REALTOR vs. Real Estate Agent: Decoding the Distinction and Choosing Your Real Estate Expert!
The terms "REALTOR" and "Real Estate Agent" are often used interchangeably, but there is a difference between the two, especially in the United States.
Real Estate Agent: A real estate agent is a licensed professional who has completed the required education and passed the state licensing exam to represent buyers or sellers in real estate transactions. They can work as a residential or commercial real estate agent, helping clients buy, sell, or rent properties. Real estate agents can work independently or be employed by a real estate brokerage. They are bound by state regulations and ethical standards in their dealings with clients.
REALTOR: A REALTOR is also a licensed real estate agent who has completed the same education and licensing requirements as a regular real estate agent. However, what sets a REALTOR apart is that they are a member of the National Association of Realtors (NAR) and adhere to a strict Code of Ethics. The Code of Ethics sets a higher standard of conduct for REALTORS, emphasizing honesty, integrity, and professionalism in their interactions with clients and other real estate professionals.
NAR members (REALTORS) are committed to promoting and protecting the interests of their clients while upholding the principles of fair housing and ethical practices. In addition to being held accountable to their state's real estate regulations, REALTORS also follow the NAR's Code of Ethics and may face disciplinary actions from both their state association and the NAR if they violate these ethical standards.
In summary, all REALTORS are real estate agents, but not all real estate agents are REALTORS. The distinction lies in membership in the National Association of Realtors and adherence to the Code of Ethics. If a real estate professional is not a member of NAR, they are simply referred to as a real estate agent.
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