Letters explaining the law changes were mailed to all licensees on February 1. The texts of those letters are reproduced below on pages 8 through 11. Please visit the Commission website, www.ncrec.state.nc.us, for more information about the changes in the Real Estate License Law and Commission rules.
Broker-In-Charge
• According to our records, you are currently designated broker-in-charge of a real estate office. The Real Estate Commission wants to make you aware of Real Estate License Law amendments effective April 1, 2006. Beginning April 1, persons wishing to become brokers-in-charge must:
o possess two years full-time (or equivalent part-time) experience as a broker and/or salesperson within the previous five years (or have equivalent education/experience); and
o complete the Commission’s Broker-In-Charge Course consisting of 12 hours of classoom
instruction.
• Also, all brokers-in-charge, regardless of when they became a broker-in-charge, must complete a four classroom-hour Broker-In-Charge Annual Review Course each license period which will count as their continuing education elective course for the year. This course will be available beginning July 1, 2006. Course content will change each year. You also must continue to take the Real Estate Update continuing education course each license period.
• If you have already taken your Broker-In-Charge Course (four classroom hours now, 12 hours after April 1) or you take it within 120 days following your designation as broker-in-charge, and you remain broker-in-charge without any break in service, YOU WILL ONLY BE AFFECTED BY THE NEW CONTINUING EDUCATION REQUIREMENT.
• However, if you are not designated a broker-in-charge on April 1 or if there is any period of time after April 1 when for any reason you are not designated a broker-in-charge, you will be required to satisfy the new education and experience requirements if you wish to again become a broker-in-charge. [Note: If after April 1, you terminate as broker-in-charge of one office/firm and, AT THE SAME TIME, designate yourself broker-in-charge of a different office/firm, this will not be considered to be a break in service.]
RESIDENT
Resident Salespersons with Active Licenses Issued Before October 1, 2005
• The Real Estate License Law was recently amended to help improve professional standards within the real estate industry. Under the revised law, your salesperson license will be converted to a broker license on April 1. However, you should be aware that salesperson licenses converted to broker licenses will be on “provisional” status. This means you must still be supervised by a broker-in-charge. Also, you will have two years to complete a Broker Transition Course or demonstrate a certain amount of real estate experience to avoid having your license placed on inactive status on April 1, 2008.
• The Broker Transition Course will be offered by continuing education course providers throughout the state after April 1. It will consist of 24 hours of classroom instruction, HAVE NO END-OF-COURSE EXAM, and will count as your continuing education elective course for the license period in which you take it (but you must still take the Update Course if you were licensed as a salesperson prior to July 1, 2005).
• You can skip the Broker Transition Course if/when you certify to us you have acquired at least four years full-time (or equivalent part-time) experience as a real estate broker and/or salesperson within the previous six years. “Full-time” means at least 40 hours per week. “Experience” includes any activity requiring a real estate license (listing, sales, property management, etc.). Experience acquired between April 1, 2006 and April 1, 2008 may count toward the four years. Beginning in April, you may access our website at www.ncrec.state.nc.us for instructions on how to certify your real estate experience.
• When you complete the Broker Transition Course (or certify you possess the required real estate experience), we will remove your license from “provisional” status. But if you have not completed the course (or certified you possess the required real estate experience) by April 1, 2008, your “provisional” broker license will be placed on inactive status and you must then complete 90 classroom hours of education to remove the “provisional” status and activate your license.
Resident Salespersons with Active Licenses Issued on or After October 1, 2005
• The Real Estate License Law was recently amended to help improve professional standards within the real estate industry. Under the revised law, your salesperson license will be converted to a broker license on April 1. However, you should be aware that salesperson licenses converted to broker licenses will be on “provisional” status. This means you must still be supervised by a broker-in-charge. Also, to avoid cancellation of your license, you must complete three postlicensing real estate courses (at least one per year) by April 1, 2009.
