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The Georgia Real Estate License Law (O.C.G.A. § 43-40) was adopted by the state legislature in 1925 and has undergone many revisions since that time. The law provides the standards by which licensees perform their duties and regulates the real estate industry for the protection of the public. It establishes the Georgia Real Estate Commission as the authoritative body over all real estate licensees. The text of the law can be found at www.grec.state.ga.us/about/relaw.html. This Web site also provides links to BRRETA (O.C.G.A. § 10-6A) and Rule 520, which contains the Commission's Rules and Regulations. The Georgia Real Estate License Law (O.C.G.A. § 43-40-1) presents specific definitions for certain terms and entities. CORRECT ANSWERS✅ The text of the law can be found at www.grec.state.ga.us/about/relaw.html. This Web site also provides links to BRRETA (O.C.G.A. § 10-6A) and Rule 520, which contains the Commission's Rules and Regulations. An associate broker CORRECT ANSWERS✅ is a person who acts on behalf of a real estate broker in performing any act authorized by this chapter to be performed by the broker.
A broker CORRECT ANSWERS✅ is any person who, for another, and who, for a fee, commission, or any other valuable consideration or with the intent or expectation of receiving the same from another, negotiates or attempts to negotiate, or assists in procuring prospects for the listing, sale, purchase, exchange, renting, lease, or option for any real estate or of the improvements thereon; claims to be a referral agent for the purpose of securing prospects for the listing, sale, purchase, exchange, renting, lease, or option for any real estate; collects rents, assessments, or other trust funds or attempts to collect rents, assessments, or other trust funds; is employed by or on behalf of the owner or owners of lots, time-share intervals, or other parcels of real estate at a salary, fee, commission, or any other valuable consideration to sell such real estate or any part thereof in lots or parcels or intervals or other disposition thereof; engages in the business of charging an advance fee or contracting for collecting of a fee, other than an advertising fee, in connection with any contract whereby he or she undertakes primarily to promote the sale of real estate either through its listing in a publication issued primarily for such purpose, or for referral of information concerning such real estate to brokers, or both; auctions or offers or attempts or agrees to auction real estate; buys or offers to buy, sells or offers to sell, or otherwise deals in options to buy real estate;
A licensee CORRECT ANSWERS✅ is any person who is licensed as a community association manager, salesperson, associate broker, or broker. Persons CORRECT ANSWERS✅ are defined as individuals and firms. Property management services CORRECT ANSWERS✅ are the provision, for a valuable consideration, to another of marketing, including referring prospective tenants; leasing; physical, administrative, or financial maintenance; and overall management of real property; or supervision of the foregoing activities for another pursuant to a property management agreement. A purchaser CORRECT ANSWERS✅ is a person who acquired or attempts to acquire or succeeds to an interest in land. Real estate CORRECT ANSWERS✅ defined as condominiums and leaseholds, as well as any other interest or estate in land, whether corporeal, incorporeal, freehold or no freehold and whether the real estate is situated in this state or elsewhere; and shall also include a mobile home when such mobile home is affixed to land. As used in this definition, mobile home means any factory-built structure or structures equipped with the necessary service connections and made so as to be readily movable as a unit or units and designed to be used as a dwelling unit or units.
A salesperson CORRECT ANSWERS✅ is any person, other than an associate broker, who acts on behalf of a real estate broker in performing any act authorized by this chapter to be performed by the broker. Agency CORRECT ANSWERS✅ is every relationship in which a real estate broker acts for or represents another by the latter's express authority in a real property transaction. An applicant CORRECT ANSWERS✅ is any person who has completed all the requirements for a license or an approval as set forth in O.C.G.A. § 43-40 and in any chapter of the Commission's Rules and Regulations and who has submitted a complete application on the proper form accompanied by the correct fee. A bank CORRECT ANSWERS✅ is any financial institution regulated by a member of the Federal Financial Institutions Examination Council and authorized to provide federally insured checking accounts. A brokerage engagement CORRECT ANSWERS✅ is a written contract wherein the seller, buyer, landlord, or tenant becomes the client of the broker and promises to pay the broker a valuable consideration or agrees that the real estate broker may receive a valuable consideration from another in consideration of the broker's
A customer CORRECT ANSWERS✅ is a person who has not entered into a brokerage engagement with a broker but for whom a broker may perform ministerial acts in a real estate transaction. A dual agent CORRECT ANSWERS✅ is a broker who simultaneously has a brokerage relationship with both seller and buyer or both landlord and tenant in the same real estate transaction. A firm CORRECT ANSWERS✅ is a sole proprietorship, partnership, limited liability company, or corporation licensed by the Commission as a broker. A franchise name CORRECT ANSWERS✅ is any name, the use of which requires obtaining permission from another who has an existing and continuing right in that trade name by virtue of any state or federal law. A franchisee CORRECT ANSWERS✅ is a firm licensee authorized to use a franchisor's trade name as part of or in conjunction with the licensee firm's name. A franchisor CORRECT ANSWERS✅ is a business entity owning a trade name whose use by others is controlled and authorized by the owner of the trade name.
