Podcast
Questions and Answers
What defines an 'expired license'?
What defines an 'expired license'?
What is the maximum period in which a 'lapsed license' can still be reactivated?
What is the maximum period in which a 'lapsed license' can still be reactivated?
Which of the following best describes a 'terminated license'?
Which of the following best describes a 'terminated license'?
Which entity is defined as the 'department'?
Which entity is defined as the 'department'?
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What must a licensee do to renew their license before the end of the renewal period?
What must a licensee do to renew their license before the end of the renewal period?
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What happens to a license that is not renewed within 2 years of its last renewal date?
What happens to a license that is not renewed within 2 years of its last renewal date?
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What penalty is applied when a licensee does not renew their license on time?
What penalty is applied when a licensee does not renew their license on time?
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Which of the following requirements is NOT necessary to reactivate an expired license within 2 years?
Which of the following requirements is NOT necessary to reactivate an expired license within 2 years?
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Under what condition is a licensee considered to be practicing without a license?
Under what condition is a licensee considered to be practicing without a license?
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Who is immune from civil action related to the filing of a complaint?
Who is immune from civil action related to the filing of a complaint?
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What is the timeframe in which a property management office must inform the department of an address change?
What is the timeframe in which a property management office must inform the department of an address change?
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What action must the department take if reasonable cause exists after a complaint is made?
What action must the department take if reasonable cause exists after a complaint is made?
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What action may the department take if there is reasonable cause to believe a violation has occurred?
What action may the department take if there is reasonable cause to believe a violation has occurred?
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What must the department do if a licensee is found to have violated the regulations?
What must the department do if a licensee is found to have violated the regulations?
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Which of the following is a possible sanction that the department may issue upon finding a violation?
Which of the following is a possible sanction that the department may issue upon finding a violation?
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How should the department inform the public about disciplinary actions taken?
How should the department inform the public about disciplinary actions taken?
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What is considered unprofessional conduct regarding a licensee's criminal history?
What is considered unprofessional conduct regarding a licensee's criminal history?
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How is the act of providing false information in a license application viewed?
How is the act of providing false information in a license application viewed?
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What is deemed an unprofessional approach regarding communications during an investigation?
What is deemed an unprofessional approach regarding communications during an investigation?
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What is the minimum age requirement for a property manager license applicant?
What is the minimum age requirement for a property manager license applicant?
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Which of the following qualifications is required for a property manager applicant?
Which of the following qualifications is required for a property manager applicant?
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What must a property manager applicant do after successfully completing the required pre-licensing course?
What must a property manager applicant do after successfully completing the required pre-licensing course?
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Which of the following actions is NOT part of the qualification process for a property manager license?
Which of the following actions is NOT part of the qualification process for a property manager license?
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What distinguishes an 'active status' from 'inactive status' for a licensee?
What distinguishes an 'active status' from 'inactive status' for a licensee?
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How is a 'lapsed license' defined?
How is a 'lapsed license' defined?
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Which of the following individuals is exempt from the requirement of a property manager license?
Which of the following individuals is exempt from the requirement of a property manager license?
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What relationship must exist among the owners of a business entity that owns or manages property for them to be exempt from licensing?
What relationship must exist among the owners of a business entity that owns or manages property for them to be exempt from licensing?
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Which of the following statements about property management duties is correct?
Which of the following statements about property management duties is correct?
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Which category of individuals is NOT considered an 'owner' for the purpose of property management exemption?
Which category of individuals is NOT considered an 'owner' for the purpose of property management exemption?
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Who may act as a property manager without needing a separate license?
Who may act as a property manager without needing a separate license?
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What is the primary role of a property manager?
What is the primary role of a property manager?
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Which of the following activities is NOT included in the duties of a property manager?
Which of the following activities is NOT included in the duties of a property manager?
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How is 'real estate' defined in this context?
How is 'real estate' defined in this context?
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What is the purpose of a trust account in real estate management?
What is the purpose of a trust account in real estate management?
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Which of the following best explains the term 'department'?
Which of the following best explains the term 'department'?
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Which action is considered part of a property manager's responsibilities?
Which action is considered part of a property manager's responsibilities?
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What is the significance of a property manager promoting the lease of real estate?
What is the significance of a property manager promoting the lease of real estate?
