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Reminder: Retain Text Messages

Most brokers are aware that Commission Rule 58A .0108 requires that all transactional records be retained for three years. Most brokers are good at retaining contracts, agreements, money trails, closing statements, and such. But what about those pesky text messages that are frequently used to communicate orders, approvals, and questions by clients or other transactional parties? Where and how are they kept? Are they available to be provided to Commission representatives without prior notice as required by rule?

If your heart just skipped a beat in panic, you are not alone. It is not uncommon for brokers under investigation to be unable to provide pivotal documentation because it was by text message that is no longer available to the broker.

How can that be, you ask. It usually revolves around the broker assuming that their phone/text service provider keeps all text messages indefinitely. Sadly, this is seldom the case. It seems that most carriers scrub/delete call records and/or text messages in a fairly short timeframe unless the phone owner has changed the retention settings to a longer period of time; some carriers offer “forever” as an option. Retaining such data in the Cloud is also a good storage option.

Moral of the article: don’t assume that you will be able to retrieve a needed text unless you have made specific retention choices with your device and/or service provider.

Reminder: Continuing Education Points to Consider

Don’t forget to complete your Continuing Education (CE) courses before June 10, 2025, at 11:59 PM EST. Here’s what you need to know:

Broker-in-Charge responsibility: Ensure all affiliated brokers have completed their required CE.

Some CE classes may sell out: Seats are limited, so secure your spot early.

Less than 40 days left: Time is ticking! Act now to fulfill your CE requirements.

Avoid the last-minute rush: Start now to avoid any last-minute stress.

Did you know?

What can a co-host do without a license?

The Commission often receives calls from both brokers and unlicensed individuals who want to know what activities require licensure when renting property on Airbnb, VRBO, and other similar online platforms.

Online rental platforms were created to allow an owner to self-manage short term rentals in a convenient and accessible manner.  Sites permit licensees to list rentals as property managers, but they also allow for “Co-Hosts” to assist in some of the hands-on tasks that an owner may not be able to perform. The question of the day is, when does an unlicensed person cross the line into brokerage territory where a license would be required?

North Carolina General Statute § 93A-2(a) states that an active real estate license is required in order to:

A few rules to keep in mind: Commission Rule 58A. 0110 states that a Broker in Charge is responsible for the conduct of advertising by or in the name of a firm.  Commission Rule 58A. 0104 requires a property management agreement to be fully executed prior to providing property management services. 

Unlicensed individuals who wish to assist owners on these platforms may perform the following services without having a license:

A license is required for the following:

An unlicensed Host should not be paid per booking and no fees can be tied to a booking, cannot advertise on a website even if it links to a different platform, and cannot enter into a Property Management Agreement with an owner of a rental property.  Unlicensed individuals also cannot pay or be paid any referral or finders fees for referring potential tenants or owners.

The NCREC 2025 Spring Educators Conference

The North Carolina Real Estate Commission proudly hosted its 2025 Spring Educators Conference on March 27, 2025, at the McKimmon Center in Raleigh. The conference, themed “Raleighwood: How to Be An Education Star,” welcomed 300 participants. Commission Chair T. Anthony Lindsey kicked off the event with a warm welcome to all attendees. Throughout the day, participants engaged in the following insightful presentations by the Commission Chair, Vice Chair Bill Aceto, and Commission Staff.

The conference concluded with the presentation of the 2025 Larry A. Outlaw Excellence in Education Award to Patrice Willetts by Commission Chair T. Anthony Lindsey. The Commission established the Larry A. Outlaw Excellence in Education Award in 2016 to honor the Commission’s late former Director of Education and Licensing Division. This year’s recipient of the Larry A. Outlaw Award, Patrice Willetts, demonstrated ongoing excellence in outstanding contributions to real estate education in North Carolina.  

The Commission expressed gratitude to North Carolina’s real estate educational community for their unwavering support and dedication in honing their skills, and extended a heartfelt congratulations to Patrice Willetts on her well-deserved award.

Disciplinary Actions

BOTTOM LINE REALTY & MANAGEMENT (CHARLOTTE) – By Consent, the Commission suspended the firm license of Bottom Line Realty & Management for a period of 16 months, effective March 14, 2025. The Commission then stayed the suspension in its entirety upon certain conditions. The Commission found that the Firm began providing property management services to a landlord-client in 2017 with the same tenant occupying the property since that time. The Firm failed to inform the landlord-client of needed repairs or ensure that staff was doing said repairs leading to additional damage from a leak in the crawlspace. The Firm failed to ensure that tenants had established utilities for subject property leading to the gas meter being removed and the tenants being without heat. The Firm failed to provide repair documentation to the landlord-client upon request.

