When property issues come up such as buying or selling, many individuals are often clueless about the whole process. Some even do not know the difference between a property agent and a broker. While there might be some similarities between the two, there are some important differences between them too. Both these entities are imperative to a buying or a selling property purpose; you will not require the services of both at the same time and for the exact purpose.
- The foremost difference between a broker and an estate agent is that a property agent is licensed to sell property. However, he/she cannot work independently. The person should do so under the property broker’s supervision.
- While a property broker is also licensed to do the same, the person has under his/her credit additional property related educational courses and has passed a broker’s license exam. As such, the broker can work independently as well as hire agents under him or her to work in a brokerage or work with other brokers as a co-broker in a joint business partnership
- An estate agent requires fulfilling certain criteria, each of which may differ with different states. However, it will generally require the completion of a number of property classes and passing a real estate exam to become licensed.
- Upon passing the exam and completion of the coursework, they must be sponsored by an estate brokerage and work under them as real estate agents.
- This is often considered as a clientele-building phase as well as a valuable learning phase for estate agents.
- Property brokers, on the other hand, already have the broker’s license and are often held in higher standard, thanks to their extensive industry knowledge.
- If there arises any conflict between the client and the estate agent, the broker may serve as a mediator or may step in for complex negotiations. The broker is responsible for the actions of the estate agents.
- When a successful property transaction takes place, the sales commission is paid to the broker. The broker then decides the split of the amount with the property agent.
- The broker also is eligible to open an escrow account, receive earnest money from the property buyer and deposit the said money in the account.
Leicester is a beautiful place in the UK that boasts about rich historical and cultural heritage. The place has good infrastructure development-be it residential properties of commercial spaces. If you are looking for any Leicester estate agent, be sure to look for an experienced estate agent or a broker. Sometimes both the broker and the estate agent are the same person. Make sure that the person is licensed. In addition, the completion of any property transaction will also attract money transfer process, which only the broker should affect with his escrow account. Further, if there is any conflict in the property negotiation both the buyer and the agent should call upon the skills and experience of the broker. So be sure whether you are dealing with an estate agent or a broker.