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Which aspect of real estate management does NOT fall under the definition of a property manager's role?
Which aspect of real estate management does NOT fall under the definition of a property manager's role?
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What action is considered unprofessional conduct regarding property management agreements?
What action is considered unprofessional conduct regarding property management agreements?
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Which of the following describes a violation involving commissions in property management?
Which of the following describes a violation involving commissions in property management?
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What is required before a property manager can engage a third-party service?
What is required before a property manager can engage a third-party service?
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Which behavior is unprofessional conduct related to property managers' conduct towards employees?
Which behavior is unprofessional conduct related to property managers' conduct towards employees?
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Which action is NOT related to unprofessional conduct for licensees in property management?
Which action is NOT related to unprofessional conduct for licensees in property management?
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Which criterion is NOT considered to determine an applicant's criminal conviction relation to public health, welfare, and safety?
Which criterion is NOT considered to determine an applicant's criminal conviction relation to public health, welfare, and safety?
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What does NOT indicate that an applicant is insufficiently rehabilitated to warrant public trust?
What does NOT indicate that an applicant is insufficiently rehabilitated to warrant public trust?
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What is one factor that the board considers when evaluating if enough time has passed since an applicant's conviction?
What is one factor that the board considers when evaluating if enough time has passed since an applicant's conviction?
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Which of the following is NOT a requirement for an applicant to avoid reporting an offense?
Which of the following is NOT a requirement for an applicant to avoid reporting an offense?
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Which is a requirement for an applicant seeking a license after nonviolent misdemeanor convictions?
Which is a requirement for an applicant seeking a license after nonviolent misdemeanor convictions?
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Which of the following denotes a lack of sufficient rehabilitation according to the established criteria?
Which of the following denotes a lack of sufficient rehabilitation according to the established criteria?
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Which situation would help determine if an occupation is likely to contribute to reoffending?
Which situation would help determine if an occupation is likely to contribute to reoffending?
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What is an example of credible evidence of insufficient rehabilitation?
What is an example of credible evidence of insufficient rehabilitation?
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What criteria must be met for an applicant to avoid reporting certain misdemeanor driving violations?
What criteria must be met for an applicant to avoid reporting certain misdemeanor driving violations?
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What is the renewal requirement for a property manager's license?
What is the renewal requirement for a property manager's license?
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What is required for an applicant's continuing education documentation?
What is required for an applicant's continuing education documentation?
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What happens if the renewal requirements are not met?
What happens if the renewal requirements are not met?
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Which of the following topics is NOT required in the pre-licensing course for property management?
Which of the following topics is NOT required in the pre-licensing course for property management?
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For how long is the course approval valid for property management pre-licensing courses?
For how long is the course approval valid for property management pre-licensing courses?
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What is the maximum time frame applicants have to apply for licensure after passing their examination?
What is the maximum time frame applicants have to apply for licensure after passing their examination?
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What must online renewal transactions be completed by?
What must online renewal transactions be completed by?
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Which of the following is required to ensure an application is considered timely and sufficient?
Which of the following is required to ensure an application is considered timely and sufficient?
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What fee is associated with an original application for property management?
What fee is associated with an original application for property management?
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What must pre-licensing courses include to be approved?
What must pre-licensing courses include to be approved?
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Which continuing education requirement applies specifically to new licensees?
Which continuing education requirement applies specifically to new licensees?
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What happens if a renewal application is submitted with incomplete information?
What happens if a renewal application is submitted with incomplete information?
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What must be considered if a licensee is found noncompliant with CE requirements?
What must be considered if a licensee is found noncompliant with CE requirements?
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Which of the following actions is considered unprofessional conduct for property managers?
Which of the following actions is considered unprofessional conduct for property managers?
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What must property managers do before engaging a service on behalf of a principal?
What must property managers do before engaging a service on behalf of a principal?
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Which of the following is NOT a condition that indicates unprofessional conduct for property managers?
Which of the following is NOT a condition that indicates unprofessional conduct for property managers?
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What constitutes unprofessional conduct related to financial relationships in property management?
What constitutes unprofessional conduct related to financial relationships in property management?
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Which behavior is classified as unprofessional conduct concerning employee management?
Which behavior is classified as unprofessional conduct concerning employee management?
