In Malaysia, the terms “real estate agent” and “real estate negotiator” are often used interchangeably, but there are some distinctions between the two roles. Here are the distinctions:-
Legal Designation
Real Estate Agent – In Malaysia, a real estate agent is someone who has obtained a license from the Board of Valuers, Appraisers, Estate Agents and Property Managers Malaysia (BOVAEP) to operate as a licensed real estate agent. They are authorized to operate their own real estate agency, employ real estate negotiators, and handle property transactions on behalf of clients.
Real Estate Negotiator – A real estate negotiator, on the other hand, is an individual who has completed the necessary training and obtained a license from BOVAEP to negotiate and facilitate property transactions under the supervision of a licensed real estate agent. Real estate negotiators typically work under the guidance and supervision of a licensed real estate agency.
Scope of Practice
Real Estate Agent – Licensed real estate agents have the authority to represent clients in buying, selling, renting, or leasing properties. They can market properties, negotiate deals, prepare contracts, and handle all aspects of property transactions on behalf of their clients.
Real Estate Negotiator – Real estate negotiators, while also involved in property transactions, operate under the supervision of a licensed real estate agent. They assist in tasks such as property viewings, liaising between buyers and sellers, negotiating deals, and providing support throughout the transaction process. However, they cannot independently conduct property transactions without the oversight of a licensed real estate agent.
Responsibilities and Accountability
Real Estate Agent – As licensed professionals, real estate agents have a higher level of responsibility and accountability in ensuring compliance with legal and ethical standards in their dealings with clients and properties. They are required to adhere to BOVAEP’s regulations and guidelines, maintain proper records, and uphold professional standards in all aspects of their work.
Real Estate Negotiator – While real estate negotiators are also bound by BOVAEP’s regulations and code of ethics, they operate under the supervision and guidance of a licensed real estate agent. Real estate negotiators are accountable to their supervising agent and must adhere to the agency’s policies and procedures in conducting property transactions.
License Identification
Real Estate Agent – The license starts with letter “E”.
Real Estate Negotiator – The license starts letters “REN”.
In summary, while both real estate agents and real estate negotiators play essential roles in facilitating property transactions in Malaysia, real estate agents hold a higher level of authority and responsibility as licensed professionals, while real estate negotiators work under their supervision to assist in negotiating and closing deals.
