If you’re not well-versed about the ins-and-outs of Chicago property management companies, you may not understand the glossary associated with all things real estate. With decades of experience representing people from all facets of the real estate industry, we wanted to explain the difference between a property manager and a real estate agent; two terms that are often wrongly interchanged.
Two Separate Industries
It’s important not to lump property management and real estate into the same category. In fact, they are two different industries with some areas of overlap. The main area of similarity is that each industry deals with housing. There are also similar skills involved in each, but each requires its own specialties. Here are the major points of difference.
Real Estate Industry
The more well-known of the two is the real estate industry, which revolves around listing and selling properties on the behalf of the property owner. Thus, it is a transactional business that fluctuates based on the given market and the buying and selling needs at the time.
Property Management Industry
If you’ve lived in an apartment building or a condo, you’ve likely dealt with a property manager at one time or another, as they act as the point of contact for tenants. Property managers may either be onsite or offsite; regardless, they need to be able to effectively relay information and communicate with the tenant. There is no monetary transaction that happens directly between the tenant and the property manager, however, he or she receives a percentage of rent in exchange for services.