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Real Estate DiscussionReal Estate DiscussionReal Estate Dis...Real Estate Dis...State of Alaska...State of Alaska...AREC decision limiting licensee from making a living??AREC decision limiting licensee from making a living??
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 7/21/2010 5:32 PM
 
 Modified By jroyse  on 7/21/2010 7:36:20 PM

If you are engaged in any of the activities that are exceptions to being licensed, you may now be in violation of the law according to the AREC.

Article 6. General Provisions

Sec. 08.88.900. Exceptions.
(a) Except as provided in (b) of this section, this chapter does not apply to
(1) a person who is not licensed under this chapter who manages or makes a real estate transaction with respect to real estate the person owns or is seeking to own so long as the compensation the person receives does not include any portion of the commission or other compensation paid to a real estate licensee in the transaction;
(2) an attorney in fact under a power of attorney authorizing the consummation of a specific real estate transaction; an attorney in fact may not act as such under this paragraph for more than two transactions in a calendar year;
(3) a lawyer performing duties as a lawyer;
(4) a public official in the conduct of official duties;
(5) a person acting as receiver, trustee, administrator, executor, or guardian;
(6) a person acting under court order;
(7) a person acting under the authority of a will or trust instrument;
(8) a person dealing in mineral rights transactions;
(9) an employee of a domestic or foreign corporation, general or limited partnership, or limited liability company when performing an act described in AS 08.88.161 incidental to the regular course of business when the act relates to the management, sale, or other disposition of real estate owned by the foreign or domestic corporation, general or limited partnership or limited liability company; the exemption under this paragraph does not apply to a person employed by a foreign or domestic corporation, partnership, limited partnership, or limited liability company who performs an act described in AS 08.88.161 either
(A) as a vocation; or
(B) for compensation if the amount of the compensation is dependent upon or directly related to the value of the real estate with respect to which the act is performed;
(10) a person performing duties as a resident manager;
(11) a bookkeeper or accountant performing bookkeeping or accounting functions;
(12) a secretary or receptionist in a real estate office accepting rent or association fees and providing a written receipt for the rent or fees when a tenant or community association member delivers the rent or fees to the real estate office;
(13) tradesmen or vendors of services performing maintenance and repair functions;
(14) an employee of a real estate firm or of a property owner delivering or accepting a real estate contract or application, or a related amendment, to or from another person;
(15) an individual assisting in the performance of real estate activities only by carrying out administrative, clerical, or maintenance tasks;
(16) the management of a total of four or fewer residential units by a natural person for other persons;
(17) community association management for property organized under AS 34.07 or AS 34.08 by a resident owner of a unit in the property if the owner is a member of a self-managed community association for the property;
(18) community association management by a developer of property organized under AS 34.07 or AS 34.08 during the period that the developer retains control of at least 51 percent of the property;
(19) an attorney in fact who, for a relative, acts under a power of attorney that authorizes the consummation of a specific real estate transaction; in this paragraph, "relative" means a spouse or a great grandparent, grandparent, parent, uncle, aunt, sibling, child, nephew, niece, grandchild, or great grandchild by the whole or half blood or by marriage but does not include a relative who is only related through a step relationship, such as a stepbrother or the child of a stepbrother, except that "relative" includes a stepchild;
(20) a mobile home dealer; or
(21) the management by a natural person of property for another person without a fee other than the reimbursement of expenses.
New Post
 7/21/2010 5:34 PM
 

Quit your job cause the exceptions no longer apply!

From: "Walsh, Sharon J (CED)" <sharon.walsh@alaska.gov>
To: kathy garvon <kgarvon@yahoo.com>
Cc: hbartos@gci.net
Sent: Tue, July 6, 2010 12:47:47 PM
Subject: RE: Real Estate Lic.

Kathy:

The Commission members, Investigator and myself want to convey to you as a new licensee, that you must now comply with real estate license law.