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Which of the following actions is considered unprofessional conduct for property managers?
Which of the following actions is considered unprofessional conduct for property managers?
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What constitutes unprofessional conduct related to employee supervision?
What constitutes unprofessional conduct related to employee supervision?
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Which scenario demonstrates unprofessional conduct regarding property management agreements?
Which scenario demonstrates unprofessional conduct regarding property management agreements?
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Engaging third-party services without proper consent is considered unprofessional conduct if:
Engaging third-party services without proper consent is considered unprofessional conduct if:
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Which of the following actions is NOT deemed unprofessional conduct under the listed regulations?
Which of the following actions is NOT deemed unprofessional conduct under the listed regulations?
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Which factor is NOT considered when determining if an applicant's criminal conviction is related to public health, welfare, and safety?
Which factor is NOT considered when determining if an applicant's criminal conviction is related to public health, welfare, and safety?
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What evidence is NOT indicative of insufficient rehabilitation according to the established criteria?
What evidence is NOT indicative of insufficient rehabilitation according to the established criteria?
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Which factor is NOT considered credible evidence of insufficient rehabilitation for an applicant?
Which factor is NOT considered credible evidence of insufficient rehabilitation for an applicant?
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Which of the following criteria would likely disqualify an applicant from receiving public trust regardless of time elapsed since a conviction?
Which of the following criteria would likely disqualify an applicant from receiving public trust regardless of time elapsed since a conviction?
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According to the regulations, which scenario would likely lead to an exemption from board review of a conviction?
According to the regulations, which scenario would likely lead to an exemption from board review of a conviction?
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What is a requirement for applicants regarding reporting previous offenses on their applications?
What is a requirement for applicants regarding reporting previous offenses on their applications?
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What could indicate a lack of candor in an applicant's disclosure process?
What could indicate a lack of candor in an applicant's disclosure process?
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Which condition is essential for the board to consider the timeframe since an applicant's last conviction?
Which condition is essential for the board to consider the timeframe since an applicant's last conviction?
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Under what condition may a nonviolent misdemeanor conviction, dated more than two years prior, not be considered for licensing?
Under what condition may a nonviolent misdemeanor conviction, dated more than two years prior, not be considered for licensing?
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Which of the following is NOT required for an applicant's license renewal to be considered timely and sufficient?
Which of the following is NOT required for an applicant's license renewal to be considered timely and sufficient?
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Which of the following elements must be included in a pre-licensing course for property management to obtain approval?
Which of the following elements must be included in a pre-licensing course for property management to obtain approval?
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For how long is the approval of a property management pre-licensing course valid?
For how long is the approval of a property management pre-licensing course valid?
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What must be completed to avoid having the examination results invalidated?
What must be completed to avoid having the examination results invalidated?
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Which of the following statements regarding continuing education requirements for licensees is accurate?
Which of the following statements regarding continuing education requirements for licensees is accurate?
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What is the fee for the original property management application?
What is the fee for the original property management application?
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Which of the following is a condition under which staff might require board review of an applicant's case?
Which of the following is a condition under which staff might require board review of an applicant's case?
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What happens if the requirements for license renewal are not met?
What happens if the requirements for license renewal are not met?
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Which of the following conviction types does NOT require applicant review by the board?
Which of the following conviction types does NOT require applicant review by the board?
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What must be included in an online pre-licensing course for approval?
What must be included in an online pre-licensing course for approval?
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In case of a technical issue with online renewals, what is the responsibility of the licensee?
In case of a technical issue with online renewals, what is the responsibility of the licensee?
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What is the renewal date for a property manager license?
What is the renewal date for a property manager license?
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Which of the following is a consequence of failing to meet continuing education requirements?
Which of the following is a consequence of failing to meet continuing education requirements?
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Study Notes
Definitions Overview
- "Administrative fee" encompasses costs for administrative services set by the department.
- "Board" refers to a licensing entity under Title 2, chapter 15, governing professional regulations, linked to the department under 2-15-121.
- "Board fee" includes:
- Fees established by the board for program costs.
- Any fees defined by legislation specific to boards and department programs.
Department and Program
- "Department" is identified as the department of labor and industry, established in 2-15-1701.
- "Department program" indicates programs run by the department that operate independently of any board.
