Topic 2.2: Division of Real Estate

Learning Objective

After successfully completing this topic, you will be able to
• describe the duties of the Division of Real Estate,
• state how the Director of the Division of Real Estate is appointed,
• state for how long the testing service must retain examinations,
• calculate the renewal date for the first real estate license given the effective date of the license, and
• describe the exemptions for license renewal for members of the armed forces and their spouses.

Organizational structure

The Division of Real Estate (DRE), which is part of the DBPR, provides administrative services to the FREC, including recordkeeping, examination services, legal services, and investigative services.

Funding

The Division of Real Estate receives funds by fees and assessments of the Commission. The commission may use those funds only for real estate regulation.

Employees

The Secretary of the DBPR appoints the Director of the Division of Real Estate. The appointment is subject to approval by the Florida Real Estate Commission.

Licensing examinations

The Division of Professions employs a professional testing service (Pearson Vue) to administer the state license examinations. The examinations must reliably measure a candidate’s ability to practice real estate. The testing company must retain the examinations and the associated materials for two years. The examinations are confidential. It is a third-degree felony if a person copies or steals a copy of an exam.

License renewal

The effective date of the first license is the date the licensee passed the state exam. Licenses are renewed biennially—every two years. Because of the numbers of real estate licensees, the renewal dates are staggered, and can be either March 31 or September 30. The maximum time period for a license is two years, so the first license will usually be for less than two years.

For example, if a sales associate passed the state exam on May 23 this year, the license will expire on the renewal date nearest to the effective date, but not more than two years later—March 31, nearly two years later. Thereafter, that licensee’s license will always expire on March 31.

When a sales associate applies for a broker license, the effective date of the new license is the date the broker passed the state exam. The expiration date will change, depending on the effective date.

Members of the Armed Forces

A member of the Armed Forces who is a licensee in good standing is exempt from renewing the license so long as he or she is a member of the Armed Forces on active duty and for a period of 2 years after discharge. The licensee may not engage in his or her licensed profession or vocation in the private sector for profit. The spouse of a member of the Armed Forces of the United States is exempt from license renewal if absent from the state because of the member’s duties with the Armed Forces.

If a service member or spouse is actively engaged in real estate practice, the licensee must complete the required license renewal provisions, including education. DBPR will waive the renewal fee.