Definition of Broker
A real estate broker is real estate agent that has chosen to complete additional educational requirements that allows them to operate without the supervision of another licensed broker. As a result, a real estate broker is held to a higher regulatory standard than a real estate agent. A real estate broker can work as an independent agent or the broker can opt to hire other agents who work under the broker.
Why is this term important?
Real estate brokers are real estate agents that have completed additional licensing an regulatory training. A broker can act as a team leader for other real estate agents, as an independent agent that represents home buyers and sellers or take on both roles, at once.
The broker is responsible for ensuring that all parts of the transaction are in accordance with provincial regulations and that all steps of the transaction comply with the laws and ethics that govern business and real estate transactions.
To become a broker, a person must first work as a real estate agent. This means that despite taking on additional administrative and regulatory work, a broker has intimate knowledge of the real estate transaction process.
The advantage of working with a broker directly is they will often be very experienced in their chosen market. However, some real estate brokers spend less time in the market once they have completed their licensing, which is why it is critical to ensure that they are the right fit for your needs.
Examples of term
An individual looking to sell their home hires a real estate broker. Like a Realtor or a real estate agent, a broker will list the home for sale on a Multiple Listing Service (MLS), share the listing with their network, advise the seller in what you need to do to prepare for potential showings and photos, attend any showings, help negotiate any offers, coordinate the transaction process, finalize all documents and help the seller to review any offers before finalizing the close of the sale.