License Status Definitions
- "Expired license" pertains to licenses not reactivated within 46 days to 2 years after their renewal date.
- "Lapsed license" marks a license not renewed by the official renewal date; it can be reactivated within 45 days post-renewal.
- "License" constitutes authorization to practice a profession, which can vary in terminology (e.g., permit, certificate).
- "Terminated license" is a status where a license cannot be used again unless fully reactivated after 2 years of lapsing.
License Renewal and Reactivation Process
- Renewal dates for licenses are established by department rules, with prior notice provided to licensees.
- License renewal requires submission of a completed form, meeting certification/continuing education requirements, and payment of renewal fees before the deadline.
Lapsed and Expired Licenses
- A lapsed license can be reactivated within 45 days post-renewal date by fulfilling certification and educational requirements.
- An expired license can be reactivated within 2 years after the renewal date, contingent on meeting accrued certification and educational requirements.
Reactivation Requirements
- To reactivate either a lapsed or expired license, the following must be done:
- Submit a completed renewal form
- Pay the late penalty fee
- Pay the current renewal fee as outlined by the department or board
Practice Regulations
- A licensee practicing with a lapsed license is not deemed to be practicing without a license.
- A licensee practicing after a license expires is considered to be practicing without a license.
License Termination
- If a license is not renewed within 2 years of its latest renewal date, it automatically terminates.
- A terminated license cannot be reactivated; a new original license must be sought.
Jurisdiction and Disciplinary Actions
- Licensing authorities retain jurisdiction over a licensee for disciplinary reasons for 2 years following license lapse.
- Compliance with regulations is essential to maintain or reactivate a professional license without disciplinary actions.
Complaint Submission Process
- Individuals, government bodies, or private entities can file a written complaint against a licensee or license applicant for violations.
- The complaint must specify the grounds for the charges against the licensee or applicant.
Investigation Protocols
- If a complaint is received, the department may investigate to establish reasonable cause for the alleged violation.
- Complaints based on the free exercise clause or free speech clause must be dismissed, and investigations halted.
Good Faith Immunity
- Individuals or private entities filing complaints in good faith are immune from civil suit related to the complaint's content or filing.
Notice and Hearing Request
- If reasonable cause for a violation is found, the department will prepare and serve a notice to the alleged violator via certified mail or authorized methods.
- Licensees or applicants must provide and update their current address to the department within 30 days of any change.
Hearing Procedure
- The notice will inform the licensee or applicant of their right to request a hearing to contest the charges.
- Hearing requests must be written and submitted within 20 days of receiving the notice.
- Failure to request a hearing results in a default decision based on available evidence from the department.
Complaint Submission Process
- Individuals, government bodies, or private entities can file a written complaint against a licensee or license applicant for violations.
- The complaint must specify the grounds for the charges against the licensee or applicant.
Investigation Protocols
- If a complaint is received, the department may investigate to establish reasonable cause for the alleged violation.
- Complaints based on the free exercise clause or free speech clause must be dismissed, and investigations halted.
Good Faith Immunity
- Individuals or private entities filing complaints in good faith are immune from civil suit related to the complaint's content or filing.
Notice and Hearing Request
- If reasonable cause for a violation is found, the department will prepare and serve a notice to the alleged violator via certified mail or authorized methods.
- Licensees or applicants must provide and update their current address to the department within 30 days of any change.
Hearing Procedure
- The notice will inform the licensee or applicant of their right to request a hearing to contest the charges.
- Hearing requests must be written and submitted within 20 days of receiving the notice.
- Failure to request a hearing results in a default decision based on available evidence from the department.
Findings of Fact and Orders
- The department is responsible for preparing findings of fact and conclusions of law if a violation is found by a preponderance of the evidence.
- If a licensee or applicant is not found in violation, an order of dismissal is issued.
Public Reporting Requirements
- The department must report to the public summary suspensions, notices, stipulations, proposed decisions, and final orders in a timely manner.
- Information must be made available on a public website, although meetings may not be required to be open.
Sanctions for Violations
- Upon finding a violation or inability to practice safely, the department can impose various sanctions:
- Revocation or suspension of the license, either fixed or indefinite.
- Restrictions on practice.
- Completion of remedial education or treatment programs.
