Real estate brokers are an important part of real estate transactions, but they are just one piece of the professional process. Let’s examine what a real estate broker does, and take a look at similar professions in the overall world of real estate.
What is a Real Estate Broker, as a Profession?
A real estate broker is similar to a real estate agent in that they assist buyers in finding and purchasing property, and they help seller’s market and sell the property. Like an agent, their day-to-day job might include marketing their listings, hosting open houses, researching comparable properties, showing homes to buyers, and more.
But in addition to normal agent duties, a broker also has the ability to run their own brokerage, or real estate company. Real estate agents work under the guidance of real estate brokers. As such, brokers take on the additional duties of mentoring agents and overseeing sales, as well as various company-wide marketing and administration considerations.
Real estate brokers must have experience as a real estate agent before pursuing their broker’s license (1-3 years, depending upon state requirements). They must also undergo additional training and pass an examination to obtain their broker’s license. Those who have a great entrepreneurial desire and a willingness to coach other agents could be well-suited to becoming a real estate broker.
What Professions Are Similar to a Real Estate Broker?
Real Estate Agent
As mentioned, a real estate agent works for a real estate broker. They perform real estate-related duties surrounding the showing and listing of properties. Real estate agents might focus on residential or commercial properties, and they may pursue specialties in areas like vacant land, agriculture, short sales, investment properties, military relocation, and more.
Real Estate Investor
A real estate investor is a person who leverages the real estate market in some way for profit. The two most common types of residential real estate investors include home flippers, who buy, rehab, and resell distressed properties, and landlords, who purchase property to be rented out to tenants.
Real Estate Wholesaler
A real estate wholesaler helps to identify distressed properties that may be a good match for investors. Wholesalers research potential properties and approach the owners about making a sale. Once a deal is in place, the wholesaler will bring in an investor to buy the property. The investor pays a premium on the deal to compensate for the wholesaler’s efforts.
Real Estate Developer
As the name implies, a real estate developer develops property into something better. That might include turning vacant land into a subdivision, or transforming an abandoned building into a retail space. Beyond real estate experience, developers also need knowledge of construction, county codes, and building best practices, among other things.
A property manager helps to care for investors’ properties. Duties include marketing the rental, screening tenants, securing leases, maintaining the property, collecting rent, and much more. Any of the day-to-day needs of property ownership can be handled by a property manager.
Real Estate Assistant
In a real estate brokerage, a real estate assistant often handles administrative duties such as activating listings online, routing phone calls, and completing necessary paperwork. A real estate assistant does not need a real estate license, and this position can be a great way to get a feel for what it’s like to work in a real estate brokerage.
Real Estate Loan Officer
A loan officer helps connect real estate buyers with the financing that they need to purchase property. Loan officers undergo training in real estate and finance in order to help buyers get the mortgage that suits their needs.
Mortgage brokers act as a liaison between borrowers and lenders. They research the best mortgage products (including loan rates and terms) and match buyers to the best loans for their situation. Brokers work on a commission that’s usually paid by the lender.
Before buying a property, most buyers request a home inspection. Inspectors undertake specialized training to look at all the details of the home––from the foundation to the roof to the HVAC to the light fixtures––and provide an extensive report to the homebuyers.
Real Estate Appraiser
Appraisers help determine the objective value of a property by looking at all of its features and comparing it to other properties in the local market. While there are different circumstances that might require an appraisal, usually an appraiser’s services are employed when a buyer goes to get a mortgage; the lending company wants to see an appraisal of the value before approving the loan. An appraiser must undergo specialized education and pass a test in order to become licensed.
Real Estate Marketing Specialist
A real estate marketing specialist helps a brokerage develop and promote their company brand by utilizing social media, launching print campaigns, creating digital content, and more. The marketing specialist helps to increase the brokerage’s visibility in order to generate more leads.
Real Estate Consultant
Real estate consultants are individuals with many years of real estate experience who advise investors and corporations in regards to real estate trends and deals. Real estate consultants must undergo additional licensing requirements related to a more global understanding of the real estate market.
Real Estate Attorney
Real estate attorneys handle real estate-related legal issues including contract disputes, title problems, official documentation, and much more. Like any attorney, real estate attorneys must go to law school and pass the LSAT and bar exams.
What is the Pay Like as a Real Estate Broker?
According to the US Bureau of Labor Statistics, the median income for real estate brokers across the nation is $48,770. However, as with any job, there’s a great variance based on the location and size of the brokerage. Payscale indicates that salaries range from $25,000 to $110,000 for real estate brokers.
If you’re interested in a real estate-related career, consider New Western. Our agents specialize in connecting investors with properties that match their investment goals. Our team is collaborative yet flexible, with on-the-job training and healthy incentives. If you’re interested in professions similar to a real estate broker, a career at New Western could be the answer you’re looking for.