What is a real estate agent?
Real estate agents help people buy, sell or lease property, including land, commercial buildings and homes. These professionals are licensed by the state or states where they operate. To get licensed, real estate agents must typically complete educational hours and pass a state exam. Depending on the state, they may also need to pass background checks and meet other requirements.
Some tasks managed by experienced real estate agents can include discussing market insights with buyers and sellers, negotiating real estate deals, managing contract-related paperwork, overseeing lease or rental agreements and helping buyers find properties that meet their needs.
What is a Realtor?
A Realtor is a member of the National Association of Realtors (NAR). Only people who hold the requisite membership can use this trademarked term and call themselves Realtors. While many Realtors are real estate agents, other professionals in the industry may have this designation, including appraisers, real estate brokers and property managers.
Not all real estate agents are Realtors. However, many people outside the industry use these terms interchangeably, which can cause confusion.
Is there added value in hiring a Realtor?
Employers should consider the needs of the position they’re trying to fill when making hiring decisions. Whether you’re hiring Realtors vs. real estate agents is typically less important than hiring someone who has the necessary skills and experience. Since NAR membership is typically the only major difference between a real estate agent and a Realtor, it may not be a critical factor for your organization.
However, a Realtor designation on a resume or application may hold potential value. If someone can claim the Realtor title, they’ve completed the necessary training to obtain this designation and likely passed security measures. NAR doesn’t accept real estate agents who:
- Does not hold a valid real estate license
- Is not actively working in real estate work at the time of their application
- Has an official record of unprofessional conduct related to real estate
- Has recently filed for bankruptcy
NAR requires members to pay annual membership fees and abide by a code of ethics. While you should likely review candidates’ backgrounds, NAR members with a Realtor status have already demonstrated professional conduct and interest in the industry.
Some potential benefits of hiring a Realtor include the following:
- Their membership may provide them with access to networking and industry opportunities.
- Your company may gain potential marketing opportunities by advertising that you have a Realtor on staff.
How can you verify real estate credentials?
When hiring a Realtor or real estate agent, you may want to verify the credentials on candidate resumes.
How to verify a real estate license
To verify a candidate’s real estate license, you need their real estate license number. Professional real estate agents often provide this number on their resume.
Once you have the person’s real estate license number and full name, you can check with the state licensing body to ensure the license is valid. Many of these state agencies have online databases, and you may also be able to call the agency to verify licensure.
When conducting due diligence during the hiring process, consider verifying that a real estate agent has provided a license number that is:
- Valid
- Current and active
- Registered to their name
How to verify NAR membership
You can generally verify whether a candidate is a current NAR member and Realtor by checking the NAR membership directory online. The NAR also provides Realtors with a virtual membership card. You might ask candidates to provide a printed or digital copy of this card with their application, making it easier to verify their NAR status.
Can a real estate agent become a Realtor after you hire them?
If you decide to hire a Realtor, it’s not required that the candidate already holds this designation. In cases where you or your team believe a candidate who isn’t a Realtor is a better match for the position, you may hire them with the understanding that they have to work toward becoming a NAR member.
Realtors vs. real estate agents: Is one choice better than the other?
The Realtor vs. real estate agent designation is just one of several factors employers should consider when hiring real estate professionals. By looking at the candidates’ skills, experience, education, background and licensure, you can make a better hiring decision.
FAQs about real estate agents vs. Realtors
The answers to the following frequently asked questions about hiring a real estate agent vs. a Realtor can help you decide which one aligns with your company’s needs.
Are Realtor salaries more than real estate agent salaries?
The average salaries for these two job titles are roughly the same. According to Indeed salary data, the average salary for Realtors in the United States is $99,467. The average salary reported for real estate agents is $100,726.
What are some reasons for having a real estate agent on staff?
Organizations that engage in buying, selling or leasing properties on a regular basis may want to have a real estate agent or broker on staff to manage the process in-house. Businesses that may want to hire real estate agents or Realtors may include real estate companies, property managing firms, large condo or apartment complexes and land investment firms.
What are important skills for real estate professionals?
Common skills listed in real estate agent and Realtor job descriptions include real estate knowledge, contract management, negotiation skills, communication skills and time management. While the relevant skills depend on the exact nature of your open position, you may want to hire someone with sales and customer service skills, creative problem-solving skills and the ability to self-motivate.
