What is a real estate "broker"?

Prepare for the Minnesota Laws and Rules Test. Utilize flashcards and multiple choice questions, each with hints and explanations. Secure your success in the exam!

A real estate broker is specifically defined as a licensed individual or company that facilitates real estate transactions, making option B the correct choice. Brokers play a crucial role in the buying, selling, and leasing of properties, acting as intermediaries between buyers and sellers to help negotiate terms and ensure compliance with applicable laws and regulations. They are required to obtain a license and adhere to ethical standards set forth by governing bodies.

In contrast, a person who sells properties directly to buyers is typically referred to as a real estate agent rather than a broker, highlighting a distinction in terminology and function within the real estate industry. An appraiser focuses on assessing and valuing properties, which is a different role altogether and does not involve facilitating transactions. Similarly, a financial advisor specializing in real estate investments does not necessarily engage in the buying and selling of real estate; instead, they provide guidance on investment strategies related to real estate, further distinguishing their role from that of a broker.

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