Is there any problem with me doing this?

I combed over all of the forms on the CA dre website and couldn't find anything that would stop me from being the broker of record for two companies.

A friend of mine (despite my many attempts to entice him to join my company) wants to start his own brokerage. He's studying for his brokers exam but wants me to be on record so he can begin ASAP. I don't mind. I made it clear to him that I would have to review deals and truly be the broker. That agents would have to contact me with questions and I would ultimately crack the whip because it's my license on the line.

I don't think there will be any problems... just so long as there's no CA DRE limitations that anyone knows of.

Thanks everyone

Can't do it in CO- I don't know about CA. I wanted to have 2 different companies, one a Realtor member company and the other not. The one that was not would run our property management. But here you can only have your license with one company- even if it's as managing broker.

I did a quick search and cannot find a reason why you could not do this either.

However, I would call the CAR reallegal hotline and ask them just to make sure.

Here is their number: 213.739.8282

You will have to provide all your member info to get any help as it is a member only service.

R

CAR hotline says that there is nothing preventing me from being the broker of record for 2 separate companies in CA

Just a little fun fact for everyone!

you can do it, honestly though without sounding mean, you should definately know this. And if you want to run two separate brokerages you should know the DRE rules inside and out. I would start off reading their publications they relase. Bottom line, you can do this, but each company you are a member of puts the other company in jeopardy if something happens. Its not a good idea to do it, but if you have to, just know the risks

woah....I had no idea that I should know what I'm doing before I do it

That changes everything

Graysqwrl, You can be broker of record in California for as many entities you choose which require a broker's license to conduct real estate and real estates related businesses. The question is can you supervise them all and still remain sane. I remember years ago an unlicensed loan originator, who had a sizeable office, asked me to broker their business. I did some investigation since he was so desperate and hot to trot and found out his previous broker retired suddenly, whatever you can read into that.

To make it a short story, when I declined his request, he was sore and told me I did not know just how much money I would have made. I easily told him that I did not miss some thing I never had in the first place, and besides that my license was worth much more to me and my own earning potential than risking it for "lots of money".

Just remember the risk involved and supervision of the files, is most important.

We've known each other for quite a while. And, I've been very clear, that if it's my license....it's my policies. He's well aware of how strict I am on compliance with my agents. I would truly be the broker of his company until the time comes when he earns his license. At which point, we also have a contract for him to buy me out of my position.

As a soon to be CA Broker..test in May...is Broker of Record
a good way to generate income. Is there a salary or a piece
of the gross?

Thanks!

Yes & No

The broker's license is a bit of a commodity, and with it comes a certain amount of compensation. However, it does take a certain amount of legal understanding and a certain amount of work to be a broker. Let's not forget that if something happens under your watch...your license might go away and you have to find a new profession.

So..yes. You can make a decent amount of money.

But...NO. As in, no way would I be involved with someone that I hadn't known for a long time unless they were sitting in my office being trained or mentored. Even then, I still monitor overall activities.

hope that helps

Can i be a Broker of Record AND still hang my salesperson lic. at
my current Brokers office?
I would do this as I have listings with him and close
to a 100% split.
Thanks!

You will no longer have a salesperson license once you are a broker. Your old state salesperson license number becomes your brokers license number.

However, that leads to another interesting question.

Can you be the broker of record for a corporation AND still operate your brokers license under another broker?


R

Hmmm...Ok...So w/my Brokers License do I just stay at my
current Brokerage (Bankers Realty) with no change?

Thanks!

T

There shouldn't be any need to inform your broker that you are now a broker. Unless you intend to put it on marketing materials that he's going to see. In which case, you may want to give him the head's up.

Your broker's license number will be the same as your salesperson one. If you become the broker of record for a corporation, then you get a "broker officer" (or "corporate broker" i'll have to go look at my wall )license for the company and a lovely new number to remember.

Can you be the broker of record for one company and hang your brokers license with another. I'm going to go out on a limb and say probably... but cal the CAR legal hotline. This seems like one of those questions that comes up even less than my original one.

You gotta love those questions that take us off in to the sqwingy corners!

R