Chapter 25
designated non-resident
comply with MA law; may be exempt from MA education requirements; no MA place of business required if maintained in state of licensure; must file power of attorney with MA Board for receiving summons licensed in another
BROKER SURETY BONDING
brokers to provide $5,000 surety bond for payment to any aggrieved person with aggregate liability not to exceed amount of bond; liability payments exceeding amount of bond result in license revocation
Continuing education
12 hours every 2 years to follow Board curriculum or license placed on inactive status must include 6 hours related to law compliance in fair housing, equal employment, disabled accessibility, agency law, environmental issues, zoning and building codes, appraisals and financing, property taxes, Board regulations; can be taken online if time-based inactive licensees and reciprocal licensees exempt from continuing education
If a licensee commits an act of discrimination within 2 years of a previous act of discrimination, what penalty could the licensee receive? $500 fine 1 year imprisonment License revocation 90-day license suspension
90-day license suspension
Which of the following activities requires a MA real estate license? A property owner selling his own property A person negotiating a mortgage loan to purchase property for himself A property manager employed by the property owner A person dealing in options on real estate
A person dealing in options on real estate
Which of the following statements is TRUE? An appraiser trainee applicant must complete 150 hours of pre-license coursework. A state-licensed appraiser applicant must hold a Bachelor's degree from an accredited college or university. A state-certified residential appraiser applicant must complete 2.500 hours of real estate appraisal experience. A state-certified general appraiser applicant must complete 200 hours of pre- certification appraisal coursework.
A state-certified residential appraiser applicant must complete 2.500 hours of real estate appraisal experience.
Tom's initial license was issued on August 18, 2017. His birthday is August 17. When is Tom's license renewal date? August 17, 2020 August 18, 2019 August 17, 2019 August 18, 2020
August 17, 2020
Which of the following statements is FALSE regarding the MA Board of Registration of Real Estate Brokers and Salespersons? Board members are compensated monthly for their service. Board members review license applicants' criminal records. The Board has the power to take action to enforce MA real estate laws The Board must hold at least four meetings a year.
Board members are compensated monthly for their service.
Failing to meet which of the following requirements could exclude an applicant from licensure permane Passing the written examination Paying all due state taxes Demonstrating good moral character Having a social security number
Demonstrating good moral character
The Board does NOT consider which of the following as a conviction? A final judgment of guilty. A plea of guilty. A plea of nolo contendere. None of the above
None of the above
Which of the following statements is TRUE regarding the MA Board of Registration of Real Estate Brokers and Salespersons? The Board is supervised by the governor. The Board members are appointed by the Director of Professional Licensure. Three members of the Board must be licensed brokers with at least 10 years of real estate experience. Members of the Board serve 5-year terms.
Members of the Board serve 5-year terms.
Which of the following is a requirement for broker licensure? 21 years of age High school diploma or equivalent Both of the above Neither of the above
Neither of the above
Powers
administer and enforce real estate laws conduct investigations and hearings for violations impose penalties modify license status
Exemptions
acting for self or as management employee of person acting for self managing agent employed by property owner licensed auctioneer person buying, selling securities public officer performing official duties power of attorney, attorney at law, trustee, executor person with court order bank, credit union
LICENSE STATUS
active - complete continuing and renewal prior to expiration inactive - result of failure to complete continuing education but still pay renewal fee; no performing activities that require licensure; may accept referral fees and payment for procuring prospects; no accumulation of experience; must complete continuing education for reactivation expired - result of failure to complete continuing education, to renew license, and to pay renewal fee; no engaging in activities that require licensure; complete continuing education and submit reinstatement application with fee to reinstate license and submit to new criminal background check
HEARINGS & DISCIPLINARY PROCESS Process
aggrieved person files complaint with Board who investigates and holds hearing no penalty without hearing Board to provide 10-day written notice of hearing with grounds for hearing and copy of complaint accused has right to appear in person or by counsel and examine witnesses finding by Board majority with notification to all parties of finding, reason, and law original license refusal can file request for hearing; to be filed within 10 days of denial disagreement with Board finding can file appeal to superior court within 20 days of finding notification; appeal costs paid by party acting in bad faith or gross negligence
Other
all applicants - 18 years old with social security number or tax i.d.; pay exam and license fees; filed state tax returns and paid taxes; provide evidence of good moral character; US citizen or declaration to become US citizen within 5 years; submit 3 endorsements from reputable MA residents not related to applicant broker applicants only - salesperson license and working 25 hours a week for broker for 3 years; experience not more than 2 years old; principal residence in MA for 1 year; pay $5,000 surety bond
Activities requiring licensure
any of the following for another person for compensation: sell, buy, rent, lease, or exchange real estate, or negotiate to do so: list or offer to list real estate; deal in options on real estate; advertise self as engaged in above; assist or direct prospect procurement; negotiate or complete real estate transaction Exemptions
APPRAISAL LICENSING Requirements
application, fee, good moral character, background screening trainees - 75 hours of pre-license coursework within 5 years of license application with 15 hours of USPAP state-licensed appraiser - 150 hours of pre-license coursework with 15 hours of USPAP and 30 semester hours of college or associate's degree; 1,000 hours of appraisal experience over 6 months; pass exam state-certified residential appraiser - 200 hours of pre-license hours of USPAP; bachelor's degree, 1,500 hours of appraisal experience over 12 coursework with 15 or more months; pass exam state-certified general appraiser-300 hours of pre-license coursework with 15 hours of USPAP; bachelor's degree, 3,000 hours of appraisal experience over 30 or more months with 50% of experience in non-residential appraisals; pass exam of experience; appearance before Board; payment of license fee within 2 years of exam temporary registration - certificate or license valid in other state; only appraising for federally-related transaction; temporary business only; file application and fee with MA Board; applicant listed on Federal Registry; temporary registration expires when assignment completed
