What is a REALTOR®

All 50 states issue Real Estate licenses, after successfully completing the required study and passing a general and state examination.  There are two types of real estate licenses; a salesperson’s and a broker’s. In most states, the salesperson’s license represents an entry-level status, and a broker’s license is usually issued after additional study, examination and experience in the field.  Only the broker is allowed to charge the public for services.  All contracts (listings, buyer broker agreements) are made with the firm’s principal broker, not with the individual salesperson or broker associate.

A person may be licensed by the state without being a REALTOR®, just as one may be a doctor without belonging to the American Medical Association. Those brokers who do choose to join the local, state and national Associations (or Boards) of REALTORS® are properly called REALTOR®.

The word “Realtor” is a trade-marked designation. In its proper form it should be written in all capital letters, with the correct trademark symbol after it: REALTOR®.   It has become so successful that sometimes slips into common speech. The National Association of Realtors is alert to protect its rights, like the makers of Coke, Band-aid and Xerox.

A REALTOR® takes an oath to subscribe to a Code of Ethics which is constantly updated to meet changing conditions in the industry. This consists of various Articles and Standards of Practice. Mediation and arbitration procedures are in place to settle commission disputes and ethics hearings enforce the Code which often goes beyond state license regulations. Typically, members agree to share information about each other’s listed properties, through a local or regional Multiple Listing System (such as the Rhode Island Statewide MLS), which gives sellers’ properties wide exposure, and offers buyers an efficient way to house-hunt. On this site you can actually access every listing featured on the Rhode Island Statewide MLS through a professional REALTOR®.