What distinguishes a real estate broker from a real estate salesperson?

The key distinction that sets a real estate broker apart from a real estate salesperson lies in the ability to accept commissions directly from clients. A real estate broker, having met additional education and licensing requirements beyond that of a salesperson, is authorized to engage with clients independently. This means that brokers can negotiate and enter into contracts, allowing them to earn commission directly for their services in the sale, lease, or management of real estate properties.

In contrast, real estate salespersons operate under the authority of a licensed broker and are unable to collect commissions directly. Salespersons must work under the umbrella of a broker, who oversees their transactions and assumes responsibility for legal compliance.

The options that involve managing salespersons or affiliations with a bank do not accurately define the core differences. While brokers can manage multiple salesperson, this point alone does not encompass the primary distinction; rather, it is a function of being a broker. Additionally, there is no requirement for brokers to be affiliated with banks, as their practice revolves around real estate transactions rather than banking services. Lastly, the ability to represent only buyers is not exclusive to brokers, as salespersons can represent buyers as well, thus not serving as a distinguishing factor.