Monday, May 29, 2006

The difference between a real estate agent and a real estate broker explained

The first thing to note is that the terminology used to identify real estate professionals varies a little in the USA from state to state. The requirement in the USA is that real estate sales professionals are licensed by the state. In most countries real estate agents are licensed in some way. The has the advantage of putting some control on the education and experience requirements and provides for a central authority to resolve consumer complaints and disputes.

In the USA - Brokers are generally required to have more education and experience than real estate agent (or salesperson).

When buying or selling a property most people deal with is a real estate agent. The real estate agent (salesperson) is licensed by the state, but must work for a broker. All real estate listings are placed in the broker's name, not the salesperson's.

A broker can deal directly with homebuyers and vendors (sellers), or can have a staff of agents working for them.

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