When entering the real estate market, you may come across terms like “real estate agent” and “Realtor” used interchangeably. While they perform similar duties, there are key differences between the two that you should understand before choosing one to work with.
1. What Is a Real Estate Agent?
A real estate agent is a licensed professional who assists clients in buying, selling, or renting properties. They must complete specific coursework and pass an exam to obtain their license, which allows them to legally represent clients in real estate transactions. Real estate agents can work in both residential and commercial real estate.
2. What Is a Realtor?
A Realtor is a real estate agent who is also a member of the National Association of Realtors (NAR). To become a Realtor, agents must adhere to NAR’s strict code of ethics, which sets them apart from non-member agents. This code requires them to uphold higher standards of professionalism, transparency, and client service.
3. Realtor vs. Real Estate Agent: Key Differences
The primary difference between a Realtor and a real estate agent is membership in the NAR. While all Realtors are real estate agents, not all real estate agents are Realtors. Realtors benefit from additional resources, training, and industry connections through NAR, which can give them an edge in competitive markets.
4. Code of Ethics
Realtors must follow the NAR’s Code of Ethics, which is a set of 17 articles outlining duties to clients, the public, and other real estate professionals. This code ensures that Realtors operate with integrity, fairness, and a commitment to serving their clients’ best interests. Real estate agents who are not Realtors are not bound by this code, although they must still follow state and federal laws.
5. Training and Continuing Education
Realtors often participate in additional training and continuing education programs offered by NAR to stay updated on industry trends, legal changes, and best practices. While real estate agents are required to complete ongoing education to maintain their licenses, Realtors may have access to more specialized training, giving them a broader knowledge base.
6. Choosing Between a Real Estate Agent and a Realtor
When deciding whether to work with a real estate agent or a Realtor, consider your priorities. If you value the additional ethical standards and industry connections that come with NAR membership, working with a Realtor may be the best choice. However, many non-Realtor real estate agents offer excellent service and have the expertise needed to meet your goals.
By understanding the differences between a real estate agent and a Realtor, you can make a more informed decision and find the right professional to guide you through your real estate journey.