Hello everybody, Robert Rico here at CA Realty Training.
Thank you for coming to our weekly video blog.
So glad to see you here, we're hoping that today we can shed some light on you.
Some education.
Some real estate education so you can understand the world of real estate just a little bit
better.
Today I want to discuss a little bit about real estate titles and designations.
A lot of times people are out there and they get confused.
They're not sure what the difference is between a realtor and a real estate agent.
The difference between a broker and a broker associate.
And there are so many titles out there, that we want to make sure that everybody is on
the same page.
Everybody understands what each one means.
So let's start off with the first one.
The first one, is of course, a real estate agent.
This is an individual who takes the 3 courses and passes the 3 courses, they receive the
3 certificates and it entitles them to take the California Bureau of Real Estate exam.
They pass the state exam, then they become a Real Estate Agent.
Next one, a real estate Salesperson.
Now a real estate salesperson is the same thing as a real estate agent.
Just different wording.
Next, we have a realtor - an actual designation of a realtor.
Now that's kind of special, a realtor.
A realtor is somebody who's joined the National Association of Realtors.
NAR.
Now what's the benefit of that?
I will tell you the benefit.
By joining the National Association of Realtors, an agent must abide by a very strong and strict
code of ethics.
This is what entices real estate agents to become realtors.
Because with that realtor designation, they're going to pledge the best performance they
can for them.
Now, by becoming a realtor, by having that designation of a realtor, there are 17 articles
- when you are a realtor, 17 articles within that code of ethics.
17 stipulations that the realtor must follow at all times.
These 17 articles, these 17 stipulations, these 17 code of ethics- it explains how the
realtor must treat their clients, how the realtor must treat the general public, and
how the realtor must treat their colleagues.
Very big of a program, National Association of Realtors.
This is why it's very popular and a lot of real estate agents decide to go from becoming
a real estate agent transferring to becoming a member of the National Association of Realtors.
Then we have, of course, a real estate Broker.
A real estate Broker, very simple.
A Real Estate Broker is somebody who has a real estate license, regular real estate license,
and they've taken additional courses, additional courses above and beyond what was taken to
become a real estate agent.
They've taken additional courses and of course they pass a broker's exam.
The real estate broker exam is more difficult, of course, than the regular real estate exam.
But by passing the real estate broker exam, you now have the designation of a broker.
Last but not least, we have what we call a real estate associate broker.
Now, this is kind of an interesting, yet unique, title.
An associate broker- wait for it, this is slightly confusing but I'm going to make it
as simple as possible.
An associate broker is somebody who decided to get their real estate broker's license.They
are a broker.
But they don't want to open up their own brokerage.
They don't want to manage other realtors below them.
They don't want to be the umbrella.
They don't want to be the broker and have all the expenses and having to manage a company.
A real estate company.
So what they decide to do is, the broker, the new broker decides to work for an umbrella,
for another broker.
So you have a broker, who has a license, a licensed broker, working under the umbrella
of another broker.
This way the broker that is underneath the umbrella- the associate broker doesn't have
the responsibilities or accountabilities for the business and office.
Not a bad thing to do.
Go out, get your real estate broker's license, work for another broker.
Let them take all the responsibilities and accountabilities.
Ladies and gentlemen, listen, there's a whole bunch of, whole bunch of titles out there.
And it's good to know what they are and what the difference is.
But the majority of you watching this, step number 1, you're going to go out and get that
real estate agent license.
Thanks for coming to our video blog.
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Hope to see you next week!