Define: Real Estate Agent

A real estate agent is a person licensed at the state level to represent another person in a real estate transaction, such as the purchase, sale, or lease of real property. The real estate agent can be either a real estate salesperson or a real estate broker. The real estate agent often works significantly more than 40 hours per week, and generally on evenings and weekends. In most cases, the real estate salesperson is a business owner or independent contractor. The typical real estate agent is compensated for services on a commission basis. The real estate agent, by establishing an agency relationship with a client, takes on a fiduciary duty to that client. The most common real estate agent speciality is residential property. The professional real estate agent is also usually a realtor.

A real estate agent or realtor is the professional who works for you to buy or sell real estate. The listing agent works for the seller and is paid a commission for selling the property.

The seller signs a listing agreement specifying the commission to be paid, the term of the listing, and other details of the arrangement. The realtor representing the buyer is also paid a commission as specified in the listing agreement.

The listing agent works with the seller to get the property ready to sell and to market the home with a listing in Realtor.com, advertising, open house, and similar techniques.

When an offer is received, the realtors work with their clients to try to reach an agreement. Once a completed contract is signed, the agents then work to keep the deal together through necessary inspections, appraisals, adjustments, and approvals.

Finally, at the close, the buyer brings a check, and both realtors and the seller get paid.

This site contains general legal information but does not constitute professional legal advice for your particular situation. Persuing this glossary does not create an attorney-client or legal adviser relationship. If you have specific questions, please consult a qualified attorney licensed in your jurisdiction.

This glossary post was last updated: 29th March, 2024.