What is the difference between a broker and an agent in commercial real estate?

A broker and an agent in commercial real estate are two distinct roles that involve different responsibilities. A broker is a person who, through a real estate license, has the legal authority to buy and sell real estate for a client. They are responsible for the financial aspects of the transaction, such as setting prices, negotiating agreements, and coordinating inspections. A broker can also provide advice on matters related to real estate, such as finding an appropriate loan or identifying suitable properties. An agent, on the other hand, is a person who has been hired by a broker to represent a client in commercial real estate. Agents do not have the legal authority to buy or sell real estate like brokers do. Instead, they serve as intermediaries between the broker and the client. They are responsible for conducting market research, finding suitable properties, and assisting in the negotiation of agreements. Agents are also responsible for helping clients understand the legal aspects of their transaction. In Pennsylvania, both brokers and agents need to hold a real estate license in order to practice commercial real estate. Brokers must have a minimum of three years of experience or take additional education courses in order to qualify. Agents, however, do not have to have a real estate license, although they must be supervised by a broker at all times.

Related FAQs

What is the difference between a broker and an agent in commercial real estate?

Related FAQs

Related Blog Posts