The real estate industry, unlike other professions, has its own names and titles. This can sometimes be confusing. Sometimes, titles such as real estate agent and realtor are used interchangeably. Both professions are different, not only in terms of educational qualifications but also require different skill sets.
This post will take a closer look at the differences between real estate agents and realtors.
What is the difference between a realtor and a real estate agent?
Realtor
A Realtor is also known as a broker, appraiser, counselor, or property manager. To be a Realtor in the United States, you must be an active member of NAR (National Association of Realtors). To become a Realtor, one must complete coursework and pass the licensing exam.
They also have to agree to follow NAR’s code. Realtors must adhere to this code of ethics and put the interests of their clients above their own.
Real estate agent
A real estate agent is someone who assists people in buying or selling their residential or commercial property. You can choose to be a buyer’s agent or a listing agency. There is a difference between the two: buyers’ agents help potential owners find and purchase property while listing agents help sellers sell their property.
Real estate agents must complete coursework in order to be licensed. There are different classes and exams that potential real estate agents must take depending on where they live.
An agent who is a good realtor should have a thorough understanding of the laws in their area and current trends in property markets. Negotiations are an essential part of every real estate agent’s job as they act as intermediaries between buyers and sellers. All real estate agents are Realtors, given the similarities.
Are all real estate agents realtors?
Real estate agents and Realtors are identical in terms of skills and responsibilities. What is the difference between a realtor and a real estate agent? Real estate agents can purchase or sell a property without being Realtors.
However, a real estate agent can’t be a Realtor if he or she is not a member of NAR.
These are the basic differences.
- Education: Real estate agents must complete 30 to 90 hours of classes from accredited institutions before they can be licensed. A real estate agent is one who has completed a pre-licensing program and passed the licensing exam to become a Realtor.
- The NAR Code of Ethics for Realtors: Realtors are not real estate agents. Instead, the NAR Code of Ethics for Realtors outlines the rules that they must follow when dealing with clients or other Realtors. The code of ethics covers the duties of Realtors toward clients and customers. Articles 1 through 9 are protected. The duties of Realtors are to the public in Articles 10-14, and the duties of Realtors are to other Realtors in Articles 15-17.
What is a real estate broker?
It’s easy to assume that real estate agents are the same role as brokers based on their job description. A broker, however, is an independent businessperson who sells real property owned by others.
Brokers can help property owners rent or manage their property for a fee. To obtain their license and designation, brokers must complete additional education. Brokers can either work for themselves or with agents.
Each transaction in real estate is overseen by a designated broker, who takes responsibility for the actions of agents working for him.
What are the differences between real estate agents?
Seller’s agent (also known as listing agent)
The seller’s agent represents the person selling their property. They will work with you from the time you market your property to the moment you close the deal. A seller’s agent can play the following roles:
- We can help you stage your property
- Multiple marketing platforms allow you to list your property
- Potential buyers can view the property
- Negotiate on your behalf with buyers
Seller’s agents are not paid if the property does not sell. Expect to be paid 5 to 6% if your property is sold.
Buyers Agent
The buyer’s agent is there to represent the best interests of both the homebuyer and their property. They assist the buyer in every buying process, from the initial search to closing. A buyer’s agent plays the following key roles:
- We can help you find your dream property
- Negotiating the best price for you
- Meet and confer with property inspectors
- Handling paperwork
Rental Agent
This agent is responsible for managing rental properties. They can help you find tenants that are successful, offer services to tenants, and assist with leasing management.
How can I find the right person to help with my home purchase or sale?
When looking for their services, it is essential to understand the differences between real estate agents and Realtors. Here are some things you need to know:
- Agents in real estate can work either independently or for a brokerage company.
- NAR rules ensure that Realtors are held to a higher standard.
- Brokers are more educated than real estate agents.
Here are some tips to consider when selecting any one of these:
Experience
An agent in real estate should work with you and understand the local market and the neighborhood where you are selling or buying. A professional with experience should be able to guide you through the process. Remember to look at their core values as well as their experience.
Negotiating skills
Remember that your representative will act as a buffer between the various parties. They should be able to advise you objectively, and they should help you navigate the negotiation process in your best interest.
The local area
You should be able to speak with the person you select about the area. This includes knowledge of schools, crime rates, location, and proximity to important amenities. They will also assess whether the prices set are fair and competitive for the property type and market.
Professional network
Real estate professionals will be able to connect you with other professionals in the industry, such as appraisers, staging companies, and inspection companies, besides previous clients.
The bottom line
There are many professionals in the real estate business. You can trust that a real agent and a realtor will be able to assist you in the sale or purchase of your property.