CATHY COTTLE (WINSTON SALEM) – By Consent, the Commission reprimanded Cottle effective March 31, 2025. The Commission found that Cottle was the Broker in Charge of the listing firm of the subject property.  Cottle’s listing agent (hereinafter “LA”) listed the subject property and began advertising in the MLS that the subject property contained 2,526 heated square feet. The LA represented that the 2,526 square feet included the 936 square feet in the basement, however the basement was unheated. Excluding the basement, the square footage would have been 1,590 square feet, which is the same as the county tax record. LA failed to notice the error until it was pointed out by a Buyer’s Agent during the listing period. Cottle failed to update the MLS to indicate the correct square footage.

RALONNIE DAVIS (CHARLOTTE) – By Consent, the Commission suspended the broker license of Davis for a period of 12 months, effective March 11, 2025. The Commission then stayed the suspension following a three-month active period upon certain conditions. The Commission found that Davis failed to remit rent proceeds and security deposit funds to an owner after that owner terminated a property management agreement with Davis. Davis, as the broker-in-charge, failed to properly account for trust monies and failed to reconcile the Firm’s trust accounts in accordance with Commission rules.

TIEASE DUNCAN (ERWIN) – By Consent, the Commission suspended the broker license of Duncan for a period of 6 months, effective March 1, 2025. The Commission then stayed the suspension in its entirety upon certain conditions. The Commission found that Duncan represented a buyer in a real estate transaction. The buyer obtained a home inspection which discovered potential evidence of termites and identified other potential issues. Duncan failed to competently review the inspection report and did not discuss with her buyer-client that they might want to conduct additional inspections. Duncan failed to ensure the buyer obtained a home warranty to be paid by seller prior to close, as was agreed to in the contract.

FAMILY FIRST PROPERTY MANAGEMENT & REALTY (JACKSONVILLE) – By Consent, the Commission permanently revoked the firm license of Family First Property Management & Realty, effective March 5, 2025. The Commission found that the Firm managed approximately 277 properties. On or about February 7, 2025, the Firm had shortages in its trust accounts in excess of $300,000.00.

KENLON PARK ESTATE LLC (CHARLOTTE) – By Consent, the Commission suspended the firm license of Kenlon Park Estate LLC for a period of 12 months, effective March 11, 2025. The Commission then stayed the suspension following a three-month active period upon certain conditions. The Commission found that the Firm failed to remit rent proceeds and security deposit funds to an owner after that owner terminated a property management agreement with the Firm. The Firm also failed to properly account for trust monies and failed to reconcile its trust accounts according to Commission rules. 

KEVIN STRINGARI (CHARLOTTE) – By Consent, the Commission suspended the broker license of Stringari for a period of 16 months, effective March 14, 2025. The Commission then stayed the suspension in its entirety upon certain conditions. The Commission found that Stringari was broker-in-charge of a firm which began providing property management services to a landlord-client in 2017 with the same tenant occupying the property since that time. As broker-in-charge, Stringari failed to ensure that the landlord-client was informed of needed repairs or ensure that staff was doing said repairs leading to additional damage from a leak in the crawlspace, and failed to ensure that tenants had established utilities for subject property leading to the gas meter being removed and the tenants being without heat.

LEONARD RYDEN BURR LLC (WINSTON SALEM) – By Consent, the Commission reprimanded Leonard Ryden Burr LLC effective March 31, 2025. The Commission found that the Firm’s listing agent (hereinafter “LA”) listed the subject property and began advertising in the MLS that the the subject property contained 2,526 heated square feet. The LA represented that the 2,526 square feet included the 936 square feet in the basement, however the basement was unheated. Excluding the basement, the square footage would have been 1,590 square feet, which is the same as the county tax record. LA failed to notice the error until it was pointed out by a Buyer’s Agent during the listing period. The Firm failed to update the MLS  to indicate the correct square footage.

DAMON WINSLOW (CHARLOTTE) – By Consent, the Commission suspended the broker license of Winslow for a period of 16 months, effective March 14, 2025. The Commission then stayed the suspension in its entirety upon certain conditions. The Commission found that Winslow was broker-in-charge of a firm which began providing property management services to a landlord-client in 2017 with the same tenant occupying the property since that time. As broker-in-charge, Winslow failed to ensure that the landlord-client was informed of needed repairs or ensure that staff was doing said repairs leading to additional damage from a leak in the crawlspace. Winslow failed to ensure that tenants had established utilities for the subject property, leading to the gas meter being removed and the tenants being without heat. Winslow failed to provide repair documentation to the landlord-client upon request.

Quick Tips

“Please include your NC real estate license number when contacting NCREC; this will allow staff to respond quickly with information that is personalized to you.

-Deb C, Education and Examination Officer

“CE is NOT required to be completed in order to renew your license. You can RENEW your license before you have completed CE.”