An instructional hour CORRECT ANSWERS✅ is a period of time of at least 50 minutes of instruction or other learning activity. Ministerial acts CORRECT ANSWERS✅ are those acts that the broker or affiliated licensee performs for a person that do not require discretion or the exercise of the broker or affiliated licensee's own judgment. Statutory overnight delivery means delivery of a document through the U.S. Postal Service or through a commercial firm regularly engaged in the business of document delivery or document and package delivery in which the sender CORRECT ANSWERS✅ has directed that delivery be not later than the next business day following the day on which the document is received for delivery by the U.S. Postal Service or the commercial firm, and receives a receipt acknowledging receipt of the document signed by addressee or an agent of the addressee. Timely CORRECT ANSWERS✅ means a reasonable time under the particular circumstances. The Georgia Real Estate Commission CORRECT ANSWERS✅ The Georgia Real Estate Commission's role is to regulate the real estate brokerage industry through
The governor CORRECT ANSWERS✅ has the authority to remove a Commission member for dishonesty, incompetence, neglect of duties, inability to perform the necessary duties, or being the subject of a disciplinary sanction, other than authorized by the Georgia Real Estate License Law (O.C.G.A. § 43-40), imposed by any professional licensing agency on the member's right to practice a trade or profession. The Real Estate Commissioner's Role CORRECT ANSWERS✅ The real estate commissioner is appointed by the Commission to be the chief executive officer of the Commission and administers the policies adopted by the Commission. The commissioner's duties include hiring and overseeing staff in its daily activities. The commissioner may not hold an active real estate or related business license, nor can any other Commission employee. Key Terms: auctioneer community association manager Georgia Real Estate Commission
Real Estate Education, Research, and Recovery Fund reciprocity 1997082 CORRECT ANSWERS✅ The License Law (O.C.G.A. § 43-40) and the Rules and Regulations of the Commission (Rule 520) CORRECT ANSWERS✅ determine who may obtain a real estate license, who is exempt from licensing requirements, and the types and requirements for real estate licenses in Georgia. O.C.G.A. § 43-40-8 and Rule 520-1-. Those who engage, advertise, or hold themselves out as licensees in a real estate transaction must first obtain a license from the Georgia Real Estate Commission, unless exempt under state statute. Licenses are only granted to those who have a good reputation for honesty, trustworthiness, integrity, and competence to transact business in a way that safeguards the public's interest. In addition, applicants must provide satisfactory proof that licensing qualifications have been presented to the Commission. CORRECT ANSWERS✅
Any person acting as a referral agent who is not involved in the performance of the real estate transaction (e.g., negotiations, execution of documents) that involves more than the mere referral of one person to another and who does not receive a fee and does not act as a referral agent in more than three transactions per year Any individual employed by a broker to assist in property management services on property where the broker has a written management agreement, provided that the individual's activities are authorized by the broker in a written agreement and that the activities are limited (e.g., delivering or receiving a The exemptions do not apply to anyone who uses them to try to avoid becoming licensed. CORRECT ANSWERS✅ Civil Penalty for the Unlicensed Practice of Real Estate CORRECT ANSWERS✅ Anyone who acts as a licensee without a license or who violates provisions of the Georgia Real Estate License Law will be found guilty of a misdemeanor. The Commission may issue a cease and desist order prohibiting an individual from practicing as a real estate broker without a license. The cease and desist order is final ten days after it is issued unless a hearing is requested before the Commission. If the cease and desist order is violated, the Commission can impose a fine not to exceed $1,000 for each transaction constituting a violation of the order. Each day that an individual practices in violation of the law constitutes a separate violation.
