Licensing Requirements

Activities that require a license (application question..You can...)

1. Sell, exchange, purchase, rent or lease real estate belonging to someone other than the owner him/herself, or his/her spouse, child, or parent 2. Negotiate for any of above functions 3. List or offer to list real property for any of the above functions 4. Auction real property (auctioneers must have a license-Ground men don't need one) 5. Buy, sell, or deal in options in real estate 6. Aid in locating or obtaining real estate for above functions 7. Procure prospects for effecting the sale, exchange, lease or rental of real estate 8. Procure properties for effecting the sale, exchange, lease or rental of real estate 9. Present himself/herself as being able to perform an act for which a license is required

Cobrokering

A Written agreement b/w AL broker and nonresident broker specifying each parcel of property

Renewal of License

A temporary license cannot be renewed, because a temporary license is only valid for one year. During the 1 year you take the the post license course to turn temporary into an original license

Post license Education

A temporary salesperson's license is only valid for 1 year. It must be turned into an original salesperon's license by taking a 30 hour post license course

Cobrokering

AL broker is liable for his/her own actions AS WELL AS the actions of the out of state broker

Cobrokering

AL broker must supervise all showings and all negotiations related to the property

Cobrokering

AL broker must verify that the cooperating broker is licensed as a broker in another state

Cobrokering

AL broker's name must appear in all advertising for the property

Renewal of License

ALL licenses have to renewed ACITVE and INACTIVE licenses Always PAY and Always RENEW

Cobrokering

Alabama broker must file within 10 days with the commission a copy of written agreement

Cobrokering

All earnest money, pertaining to a co-brokerage agreement must be held in escrow by the AL brokerage UNLESS all parties agree in writing to have the earnest money held elsewhere

Cobrokering

An AL broker CAN enter into a co-brokerage agreement with a broker from another state.

Cobrokering

Civil actions may be taken against him/her in AL court if claim arises

After applicant for an original salesperson's license passes the State exam

H/She has 90 days to mail the application for a TEMPORARY salesperson's license to the AREC. During the 90 days the applicant must decide whether h/she wants the TEMPORARY salesperson's license to be issued on "Active Status" or on "Inactive Status"

Temporary License /Inactive Status

If the applicant does not plan to practice RE immediately, he/she can request that the Alabama Real Estate Commision (AREC) hold his/her license. The license can be activated whenever the licensee is ready to practice real estate actively.

Temporary License /Active Status

If the applicant plans to practice RE immediately h/she will request that the TEMPORARY license be issue on ACTIVE Status and in this case find a qualifying broker to hold his/her license Activate $25

Post License Education

If the post license course is not completed within the full 12 month period after issuance of temporary license, it will lapse and the process has to start all over again by taking the prelicense course and the state exam. **The post license course cannot be taken until the temporary license is received by qualifying broker

Post License Education

If the temporary license is active, the post license course must be completed within 6 months of the first year of holding temporary license. if the post license course is not completed within the first 6 months period of licensure, the active temporary license automatically is placed on inactive status and the licensee has the ret of the one year period to complete post license course.

License Status

Inactive Status: If a licensee does not plan to practice real estate, he/she can put his/her license on inactive status. It can remain on inactive status indefinitely. However, even when a license is inactive, it still must be renewed every 2 years. When renewing an inactive license, the licensee does not need to take continuing ed in order to renew the inactive license.

Renewal of License

Licensees with active licenses must take CE in order to renew his/her license

Renewal of License

Licenses are renewed every 2 years or on even numbered years

Renewal of License

Licenses begin on 10/1 of even numbered years through 9/30 of even numbered years

Renewal of License

Licenses with inactive licenses do not have to take CE when renewing his/her license

Qualifications to get a real estate license-Original

Must be trustworthy and competent so as to safeguards the interests of the public Cannot have had a real estate license rejected or revoked in any state during the previous 2 years for any reason except failure to pass the state exam 19 years or older Must be a US citizen or a person legally present with approrpriate documentation OR an aliean with permanent resident status Must be a HS graduate or equivalent by providing a photocopy of one of the following documents Must complete 60 hour salesperson prelicense course within 1 year from the date of enrollment which includes passing the course final examination with a 70% or better Must pass AL salesperson exam with a 70% or better

Qualifications for License-Reciprocal

Must complete 6 hour reciprocal salesperson course or 6 hour reciprocal broker course depending on which license is currently held in another state. NO COURSE FINAL EXAM requirement

Qualification for License-Reciprocal

Must pass the AL reciprocal salesperson state exam or AL reciprocal broker state exam with ah 70% or better THese applicants will only be required to take the 40 multiple choice questions on AL license law Provide license history proving their license in another state

Cobrokering

Nonresident broker agrees to abide by AL laws

Renewal of License

Renewal form must be submitted by August 31 but licensees have until September 30 to complete continuing education. If the renewal form is not received by AREC by 8/31 deadline, the licensee is charged a $150 penalty fee

Cobrokering

State in which nonresident broker is licensed must offer same privileges to AL licenses

Post License Education

The new licensee can begin practicing real estate as soon as his/her broker receives the new licensee's license. The new licensee does not have to wait until after completing the post license course before beginning the practice of Real Estate.

Reactivation of license

To reactivate an inactive license, a licensee must take 15 hours of CE. 6 of those 15 hours must be specific risk management courses. 3 hours must be one one course titled Risk Management Avoiding Violations 3 hours must be a level 2 course: Qualifying Brokers and associate brokers must take RisK Management for Brokers and Salespersons must take either Risk Management for Brokers or Riskmanagment for Salespersons

Continuing Education

Total of 15 hours of continuing education required to renew a license -These 15 hours should include: 3 hours of level one course titled -Risk Management Avoiding Violations 3 hours must be level 2 course: Qualifying brokers and associate brokers must take Risk Management for Brokers Salespersons must take either Risk Management for Brokers or Risk Management for Salespersons and 9 hours of elective POST LICENSE course counts as CE for a licensees's first renewal

Renewal of License

When renewing an active salesperson or broker license, a licensee must submit proof of completion of 15 hour of CE