Requirements For and How to Get Alabama Real Estate License

IN THE COMFORT OF HOME

IN THE COMFORT OF HOME

I have been asked to simplify the licensing requirements and explain the process so I will give you a bullet point explanation of the basic requirements. For a complete list of all the requirements, contact me or refer to the Alabama License Law.

  • A person must be 19 years of age.
  • A citizen of the United States or have documentation from the federal government establishing a permanent resident status.
  • A resident of the State of Alabama or agree to other provisions; which can be explained upon request.
  • Must not have been convicted of or pleaded guilty or nolo contendere to a felony or a crime involving moral turpitude. Note: Criminal records are checked.
  • Must be a high school graduate or the equivalent.
  • Must complete a 60-Hour Salesperson Prelicense Course (your choice of online or classroom) prior to making application for a temporary license.

Next is the process for completing the requirements that are controlled by state law. I will address the educational requirements from the point of view that benefits our school which is Alabama Real Estate Institute so put www.AlabamaRealEstateInstitute.com into your browser so you can quickly follow my directions. [Read more…]

What Consumers Need to Know When Buying Real Estate in Alabama

Don’t Be Afraid–Be Aware

Representation

First and foremost the consumer needs to know for sure that they have a qualified Realtor® to represent them whether they are buying or selling. Don’t take this relationship for granted; know for certain. Agency relationships that establish representation cannot be assumed or implied. They must be in writing. Let me explain a few reasons why the consumer needs to be represented by someone.

First, buying and selling real estate is very technical in the sense that certain processes must be completed and in a particular order. Buying and selling real estate is also very legalistic. Most real estate transactions close without any major complications either prior to, or after closing. It is the exceptions to that rule when the consumer finds out just how technical and legalistic real estate sales can be. After- market conflicts are seldom settled between buyers and sellers. Tempers flare, distrust and disbelief sets in, accusations are made toward everyone involved in the transaction. Finally law suits are filed to settle the dispute.

Law suits create a need for both parties to hire legal counsel. In preparation of the case it is determined that you the consumer, was not represented by the Realtor® that you worked with. At the time you began looking at homes you didn’t want to sign any type of contractual agreements. In this situation, according to Alabama law, the Realtor® was working as a Transaction Broker and was limited to the duties they could perform for you. A Transaction Broker is a licensee who assists one or more parties in a contemplated real estate transaction without being an agent or fiduciary or advocate for the interest of that party to a transaction. In order to have been represented in Alabama you would have had to sign a Single Agency Agreement with a brokerage firm. Remember, agency relationships can’t be assumed or implied. They must be in writing. After the fact is a bad time to learn that your best interest was not represented when you made the largest investment of a life-time.

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More Alabama CE Requirements for 2014

Manage Your Risk–Know the Law

It has been less than two weeks since our CE deadline for 2012 and I’m already looking forward to 2014? Yes I am but for different reasons than you think. Real estate agents are the worst procrastinators I’ve seen in all the industries I work with. Alabama law requires only 15-hours of continuing education for each licensee in order to renew a two-year license of which the licensee can complete any time between Oct. 1 of odd year and Sept. 30, of even year; two years later. Agents have a full 24 months to complete their CE requirements but they wait until the last 4-6 months to take their CE and some don’t even meet that deadline. Some have their license placed inactive until they can complete their CE and then pay a fine to re-activate their license. Of the 15-hours required, only 3-hours of Risk Management have been mandatory up until now. All other 12-hours are elective courses; this means the agent selects their courses of choice. Some agents will select courses that are very easy to complete quickly and they may not have any legal or beneficial content at all. For that reason, we now have three separate 3-hour Risk Management classes to fulfill the needs for both sales people and brokers; both of which are required to take a minimum of 6 hours CE in Risk Management.  I will break these down and explain them individually. [Read more…]

What Buyer’s Want and Need to Know

It's Alabama Law

It seems I’ve opened a can of worms already talking about the dangers a buyer of real estate in Alabama faces. You might want to review some of my previous blogs such as “Meaningful Conversations for Alabama Realtors,” or “Establishing Relationships,” or “Just Tell it like it is.”  In all these blogs I explained the importance of disclosing the fact that Alabama is a Caveat Emptor state which places all the responsibility for detecting possible deficiencies in a property prior to closing. All real estate practitioners know the meaning but many don’t seem to understand the impact it has on their clients.

For many years consumers who are buying real estate have asked the question, “Who represents us, and who represents the seller?”  The National Association of Realtors has surveyed thousands of buyers and sellers to determine their satisfaction with representation by a Realtor. By far, buyers are most dissatisfied because it seems everybody represents the seller and no one wants to represent the buyer. Representation can’t be mandated on the National level due to variances in state laws. Since my job is educating people about real estate, primarily in Alabama, and since I live and work in Alabama, this article will be specific to our state.

Alabama law requires….

[Read more…]

Creating A Business Plan (Part Three)

How's Your Business Plan Progressing

Today we will continue building our business plan by honestly evaluating our past work habits, personalities, and job performance during the last year so we can realize the things we need to improve upon in the coming year. For those reading this article that reside outside Alabama, please keep in mind that Alabama law differs from surrounding states because Alabama is a “Caveat Emptor” state which places responsibilities on the purchaser to research all aspects of a property before purchasing.  This article is written specific to Alabama even though most parts of the business plan will apply to anyone, regardless where you live and work.

When working with buyers or sellers in Alabama, it is mandated by Alabama License Law, and regulated by the Alabama Real Estate Commission , that upon initial contact with a prospective buyer or seller, the agent must disclose and explain the various possible agency relationships available through their agency. This is referred to as RECAD which is an acronym for Real Estate Consumers Agency and Disclosure Act. The law states this disclosure is to take place upon initial contact, as soon as reasonably possible, and before any confidential information is exchanged. [Read more…]