Different Types Of Real Estate Agents And What They Do

When someone is considering either selling their home or buying one, they have probably given some thought to real estate agents. Some people believe that they are all the same, but that is not the case.

Real estate agents can be broken into categories, based on the role they are serving and the level of education they have. All of them have passed a state licensing exam, as well as taken all of the necessary classes. Learn about them here:

Agents Vs Brokers

When looking to hire a real estate agent, people may be confused by the difference between the terms “real estate agent” and “real estate broker”. They are very similar, with a few distinguishing characteristics.

Real Estate Agent

Sometimes called sub-agents or sales agents, these are people who have taken all of the classes to learn the state-specific regulations for buying and selling property. They must pass a test administered by the state government. They work for a real estate broker who is, essentially, responsible for the work they do.

Real Estate Broker

This is someone who has done the work to be qualified to own, or manage a real estate company. In most cases, they must have experience as a general real estate agent first. They have to take even more advanced coursework and have taken a broker’s exam.

If brokers choose to employ other agents, they must take responsibility for their actions. In some states, attorneys can become brokers by passing the exam. They do not have to have sales experience.

Associated Broker

Just because someone has become qualified to be a broker, it does not mean that they will run their own agency. Some brokers choose to work under another broker, and are called associated brokers.

Roles Of Real Estate Agents

Real estate agents can serve a variety of purposes. Each individual may act in all of the following roles, depending on who has hired them and for what:

Buyer’s Agent

This is the real estate agent that represents the best interests of the person who wants to buy a home. They walk that person through the entire process, from showing them homes, all the way to closing on a house. It is their job to help with all of the paperwork, as well as give advice on hiring professionals, such as home inspectors.

Perhaps most importantly, they negotiate with the seller on behalf of the buyer. Homebuyers sign a legal contract to work with their buyer�s agent.

Seller’s Agent

Also known as a listing agent, this person is out to protect the seller. Any questions people have for the seller are usually directed to their agent. They help with the preparations for selling a home. By comparing it to similar home sales in the area, they help their client determine the asking price.

Seller’s agents are the ones to present offers to the homeowners. It is also their job to list the home on the MLS (Multiple Listing Service). They arrange showings of the home and do the negotiating on behalf of the seller when the time comes.

Dual Agent

Occasionally, one agent will represent both the buyer and the seller in a transaction. This is legal, as long as both parties sign an agreement saying it is alright with them. This situation can sometimes lead to conflicts of interest, and is not usually advisable.

This happens most often when buyers attend an open house hosted by a listing agent. If the buyer does not already have a real estate agent representing them, they may be tempted to work directly with the seller’s agent.

Conclusion

Anyone looking to buy or sell their home can benefit from the experience and guidance of a real estate agent. Knowing the terminology can be helpful in selecting the right person for the job. A good agent will have exceptional people skills, the ability to negotiate successfully, and know how to make the best deal for their client.