The terms "realtor" and "real estate agent" are often used interchangeably in everyday conversation, but there are specific distinctions between them in terms of affiliation, ethics, and sometimes qualifications.
A real estate agent is a professional licensed by the state to represent buyers and sellers in real estate transactions. Most agents work on a commission basis, and their primary role is to help clients buy, sell, or rent properties. To become a real estate agent, an individual must:
A realtor is a real estate agent who is a member of the National Association of Realtors (NAR), the largest trade association in the United States. Realtors can include agents, brokers, property managers, and other real estate professionals. Being a realtor means adhering to a strict code of ethics, which includes a commitment to being honest and fair in all real estate transactions, and putting the clients’ interests ahead of their own. Here’s what distinguishes a realtor:
Both realtors and real estate agents are required to engage in ongoing education to maintain their licenses. This education helps them stay up to date with real estate laws, regulations, and market trends. However, realtors often have additional training opportunities available through the NAR, which can include specialized certifications in areas like residential or commercial real estate, representing buyers, and real estate management.
While all realtors are real estate agents, not all real estate agents are realtors. The distinction lies in the membership with the NAR and adherence to its Code of Ethics. This ethical commitment provides an additional layer of trust and assurance for clients seeking real estate services, making realtors a preferred choice for many buyers and sellers. Regardless of the title, both realtors and real estate agents play essential roles in helping clients navigate the complexities of real estate transactions.