When
selling my own property, must I disclose that I am a real estate licensee?
What if I am on
inactive status, do I still have to comply?
My
company has set up a separate referral company and I am considered inactive. I do not
actively list or show propert; therefore, I am considered inactive with the local Board or
Association of Realtors. What is my license status with the Commission?
Do I have to renew
my license if it is on inactive status?
Must
I have an active real estate license to rent and lease apartments?
I
don’t have an Alabama real estate license, but I am licensed in another state. What
must I do to participate in selling Alabama real property?
I
have given up my real estate license and moved out of state but a transaction I worked on
is about to close. Can my former qualifying broker still pay me my commission?
My
broker refuses to pay me the commission I have earned. How do I file a complaint with the
Alabama Real Estate Commission?
I
want to transfer my license and my broker refuses to return my license to the Commission.
He claims I owe the company money and I dispute that. What do I do?
I
have a criminal record. I think that the offense was a misdemeanor, but it might even be a
felony. Am I eligible to obtain a real estate license?
When
selling my own property, must I disclose that I am a real estate licensee?
Alabama Real Estate
Commission Rule 790-X-1-.03 (2) provides that any person who elects to become licensed as
a broker or salesperson may advertise property of which they are the owner in the same way
as any private party. However, such a licensee must abide by all of the other provisions
of the license law and Rules of the Commission even in dealing in their own property.
Secondly, when RECAD was passed, in one of the provisions of the obligations of licensees,
Section 34-27-84 (a)(6) we find that in order to act on behalf of the licensee or his or
her immediate family, or on behalf of any other individual organization, or business in
which the licensee has a personal interest, you must have given prior timely written
disclosure of this interest to all parties in the transaction. (A mere disclosure that you
hold a license is not sufficient.)
What if I am on
inactive status, do I still have to comply?
The above section
of the law and the cited rule only says "licensee" and does not differentiate
between active and inactive, it just says "licensee." Therefore, it follows that
a licensee of the Alabama Real Estate Commission is a licensee, just as a doctor is a
doctor at all times.
My
company has set up a separate referral company and I am considered inactive. I do not
actively list or show property. Therefore, I am considered inactive with the local Board
or Association of Realtors. What is my license status with the Commission?
Under the set of
circumstances above, you still hold an active real estate license as far as the Commission
is concerned. You have the legal right to do any act that the license law and rules cover,
however you have agreed with your qualifying broker to not actively list and show real
estate.
Do I have to renew my
license if it is on inactive status?
Yes, you must renew your
license every two years just like anyone else. Far too many people think that since the
Commission is "warehousing" their license they don’t have to do anything. They
fail to notify the Commission of their new residence addresses and let their license
lapse. Later they decide to get back into real estate and think they can
"reactivate" but they have no license to activate. It is similar to your
driver’s license. If you choose not to drive for a while and don’t renew your
license, you get to take the driver’s license exams and start over.
Must I have
an active real estate license to rent and lease apartments?
No. Several years ago, the
Alabama Legislature took persons acting as manager for an apartment building or complex
out from under any requirement to be licensed and removed the restriction that a resident
manager must live on the premises. (Section 34-27-2 (b)(7) of the license law.) However,
if a licensed real estate company decides to manage the apartments, the Commission will
expect compliance with the law and rules to include depositing the security deposits in a
trust account and running the rent and repairs through a trust account.
I
don’t have an Alabama real estate license, but I am licensed in another state. What
must I do to participate in selling Alabama real property?
Section 34-27-3 indicates
that you may co-broke with an Alabama licensee by executing a written co-broker agreement
with an Alabama broker on each piece of property. This agreement is filed with the Alabama
Real Estate Commission. By signing such an agreement you agree to abide by Alabama law and
you agree that civil actions may be commended against you in Alabama if the need should
arise. Alternately, you may choose to obtain an Alabama real estate license by reciprocity
if you are going to frequently deal in real property situated in Alabama.
I
have given up my real estate license and moved out of state but a transaction I worked on
is about to close. Can my former qualifying broker still pay me my commission?
The answer is, yes. The acts
that required you to be actively licensed (listing, showing, negotiating) were done while
you held an active license. Therefore, you still can be paid.
My
broker refuses to pay me the commission I have earned. How do I file a complaint with the
Alabama Real Estate Commission?
The Alabama Real Estate
Commission has no jurisdiction to order any broker to pay a commission. Your agreement or
contract with the company is all you have to collect your commission. You will have to
take them to the proper state court.
I
want to transfer my license and my broker refuses to return my license to the Commission.
He claims I owe the company money and I dispute that. What do I do?
The old broker cannot stop
you from transferring to another company or going on inactive status. Section 34-27-34
(3)(b) indicates that any salesperson or associate broker who desires to change his or her
qualifying broker shall give notice in writing to the Commission and shall send a copy of
the notice to his or her qualifying broker. The new qualifying broker shall file a
registration form assuming liability for the licensee and on payment of $25, a new license
will be issued. The Commission will then get the old license from the qualifying broker
through Rule 790-X-2-.21 (2) which states that the qualifying broker is responsible for
the immediate return of any license certificate which is in need of any change.
I
have a criminal record. I think that the offense was a misdemeanor, but it might even be a
felony. Am I eligible to obtain a real estate license?
In Section 34-27-32 of the
Alabama Real Estate License Law, the statement is made, "The Commission may reject
the application of any person who has been convicted of or pleaded guilty or nolo
contendere to a felony or a crime involving moral turpitude." The key word is
"may." Just about every month someone with a criminal record asks the Commission
for permission to be licensed. Some just write a letter and some actually have a hearing
before the Commissioners, but in both instances the Commissioners make a decision on
whether or not to allow them to be licensed. They must determine, in their judgment, if
the person would be trustworthy and competent to transact the business of a broker or
salesperson in a manner that safeguards the interest of the public. (Section 34-27-32
(a)(1). By the way, the question is not only was there a felony involved, a misdemeanor of
a type that would be considered by the courts as "moral turpitude"
"may" exclude you from eligibility. Such things as shoplifting and issuing
worthless checks are misdemeanors but are also considered offenses of moral turpitude.