-A. Anderson, License Specialist

“Taking Postlicensing courses will not satisfy your CE requirement.”

-B. Hollings, License Services Officer

“Please keep copies of your submitted forms and electronic correspondence with the Commission for your own personal records.”

-E. Muse, License Services Specialist

“BIC Eligibility is LOST if you expire or go inactive. Not sure why I’ve received several calls about that the past few weeks.”

-D. Moessner, License Services Team Lead

Commission Presentations

March 2025 Presentations

Lyndi James, Auditor,  spoke at Onecom Properties LLC on March 3rd.

Christy Evans, Consumer Protection Officer, spoke at Coldwell Banker HPW on March 4th.

Miriam Baer, Executive Director, spoke at Durham Regional Association of REALTORS® on March 4th.

Kristen Fetter, Assistant Director of Regulatory Affairs, spoke at United Real Estate – Queen City on March 13th.

Bruce Rinne, Information Officer, spoke at Lake Norman Realty on March 19th.

Bruce Rinne, Information Officer, spoke at Home Towne Realty on March 27th.

April 2025 Presentations

*These presentations are subject to change due to the availability of Commission members and/or staff.*

Bruce Rinne, Information Officer, will speak at Century 21 Lawrie Lawrence and Century 21 Echelon on April 1st.

Dee Bigelow, Information Officer, will speak at Winston Salem Association of REALTORS® Property Management Division on April 15th.

Christy Evans, Consumer Protection Officer, will speak at Roanoke Valley Lake Gaston Board of REALTORS® on April 16th.

Lyndi James, Auditor,  will speak at Coldwell Banker Sea Coast Advantage on April 16th.

The Fair Housing Act

The Fair Housing Act of 1968 is a federal law enacted to prohibit discrimination in the sale, rental, and financing of housing transactions against people in a protected class. The Fair Housing Act expanded on and served as a follow-up to the Civil Rights Act of 1964.

During the long journey to the passage of the Fair Housing Act, Dr. Martin Luther King, Jr.’s leadership was instrumental. In 1966, Dr. King moved his family to Chicago to raise awareness of, and fight against unfair housing policies and practices. These efforts, which led to fair and open housing policies in Chicago, were the first large-scale fair housing campaign in the United States and helped inspire the Fair Housing Act. 

Dr. King was assassinated on April 4, 1968, the day the Senate was to vote on the Fair Housing Act. President Lyndon B. Johnson urged Congress to pass the Fair Housing Act as a memorial to his life and legacy.

To learn more, visit the links below:

Fair Housing Act ‑ 1968, Federal & Definition | HISTORY

History of Fair Housing – HUD | HUD.gov / U.S. Department of Housing and Urban Development (HUD)

On His 96th Birthday, We Remember Dr. King’s Fair Housing Legacy – Fair Housing Center for Rights and Research

Seven Days Documentary – 50th Anniversary of the Fair Housing Act Edition

The Chicago Freedom Movement | National Low-Income Housing Coalition

Education Reminder for Commission Approved Instructors

As a reminder, all Commission approved instructors must complete six hours of instructor development education each license year to renew their approval, per Commission Rule 58H .0306. This requirement is separate from and in addition to the eight hours of CE all brokers must complete. The instructor education requirement ensures instructors stay current on best practices and reinforces their ability to provide high-quality instruction.

With the NCREC Spring Educators Conference behind us, instructors who have still not completed their education requirement must explore other options. For a list of other available courses, instructors should review the Guidelines for Instructional Educational Requirement (Form REC 3.78). This document explains the requirement and provides a list of different course options along with the links to access them. The list of courses in the guidelines is not exhaustive, and if an instructor finds another option, they believe to be equally beneficial, they can send a detailed description of the course along with a syllabus or course outline to educ@ncrec.gov. Such programs will be considered on a case-by-case basis.

Remember, instructors must complete their six hours of instructor development education before they can renew their instructor approval, so do not wait until the last minute; complete your education now! For more information, visit the Commission’s website at www.ncrec.gov.

Don’t Make Promises You Cannot Keep!

Video Link: https://youtu.be/uk2l3cJ1mo8

Recently, there have been several disciplinary actions related to brokers making promises to clients or consumers and then not fulfilling the promises.

General Statute 93A-6(a)(2) states that the Commission has the power to discipline a broker for:

Making any false promises of a character likely to influence, persuade, or induce. To be a false promise, the broker has to know at the time it is made that they aren’t going to fulfill it or aren’t able to fulfill it.

Here are some examples of making false promises:

Brokers should be cautious when making promises to consumers and clients.  Never promise something you don’t intend to deliver.  And if you do make a promise, be sure to follow through on your promise in a timely manner.