What is a principal in real estate?

A principal in real estate refers to the person or entity who is engaged in a real estate transaction, typically representing their own interests. This can include individuals, partnerships, corporations, or other entities that are directly involved in buying, selling, leasing, or managing real estate.

A principal in real estate may act as the buyer, seller, landlord, tenant, developer, or investor in a transaction. They are responsible for making decisions related to the property, negotiating terms, and overseeing the transaction process. Principals in real estate often work with real estate agents, brokers, attorneys, and other professionals to assist them in navigating the complexities of the market and achieving their objectives.

Overall, the principal in real estate plays a key role in shaping the outcome of a real estate transaction and is ultimately responsible for the success or failure of the deal.