Know the difference between an agent and a broker
Finding a house, commercial space, or a rental apartment that perfectly suits your requirements and budget can be a tough job. Bringing in a specialist like a real estate broker or agent makes it substantially easier. But who’s right for the job?
These professionals can provide you with a house or commercial space that is just right for your overall budget and preferences. It’s important to note that, while people use the terms interchangeably, real estate agents and brokers are not the same, although they have an overlapping set of responsibilities. The difference lies in their scope of work, education, and licensing.
What’s the diff?
The reason why people get confused between the two is because everything a real estate agent does, a broker does too. However, few know that a broker can do a lot more than an agent is licensed to do.
While a broker and an agent possess different licenses, both need to pass a written qualification exam to gain their respective licenses.
Brokers need to study a wide range of aspects, compared to agents, which includes knowledge of provincial real estate laws and general procedure of transactions.
So who does what?
How does an agent’s license differ from that of a broker’s? A broker is licensed to run his own real estate business, while an agent can only work with a broker.
That’s why agents are employed by firms, which are run by licensed brokers. .
Both agents and brokers work to bring buyers and sellers together and gain profits from commissions received, in lieu of handling the transactions.
In some provinces, brokers are licensed to carry out real estate management agencies, whereas agents work with real estate brokerage firms on a commission basis.
A broker can also offer a much wider set of services, compared to an agent, who is restricted to buying and selling real estate.
The most important point to be noted is that a broker can independently run a business, while an agent can’t. They have to work with brokers on a commission basis.
With 20+ years of industry knowledge and a client-forward approach, let The Dealmakers get you the results you want and the experience you deserve. Contact us today or call 416-240-SOLD (7653).