License Categories and Requirements (1 of 7) CORRECT ANSWERS✅ Georgia has four types of real estate licenses: salesperson, associate broker, broker, and community association manager. Georgia law provides requirements and limitations specific to each type of license. License Categories and Requirements (2 of 7) Salesperson's (or Sales Associate) License (O.C.G.A. § 43-40-8) CORRECT ANSWERS✅ A salesperson acts on behalf of a broker and in this capacity may perform any real estate brokerage act that requires a real estate license in Georgia. In order to be active in real estate brokerage, a salesperson must be affiliated with a sole proprietorship, corporation, partnership, or limited liability company that is also licensed as a broker. To obtain a salesperson license, an applicant must be at least 18 years of age to practice (can take the salesperson's examination at age 17 but cannot activate the license until age 18); be a resident of Georgia, unless the applicant has complied with nonresidency requirements; be a high school graduate or the holder of a certificate of equivalency;
Broker's (and Associate Broker's) License (O.C.G.A. § 43-40-8) CORRECT ANSWERS✅ A broker may perform any real estate brokerage act that requires a real estate license in Georgia. Both individuals and firms may be licensed as brokers. In order to be active in real estate brokerage, a licensed broker must be affiliated with a sole proprietorship, corporation, partnership, or limited liability company that is also licensed as a broker. The associate broker acts on behalf of a broker and may perform any real estate brokerage act that requires a real estate license in Georgia. The broker and the associate broker must meet the same educational requirements and conditions. Failure to meet any of these requirements is grounds for the Commission to deny a license without a hearing. To obtain an associate broker or a broker license, a salesperson must be at least 21 years of age to practice (can take the salesperson's examination at age 20 but cannot activate the license until age 21); be a resident of Georgia, unless the salesperson has complied with nonresidency requirements; be a high school graduate or the holder of a certificate of equivalency; comply with statutory requirements regarding any criminal convictions;
maintain a license in active status for at least three of the five years immediately prior to filing an application to become a broker; furnish evidence of completing 60 instructional hours in a broker's course of study approved by the Commission, provided that if licensed as a community association manager, the applicant furnishes evidence of completing an additional 75 instructional hours in courses of study approved by the Commission; and pass the real estate examination approved by the Commission after serving as an active licensee for at least three of the five years immediately prior to filing the application. The Commission's rules require a broker or an associate broker to complete License Categories and Requirements (4 of 7) Community Association Manager's License (O.C.G.A. § 43-40-1 and 8) CORRECT ANSWERS✅ A community association manager acts on behalf of a broker to manage one or more community associations and provides only community association management services. Community associations include condominium associations and homeowners' associations. In order to be active in community association management, a community association manager must be affiliated with a sole proprietorship, corporation, partnership, or limited liability company that is also licensed as a broker.
furnish evidence of completion of at least 25 instructional hours in a community association manager's course License Categories and Requirements (5 of 7) Auctioneer's License CORRECT ANSWERS✅ In addition to the four licenses mentioned, in Georgia, auctioneers of any commodity or property need an auctioneer's license. If the auctioneer is selling real estate, a salesperson's or a broker's license is also required. License Categories and Requirements (6 of 7) Broker Firm Requirements (O.C.G.A. § 43-40-10) CORRECT ANSWERS✅ The requirements for a firm to be granted a broker's license include the following: the firm designates an individual licensed as a broker as its qualifying broker who is responsible for assuring the firm, and its licensees comply with all laws and regulations; and the firm authorizes its qualifying broker to commit the firm to any settlement of a contested lawsuit before the commission. In addition, a broker's license is only granted to a firm when every person who acts as a licensee for the firm holds a real estate license. License Categories and Requirements (7 of 7) Corporations, Limited Liability Companies, and Partnerships (O.C.G.A. § 43-40-18) CORRECT ANSWERS✅ In Georgia, the requirements for licensure of sole
proprietorships, corporations, partnerships, and limited liability companies include the following: A firm that operates as a sole proprietorship must be owned entirely by a licensed broker. The qualifying broker for a firm that operates as a corporation must be an officer of the corporation. The qualifying broker for a firm operating as a partnership must be a partner. If all partners of a partnership are corporations, the qualifying broker of the partnership must be one of the partner corporation's officers whose actions are binding on the corporation and partnership. The qualifying broker for a firm operating as a limited partnership must be the general partner. If the general partner of a limited partnership is a corporation, the qualifying broker must be one of that corporation's officers whose actions are binding on the corporation and general partner. The qualifying broker for a firm operating as a limited liability company must be a member or, if the articles of the organization or an agreement vests management in a manager, a manager may serve as the qualifying broker. The Commission may deny a license to a corporation, limited liability company, or partnership if a stockholder, member, or partner who owns more than a 20 percent interest does not have a good reputation for honesty, trustworthiness, and integrity; has been convicted of any felonies; or has been sanctioned by a regulatory agency for violating a law in the sale of real estate.
