Today New York has some rules for people that want to get into the real estate business. It might be tempting to try to put together real estate contracts and profit, but to practice real estate, there are some laws which New York requires. You can still put together deals and profit and remain legitimate in the system. It protects you and your assets from a lawsuit. Here are some things to consider and a brief rundown of how to keep all of it completely legal.
New York state law ARTICLE 12-A §440-a states that real estate brokers and salespeople are all required to have a New York license in order to make a sale Tevfik Arif. There is a process for this. New York does allow a person to contract with a salesperson or real estate broker. That person cannot be the one listed on the documentation of the contracts or purchase agreements. Otherwise the documents and sale are null and void. While this law sounds impossible for those people who are not licensed to practice real estate, there is the option which many use.
How it All Works
When you work under a licensed person you can have full access to everything that is needed to list and sell in the state of New York. Payments are part of the contract that you need to draw up with that person. Commissions and fees area all part of that legal document. When the paperwork for the sale is submitted to the state and taxation offices, the other person is listed as the agent or broker. That doesn’t mean you can’t get paid. It also means that the responsibility falls on that person and not yourself. If you think about it, it’s exciting. you get the money without the burden.
If You Do Want That License
If you do still want to become a licensed broker or real estate agent you can apply. The process is based on the same article of the New York state law. Here are the basics.
– You can get your license under an LLC, personal name, company, firm or corporation.
– You must be over the age of 18.
– You have to be a citizen of the United States.
– You cannot be a felon.
– You cannot have been accused of any sex crime.
– You cannot be accused of any violent act.
– You must list an address for licensure.
The New York License Process
The process is a simple matter of filling out a form which you can download and print from the state website. There is a fee which will vary depending on what category you fall under. The details are listed on the state application.
Renewals and Transfers
If you have already been licensed before in New York or another state, then you can apply for a renewal. Transfers are not possible at this time for New York. The headquarters are located in Albany if you need to go to the office. License Number and Card Once all of the terms are satisfied for the state the applicant will be considered licensed for the period of time granted. A card will be sent to the listed address from the application form.
Name Changes and Address Issues
The New York state requires the licensed person to fill out the changes as they would for a renewal. There are fees for this process. The state website has the form to download and fill out. You can make payment on the site as well.