides comprehensive marketing, often including MLS exposure, professional photography, online advertising, social media promotion, and open houses. |
| Transaction Management | Seller may coordinate deadlines, inspections, and communications. | Realtor manages contract timelines, coordinates with all parties, and helps keep the transaction on track through closing. |
Frequently Asked Questions About Limited Service Listings
Final Thoughts and Summary
A limited service listing can be an effective way for Ohio homeowners to reduce selling costs while still gaining valuable MLS exposure. However, the savings come with additional responsibilities, as sellers must take a more active role in pricing, showings, negotiations, contract management, and coordinating the transaction through closing. For experienced sellers, investors, and those comfortable managing the sales process, a limited service listing may provide the right balance of exposure and cost savings. Sellers who want to save money and prefer professional guidance, full-service support, or assistance navigating complex transactions may find greater value in a Flat Fee MLS listing that also offers Full Service or full-service real estate agents that list at a discount rate. Ultimately, the best choice depends on your experience level, available time, and how involved you want to be in the sale of your home.