- Monitoring by an approved supervisor.
- Public or private censure or reprimand.
- Compliance with probation conditions.
- Fines of up to $1,000 for each violation.
- Denial of license applications.
- Refund of fees collected from consumers.
Financial Implications
- Fines collected due to disciplinary actions are deposited into the state general fund.
Sanction Considerations
- The department prioritizes public protection and compensation when determining sanctions before considering rehabilitation requirements for the licensee or applicant.
Stipulated Agreements
- Licensees or applicants can enter into informal stipulations that resolve charges, incorporating possible sanctions from this section.
License Surrender
- Licensees must surrender suspended or revoked licenses within 24 hours of notification, either by mailing or delivering it to the department.
Unprofessional Conduct for Licensees and Applicants
- Conviction of a crime related to professional duties or involving violence, drug-related offenses, fraud, or theft disqualifies a licensee.
- Helping others to violate licensure laws or committing fraud during application or examination violates professional standards.
- Issuing documents with false or misleading statements is considered unprofessional conduct.
- Misleading advertisements and fraudulent representations in professional practice are prohibited.
- Offering or promising anything of value to influence government officials is unprofessional.
- Not complying with license conditions or receiving disciplinary actions without appeal is grounds for unprofessional conduct.
- Physical or mental disabilities that affect professional competency may disqualify a licensee.
- Misappropriation of client funds or property is a serious violation.
- Interfering with investigations, misrepresentation, or threatening clients/witnesses during disciplinary proceedings is unprofessional.
- Assisting unlicensed practice is not permitted, and substance abuse impairing professional duties is unacceptable.
- Conduct that doesn't meet accepted professional standards is grounds for sanctions.
Investigations and Penalties
- The department can investigate complaints against unlicensed individuals practicing a regulated profession.
- Violators of injunctions against unlicensed practice may face contempt of court, fines up to $5,000, and potential criminal charges.
- Practicing without a license is classified as a misdemeanor; penalties include fines ranging from 250to250 to 250to1,000 and possible jail time.
Education and Licensure Requirements
- License renewal may require participation in continuing education, though random audits can be performed post-renewal.
- Property manager licensing requires applicants to be 18+, hold a high school diploma or equivalent, complete approved educational courses, and pass the required exam.
Responsibilities of Property Managers
- A property manager must maintain a designated office and communicate any address changes to the department within 10 days.
- It is illegal for licensed property managers to hire unlicensed individuals for tasks regulated under this part.
Overview of Definitions and Regulations
- "Department" refers to the Department of Labor and Industry overseeing licensing.
- "Property manager" includes individuals involved in leasing, renting, or managing real estate without transferring property title.
- "Trust account" defines an account for real estate trust funds where withdrawals can be made without delay, ensuring proper financial management.
Compliance and Citation Powers
- Department employees can issue citations for noncompliance with trust account rules, resulting in fines of $1,000 for each violation.
- Recipients of citations must respond within 5 business days with either payment or a dispute regarding the violation.
Exemptions from Licensing
- Certain individuals, including owners and relatives, may be exempt from property manager licensing requirements under specific conditions.
- A broker or licensed salesperson can act as a property manager but must have supervision.
Qualification Requirements for Property Manager License
- Minimum age requirement is 18 years.
- Educational requirement includes graduation from an accredited high school or equivalent education recognized by the department.
- Applicants must submit a licensure application to the relevant department.
- Completion of an approved educational course is mandatory.
- Applicants must pass a department-prescribed examination.
Educational Course Content
- Required course must cover real estate leasing principles.
- Course must include real estate leasing law.
- Additional related topics are included in the curriculum to ensure comprehensive knowledge.
License Status Definitions
- Active Status: Allows licensees to practice while complying with board requirements.
- Inactive Status: Does not authorize practice; requires renewal as prescribed.
- Expired License: Not renewed within 45 days to two years after the expiration date; can be reactivated.
- Lapsed License: Not renewed by the license renewal date; can be reactivated within 45 days.
- Suspended License: License ceases practice privileges due to disciplinary action; reinstatement conditions apply.
- Terminated License: Not renewed or reactivated within two years; cannot be reactivated, requires a new original license.
