NYS 45-Hour Broker Overview:
Obtaining a New York Broker’s license is the next step for a Real Estate Salesperson interested in working toward a leadership role, or a role that demands more knowledge. In addition to providing a higher level of credentials, a Broker’s license allows a Salesperson to open their own brokerage, giving them the freedom to be their own independent entity, and the ability to hire employees and expand their growth potential. When you become a Real Estate Broker in New York you gain more access to a variety of jobs and are able to offer clients a larger scope of expertise. Since being a Real Estate Broker means you have increased responsibilities and liability, the license requires further educational hours.
How to Become a Real Estate Broker in New York:
Earning your Broker’s license means completing a 45-hour approved course and a final exam. Passing the course qualifies you to take the State of New York Real Estate Broker Exam. Once you’ve completed all your requirements, you are able to apply for your Real Estate Broker License.Broker means you have increased responsibilities and liability, the license requires further educational hours.
Real Estate Broker Course Topics :
Even the most experienced Real Estate Salesperson will gain new and useful information when they become a Real Estate Broker in New York. The course cover a myriad of topics, including Broker office operations, real estate agency disclosure, real estate investments, construction and development, real estate finance, property management and more. You’ll receive in-depth knowledge, learn management skills and gather valuable information that can help you succeed in your endeavors when you become a Real Estate Broker.
Your Responsibility as a Broker:
Real Estate Agents have to share or split commissions, which is required to do with his/her Brokerage since they cannot legally complete a sale without a Broker’s supervision and approval. Becoming a Broker will allow you to keep the full commision of your real estate transaction along with handling the transaction without someone’s supervision. With greater reward comes responsibility. A Broker makes sure all contracts are created correctly and filled out correctly by the staff. All files required for a closing are complete and contain no mistakes in the event of an audit by the State. A Broker takes legal liability for all Real Estate Agents working under their sponsorship/brokerage, including staff training, business management, marketing, and operating a brokerage.
Types of Brokers Licenses:
There are various types of Brokers Licenses you can apply for:
- Individual: licensed to do business using your own personal name only.
- Associate: licensed for your option to work under the name and supervision of another Broker who is licensed to do business as any of the other Broker’s license types.
- Trade Name: licensed to conduct business as a sole proprietorship in a name other than your personal name.
- Partnership: licensed to conduct business under a partnership name. Each partner must be licensed as a real estate Broker.
- Corporate: licensed to conduct business as a real estate Brokerage under a corporate name. Applicants must be an officer of said corporation prior to licensing.
- Limited Liability Company or Limited Liability Partnership: licensed to conduct business under the limited liability company or partnership name. Applicants must be a member or manager prior to licensing.
In order to become a Real Estate Broker you are required to complete the 45-Hour Pre Licensing Broker program and must qualify for 1 of the 3 experience requirements to the Broker’s License application:
- Licensed Real Estate Salesperson: minimum of 3,500 points AND you must have been licensed for a minimum period of 2 years
- Equivalent Experience in Real Estate: minimum of 5,250 points AND possess at least 3 years of experience in the real estate business equivalent to that of an active real estate salesperson
- Combined Experience: minimum of 5,250 points – based on combined experience in general real estate business (minimum of 3 years experience equivalent to that of an active real estate salesperson) AND licensed real estate salesperson experience
Who Qualifies to Become a Real Estate Broker in New York:
Not everyone qualifies to become a Real Estate Broker in New York. There are a set of minimum requirements. Real Estate Brokers must:
(The points necessary to become a Real Estate Broker are a minimum of 3500 and are earned through a variety of sales transactions, residential rentals, and commercial leases. They are calculated on your New York Real Estate Broker Application with the average residential sales transaction worth 250 points).
30-Hour Remedial Course :
To become a New York Real Estate Broker, a remedial 30-hour course must be taken in addition to the 45-hour Broker course if you've completed your 45-hour course before July 1, 2008, or if you do not meet the 120 hours of required education.
New York Broker Jobs are Waiting :
As the real estate industry continues to grow, the demand for Real Estate Brokers increases. There are several career avenues available to those who become a Real Estate Broker in New York. Brokers are able to collect rent, supervise agents under their sponsorship and negotiate the sale, purchase, exchange or lease of a property. It is an ideal position for those who thrive on management, communication, organization and problem-solving. It involves business ownership and provides flexibility. It also serves as an excellent platform for advancing your career.