License Law and Regulations

Who Needs a License

Article 12-A of the Real Property Law defines a real estate broker as anyone who, for another and for a fee, commission or other valuable consideration, lists, sells (including at auction), exchanges, buys or rents real estate, collects rent, or negotiates a loan secured by a mortgage other than a residential mortgage loan. Tenant relocators are brokers too. The sale of a business counts when the real estate transferred is more than merely incidental, but assigning a lease is not included. A real estate salesperson is a person associated with a licensed broker to do the same acts. An associate real estate broker holds a broker license but chooses to work under another broker's name and supervision and is treated like a salesperson for practice purposes. Negotiating a residential (1-4 family) mortgage loan is regulated separately under the Banking Law, not by a real estate license.

N.Y. Real Prop. Law §440; §440-a