What is the primary difference between a real estate agent and a real estate broker?

The primary difference between a real estate agent and a real estate broker lies in the level of education, licensing, and the ability to own and operate a brokerage. Brokers are required to complete additional educational requirements and pass a more comprehensive licensing exam compared to agents. This advanced training equips brokers with a deeper understanding of real estate laws, ethics, and practices.

With this additional credentialing, brokers can not only represent clients in transactions but also manage their own real estate offices. This means they can hire agents to work under their supervision, thus playing a crucial role in the real estate industry by ensuring compliance with regulations and providing guidance to less experienced agents.

In contrast, agents typically work under the license of a broker and do not have the authority to operate a brokerage. This distinction underscores the importance of continued education and professional development in the path of a real estate career, leading to more responsibilities and opportunities for those who achieve broker status.