Real Estate Agent or Broker?

Question

I am planning on going into the real estate field but have a few questions. I was interested in becoming either a Real Estate Broker Agent or Realtor. I wanted to know the job description for each individual career and also the salaries I knwot hey work off commission but do either have a base yearly salary on top of commission.Also I'm going to major in business in college will this help me in real estate? Also what does a real estate firm do?

Answer 1

A broker is typically the owner of a real estate company.  The broker will have other agents (realtors) that they oversee (not manage).  Each agent has to hold their license with a broker.  The agent and broker have an agreement stating how much of a cut of the commission the broker gets and how much (if any) in monthly fees the agent will pay the broker.  In most cases you have to have your real estate salesperson (realtor) license for two years before becoming a broker.  Most of the time their is no salary for realtors, you only eat what you kill.  Your major doesn't have any bearing on your real estate career.  I would suggest talking to a broker in your area, they will be able to help you figure out if real estate is what you want to do.

Answer 2

A real estate broker can negotiate leases and sales with a client.

A Realtor is a member of a trade organization.  

Answer 3

An agent works for a Real Estate Broker.  As in the title he is a agent of that broker.  The agent silicates business of people who either want to buy or sell property.  The agent has two main duties as either a buyers agent- someone representing the buyer or a sellers agent- someone representing the seller.  

An agent is an independent contractor this is not salaried work.  It is straight commission as a independent contractor you have the ability to set what your commission rate is going to be the normal rate is 5-10% depending on your market or the sale price of the property.

An agent is still responsible for buying almost all of their equipment pens business cards computers everything.

A broker does the same thing as an agent however they are responsible for making sure everything runs legal they give agents desk space and sometime provide them with the signs that you see in people's yards.  In return they get a percentage of each agents total commission from a sale.  It is the broker responsibility to make sure a agent is working in a legal and ethical means.

You should view Realtors as a special interest group.  It is an organization that Agents and Brokers belong to.  Being a Realtor comes with special privileges like a MLS system (multiple listing service) where you can view other Realtors properties they also lobby in Washington for Agents and Brokers.

You do not need a college degree to be a an agent or broker.  Going to a B-school does not hurt you.  It also leaves your options open down the road.  Their are lots of jobs that you can get from the experience you learn from having your own business (that's all being a agent is working for yourself).

You get your licenses by taking a test that you pay for.  There are study tools that are involved just like text books in college.  You could actually be working as an agent while you were attending school (I did it).  You create your own hours so it works well with student.  Just remember if you do not sell you do not eat.  A good agent in a good market can make well over $150,000 a year.  You just have to work for it and create your image.

Answer 4

An agent just represents buyers and sellers in real estate transactions.  They typically either split their commissions with the broker or pay the broker a monthly fee and in turn the broker supports them, advises them, and oversees their work.

Brokers can represent buyers and sellers themselves and also get a part of their agents commissions, but its alot of work.  Also they have to provide the office and equipment and stuff so they have high overhead.  Usually you have to work for some years as an agent before you can become a broker.  Many really good agents break away from the brokers and simply run their own offices (maybe with only themselves as the only agent).