Real Estate RegulationsLicenses
Section § 10150
If you want to take the real estate broker license exam in California, you need to apply in writing and provide current contact details along with the exam fee. Once you pass the exam, you can apply for your license—though the license only gets issued if you pass the exam. If anything changes in your application details before your license is given, you might have to update your application. For acting as a mortgage loan originator, you'll need a special endorsement and meet specific federal requirements. This can be done electronically or in writing as instructed by the commissioner.
Section § 10150.6
If you want to become a real estate broker in California, you generally need to have worked as a real estate salesperson for at least two of the last five years and renewed your salesperson license during that time. However, if you haven't been a salesperson for two years but have other real estate experience, you can apply for a broker's license by explaining your qualifications to the Department of Real Estate. Also, holding a college degree in real estate can count as two years of real estate experience, even if it was earned more than five years before applying for the broker's license.
Section § 10151
If you want to take the real estate salesperson license exam in California, you have to apply in writing and pay a fee. The application can also be for a license, but you won't get the license until you pass the exam. The application should have your contact information, and if anything changes before you get your license, you need to update the application. Starting from October 1, 2007, you need to show that you've taken certain real estate courses before taking the exam. However, if you're a California lawyer or already qualified for a broker exam, these rules don't apply to you. There's a separate process for applying to work as a mortgage loan originator, which can be done electronically or in writing, and it must meet federal standards.
Section § 10151.2
This law outlines special rules for military personnel and their spouses seeking professional licenses in California. It defines who qualifies as a member of the Armed Forces and requires that the licensing commissioner checks if applicants are or were military members. The commissioner must speed up the licensing process for veterans with honorable discharges and for spouses or partners of active duty service members stationed in California, provided they have a current license from another state.
Section § 10151.3
This law requires the California Department of Real Estate to create an annual report for the Legislature about licenses granted to military members, veterans, and their spouses. The report must include the number of expedited license applications received, how many licenses were issued or denied, and how long it takes for a license to be issued from when the application is received. The law only goes into effect if a related bill (Senate Bill 800) is enacted.
Section § 10151.5
If you're not living in California but want a real estate license here, you can get one if you qualify under California's real estate laws and your home state allows Californians to get real estate licenses there too. Foreign companies can skip this mutual agreement rule if they have a California-resident officer as a licensed broker. Additionally, non-residents must agree to let California's Real Estate Commissioner serve legal papers on their behalf if they can't be personally reached in California.
Section § 10152
This law allows the real estate commissioner to request additional proof of an applicant's honesty and truthfulness before granting or reinstating a real estate license. This includes potentially requiring a hearing and mandating that applicants be fingerprinted. Additionally, anyone seeking to reinstate a license or reduce a penalty must also submit their fingerprints as part of their petition.
Section § 10153
This law section requires anyone applying for a real estate license in California to pass a written exam. Besides showing they are honest, applicants must demonstrate they know English and can do math used in real estate. They also need to understand real estate principles, how agency contracts work, and general rules about buying and selling property. Finally, they must know the ethics and obligations of real estate practice and the regulations set by the Real Estate Commissioner.
Section § 10153.01
This law makes it illegal to cheat, try to cheat, or mess with a licensing exam. Cheating includes talking to others during the test, copying answers, having someone else take the test for you, taking exam materials without permission, and using unauthorized notes or devices. It also includes sharing false information on your exam application. If you get caught, you might be banned for up to three years from taking any licensing exams or holding a real estate license.
Section § 10153.1
This law makes it illegal for anyone to deceive or commit fraud about their identity when taking an exam, applying for an exam, or requesting to take an exam. If someone knowingly breaks this rule, or helps someone else do it, they can be charged with a misdemeanor, which is a type of crime.
Section § 10153.2
This law outlines the educational requirements for someone wanting to take the exam for a real estate broker license in California. Applicants need to complete certain courses at an accredited school, including topics like real estate practice, legal aspects, appraisal, and financing. Real estate practice courses must cover implicit bias and fair housing laws. Additionally, they must complete courses in other specified advanced topics like business law or property management. If you're a California Bar member or have prior equivalent education, some requirements might be waived. These rules take effect on January 1, 2024.
Section § 10153.3
This law outlines the requirements for applying to take the real estate salesperson license exam in California. Applicants need to be enrolled in or have completed a course in real estate principles from an accredited institution. If the applicant doesn't pass the exam within two years of applying, they must show they've completed certain courses before retaking it. Before receiving the license, they must also complete courses in real estate practice and another specified topic. Exceptions are made for State Bar members and those who've met broker exam criteria or equivalent study. The commissioner controls the format and content of the application.
Section § 10153.4
This law talks about the process for applying for the California real estate salesperson license and exam, particularly for those who applied before October 1, 2007. Applicants must submit written applications with a fee and show they've passed the exam. They need to complete courses in real estate principles and practice, except if they qualify by being a member of the State Bar. If applicants only meet some requirements when the license is issued, they must finish the other courses within 18 months to avoid suspension. For the first renewal, certain continuing education requirements are waived. The rules and conditions of the license will be clearly stated on the license and explained to the applicant.
Section § 10153.5
This section talks about what qualifies as an 'equivalent course of study' and an 'accredited institution' for real estate education in California. An equivalent course can be from a private school that the commissioner finds comparable to college-level courses. An accredited institution should either be recognized by a specific regional accrediting agency, like the Western Association of Schools and Colleges, or have a real estate curriculum similar in quality to those accredited schools.
Section § 10153.6
If you want to be a real estate broker in California, your license will last for four years. Before you get the license, you'll need to pass the necessary exam and meet all the other requirements. Once your license period is up, you can renew it by submitting the proper application, paying a fee, and following specific renewal rules.