The exceptions AS 08.88.900(10) are no longer allowed when you are licensed. Therefore, you must abide by the statutes and regulations. In particular, 08.88.331 Making of transactions:

Sec. 08.88.331. Making of transactions. An active real estate salesperson or associate real estate broker may perform activities for which a real estate license is required only through the real estate broker who employs or contracts with the licensee. All money or other proceeds collected in trust and related to a real estate transaction shall immediately be turned over to the broker or the broker's authorized representative.

Your Broker must now have oversight of your licensed activities, of which, property management of this building is one. Please be familiar with the regulations for property management and compliance with the landlord/tenant act. Those regulations are 12 AAC 64.550 PM Transactions; 12 AAC 64.560 Compliance with Uniform Residential Landlord and Tenant Act also 12 AAC 64.570 PM of Real Property.

The other thing I would like to mention is that although you stated in your email: “If I do not hear from the board by Friday July 2, 2010 I will asoom (spelling error:’assume’) that by me giving notice to all my tenants that would allow me to start my new position at Century 21”.

Please be advised that no matter what the situation is, if you are licensed and conducting activity that may be in violation of statutes or regulations your imposition of a date for us to act on is irrelevant. All licensees must comply with statutes & regulations. The Commission members responded rather quickly to your inquiry. The other thing I need to mention is that if you want to present this particular situation to the Commission for further consideration you can request to be on the agenda at the next regularly scheduled meeting, which is September 9 & 10th in Anchorage. For now though, all licensee activity(AS 08.88.161) will be done through your broker.

If you have any questions or concerns please call or email me. Please be aware that I had to wait to hear back from the Commission members before I could fully respond to your email-which I indicated to you in my reply on 7-1-10. On another note, I see that you have two last names,Garvon(used in your email and Page used in your application) please be sure and sign all real estate documents using the name on your license issued by the REC.

Thank you.

Sharon Walsh

Sharon J. Walsh

Executive Administrator

Alaska Real Estate Commission

907.269.8197

sharon.walsh@alaska.gov

-----Original Message-----
From: kathy garvon [
mailto:kgarvon@yahoo.com]
Sent: Wednesday, June 30, 2010 4:15 PM
To: Walsh, Sharon J (CED); kathy page
Subject: Real Estate Lic.

To Whom It Concerns:

My name is Kathy Page I have recently received my license. I will be starting my career with Century 21 Gold Rush ( Fairbanks) as soon as possible. There is a question coming up about me starting my career. At this time i work as a Resident Manager for an apartment complex in Fairbanks.

I wish to keep that position as well as start working for Century 21 as soon as i get the go ahead from the Commission. Because i am a unlicensed manager at the complex but would be a license-assistant at Century I need to know what I need to do or not to do?

I plan on informing all my tenant at the complex that I am now a real estate licensee. That it will not change any dealing with them. I would like to make sure that my action at each position well be delt with only that company.

Please help. I can not start my new position with out further instruction. If I do not hear from the board by Friday July 2, 2010 i will asoom that by me giving notice to all my tenants that would allow me to start my new position at Century 21.

You can reach me at 907-328-9778 or

kgarvon@yahoo.com.

Thank you,

Kathy Page

New Post
 7/22/2010 7:09 AM
 
 Modified By jroyse  on 7/22/2010 11:34:36 AM
I think the reasoning goes this way:
· You don’t have to be licensed to be a resident manager.
o When you get licensed you have to follow the real estate rules if you are a resident manager, e.g. run the rents through your broker, make pertinent disclosures to tenants.
o If you have a business that is not real estate, like running a latte stand, then real estate regulations don’t apply regardless of your real estate licensee status
New Post
 7/22/2010 8:52 AM
 

Century 21 returned the license to the commission. There is no way to quit my job. I recieve an apartment. My small salary does not allow me to have enough saved to move. The commission office state im now inactive.

New Post
 7/22/2010 9:01 AM
 
 Modified By kgarvon  on 7/22/2010 11:01:51 AM
As a resident manager there is no way to run rent through the broker. The complex is owned by a corporation that is over seen by the government for section 8 housing. The company I am employed with does not feel they should have to have the real estate commission into their private business.

If a licensee has their own rentals they own do they have to run it through their broker? I am not sure how that works.

Thanks

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