Real estate is such a vast industry and the truth is, there are a lot of different careers in it that are so intertwined that it’s virtually impossible to tell which is which. For instance, many have a difficult time differentiating realtors, brokers, and real estate agents. To be honest, I was one of those people who couldn’t tell the difference, until I was able to.
And that’s why I am here today, to make sure that you also get to know the difference. It might not seem as much, but trust me, whenever you find yourself in the real estate business, these seemingly trivial matters could me a whole mile of difference. So, without further ado, here are the differences between the three titles. But first, let’s start with realtors.
What’s a realtor?
A realtor can be best described in layman terms as an individual who is part of the realtor’s association. It’s as simple as that. The latter means that anyone in the real estate business can also be a realtor as long as they are registered with the realtor’s association. The latter might mean brokers, agents, appraisers, sales personnel, and the list goes on and on.
It’s extremely important to note that not just anyone can make the cut and be granted the title of realtor. He or she must have the right qualifications in their respective fields. For instance, if you want to become a realtor, then you have to not only be qualified in that particular field but can prove your competitiveness in some way.
Realtors also have to abide by a code of ethics that binds them to a certain level of standards, one that they ought to never break or lower at any given moment. The code by which a realtor is expected to abide by includes being transparent at all times as well as honest with all the clients they deal with. Failure to do so will most certainly attract consequences.
Real estate agents
Real estate agents can be best described as a licensed real estate professional. Well, there are plenty areas when it comes to real estate. That said, anyone who is licensed to perform any of these areas, especially after taking the real estate licensing exam and passing with flying colors, has earned the title of real estate agents. Agents are also referred to as real estate associates.
So, what’s expected the real estate agent? Well, a real estate agent, or real estate associate if you please, acts as a representative in any and all real estate transactions. Since they have vast knowledge in their chosen fields, they will do everything their power to make sure the party they are representing is getting the best of the bargain. These parties can be buyers or sellers.
Apart from conveying offers and counteroffers between interested parties, it’s a real estate agent’s job to guide their clients on just about everything about the deal, including filling paperwork. The agent will also conduct home inspections to ensure that their clients are getting their full value of the property they’re either buying or selling.
The agent is also expected to have full knowledge about the closing dates so that they can advise their clients properly. They should also be able organize moving, if the need arises. In other words, an agent is expected to handle just about everything related to a real estate deal on behalf of their client and do so meticulously.
Finally, we have the real estate brokers. A real estate broker can be best described as an individual who works independently from any overseeing bodies. He or she might have their own firm and may have the real estate agents and realtors working under them. A broker has the freedom to create his or her own terms and conditions as they don’t have to answer to anyone. Either way, they still try as much as possible to keep their clients’ best interests at heart because doing so is good for their business and brand in general.
Besides being independent, a real estate broker can choose to either do the work themselves or can hire agents to take care of their clientele. The latter is often determined by the size of their business. If the real estate broker has a big business with a long list of clients, then it would make a lot of sense if they had a few workers on his payroll. But if he doesn’t, then it would make an awful lot of sense if he took most of that workload on his or her own.
There are two kinds of brokers in real estate. They include the buyers broker and the sellers broker. The buyer’s broker basically deals with buyers. They will look for properties matching what their clients want, list them, negotiate on their behalf and also keep an eye on the closing date.
The sellers broker is normally tasked with communicating to sellers about offers, valuating their properties, and also list them on the market. In either case, the broker is supposed to get their respective clients the highest value on their properties. Therefore, it is extremely important for you to know where you stand before deciding to get a broker to assist you in the negotiations. Are you a seller or a buyer? That’s the questions you’re supposed to ask yourself before proceeding.
Understanding Real Estate Agents vs. Brokers vs. Realtors is an extremely important, especially if you’re looking to immerse yourself into the extremely volatile world of real estate. But first, you need to study the market carefully as well as understand the value you are about to bring on the table. Let’s face it, if you don’t have anything to offer, then no one would want to deal with you.
Also, you are required to find the most reliable real estate professionals to work with. In as much as there’s a code of conduct that ought to be followed to the latter, it is also important to note that not everyone is honest in this industry. Therefore, you might want to take your time and find trustworthy individuals or firms to work with. You can do so by conducting thorough research before making your decision.