Which One is Best, a Realtor or a Real Estate Agent?
When it comes to buying or selling property, many people get confused between a realtor and a real estate agent. Both of these professionals play crucial roles in the real estate process, but their duties and qualifications can differ. So, which one is best for you? In this article, we will compare the two and help you understand their differences, so you can make an informed decision.
What is a Real Estate Agent?
A real estate agent is a licensed professional who helps buyers and sellers navigate the real estate market. They act as intermediaries between the two parties, providing market knowledge, helping with property listings, and guiding clients through negotiations. Real estate agents are licensed by state authorities and are typically members of the National Association of Realtors (NAR), although this membership is not a requirement.
These agents can work for a brokerage firm, and they usually specialize in either residential or commercial properties. Their primary responsibility is to help clients buy, sell, or rent property, and they typically receive a commission based on the sale price of the property.
What is a Realtor?
A Realtor, on the other hand, is a licensed real estate professional who is also a member of the National Association of Realtors (NAR). This membership grants Realtors access to various tools, resources, and a code of ethics that sets them apart from regular real estate agents.
Realtors have all the qualifications and duties of real estate agents, but they are also held to higher standards due to their membership in NAR. Being a Realtor means the agent must adhere to a strict code of ethics, which ensures they operate with integrity and professionalism in every transaction.
Key Differences Between Realtors and Real Estate Agents
- Membership in the National Association of Realtors (NAR)
The main distinction between a Realtor and a real estate agent is NAR membership. While every Realtor is a real estate agent, not every real estate agent is a Realtor. Realtors have the added benefit of being part of a network of professionals that allows them to access resources and continue their professional development. The NAR also offers a strong ethical framework that guides Realtors in their work.
- Code of Ethics
Realtors must adhere to the NAR’s strict code of ethics, which sets a high standard for professionalism. This code includes duties toward clients, the public, and other professionals in the industry. This code ensures that Realtors are dedicated to fair and transparent practices, giving clients peace of mind during property transactions.
Real estate agents, however, are not required to follow these ethical guidelines unless they are Realtors. While they must follow state laws and regulations, they may not be bound by the same strict code that Realtors follow.
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Access to Listings
Realtors often have better access to a wider variety of property listings, thanks to their NAR membership. They can use the Multiple Listing Service (MLS), which allows them to list properties that are accessible to other Realtors and potential buyers. This can be a significant advantage when searching for or listing properties, as MLS listings are more comprehensive and often include exclusive opportunities.
While real estate agents can also access MLS, Realtors often have a broader network, which may provide more options and better market knowledge.
- Professional Resources
Being a Realtor means access to a variety of professional resources that can enhance the real estate process. These resources include legal forms, market data, training programs, and professional networking opportunities. Realtors also have a higher degree of credibility due to their NAR membership.
While real estate agents may have access to some of these resources, they do not have the same level of tools or the professional development opportunities provided by the NAR.
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Commitment to Continuous Education
Realtors are required to complete ongoing education to maintain their membership in the NAR. This education ensures that Realtors stay up-to-date with current laws, trends, and best practices in the industry. This ongoing education makes Realtors highly skilled and knowledgeable, which benefits their clients.
Real estate agents, however, do not have the same requirement for continuing education unless mandated by the state. As a result, Realtors often have a higher level of expertise and may be better equipped to handle complex transactions.
Which One is Better for You?
After identifying the distinctions between a Realtor and a real estate agent, you may ask yourself, ‘Which one is the best for me?’ The answer is based on your particular situation.
Consider a Realtor if:
- You require the services of a professional who observes a strict code of ethics.
- You need access to exclusive listings in a larger network of professionals.
- You would like to work with someone who is educated and maintains updates within the industry.
- You wish to work with someone who is able to complete complex transactions without breaking a sweat.
Consider a Real Estate Agent if:
- You are on a tight budget and seeking for more economical alternatives.
- You do not need most of the perks that come with being a Realtor.
- You are fine with dealing with the process, with a person that is not a Realtor but is experienced and licensed.
Conclusion: Realtors & Real Estate Agents
In the end, either option comes down to personal preferences. A Realtor is better if you value professionalism, ethics, and NAR resources. For a budget-conscious buyer who doesn’t mind restricted resources and listings, a real estate agent would work.
Either way, rest assured that realtors and agents can assist you with the complexities of selling or buying properties. However, avoid diving in headfirst without doing some research to ensure your potential agent or Realtor meets all your expectations.