Section § 10153.7
If you want to get or keep a real estate salesperson license in California, you need to pass the necessary test and meet all the requirements first. Once you have it, the license lasts for four years. You can renew it after that period by submitting an application, paying a fee, and following specific renewal rules.
Section § 10153.8
Section § 10156.2
Section § 10156.5
This law lets a commissioner give someone a restricted license instead of completely taking it away or denying it. This can happen if the person has violated certain rules that could mean losing their license, or if they don’t fully meet all the requirements for getting a new one, but have passed some tests and have some experience.
Section § 10156.6
This law section explains that a restricted real estate license, issued for the public interest, can have specific limitations. These restrictions might include how long the license is valid, requiring the salesperson to work for a certain real estate broker, certain conditions that must be followed, or if the person hasn't met specific educational requirements within 18 months.
Section § 10156.7
If you have a restricted license based on certain conditions, you don't have a guaranteed right to keep or renew it. The commissioner can suspend your license without a hearing while they make a final decision. For licenses with special conditions like completing a course, your license will automatically be suspended if you don't meet those conditions. You'll need to finish the course and notify the commissioner to lift the suspension.
Section § 10156.8
This law allows the commissioner to require someone with a restricted license to provide a type of insurance called a surety bond. This bond serves as a financial guarantee to protect those who interact with the license holder, ensuring they are covered in case there are problems or breaches in their dealings.
Section § 10157
This law makes it clear that only the person who receives a real estate license is allowed to perform the tasks or duties specified in that license. No one else can act on their behalf using that license.
Section § 10158
If a corporation has a real estate license and wants multiple officers to act as real estate brokers, it must get separate licenses for each officer. If the main broker-officer dies or becomes unable to continue, the corporation can keep operating under the same license, but must inform the department and apply for a new main officer within 10 business days.
Section § 10159
If a corporation wants to operate as a real estate broker, it must have qualified broker-officers who either passed the broker exam or are already licensed. An officer in this role doesn’t need an individual broker license but is still responsible for following broker rules. These officers can only act for the corporation unless they have a separate license and make it clear when they work for other entities.
Section § 10159.2
This law talks about the responsibilities of a corporation's designated officer when it comes to overseeing its real estate activities. Specifically, the officer must ensure that all activities and employees, including salespersons, comply with real estate laws. If the corporation has additional broker licenses, it can assign supervisory duties to other broker-officers through a board resolution. Any such assignments must be filed with the Real Estate Commissioner within five days.
Section § 10159.5
If you want a real estate license with a business name that isn't your own, you must provide proof from the county. Brokers can allow salespeople to handle the name registration process, but they remain responsible for supervision. Any advertising must clearly show the broker's and salesperson's info. Violating these rules is not a criminal offense.
Section § 10159.6
This law relates to how real estate teams can advertise using their team name. Ads and signs must clearly show the team name and the name and license number of at least one team member. The broker responsible for the team must be as prominently shown as the team name in these materials. The advertising cannot suggest there's a separate real estate business apart from the responsible broker. Breaking this rule won't be treated as a crime.
Section § 10159.7
This section explains terms related to real estate business names. A 'fictitious business name' is a professional brand approved by the real estate department. 'Ownership of a fictitious business name' is the right to use and renew it. A 'team name' is a brand used by two or more real estate agents working together, which doesn’t need special licensing as long as it includes a member’s surname and doesn't imply it's a separate brokerage. Finally, this section clarifies that brokers must still supervise salespeople as required by law.
Section § 10161.5
If a real estate broker or salesperson gives up their license to work in government, they can get their license back within six months after leaving the government job. To do this, they must pay a renewal fee and follow certain rules, but only if their original license was issued at least four years before they apply to get it back.
Section § 10161.8
This section explains that whenever a real estate broker has certain changes about their business, they need to inform the commissioner in a way the commissioner requires. If brokers work with salespeople or other brokers, if they change addresses, or if someone leaves their team, they must notify the commissioner. The goal is to keep accurate and updated records for everyone involved in real estate activities.
Section § 10162
If you're a licensed real estate broker in California, you must have a specific office within the state where you conduct business and display your license. Your license allows you to work only from the location listed on it, unless you update it with the authorities. Both brokers and salespeople must keep their contact details, such as their office address, phone number, and email, current with the real estate commissioner. If any of these details change, you need to inform the commissioner within 30 days. Breaking this rule won't lead to a misdemeanor charge.
Section § 10163
If a real estate broker in California has multiple business locations, they need to get a separate license for each one. The application must include the broker's name and the address of each location. The commissioner has the authority to decide if a broker is conducting business in a way that requires this additional licensing.
Section § 10164
This section allows a main broker or a broker for a corporation to appoint someone to manage a branch office or part of the real estate business. This manager is responsible for daily operations, supervising other licensees, and overseeing clerical staff. However, the main broker is still ultimately responsible for the business. The manager must agree in writing to take on these responsibilities, and both the written contract and a notice of the appointment must be sent to the relevant department. Certain people cannot be appointed managers, like those with restricted licenses, those debarred, or new salespeople with less than two years of recent experience. If a manager is replaced or their job ends, the main broker must promptly inform the commissioner.
Section § 10165
This law says that if a real estate licensee breaks certain specific rules, the commissioner can either temporarily suspend or permanently take away their license. This decision is made through a formal hearing process.
Section § 10165.1
This law says that the department doesn't have to put email addresses or phone numbers they gather online. If they do share this information, they must do so in a way that tries to prevent it from being used for spam or unwanted advertising emails.