Confused as to who to choose when buying or selling a property? Your friend just got her license and is telling you she is a broker now, and want's you to use her. But seriously, how much experience does she have? And what does she know about fair housing, ethics, and agency law? Here is a quick explanation of the Who's Who, in Real Estate in New York State, yes, only here, because every state has different rules. One thing however is nationwide and that is the National Association of Realtors (NAR).
Here in the State of New York we have agents (real estate salespersons,) associate brokers and brokers. An agent and associate broker work under a broker of record (Principal/Owner/Managing Broker) who oversees them, and is responsible for handling of funds, supervising the agents and providing them training, etc.. You can only be licensed as an agent or associate broker if you affiliate with a broker (aka brokerage/agency.) You can have your own business if you are a broker (Broker Owner/Principal Broker) and also hire agents.
Here is what NYS DOS says:
What is the difference between a real estate broker and a real estate salesperson?
A real estate broker is responsible for the supervision and conduct of the real estate brokerage business. He or she applies for and holds the license on behalf of the brokerage. This person is known as the "representative broker." A real estate salesperson works for and is supervised by the representative broker. The salesperson acts as the representative broker's agent. All listings, although perhaps negotiated by a salesperson, are accepted by the representative broker.
Unfortunately many agents represent themselves (especially in New York City) as "Brokers" , but in reality are actually Real Estate Salespersons:
In order to qualify for licensure as a real estate salesperson, an applicant must have satisfactorily completed a 75-hour salesperson qualifying education course in real estate approved by the Secretary of State, and have passed a qualifying examination administered by the Department of State.
Real Estate Broker:
A Broker has a higher level of Real Estate education and is licensed to manage and office and its agents. In order to qualify for licensure as a real estate broker, an applicant must have at least two years of experience as a licensed real estate salesperson or at least three years of experience in the general real estate field (e.g., buying and selling your own property, managing property owned by your employer), have satisfactorily completed both the qualifying salesperson course of 75 hours and an additional 45-hour real estate broker course as approved by the Secretary of State, and have passed a qualifying examination administered by the Department of State.
A Realtor(r) is a member of the National Association of Realtors (NAR) and has a code of ethics and fair housing standards to uphold. They are also members of the National, State and County Boards of Realtors and must pay dues. This also provides them with membership to the MLS and secure lock boxes.
Some rural agencies and most NYC agencies are not members of the National Association of Realtors. nor members of the MLS. Look for the Realtor(r) logo to be sure.
Originally posted at Broker, Realtor, Agent - The Who's Who in Real Estate and what you need to know before choosing one
Comments(0)