What Does A Real Estate Broker Do
There are a number of people involved in assisting seller or a buyer and making real estate transaction happen. There are real estate broker and real estate agent involved in those transactions. Both of these terms are used interchangeably.
But there are some differences between the two. Real estate broker have more responsibilities than real estate agents. In this article, we are going to cover what is a real estate broker and different aspects of what does a real estate broker do.
What is a Real Estate Broker?
A Real estate broker is a professional who has the license of a state’s real estate broker. Real estate broker helps people in buying, selling, and transferring properties. They assist clients with decision-making, legal paperwork and compliance.
They are experienced professionals, who proceeded further with their education, completed additional coursework, passed brokers exam, and has state license.
Real estate brokers can operate independently, initiate their own brokerage, and hire real estate agents to carry out different operations.
What Does A Real Estate Broker Do
Real estate broker performs function on both sides of selling and buying end.
On buying side, they help their clients in;
- Searching and finding the properties that matches their requirements
- Making offers
- Negotiating
- Managing the buying process
- Guiding them in each step of transaction
- Closing the deal
While, on selling side, they help their clients in;
- Listing and marketing their properties to sell according to market value
- Receiving offers
- Negotiating
- Managing the selling process
- Guiding them in each step of transaction
- Closing the deal
On the other hand, real estate brokers are also responsible for supervising their office operations like;
- Recruiting and hiring real estate agents
- Training real estate agents
- Negotiating real estate agent’s contracts
- Supervising office and managing their staff
- Resolving conflicts
- Maintaining office operations
- Establishing and maintaining ethical and lawful practices
So briefly, real estate broker carry out following professional activities and duties;
- Generating property listings
- Advertising properties
- Facilitating transaction process
- Capturing photos of properties
- Calculating property needs and budgets
- Guiding clients about property listing requirements and needs
- Marketing list to their clients and public
- Identifying and inspecting the repairs before the sale of the property
- Assisting real estate agents in operations and transactions
- Assisting clients in their transactions
- Reviewing important documents, like different contracts and agreements
- Drafting, completing, and submitting property paperwork
- Mediating and resolving in legal disputes and conflicts
- Ensuring and communicating clients about deadlines and industry standards are met
- Bearing witness of contracts signings and legal transactions
- Examining legal contracts and agreements for both buyer and seller sides
Types Of Real Estate Brokers
There are three types of real estate brokers and each has different responsibilities;
1. Associate Brokers
They are the type of broker who has their own real estate broker license. But they chose to operate under another broker. They do not supervise other real estate agents or salespeople.
They have same level of responsibility as of real estate agent, but they got more education and experience than them.
2. Managing Brokers
They oversee salespeople, hire other real estate agents, train them, and manage other administrative staff of the office. They look after transactions, processes and office operations.
Their duties also include resolving license issues of real estate agents in brokerage, on boarding them, training and mentoring them. They also lead them forward towards further education opportunities.
3. Designated/ Principal Brokers
They supervise other real estate agents. They ensure that they are complying with the local, state and national real estate laws.
Real Estate Broker Requirements
Real estate brokers are required to complete their real estate training and receive certification which varies from state to state. There are various requirements depending upon the states.
Education
Real estate broker are typically required to obtain their high school degree to start the career as a broker. Bachelor’s degree makes a person more competitive. Still many states have a requirement of completion of coursework of real estate broker.
Additionally, you are required to spend a full week in class in order to qualify for license.
Skills
Real estate brokers are required to use their specific skills on daily basis. Such as, communication skills, sales, leadership, analytical, organizational and business skills.
But many real estate brokers also build their skills during their time as real estate agents. Like, buying, selling, negotiation, and marketing skills. Broker should also have training, mentoring, and leading skills to operate a team of agents.
Experience
All the states have a basic requirement of having an experience as a real estate agent to become a broker. Additionally, many states require number of years, typically two to five years, while other requires certain number of transactions closed.
Training
Real estate brokers start their careers as a real estate agent. Trainings are provided by real estate companies, while you can also take courses from license board. Broker can continue their training during license courses and real estate coursework.
Certifications
Real estate broker requires an additional education, passing the exam, and completing number of hours of real estate experience. These requirements also vary from state to state.
Final Words
Here we conclude what does a real estate broker do. Job of a real estate broker is on both ends, seller and buyer end. As well as, they are also required to maintain their office.
Similarly, they ensure that each and every details, processes, operations and transactions regarding their clients and business are legal and lawful.
What Does A Real Estate Broker Do FAQ
1. What does a brokerage do?
Brokerage acts as a facilitator or a middleman. Brokerages play their role by connecting buyer and seller and facilitate transactions between them. For these services, they charge an annual fee or fee per transaction.
2. What is the difference between a broker and an agent?
A real estate agent works under a real estate brokerage.
Real estate agent is a professional who works under a brokerage and facilitates real estate transactions. A broker can work independently and start their own brokerage and can employ multiple agents to work on their behalf.