Fees and Penalties
- Administrative Fees: Include duplicate license (5),licenseverification(5), license verification (5),licenseverification(20), and reinstatement of administratively suspended licenses ($120).
- Late Penalty Fee: 100% of the renewal fee for delays in renewal; applicable for each renewal period missed.
- Renewal Fee Adjustments: Renewal fee for suspended licenses is 50% of the regular fee; inactive to active status change fee is based on the difference between license types.
Application and Renewal Processes
- Timely Application Submission: Must include truthful information, required documentation, and appropriate fees with a USPS postmark by the renewal date.
- Reactivation: Lapsed or expired licenses can be renewed by submitting required information and fees within designated timeframes (45 days for lapsed, up to two years for expired).
- New Original License: Issued after termination; must meet all current licensing requirements.
Disciplinary Actions
- Disciplinary Orders: Final orders imposing sanctions must be published unless based on minor administrative failures or failure to meet licensure qualifications.
- Criminal Convictions Criteria: Evaluate the relationship of convictions to public health and safety, including the nature of the crime and rehabilitation status.
- Reporting Requirements: Applicants do not need to report certain arrests or juvenile convictions, and specific misdemeanors under certain conditions.
Continuing Education and Course Requirements
- Pre-Licensing Course: 30-hour approved course required; topics include landlord-tenant law, fair housing laws, and agency.
- Course Approval Duration: Valid for three years; online courses need ARELLO certification.
- Continuing Education for Renewing Licensees: Must complete at least 12 hours annually, focusing on professional knowledge and competence.
Renewal Dates
- Property Manager License: Must be renewed annually by October 31st.
- Grace Periods: Set by department or board rules; untimely applications incur late fees.
Application Fees
- Original Application and Renewal Fee: Both set at $50, nonrefundable; examination fees are paid directly to the testing service.### Continuing Education (CE) Requirements
- New licensees must complete four hours of property management trust account CE before their first renewal date.
- If no course is available before the renewal date, the course must be completed when next offered.
- Licensees are required to maintain CE documentation and make it available upon request.
- Noncompliance with CE requirements can lead to administrative suspension.
- CE courses must be re-approved every three years and cover all related topics in Property Management Business and Laws.
- Instructors must have ARELLO certification to teach approved CE courses.
- After the first renewal, licensees must complete 12 hours of CE each year.
- Record keeping of all CE credits is essential to avoid suspension.
Unprofessional Conduct Regulations
- Unprofessional conduct includes violating any relevant federal, state, or local law.
- Engaging services on behalf of another party requires informing and obtaining consent from the person responsible for payment.
- Any family, financial, or interest relationship with an engaged entity must be transparently disclosed.
- A written property management agreement signed by the owner is necessary for managing another’s property.
- Charging or accepting undisclosed commissions, rebates, or profits on expenditures for a principal is prohibited.
- Licensees must adequately supervise their employees to avoid misconduct.
- Cooperation with department requests is mandatory; failing to respond can constitute unprofessional conduct.
- Practicing with an expired or terminated license is unprofessional; selling a licensee's business without a valid license is not considered as practicing.
- Any act of sexual abuse, misconduct, or exploitation, regardless of its relation to professional practice, is deemed unprofessional conduct.
Property Manager Licensing Exemptions
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Property owners and related individuals are exempt from property manager licensing requirements.
- Owners of the property themselves are exempt.
- Business entities that manage the property for exempt owners (as described above) are also exempt if all owners of the business entity are relatives.
- Relatives include spouses, children, descendants of children, siblings, parents, nieces, nephews, aunts, and uncles of the property owner or their spouse.
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Limited activities are exempt from property manager licensing.
- Landlords managing four or fewer residential units are exempt.
- Attorneys-in-fact, attorneys at law, trustees, and those acting under court orders are exempt while performing their respective duties.
- State and political subdivision officers are exempt while conducting official duties.
- Employees receiving reduced rent or salary are exempt unless they have signatory authority over the trust account.
- Employees whose property management duties are incidental to their regular employment are exempt.
- Employees exclusively employed by one person on a salaried basis are exempt.
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Real Estate Brokers and Salespersons can act as property managers under certain conditions.
- Brokers licensed under Title 37, chapter 51, are allowed to act as property managers.
- Salespersons can act as property managers, but only under the supervision of a broker.
