There are many professionals who work in the real estate industry such as agents, brokers and realtors and at times prospective real estate investors get confused as to what role each of them play in the industry. For this reason, we will be discussing the difference between a real estate agents, brokers and realtors. So if you are one of the investors who are not sure of the responsibilities of an agent, a broker and a realtor, then this article is for you.
Difference between a real estate agent, a real estate broker and a realtor.
Who Is a Real Estate Agent?
A real estate agent is an industry professional who serves as the facilitator of real estate transactions. Their main duty is to bring buyers and sellers together. They cannot work independently – they must work for an employing broker and the brokers are responsible for the real estate agents actions.
Real estate agent’s earnings are on commission basis – They get a percentage from properties they sell. The more they sell, the more they earn.
There are several type of real estate agents, But in this article, we will be looking at 2 types:
These are agents who represent property owners who are selling their properties. The duty of a listing agent is to protect the seller’s best interests and get them the best possible contract terms.
Just like listing agent, buyer’s agent represent the buyer and it is their duty is to protect the buyer’s best interests. This agents are search for properties that meet their clients taste and lifestyle, then help his client negotiate for the best possible price and also assists in closing.
Who is a broker?
A real estate broker is an agent who has passed their broker license exam. And they can own real estate firm and hire agents to work for them.
There are three major types of real estate brokers – Designated real estate brokers, managing real estate brokers and Associate real estate brokers.
Designated real estate brokers are responsible for managing real estate agents in their firm and overseeing their activities. While Associate real estate brokers are real estate agents who have met state requirements to become a licensed real estate broker. And… Managing Brokers are responsible for managing a group of real estate agent or real estate associates brokers.
The major difference between real estate agents and real estate brokers is that one can own a real estate firm while the other cannot.
Who is a realtor?
A realtor is a real estate professional who is a member of the National Association of Realtors. The word realtor is often confused with real estate agent, it is important to note that All realtors are agents, but not all agents or brokers are Realtors. And for a real estate agent to become a realtor, he/she has to agree to abide by the association’s standards and uphold its code of ethics.
Just like brokers, realtors are allowed to own a real estate firm. The major difference between a broker and a realtor is that a realtor is a member of National Association of Realtors and they follow the codes set by this association.
Knowing the difference between these professionals and the roles they play in the industry is important to help you make a better selection on who to work with during house buying/selling process.
If you need the services of a professional realtor to own landed properties with peace of mind, contact us @Bethel realtors & Mgt Limited on 08131691155, 09024554979 or you can visit our head office Suites 201 & 202 Akord shopping mall Bogije, Ibeju-lekki LGA, Lagos state.