Many people think that a real estate agent and a realtor are the same thing. However, they are two different professions. Although they are similar, they have different educational qualifications, and they require different skills. Continue reading to learn how these two careers differ.
What Is a Real Estate Agent?
A real estate agent is someone who helps people buy and sell properties. Some realtors help people find properties, while others focus on helping people sell. They take classes to prepare for their licensing exams, but the exact requirements are different in each state. Real estate agents are usually familiar with the local laws and know what is happening in the market. They are also good at negotiating on behalf of their clients.
Types of Real Estate Agents
There are three different types of real estate agents, and some of them work as all three. These types are as follows:
- Seller’s Agent: a seller’s agent is also called a listing agent, and they help people sell their properties. They stage it, show it, and negotiate with buyers for you. They don’t usually get paid unless it sells, and then they take a commission that is between 5% and 6%.
- Buyer’s Agent: a buyer’s agent helps people find a property. They will negotiate a contract, meet with inspectors, and deal with the paperwork for you.
- Rental Agent: a rental agent helps people rent properties. They can manage the property, find tenants, and provide services for tenants on your behalf.
What Is a Realtor?
A realtor is a member of the NAR (National Association of Realtors), and they work as brokers for commercial property and real estate. They also work as property managers, appraisers, salespeople, and counselors. They take classes and then pass their real estate licensing exam. They also have to agree to the NAR code of ethics, which states that they will put their clients interests ahead of their own. This is one of the main differences between a realtor and a real estate agent: membership in the NAR.
What Is a Real Estate Broker?
A real estate broker goes through classes and licensing to earn their certification as a broker. They work as independent business people, and they can help people sell properties, rent out properties, or manage properties. Sometimes they hire real estate agents to work for them.