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"Owner" definition is clarified for subsections (1)(a) and (1)(b).
- Sole proprietors, managing members of limited liability companies, shareholders of corporations, and partners in partnerships are all considered "owners" for these purposes.
Definitions for Property Managers in Idaho
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Department: This refers to the Department of Labor and Industry in Idaho, as outlined in Title 2, Chapter 15, Part 17.
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Property Manager: An individual who engages in the business of leasing, renting, subleasing, or other transfer of possession of real estate in Idaho.
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Property Manager Responsibilities: This includes but is not limited to:
- Negotiating leases or subleases
- Promoting lease, rental, exchange, or other real estate transactions
- Assisting in creating real estate lease contracts
- Procuring tenants
- Providing assistance (for a fee) in locating real estate for lease
- Making real estate ads available for lease to potential tenants
- Showing properties to potential tenants
- Acting as a liaison between property owners and tenants/prospective tenants
- Overseeing inspections, maintenance, and upkeep of leased properties
- Collecting rent
- Receiving or paying a fee, commission, or other compensation for referring prospective lessors or lessees
- Advertising or representing to the public that they engage in any of these activities.
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Real Estate: Includes leaseholds and any other interest in land, regardless of its nature or location.
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Trust Account: An account established for real estate trust funds, allowing for immediate withdrawals or transfers, subject to any legally required notice periods from the depository institution.
Licensing Criminal History
- Applicants for property management licenses with criminal convictions are reviewed to determine if the conviction is related to public health, welfare, and safety
- The applicant's rehabilitation is also considered
- Applicants are not required to report arrests not leading to convictions
- Applicants don't have to report convictions (juvenile adjudications) received when under 18 unless convicted as an adult
- Misdemeanor driving violations, including driving under the influence, do not need to be reported if sentenced more than five years before the application date
License Renewal
- Existing licenses expire on the renewal date specified for each profession and occupation
- Licensees must submit a completed application with truthful information and the required fees on or before the renewal date to avoid late fees
- Renewal dates for property managers are annually on October 31st
Application Timeline
- Property Manager License applicants must:
- Complete a 30-hour approved property management pre-licensing course within 24 months preceding the application
- Pass the licensure examination
- Apply for licensure within 12 months of the examination date. Failing to do so will invalidate previously passed exam results
Pre-licensing Course Requirements
- Pre-licensing courses last for 3 years and must be approved by the board
- Must include:
- Trust accounts
- Accounting procedures
- Landlord tenant law
- Federal and state fair housing laws
- Americans with Disabilities Act
- State licensing law and rules
- Contract Law
- Leasing principles
- Agency
- Definitions and terms commonly used in the industry
- Online courses must have current Association of Real Estate License Law Officials (ARELLO) certification
- Approval is invalidated if ARELLO certification is discontinued for any reason
Continuing Education
- Renewing licensees must complete a minimum of 12 hours of property management continuing education (CE) annually
- New licensees are only required to complete four hours of property management trust account CE by their first renewal date
- Licensees must maintain adequate CE documentation and make the documentation available upon request
- Licensees found noncompliant with CE requirements may be subject to administrative suspension
Unprofessional Conduct
- Unprofessional conduct for property managers is defined by Montana law as:
- Violating a federal, state, or local law or rule relating to the conduct of the profession
- Engaging in business without informing and obtaining consent
- Disclosing confidential information without consent
- Accepting or charging undisclosed commissions
- Failing to supervise employees
- Failing to cooperate with the Department
- Using an expired or terminated license
- Committing any sexual misconduct, business-related or not
Unprofessional Conduct for Property Managers
- Violating Federal, State, or Local Laws or Rules: Property managers must adhere to all relevant laws and regulations governing the real estate industry.
- Engaging Services without Proper Disclosure: Property managers must obtain consent from the obligated party before engaging any person or entity on their behalf. They must also disclose any familial, financial, or business relationships they have with the engaged party.
- Managing Property without Written Agreements: Property management agreements must be in writing and signed by the property owner before a property manager can legally manage their property.
- Undisclosed Commissions or Profits: Accepting, giving, or charging hidden commissions, rebates, or profits on expenditures made for a principal is considered unprofessional conduct.
