Question Of The Day: What Is The Difference Between A Broker And A Realtor?
If you’ve ever had to buy, rent, or sell a house, you would have likely dealt with a broker or a realtor. And you’ve probably asked yourself: What is the difference between a broker and a realtor?
Let’s start with a real estate agent. A real estate agent is a licensed professional who can help you rent, buy, or sell real estate. They are also sometimes called real estate associates or salespeople.
One of the main responsibilities of an agent is to match buyers and sellers. They are paid a commission, which is usually a percentage of the sale price.
An agent cannot work independently. They must work for a real estate agent broker, who is responsible for their actions.
A broker must have passed the broker’s exam. They can work independently or start their own real estate company and hire agents. They are also entitled to a share of their agents’ commissions. They can also earn their own if they close a deal.
A Realtor is a trademarked term referring to a real estate professional who is a member of the National Association of Realtors (NAR). It was founded in 1908 and is the largest trade association in the U.S.
Becoming A Realtor
A Realtor can be an agent, a broker, a property manager, or an appraiser.
To become a Realtor, a real estate professional must meet the following requirements:
- Have a valid and active license
- Be actively engaged in the business
- Not have an official record involving unprofessional conduct
- Not have filed for any recent or pending bankruptcy
They must then join their local NAR, pay the application fee, and adhere to the strict Code of Ethics. There is also an annual membership fee to retain their status as Realtor.
NAR members can use the Realtor trademark as part of their name, but it cannot be used as a designation of their professional license status.
According to NAR data, there are 1.5 million members as of May 2021.
What Does A Real Estate Broker Do?
There are different kinds of brokers.
An associate broker works for another broker. A managing broker oversees operations and administrative activities including hiring and training. A principal or designated broker ensures that agents comply with state and national real estate laws.
In general, brokers have the same responsibilities as agents. Those who work with buyers scout properties that match the client’s requirements, negotiate, prepare offers, and help buyers sort out any issues until the deal is closed.
Brokers who work with sellers assess the market value of the properties, list them, present the offers to the clients, and close the deal.
Saint Cloud, FL Real Estate Agency
In Central Florida, The Corcoran Connection is a renowned real estate agency founded by veteran broker Jeanine Corcoran.
Jeanine has been in the business for over 16 years and is a resident of Saint Cloud, FL herself. As a proud local, she is deeply invested in helping the community grow, through her work and her advocacies.
She leads an A-team of agents and brokers who are known and well-loved by clients because of their timely, honest, and adaptable service. Their industry experience, intimate knowledge of the local communities, and commitment to superior customer service have strengthened their position as one of the region’s go-to real estate companies.
Check out their official YouTube channel to learn more about Jeanine, her team, and to get free insights on some of Central Florida’s hottest real estate markets.
You can also call 407-953-9118 to organize a personalized consultation.