So what does a real estate agent do? An agent is a licensed professional who represents you in a home purchase or sale, handling the search or the listing, the pricing, the negotiation, and the paperwork until the keys change hands.
Buyers use agents to find homes, write competitive offers, and get through inspections. Sellers use them to set a price, market the property, and sort through offers. The sections below cover each side of the job, plus the work most clients never see.
Real Estate Agent Duties at a Glance
When people ask what a real estate agent does day to day, the answer falls into six areas, whichever side of the deal the agent sits on:
- Advising on local prices, neighborhoods, and market timing
- Arranging showings and open houses
- Explaining mortgage pre-approval and pointing you toward lenders
- Negotiating price, repairs, and other terms
- Preparing and tracking contracts and disclosures
- Coordinating every step between an accepted offer and closing
Redfin’s agent guide lists nearly the same services. The main difference between a buyer’s agent and a listing agent is who they work for and which of these tasks gets the most attention.
How Someone Becomes a Licensed Agent
The U.S. Bureau of Labor Statistics (BLS) reports that all states require real estate brokers and sales agents to be licensed. Redfin describes the usual path as state-required coursework, a licensing exam, and then work under a brokerage.
Requirements differ by state, so check your state’s real estate commission for current course hours and exam rules. You can also look up any agent’s license there and see whether it is active.
The BLS counted about 420,900 real estate sales agents in 2024, and most brokers and sales agents are self-employed. In practice, the person helping you is usually an independent contractor attached to a brokerage, not a salaried employee.
What a Buyer’s Agent Does
A buyer’s agent works for the person purchasing the home. The job runs from the first search to the closing table.
1. Finding and Screening Homes
Your agent turns a vague wish list into a search you can act on. They set up listing alerts, suggest neighborhoods that fit your budget, and tell you quickly when a house matches your list.
On tours, a good agent points out what listing photos leave out. That might be a tired roofline, water staining in a basement, or a road that gets loud at 5 p.m. Redfin also notes that agents can often learn why a home is on the market and whether the sellers are in a hurry.
2. Writing and Negotiating the Offer
When you choose a house, the agent pulls recent comparable sales and helps you decide what to offer. They also advise on contingencies such as inspection, financing, and appraisal, and on which closing date to request.
Here is a simple example. A home lists at $450,000, and two similar houses nearby sold for $430,000 and $438,000 last month. Your agent can lay out that comparison, help you choose between offering near asking or lower, and handle the counteroffer.
3. Managing Inspections and Closing
After the seller accepts, the agent keeps the calendar moving: the inspection window, the appraisal, the lender’s document requests, and the final walkthrough. Redfin points out that agents can recommend inspectors, including specialists for sewer or termite checks. If the inspection turns up problems, they negotiate repairs or a credit.
Agents do not replace your lender or title company. Their job is to watch the deadlines so nothing slips.
What a Listing Agent Does
A listing agent, also called a seller’s agent, represents the homeowner. The goal is to sell the property at a strong price on workable terms.
1. Pricing the Home
Pricing is the first and most consequential decision. The agent compares your home with recently sold, similar properties nearby and asks about upgrades, condition, and features.
Price too high and the listing goes stale. Price too low and you leave money on the table.
2. Preparing and Marketing the Property
Before listing, agents often suggest low-cost fixes such as fresh paint, new light bulbs, and clearing away personal items. For dated furnishings, they may bring in a professional stager.
Then they arrange photos, write the listing description, enter the home in the local multiple listing service (MLS), host open houses, and tap their own network for buyers.
3. Reviewing Offers
The highest offer is not always the best one. An agent compares price against financing type, contingencies, closing date, and the buyer’s down payment, then negotiates counteroffers.
A slightly lower offer with fewer contingencies can be safer than a higher one that depends on the buyer selling their own house first.
Dual Agency and Why Some States Restrict It
In a dual agency arrangement, one agent represents both the buyer and the seller. Redfin notes that some states restrict or prohibit it because of the conflict of interest, since one person cannot push for the lowest and the highest price at the same time.
If an agent proposes it, ask for the arrangement in writing and check your state’s rules first.