- Failing to Supervise Employees: Property managers are responsible for adequately supervising their employees to ensure they operate ethically and professionally.
- Non-cooperation with the Department: Refusing to cooperate or respond to requests from the relevant department is a violation of professional standards.
- Practicing with an Expired or Terminated License: Continuing to practice as a property manager with an expired or terminated license is prohibited and constitutes unprofessional conduct.
- Sexual Misconduct: Engaging in sexual misconduct, abuse, or exploitation, even outside the context of practicing as a property manager, is considered unprofessional conduct.
Unprofessional Conduct for Property Managers in Montana
- Property managers in Montana are subject to specific regulations pertaining to unprofessional conduct.
- Violating any Federal, State or Local laws surrounding the property management profession is considered unprofessional conduct.
- Engaging services on behalf of a principal, third party, or other person requires:
- Informing the person obligated to pay for the service.
- Obtaining consent from the person obligated to pay for the service.
- Disclosing any family, financial, or business relationships the licensee may have with the engaged entity.
- Managing property without a written, signed agreement with the property owner is considered unprofessional conduct.
- Accepting, giving, or charging an undisclosed commission, rebate, or profit on expenditures made for a principal is considered unprofessional conduct.
- Failing to adequately supervise employees is considered unprofessional conduct.
- Failing to cooperate with or respond to Department requests is considered unprofessional conduct.
-
Practicing while a license is expired or terminated is considered unprofessional conduct.
- Receiving payments for the sale of a property management business without a valid license is not considered practicing.
- Any act of sexual abuse, misconduct, or exploitation is considered unprofessional conduct, whether related to the licensee's practice or not.
Criminal Convictions for Licensing
- The board will review an applicant's criminal conviction to determine if it is related to the public health, welfare, and safety
- The board will also consider the applicant's rehabilitation
- An applicant does not have to report arrests that did not result in conviction, convictions received before the age of 18, or misdemeanor driving violations if sentenced more than five years before the application date
- Staff can issue a license to an applicant with nonviolent misdemeanor convictions if the conviction date is more than two years before the application date
- Staff can issue a license to an applicant with nonviolent felony convictions if the conviction date is more than five years before the application date
- All violent misdemeanor or felony convictions and any nonviolent misdemeanor and nonviolent felony convictions not included in the above must be reviewed by the board
Licensing Renewal Requirements
- Licenses expire on the renewal date specified
- To renew, applicants must submit a timely and sufficient application
- The application must be completed with truthful information, accompanied by other required information or documentation, accompanied by the appropriate fee, and submitted so that it bears a U.S. Postal Service postmark prior to or on the renewal date for the applicable profession
- If the requirements are not met, a late penalty fee will be required
- The renewal date for property managers is October 31st
License Fee Requirements
- An original application costs $50
- A renewal costs $50
- A pre-licensing course application costs $150
- All fees are nonrefundable
- Examination fees are paid directly to the testing service
Application Timeline
- Applicants must complete a 30-hour approved property management pre-licensing course within 24 months preceding application
- Applicants must pass the licensure examination
- Applicants must apply for licensure within 12 months of the examination date
- Failing to meet any of these deadlines will invalidate exam results
Pre-Licensing Course Requirements
- Course approval is valid for three years and may be revoked for cause
- Courses must include the following topics:
- Trust accounts
- Accounting procedures
- Landlord tenant law (Title 70, Chapters 24 and 25, MCA)
- Federal and state fair housing laws
- Americans with Disabilities Act
- State licensing law and rules
- Contract law
- Leasing principles
- Agency
- Definitions and terms commonly used in the industry
- Online courses must have current Association of Real Estate License Law Officials (ARELLO) certification
- Approval is invalidated if ARELLO certification is discontinued
Continuing Education Requirements
- Renewing licensees must complete a minimum of 12 hours of property management continuing education (CE) annually
- Licensees must select quality programs
- Contribute to professional knowledge and competence
- Contain significant intellectual or practical content
- Are germane to the property management profession
- New licensees are only required to complete four hours of property management trust account CE by their first renewal date
- If no course occurs by the first renewal date, the licensee must complete the course when it is next offered
- Licensees must maintain adequate CE documentation and make the documentation available upon request
- Licensees found noncompliant with CE requirements may be subject to administrative suspension.
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