A realtor is a person who represents sellers or buyers of real estate or real property. While a broker may work independently, an agent always works under a licensed broker to represent clients. Brokers and agents are licensed by the state to negotiate sales agreements and manage the documentation required for closing real estate transactions. Buyers and sellers are generally advised to consult a licensed real estate professional for a written definition of an individual state’s laws of agency, and many states require written disclosures to be signed by all parties outlining the duties and obligations.
Generally, realtors / real estate brokers/ agents fall into four categories of representation:
A real estate broker typically receives a real estate commission for successfully completing a sale. this commission can generally range between 5-6% of the property’s sale price for a full service broker but this percentage varies by countries, states and even regions. This commission can be divided up with other participating real estate brokers or agents. Flat-fee brokers and Fee-for-Service brokers can charge significantly less depending on the type of services offered.
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