Realtor vs Real Estate Agent: What the Difference Actually Means for You
The realtor vs real estate agent question comes up every time someone starts looking for a home or preparing to sell. Both titles appear on business cards, both show up in search results, and at first glance they seem interchangeable. They aren’t.
Understanding the real estate agent vs realtor distinction saves you time when choosing who to work with. The difference between realtor and real estate agent is legal and ethical: one term is a licensed professional designation, the other is a protected trademark. Knowing which is which helps you ask smarter questions during interviews — and it matters whether you’re choosing a realtor or real estate agent for a first purchase or a high-stakes sale.
What Separates a Real Estate Agent from a Realtor
Licensing vs. Membership
Every realtor is a real estate agent, but not every agent is a realtor. To become a licensed real estate agent, a person completes state-required coursework (typically 60–180 hours depending on the state), passes a licensing exam, and registers with the state real estate commission.
A realtor is a licensed agent who has also joined the National Association of Realtors (NAR), paid annual dues, and agreed to follow the NAR Code of Ethics — a 17-article document that covers duties to clients, the public, and other realtors. The realtor vs real estate agent gap is fundamentally this: the realtor designation signals a voluntary commitment to a specific ethical standard.
The Realty vs Real Estate Terminology Overlap
You’ll also hear the phrase realty vs real estate. “Realty” typically refers to the physical property or the brokerage firm (as in “Smith Realty”). “Real estate” is the broader industry term covering land, structures, and the transactions around them. Neither term tells you whether you’re working with a NAR member.
Choosing Between a Realtor or Real Estate Agent
When you’re deciding on a realtor or real estate agent, start by asking whether the person is a NAR member. You can verify membership at realtor.com’s agent search tool. Membership adds a layer of accountability — NAR can investigate ethics complaints and, in serious cases, revoke the realtor designation.
The real estate agent vs realtor choice matters most in competitive markets. Some MLS (Multiple Listing Service) access and certain forms of agency representation are tied to NAR membership at the local board level. In markets where all active agents are also realtors, the distinction disappears. In smaller markets or newer brokerages, you may find licensed agents who aren’t NAR members and still perform well.
The difference between realtor and real estate agent boils down to this: credentials and ethical obligations. Interview both. Ask about their recent transaction volume, the price range they typically work in, and how they handle multiple offers. Their answers matter far more than which title they hold.