South-Western Publishing©2002 By Charles J. Jacobus Real Estate Principles Ninth Edition Real Estate: An Introduction to the Profession Ninth Edition South-Western Publishing©2002

Chapter 19 Licensing Laws and Professional Affiliation _______________________________________

South-Western Publishing©2002 License A person who, for compensation or promise of compensation, lists or offers to list, sells or offers to sell, buy or offers to buy, negotiates or offers to negotiate either directly or indirectly for the purpose of bring about a sale, purchase or option to purchase, exchange, auction, lease, or rental of real estate, or any interest in real estate is required to hold a valid real estate license.

South-Western Publishing©2002 Licensee Classes Real Estate Broker –A person licensed to act independently in conducting real estate brokerage business. Real Estate Salesperson –A person employed by a broker.

South-Western Publishing©2002 Real Estate Regulation

South-Western Publishing©2002 Broker Affiliation Training – complement, enhance, and encourage your personal development. Compensation – usually a percentage of earned commissions. Support – what services do they offer. Franchise offices

South-Western Publishing©2002 Independent Contractor paid only if a sale produces a commission and is responsible for income taxes and social security.

South-Western Publishing©2002 REALTOR® Registered trade name Member of NAR and not synonymous with real estate agent Code of ethics first adopted in 1913 GRI designation by taking sponsored education courses by NAR

South-Western Publishing©2002 Key Terms Broker Independent contractor License revocation License suspension Licensee 100% commission Principal broker Real estate commission REALTOR® Recovery fund Sales associate Salesperson