What is the Difference Between a Real Estate Agent and a Real Estate Broker?

When one starts the process of selling or purchasing a home, it is not long before they realize that it can be an overwhelming task. There are many steps that are involved with the process that can often be quite complicated to the novice. Fortunately, there are professionals that can handle any home selling/buying situation and can take the burden off of your shoulders. Two such professionals are the Real Estate Agent and the Real Estate Broker. Before enlisting their services, it is important to understand the differences between each and their role in the process of buying and selling a home.

Real Estate Broker

A real estate broker is a person who acts as a liaison between sellers and buyers of real estate. They work to locate sellers who want to sell their property/houses and buyers who want to buy property/houses. Brokers help sellers with the marketing of their property and selling it for the best price and the best terms. For buyers, they assist them with purchasing for the lowest possible price with the best terms. In most states, one is required to have a license in order to be a real estate broker. In a few states, attorneys are permitted to conduct real property sales for compensation without being licensed as brokers or agents.

When one acquires a broker’s license, they can run their own brokerage company and hire licensed agents. One has to pass a broker’s exam to get licensed.

Real Estate Agent

Real Estate Agents help people with the actual locating and purchasing of a home as well as the selling of a home or property. Agents perform such duties as taking potential buyers to view homes that are for sale, offer advice to home buyers about where to acquire a home loan, submitting an offer for a home, locating the type of home that the buyer is looking for, has knowledge about the community where the home is located, and filling out specific forms that legally show that the house has been purchased. Both the buyer and the seller of the home sign these forms. An attorney is normally involved with the signing of pertinent documents.

The agent must be aware of the value of the home, all features of the home and if there are any problems with the home and property such as damage or a poor foundation, and they must be aware of the neighborhood and surrounding community. They should be able to answer any of the home buyer’s questions. As well, they must have knowledge about the laws related to buying and selling a home. For home and property sellers, they help assess the price of a home and list it.

Real estate agents can be self employed or work for a company. They receive a commission for the sale or purchase of a home. Commission fees will vary among agents.

When you plan to buy or sell your home or property, you should enlist the services of professionals such as real estate agents and brokers. Understanding their role in the process and their differences will help ensure that the process is much easier and less complicated.

London Ontario real estate is on the rise as the economy continues to improve; when selling or looking for London Ontario homes be sure to check out Real Estate London Ontario.