There is a lot to learn in real estate, but your title shouldn’t be something that trips you up. If you’ve ever stumbled to explain—or even understand—the difference between being a Realtor and being a real estate agent, you’re in the right place. Both help people buy, sell, or rent properties, so what makes them unique? Let’s walk through the differences between the two.
Realtor & Real Estate Agent Defined
When asking, “What is a realtor vs real estate agent, and what does it stand for?” it’s best to look at the definition.
Realtor: According to NAR, the term REALTOR® has one, and only one, meaning: REALTOR® is a federally registered collective membership mark that identifies a real estate professional who is a member of the NATIONAL ASSOCIATION OF REALTORS® and subscribes to its strict Code of Ethics.
Real estate agent: The Cambridge dictionary defines a real estate agent as someone who arranges the selling, renting, or management of homes, land, and buildings for the owners.
Differences Between a Realtor and a Real Estate Agent
The public widely adopted the term “Realtor” as a universal title for real estate agents, but that’s not how it was initially intended. Realtors are National Association of Realtors (NAR) members, and the title was once reserved for members only. That aside, real estate agents and Realtors mostly share the same job responsibilities, but there are distinctions between them. Here is a further breakdown of the difference between a Realtor and a real estate agent:
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Important Note: The term ‘Realtor’ is a registered trademark and should always be spelled with a capital ‘R’ when referring to a real estate agent who is a NAR member. However, the general public often uses ‘realtor’ to refer to all real estate agents, not all of whom may be NAR members. In this case, the term should be spelled with a lowercase ‘r.’
Shared Duties & Responsibilities
Now that we’ve broken down the differences between a real estate agent and a realtor, let’s look at some similarities. When it comes down to it, the main goal of both is to represent our buyer, seller, and renter clients to the best of our abilities. But there are other shared duties and responsibilities that include the following:
- Abide by Fair Housing Laws
- Complete continuing education
- Find and evaluate properties
- Write contracts
- Provide market data
- Market their brand
- Generate leads
- Close sales
- Deliver necessary documents to all parties of a transaction
- Coordinate appraisals and home inspections
- Negotiate on behalf of clients
- Market their listings
Pros & Cons of Real Estate Agents vs Realtors
Of course, we can’t discuss the difference between a realtor and a real estate agent without breaking down the advantages and disadvantages of each. Before joining NAR to become a Realtor or choosing to remain a real estate agent independent of additional affiliations, take a look through the pros and cons of these two real estate roles.
Real Estate Agent
A real estate agent is the most common among real estate professionals, as obtaining this license is the first step to working in the real estate industry. It’s a slightly more cost-effective option since agents don’t have to worry about additional membership dues to NAR.
Realtors
Any real estate agent can join NAR by paying their membership dues. But depending on where they work and which brokerage they’re affiliated with, some agents might even be required to join if their broker is a member. Being a Realtor under NAR means they’re held to higher ethical standards, so there’s a perception that they’re more trustworthy.
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What additional benefits does NAR give to its members?
When further diving into the difference between realtor and real estate agent, let’s take a closer look at NAR. As the largest trade association in the U.S., NAR provides its members with support and resources, including professional development courses, local discounts, and opportunities to contribute to charity and volunteer events. Some additional benefits of being a Realtor include the following:
- Public advertising and campaigns supporting Realtors
- Support for federal, state, and local policy initiatives
- Resources like Realtor Magazine, designations, and certifications
- International network
- Discounts for equipment, insurance, services, and tools
- Further educational and networking opportunities at the state and national conventions
- Opportunities to contribute to local and national charities
Frequently Asked Questions (FAQs)
Is it better to say Realtor or real estate agent?
Realtors are brokers and agents who are National Association of Realtors (NAR) members and pay NAR fees. Not all real estate agents are Realtors, so as an agent, you can only use the term Realtor if you are a NAR member. You want to be transparent with clients, so if you’re not a NAR member, and they refer to you as a Realtor, let them know the difference. It’s important to note that the public may refer to agents as realtors in a general sense, but agents should not use the term in marketing unless they are NAR members.
Is a real estate agent and broker the same thing?
Exploring what’s the difference between a real estate agent and a realtor can naturally lead to wondering what the differences between a real estate agent and a broker are. It can vary by license type and state; however, we’ve broken it all down for you in our article, Real Estate Broker vs. Agent: A Head-to-Head Analysis.
Bringing It All Together
So whether you are a real estate agent, a NAR Realtor, or labeled a realtor by a client, it’s safe to say that there are more similarities than differences. As we’ve learned today, the term Realtor comes from being a part of the NAR network and gaining access to those advantages. However, guiding clients through the journey of buying, selling, and renting homes is paramount. No matter your title, working in real estate offers a chance to build rewarding relationships and enjoy the flexibility to create your success.
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