Differences Between Real Estate Brokers and Agents

Regarding job titles in the real estate industry, "broker" and "real estate agent" are frequently used interchangeably. But these job designations don't exactly signify the same thing. To obtain them, one must possess various skill sets and fulfill various duties.

What precisely separates a broker from an agent? We will explain each job title, what it entails, and how it differs from the others to clarify things. Given how similar these job names are, it's understandable how they can be confused. Although both jobs have something to do with real estate, the key distinctions revolve around experience and license.

Real Estate Agent

When discussing real estate professionals, most people refer to them as agents. This is where those who want to enter the field should start. Meeting with clients, holding open houses, and all other tasks related to selling real estate fall under the purview of agents.

An individual must complete a number of real estate courses and pass a state-specific licensing test before they may become an agent. An agent must be employed by a licensed broker in order to sell real estate legally.

Most agents earn money through commission, which is often a percentage of the selling price of the property. Depending on the brokerage for which an agent works, the payment plan may change.

Real Estate Broker

A person who has advanced their real estate career past the agent level is known as a Bakersfield real estate broker. To become a broker, a person needs further training and must pass a unique licensing exam. Bakersfield real estate brokers can choose to start a brokerage firm where they will manage and oversee other agents when all license requirements have been satisfied. Alternatively, they can work on Bakersfield real estate for sale.

Brokers have much greater leeway in how they want to organize their real estate careers. Since another company doesn't employ them if they decide to work as an independent agent, they have more freedom in their professional lives. Additionally, they can start their own brokerage company and appoint real estate brokers to work directly for them. Possession of a broker's license also makes chances in property management possible.

These all give the broker a chance to work with various commission plans that would ultimately work in their favor. Being a Bakersfield real estate broker requires more effort, but many consider the reward worth the investments in schooling and training.