• The three Commission-approved postlicensing courses will be offered by schools after April 1 and each will consist of at least 30 hours of classroom instruction (including a course exam). You may take them in any order, but you must complete your first course by April 1, 2007, your second course by April 1, 2008, and your third by April 1, 2009. If you prefer, you may take all three courses during the first year after April 1, 2006.
• When you complete the three postlicensing courses, we will remove your license from “provisional” status. If you fail to complete the required course(s) by the April 1 deadlines in 2007 or 2008, your (provisional) broker license will be placed on inactive status until you have completed the missed course(s). And if you have not completed all three postlicensing courses by April 1, 2009, your license will be cancelled and you must reapply if you wish to have it reinstated. Depending on how long your license remains “cancelled”, you may have to complete even more education and/or retake the license examination to reinstate your license.
Resident Salespersons with Inactive Licenses Issued Before October 1, 2005
• The Real Estate License Law was recently amended to help improve professional standards within the real estate industry. Under the revised law, your inactive salesperson license will be converted to an inactive broker license on April 1. However, you should be aware that salesperson licenses converted to broker licenses will be on “provisional” status. This means that if you activate your provisional broker license, you must still be supervised by a broker-in-charge. You must complete a Broker Transition Course or demonstrate a certain amount of real estate experience by April 1, 2008 to terminate the “provisional” status and retain the right to activate your license by merely satisfying the continuing education requirement for the current and preceding license period.
• The Broker Transition Course will be offered by continuing education course providers throughout the state after April 1. It will consist of 24 hours of classroom instruction and HAVE NO END-OF-COURSE EXAM. You will receive continuing education elective course credit for the license period, but you may still need to complete additional continuing education to activate your license.
• You can skip the Broker Transition Course if/when you certify to us you have acquired at least four years full-time (or equivalent part-time) experience as a real estate broker and/or salesperson within the previous six years. “Full-time” means at least 40 hours per week. “Experience” includes any activity requiring a real estate license (listing, sales, property management, etc.). Experience acquired between April, 2006 and April 1, 2008 may count toward the four years. Beginning in April, you may access our website at www.ncrec.state.nc.us for instructions on how to certify your real estate experience.
• When you complete the Broker Transition Course (or certify you possess the required real estate experience), we will remove your license from “provisional” status. But if you have not completed the course (or certified you possess the required real estate experience) by April 1, 2008, you must complete 90 classroom hours of education to remove the “provisional” status and activate your license. Because your license was issued before October 1, 2005, you can keep it on inactive status indefinitely so long as you renew it each year.
Resident Salespersons with Inactive Licenses Issued on or After October 1, 2005
• The Real Estate License Law was recently amended to help improve professional standards within the real estate industry. Under the revised law, your inactive salesperson license will be converted to an inactive broker license on April 1. However, you should be aware that salesperson licenses converted to broker licenses will be on “provisional” status. This means that if you activate your license, you must still be supervised by a broker-in-charge. Also, to avoid cancellation of your license, you must complete three postlicensing real estate courses (at least one per year) by April 1, 2009.
• The three Commission-approved postlicensing courses will be offered by schools after April 1 and each will consist of at least 30 hours of classroom instruction (including a course exam). You may take them in any order. If you wish to activate your license after April 1, 2007, you must have completed at least one course, and after April 1, 2008, at least two courses (in addition to your required continuing education). When you complete all three postlicensing courses, we will remove your license from “provisional” status.
• If you have not completed the three postlicensing courses by April 1, 2009, your license will be cancelled and you must reapply if you wish to have it reinstated. Depending on how long your license remains “cancelled”, you may have to complete even more education and/or retake the license examination to reinstate your license.
NONRESIDENT
Nonresident Salespersons with Active Licenses Issued Before October 1, 2005
• The Real Estate License Law was recently amended to help improve professional standards within the real estate industry. Under the revised law, your salesperson license will be converted to a broker license on April 1. However, you should be aware that salesperson licenses converted to broker licenses will be issued on “provisional” status. This means you must still be supervised by a broker-in-charge. Also, you will have two years to complete a Broker Transition Course or demonstrate a certain amount of real estate experience to avoid having your license placed on inactive status on April 1, 2008.
