Comparing Real Estate Agents Across the Sea

Thanks to inventions like aeroplanes and other forms of transportation, those living within recent decades have been able to travel the world and see how people live differently depending on where they are located geographically. We can see how common factors such as eating habits, architecture, music are all adapted by the culture in which the society resides. Therefore, it comes as no surprise that Real Estate is no different. The Real Estate sector has become more and more digital over the last few years, especially in Europe and North America. So what do these two regions have in common and what differences set them apart when it comes to Real Estate.

European Real Estate agents function a bit different to North America, as we know Europe is a continent consisting of many smaller countries all rich in their own customs, languages and culture. However, in order to get some reference, Europe as a continent (according to the UN) has over 44 countries and is only half the size of the U.S. That creates a huge common factor among the different places in Europe and that is the lack of space. The lack of space makes the value of a property much higher in Europe especially in accordance to the population. In the U.S. there is a population of 327 million whereas in Europe (with all countries together) the population is 513 million people. When you compare these two factors, that is almost twice the amount of people living in less than half the amount of space!

These extremes make that European Real Estate agents spend more time working in their local areas and agencies, as opposed to working for large corporations. To be more specific, Real Estate agents in Spain tend to work more as freelancers forming part of online digital platforms (Realtus by Prontopiso being the newest platform specifically designed for agents). Other agents form part of small agencies in their local area, these tight networks allow agents to really know their areas well and get first hand knowledge as soon as a new properties are available.

In comparison, North America and more specifically The United States, Real Estate agents are categorized into groups;

Professional Real Estate Agents (Realtors): in the U.S. agents who want certain privileges must be a member of the National Association of Realtors (NAR), hence the term ‘realtor’, licensed by the State(s) in which they operate and be a member of a local real estate association. This is due to various regulations that are put in place regarding the sector, for example to obtain their licence, a realtor must pass a test having completed 70 hours of training and then undergo regular training to renew their licence.

While realtors are self-employed and typically only earn from commission, they must still operate under a real estate brokerage, or realty, which will not only support their team of realtors but ensure they are operate within the regulations.

Agents: These are individuals who have completed their real estate license and can legally sell property within their area.

Brokers: These individuals are agents who have officially obtained both their real estate license and their brokers license, which not only allows them to legally sell property but also having a brokers license allows them establish their own firms and hire agents to work for them.

Furthermore, across all American states, all (or most) new and resale properties on the market are listed on a regional database, known as the Multiple Listing Service (MLS). This means any realtor can access details of all properties for sale at any one time in their area. This enables buyers to appoint one realtor to act for them and assist in their property search. These kind of systems create the entrepreneurial spirit in which North America is so well known for because although there are more regulations in place, these large establishments allow for more opportunities across a grand scale. Last but not least, a huge difference which affects Real Estate is the amount of space that is available for properties and in turn for properties to be built and sold. Countries like Canada, U.S. and even New Zealand are vast areas of land where large properties can be built and designed, also affecting the world of architecture. 

In conclusion, no matter where you are located, the world of Real Estate is a fascinating place to be as it deals with property which in coming future years will be one of the world's main resources. In the end, Real Estate is so much more than selling properties, it’s selling future homes, and potential dreams to people like you and me.