A real estate agent is a licensed salesperson who must work under a broker. A broker holds a broker license and can work independently or supervise agents. Realtor is not a license. It is a trademarked term for members of the National Association of Realtors. In California, licenses are issued by the Department of Real Estate.
What is a real estate agent?
A real estate agent is a person who holds a real estate salesperson license and represents buyers or sellers under the supervision of a licensed broker. In California the license is issued by the Department of Real Estate, usually shortened to DRE, after the applicant completes required coursework and passes a state exam.
An agent cannot operate on their own. Their license is affiliated with a responsible broker, and listing agreements and buyer representation agreements are technically contracts with that brokerage. Day to day, the agent is the person you work with: touring homes, pricing, writing offers, negotiating and guiding the sale through escrow.
What is a real estate broker?
A real estate broker is a licensee who holds a broker license, which requires additional education and experience and a separate, more extensive exam. A broker can do everything an agent can do and can also:
- Work independently without being supervised by another licensee.
- Run a brokerage and supervise salespersons.
- Take legal responsibility for the transactions handled under their license.
Some brokers choose to work under another broker’s company instead of running their own. They are often called broker associates. From a client’s point of view they do the same job as an agent while holding the higher license.
What is a Realtor?
A Realtor is a real estate licensee who is a member of the National Association of Realtors, a private trade association. The word is a membership trademark, not a license type and not a job title that every agent can use.
Members agree to follow the association’s Code of Ethics and usually join through a local association. An agent or a broker can be a Realtor, and many licensed agents and brokers are not members. Either way, the license itself comes only from the state.
How do I check that someone is licensed in California?
You can look up any California licensee for free on the Department of Real Estate website. Search by name or license number to see:
- Whether the license is current.
- Whether it is a salesperson or broker license.
- The responsible broker the licensee is affiliated with.
- Any public disciplinary history.
California licensees generally include their DRE license number on their advertising, which makes the lookup easy. Aimee Ghafouri’s number, for example, is CAL DRE #02193341.
Which one should I hire to buy or sell a home?
Any properly licensed agent or broker can represent you, so the title matters less than the individual’s knowledge, communication and track record with homes like yours. Useful things to compare:
- How well they know the specific area, whether that is Temecula, Murrieta or a rural community such as La Cresta.
- How they plan to price and market your home, or how they will help you compete as a buyer.
- Who you will actually be dealing with day to day.
- The services and compensation written into the agreement you are asked to sign.
Verify the license, ask direct questions and choose the person you trust to explain things clearly.
Frequently Asked Questions
Is a Realtor more qualified than a real estate agent?
Not by license. Realtor describes membership in a trade association, while the legal authority to represent clients comes from a state license. Experience and local knowledge vary by individual, so compare the person, not the label.
Can a real estate agent work without a broker?
No. A salesperson must be affiliated with a licensed broker in order to represent clients. If you ever have a concern about a transaction, the agent’s responsible broker is the person to contact.
Does it cost more to hire a broker than an agent?
Not necessarily. Compensation is negotiable and is not set by law or by license type. It is set out in your listing agreement or buyer representation agreement.
What is the difference between a listing agent and a buyer’s agent?
These are roles in a transaction, not license types. A listing agent represents the seller and markets the home, and a buyer’s agent represents the buyer. Either role can be filled by a salesperson or a broker.
Looking for a Licensed Local Agent?
Aimee Ghafouri is a real estate agent based in Temecula who grew up in Murrieta and works with buyers, sellers and investors across the Temecula Valley and southwest Riverside County.
Aimee Ghafouri, 951 Properties, CAL DRE #02193341. This page is general information, not legal, tax or financial advice. Equal Housing Opportunity.