APPRAISAL LICENSING Туpes
appraisal trainee - only assist certified/licensed appraiser state-certified general appraiser- appraisals of all types of property state-certified residential appraiser - appraisals of certain residential properties state-licensed appraiser - general appraisals of 1-4 residential units temporary license/certificate - certification or licensure issued by another state good in MA for temporary period of time for specific assignment
state-certified general appraiser
appraisals of all types of property 300 hours of pre-license coursework with 15 hours of USPAP; bachelor's degree, 3,000 hours of appraisal experience over 30 or more months with 50% of experience in non-residential appraisals; pass exam
state-certified residential appraiser
appraisals of certain residential properties 200 hours of pre-license coursework with 15 hours of USPAP; bachelor's degree, 1,500 hours of appraisal experience over 12 or more months; pass exam
corporation - designated
broker license with officer or partner also holding broker license and designated as broker of record non-resident to
Exclusion from licensure
conduct showing lack of good moral character sex crimes excluded for 10 years, then review; or psychologist evaluation submission; or Board screening felony conviction within 10 years of license application; or misdemeanor conviction within 5 years of application - Board screening; or open criminal charges or conviction of certain charges - Board screening lying about criminal history on application - license denial for 6 months outstanding warrant - application on hold for 6 months to show warrant withdrawn or license denial if no withdrawal lying on application or cheating on exam - mandatory 5-year or more exclusion
reciprocal education and
education and exam salesperson or broker licensed in another state; exempt from MA requirements; contingent upon other state having laws similar to MA and having reciprocal agreement with MA
Renewals
every 2 years; first renewal on birth date after 2 years; business entity renewed with broker of record Board to mail renewal application 30 days prior to expiration inactive licensee to renew license but renewal license not issued until reactivation
state-licensed appraiser
general appraisals of 1-4 residential units 50 hours of pre-license coursework with 15 hours of USPAP and 30 semester hours of college or associate's degree; 1,000 hours of appraisal experience over 6 months; pass exam
To obtain a corporate broker license, the entity must require each officer or partner to pass the licensure examination. have at least one officer or partner hold a broker license. carry professional liability insurance. first obtain a salesperson license.
have at least one officer or partner hold a broker license.
Sanctions, fines, penalties
license suspension or revocation or renewal refusal for prohibited activities $500 fine for acting as though licensed when unlicensed suspension for 60 days for acts of discrimination; 90 days if within 2 years of prior act $1,000 to $2,500 fine or imprisonment, or both, for soliciting residential property based on alleged value change due to another race, economic level, religion, or ethnic origin entering neighborhood Board can change its decisions and reinstate or reissue license
BOARD NOTIFICATIONS
list of employed licensees sent by supervising broker to Board change of business address sent by licensee to Board or license revoked license ineligibility notice sent by Board with reasons and requirement for reapplication
salesperson license -
not allowed to negotiate or complete transactions
broker license
not allowed to negotiate or complete transactions allowed to perform any license-required activities
appraisal trainee -
only assist certified/licensed appraiser trainees - 75 hours of pre-license coursework within 5 years of license application with 15 hours of USPÄP
To obtain a broker license, the applicant must hold a Bachelor's degree from an accredited college or university. successfully pass the broker examination with a score of at least 75%. pass the broker examination within 2 years of completing the pre-license coursework. hold a salesperson license with at least 2 years of association with a broker.
pass the broker examination within 2 years of completing the pre-license coursework.
PROHIBITED ACTIVITIES
perform acts requiring licensure without license .... advertised self as licensed without license obtained license by fraud misrepresentation acted in dual capacity of broker and undisclosed principal or acted undisclosed for more than 1 party to same transaction mishandled money belonging to others; commingled funds received or paid undisclosed commission on expenditures or paid commission to unlicensed person for activities requiring licensure .. induced party to break contract failed to provide purchase agreement copy to both parties performed any act ... violated MGL, Chapter 112, Sections 87RR to 87CCC demonstrating race, economic level, religion, or ethnic discrimination accepted net listing sold or bought property in land development site in another state without notifying MA Board demonstrated lack of good moral character
Education
school real property course; have salesperson - 40-hour pre-license course or law Board approval; pass exam with 70% score within 2 years of course completion broker - 40-hour pre-license course; have Board approval; pass exam with 70% score within 2 years of course completion; same subjects on exam as salesperson but more advanced
Duties
set rules and regulations for brokers and salespersons set policy and determine good moral character set application, education, and examination requirements, including continuing education issue, deny licenses
Temporary license
sole proprietor dies - legal representative to file for temporary license, file surety bond, and pay license fee; no education or exam required; business to be conducted for 1 year; license not renewable business entity broker of record dies, disabled, or terminated - other officer or partner to conduct business for 1 year while seeking to qualify for new license and broker of record
MASSACHUSETTS REAL ESTATE BOARD Structure
supervised by Director of Professional Licensure 5 members: 3 licensed brokers engaged full time in real estate for previous 7 years, 2 representatives of public all appointed by governor to serve 5-year terms without compensation at least 4 meetings per year with 3-member quorum
Personal assistants
support tasks or other duties not requiring licensure
MA reciprocal licensure is contingent upon the applicant passing the MA examination. the other state having real estate laws similar to Massachusetts. the other state agreeing in writing to allow the MA licensure. the applicant applying only for a broker license.
the other state having real estate laws similar to Massachusetts.