What distinguishes a broker from a salesperson in real estate?

The defining characteristic that distinguishes a broker from a salesperson in real estate is that a broker can manage agents, while a salesperson cannot. Brokers typically have more extensive education and experience in real estate and are granted the authority to operate independently or manage a real estate firm. This includes the ability to hire, supervise, and train salespersons.

Salespersons must work under the supervision of a licensed broker, as they do not have the authority to independently conduct real estate transactions without that oversight. The regulation of these roles ensures that licensed brokers are responsible for the actions of the salespersons they employ, providing a structure for accountability in real estate transactions.

While brokers often have higher educational qualifications compared to salespersons, this distinction primarily serves as a means to equip them for their roles, rather than being the sole defining factor between the roles. It's also worth noting that brokers can work across various real estate sectors, not just limited to residential, making the focus on management capabilities essential in differentiating the two roles.