• The Broker Transition Course will be offered by continuing education course providers throughout North Carolina after April 1. It will consist of 24 hours of classroom instruction, HAVE NO END-OF-COURSE EXAM, and count as your continuing education elective course for the license year in which you take it. The course will NOT be available by distance education (i.e. online, by correspondence, etc.). Recognizing it may be difficult for nonresidents to take the Broker Transition Course in North Carolina, you have this option — you may instead take courses approved by the licensing agency in another state (postlicensing, broker prelicensing, or continuing education) which together total at least 24 classroom hours. You may obtain credit for postlicensing and broker prelicensing courses completed within three years prior to your seeking credit for them. Continuing education courses must have been completed between April 1, 2006 and March 31, 2008 and must be in addition to any course(s) required to satisfy your state’s continuing education requirement. Beginning in April, you may access our website at www.ncrec.state.nc.us for instructions on how to report your education taken in another state.
• You can skip the Broker Transition Course if/when you certify to us you have acquired at least four years full-time (or equivalent part-time) experience as a real estate broker and/or salesperson within the previous six years. “Full-time” means at least 40 hours per week. “Experience” includes any activity requiring a real estate license (listing, sales, property management, etc.). Beginning in April, you may access our website at www.ncrec.state.nc.us for instructions on how to certify your real estate experience.
• We will remove your license from “provisional” status when you either □ complete the Broker Transition Course, or □ complete equivalent course(s) in another state, or □ certify you possess the required real estate experience, or □ certify you have obtained a broker license in another state. But if you have not done so by April 1, 2008, your “provisional” broker license will be placed on inactive status and you must then complete 90 classroom hours of education to remove the “provisional” status and activate your license.
Nonresident Salespersons with Active Licenses Issued on or After October 1, 2005
• The Real Estate License Law was recently amended to help improve professional standards within the real estate industry. Under the revised law, your salesperson license will be converted to a broker license on April 1. However, you should be aware that salesperson licenses converted to broker licenses will be issued on “provisional” status. This means you must still be supervised by a broker-in-charge. Also, to avoid cancellation of your license, you must complete three postlicensing real estate courses (at least one per year) by April 1, 2009.
• The three Commission-approved postlicensing courses will be offered by schools throughout North Carolina after April 1, and each will consist of at least 30 hours of classroom instruction (including a course exam). You may take them in any order, but you must complete your first course by April 1, 2007, your second course by April 1, 2008, and your third by April 1, 2009. The courses will NOT be available by distance education (i.e. online, by correspondence, etc.). Recognizing it may be difficult for nonresidents to take the brokerpostlicensing courses in North Carolina, you have this option — you may instead take education (postlicensing, broker prelicensing or continuing education) approved by the licensing agency in another state. You may obtain credit for postlicensing and brokerprelicensing courses completed within three years prior to your seeking credit for them. Continuing education courses must have been completed during the same one-year period in which you are seeking credit and must be in addition to any courses required to satisfy your state’s continuing education requirement. Beginning in April, you may access our website at www.ncrec.state.nc.us for instructions on how to report your education taken in another state.
• We will remove your license from “provisional” status when you either □ complete our three postlicensing courses, or □ complete equivalent courses in another state, or □ certify you possess the required real estate experience, or □ certify you have obtained a broker license in another state. But if you fail to complete the required education by the April 1 deadlines in 2007 or 2008, your provisional broker license will be placed on inactive status until you have completed the missed education. And if you have not completed the three postlicensingcourses or equivalent education by April 1, 2009, your license will be cancelled and you must reapply if you wish to have it reinstated (which may require taking our license examination and/or meeting other requirements, depending on your particular circumstances).