The Work Buyers and Sellers Rarely See
Much of an agent’s day happens off-screen. Before you submit an offer, your agent may have called the listing agent to ask about other bids, whether the sellers want extra time after closing, or what timeline they prefer. Those answers shape what you offer.
Paperwork takes a large share of the time. Offer letters, purchase agreements, disclosures, addenda, and closing documents all need signatures by set dates, and agents spend a lot of effort chasing them.
Agents also trade information with other agents, lenders, title officers, and inspectors. A responsive agent can save you days at each handoff.
Because agents are paid at closing, hours spent on showings that never lead to a sale are usually unpaid. That is part of why commission exists, and why earnings swing from year to year.
What a Real Estate Agent Does Not Do
Agents are not attorneys, inspectors, appraisers, or lenders, and those boundaries matter. An agent can explain what a contingency is, but legal questions about a contract belong with a real estate attorney. In some states, attorneys handle closings.
An inspector, not your agent, evaluates the foundation or the HVAC system. An appraiser, ordered through your lender, determines the appraised value.
Agents also cannot guarantee a sale price or a timeline. They offer judgment based on local sales and nothing more. If an agent promises a specific price before the home is even listed, treat that as a sales pitch.
A Sample Timeline for a Home Purchase
The exact order shifts by state and by deal, but a typical purchase with an agent looks like this:
- Get pre-approved with a lender and sign an agreement with your agent.
- Search, tour homes, and review comparable sales.
- Submit an offer and negotiate terms.
- Order the inspection and the lender’s appraisal.
- Negotiate repairs or credits if problems appear.
- Complete the final walkthrough and sign closing documents.
Your agent is involved at each stage, though the lender and title company control some of the steps.
Specialties: Commercial, Rental, and Niche Agents
Redfin notes that a commercial real estate agent has the same core duties as a residential agent, plus added experience leasing commercial properties such as office buildings and shopping centers.
Some agents also focus on rentals, new construction, luxury homes, or a single neighborhood. A narrow specialty can help if your property is unusual, such as a historic home or a condo with strict association rules.
Real Estate Agent vs. Broker vs. Realtor
These terms get mixed up. A broker is an agent who has completed additional licensing and can manage other agents or open a brokerage. Agents must work under a brokerage, and Redfin notes that in states like Colorado and New Mexico, all agents need an associate broker’s license.
A Realtor is an agent or broker who belongs to the National Association of Realtors (NAR) and follows its Code of Ethics. Redfin, citing NAR, puts membership at about 1.45 million as of May 2025.
All Realtors are agents or brokers, but not every agent is a Realtor.
How Real Estate Agents Get Paid Now
Agents earn commissions, usually a percentage of the final sale price, and Redfin says the rate is negotiable. The BLS lists the median annual wage for real estate sales agents at $56,320 in May 2024, with brokers earning more.
Who pays the buyer’s agent changed in 2024. Before the NAR settlement, sellers typically paid both agents. Redfin expects sellers to keep covering the buyer’s agent in many deals, but those fees are increasingly negotiated as part of the offer.
Many brokerages now ask buyers to sign a buyer’s agency agreement that spells out services and fees. Terms vary, so read the cancellation language, because some brokerages may charge you even if you never buy.
Do You Need a Real Estate Agent?
No law requires you to use one, according to Redfin. You can buy or sell without an agent.
The tradeoff is that you take on pricing research, negotiation, and paperwork yourself, and you may face an experienced agent on the other side of the table.
An agent tends to earn the fee in a competitive market, with an unusual property, or if you are buying or selling for the first time. If you have sold several homes, know your market well, and are comfortable with contracts, going without one is more realistic.
Questions to Ask Before You Hire an Agent
Interview two or three agents before you choose. These questions bring out real differences:
- How many buyers or sellers in my situation did you work with last year, and in which neighborhoods?
- How do you communicate, and how quickly do you reply?
- What does your agreement say about fees and canceling?
- Who will actually show me homes, you or someone on your team?
- Can I speak with recent clients?
Pay attention to how specifically the agent answers. Someone who knows the area will mention recent sales on named streets, not generalities.