Nonresident Salespersons with Inactive Licenses Issued Before October 1, 2005
• The Real Estate License Law was recently amended to help improve professional standards within the real estate industry. Under the revised law, your inactive salesperson license will be converted to an inactive broker license on April 1. However, you should be aware that salesperson licenses converted to broker licenses will be on “provisional” status. This means that if you activate your provisional broker license, you must still be supervised by a broker-in-charge. Also, you will have two years to complete a Broker Transition Course or demonstrate a certain amount of real estate experience by April 1, 2008 to terminate the “provisional” status and retain the right to activate your license by merely taking four continuing education courses.
• The Broker Transition Course will be offered throughout North Carolina after April 1. It will consist of 24 hours of classroom instruction, HAVE NO END-OF-COURSE EXAM, and count as your continuing education elective course for the license year in which you take it. The course will NOT be available by distance education (i.e. online, by correspondence, etc.). Recognizing it may be difficult for nonresidents to take the Broker Transition Course in North Carolina, you have this option — you may instead take courses approved by the licensing agency in another state (postlicensing, broker prelicensing, or continuing education) which together total at least 24 classroom hours. You may obtain credit for postlicensing and broker prelicensing courses completed within three years prior to your seeking credit for them. Continuing education courses must have been completed between April 1, 2006 and March 31, 2008 and must be in addition to any course(s) required to satisfy your state’s continuing education requirement. Beginning in April, you may access our website atwww.ncrec.state.nc.us for instructions on how to report your education taken in another state.
• You can skip the Broker Transition Course if/when you certify to us you have acquired at least four years full-time (or equivalent part-time) experience as a real estate broker and/or salesperson within the previous six years. “Full-time” means at least 40 hours per week. “Experience” includes any activity requiring a real estate license (listing, sales, property management, etc.). Beginning in April, you may access our website at www.ncrec.state.nc.us for instructions on how to certify your real estate experience.
• We will remove your license from “provisional” status when you either □ complete the Broker Transition Course, or □ complete equivalent courses in another state, or □ certify you possess the required real estate experience, or □ certify you have obtained a broker license in another state. But if you have not done so by April 1, 2008, you must then complete 90 classroom hours of education to remove the “provisional” status and activate your license. Because your license was issued before October 1, 2005, you can keep it on inactive status indefinitely so long as you renew it each year.
Nonresident Salespersons with Inactive Licenses Issued on or After October 1, 2005
• The Real Estate License Law was recently amended to help improve professional standards within the real estate industry. Under the revised law, your inactive salesperson license will be converted to an inactive broker license on April 1. However, you should be aware that salesperson licenses converted to broker licenses will be issued on “provisional” status. This means that if you activate your provisional broker license, you must still be supervised by a broker-in-charge. Also, to avoid cancellation of your license, you must complete three postlicensing real estate courses (at least one per year) by April 1, 2009.
• The three Commission-approved postlicensing courses will be offered by schools throughout North Carolina after April 1 and each will consist of at least 30 hours of classroom instruction (including a course exam). You may take them in any order. The courses will NOT be available by distance education (i.e. online, by correspondence, etc.). If you wish to activate your license after April 1, 2007, you must have completed at least one course, and after April 1, 2008, at least two courses (in addition to your required continuing education). If you have not completed the three postlicensing courses by April 1, 2009, your license will be cancelled and you must reapply if you wish to have it reinstated (which may require taking our license examination and/or meeting other requirements, depending on your particular circumstances).
• Recognizing it may be difficult for nonresidents to take the broker postlicensing courses in North Carolina, you have this option — you may instead each year take at least 30 classroom hours of education (postlicensing, broker prelicensing or continuing education) approved by the licensing agency in your resident state. To receive credit, salesperson postlicensing and broker prelicensing courses must have been completed within three years prior to your seeking credit for them. Continuing education courses must have been completed during the same one-year period in which you are seeking credit and must be in addition to any courses required to satisfy your state’s continuing education requirement. Beginning in April, you may access our website at www.ncrec.state.nc.us for instructions on how to report your education taken in another state.
• We will remove your license from “provisional” status when you either □ complete our three postlicensing courses, or □ complete equivalent courses in another state, or □ certify you have obtained a broker license in another state.
This article came from the March 2006-Vol36-3 edition of the bulletin.