Real estate license reciprocity is an agreement between states that allows the holder of a real estate license in one state to fast track the process of getting a license in another state, often bypassing the pre-license requirements and moving straight to the licensing exam.
For example, say you are a real estate agent in Texas and are planning a move with your family to Colorado. Colorado offers real estate license reciprocity with any other state, so rather than having to take the pre-licensing class again, all you’d need to do is take the real estate exam again in Colorado and you’re good to go.
Want to go skip the hassle of getting licensed in other states? Look into a virtual brokerage like Real. Licensed in 20 states, Real makes it easy to work on multi-state deals. Even better, there are no monthly fees and you get free access to an IDX personalized website, CloudCMA account, Dotloop, and CRM. Click below to speak with a specialist and learn more about how you can operate more independently than with other brokerages.
What If I Just Want to Help on a Single Transaction?
If you aren’t planning on conducting business long-term in a state you aren’t currently licensed in, real estate license portability is what you should be looking into. For example, if you live in New York City and you’ve got a client who wants to buy a house in New Hampshire, a real estate license portability agreement allows you to help that client (and get paid) without having to get a New Hampshire license.
What is Real Estate License Portability?
Real estate license portability describes the rules that each state has for real estate agents who aren’t licensed in their state but have clients who are interested in buying or selling in that state. There are three basic classifications of real estate license portability laws: Cooperative, Physical Location, and Turf.
- Cooperative: A state with a cooperative real estate portability agreement is just that ― cooperative. A real estate agent licensed in another state can enter that state, conduct business and get paid for it. The one caveat is that in order to do so, they have to co-broke the transaction with another real estate agent who is licensed in that state.
Example of a Transaction in a Cooperative State
In other words, if you are helping that buyer from New York with their house purchase in New Hampshire, the home has to be listed with an agent who is licensed in New Hampshire.
- Physical Location: Unlike a Cooperative portability state, a state with a physical location real estate license portability law allows you to represent your client in an out of state purchase or sale, but you have to do so remotely, you can’t be in the physical location state you want to transact in.
Example of a Transaction in a Physical Location State
So, for example, let’s say that client who wanted the house in New Hampshire has changed their mind and now wants to buy a ranch in Oklahoma. You can help them with that, but it has to be done from New York. You can send them to see property, make offers, and negotiate on their behalf, but only from your desk and not from the barn of their new ranch.
- Turf: While a Physical Location state allows you to conduct transactions remotely, states with real estate reciprocity turf laws will not allow anyone with an outside real estate license to do business in their state.
Example of a Transaction in a Turf State
Let’s pretend that your client who was going to buy in New Hampshire and Oklahoma has decided they don’t want to be so far away from home, and are going to buy right across the Hudson River in Hoboken, New Jersey. New Jersey is a turf state, so you’ll need to refer this client to a licensed New Jersey real estate agent (who can pay you a referral fee), but you can’t be involved past that.
Keep in mind, each state has its own version of each of these classifications, so the story doesn’t end here. We’ll get into each state’s specific portability agreements later.
Real Estate License Reciprocity Laws in All 50 States
Whenever we get asked about real estate reciprocity, we hear some version of the following:
“I live in state X, I am moving to state Y. Can I transfer my license there?”
We’ve put together a handy table to help you understand your options and answer this question. Find your state below to find out which states offer you real estate license reciprocity.
Real Estate License Reciprocity Laws
Real Estate License Portability Laws in All 50 States
If you want to conduct a single transaction in a state other than the one you are licensed in, you need to know the real estate license portability rules. We know there are three different types of real estate license portability laws: cooperative, physical location, and turf. But, each state has its own interpretations of these laws and individual statutes.
We’ve compiled all these different statutes so you can know the exact rules of real estate license portability in each state. In the table below, click on the state where the transaction would take place to be taken to those rules.
Real Estate License Portability Laws
Alabama
Holders of an Alabama real estate license can obtain a new real estate license via a reciprocity agreement with the following states:
- Alaska
- Arkansas
- Colorado
- Connecticut
- Delaware
- Florida
- Georgia
- Kansas
- Kentucky
- Louisiana
- Maine
- Mississippi
- Missouri
- Nebraska
- North Carolina
- Oklahoma
- Oregon
- Virginia
- Washington
- West Virginia
Alaska
Holders of an Alaska real estate license can obtain a new real estate license via a reciprocity agreement with the following states:
- Alabama
- Colorado
- Delaware
- Georgia
- Kansas
- Kentucky
- Maine
- Mississippi
- Missouri
- Nebraska
- North Carolina
- Virginia
- Washington
Arizona
Holders of an Arizona real estate license can obtain a new real estate license via a reciprocity agreement with the following states:
- Alabama
- Alaska
- Colorado
- Delaware
- Georgia
- Kansas
- Kentucky
- Maine
- Missouri
- Nebraska
- North Carolina
- Virginia
- Washington
Arkansas
Holders of an Arkansas real estate license can obtain a new real estate license via a reciprocity agreement with the following states:
- Alabama
- Alaska
- Colorado
- Delaware
- Florida
- Georgia
- Iowa
- Kansas
- Kentucky
- Louisiana
- Maine
- Mississippi
- Missouri
- Nebraska
- New York
- North Carolina
- Ohio
- Oklahoma
- Pennsylvania
- Virginia
- Washington
- West Virginia
California
Holders of a California real estate license can obtain a new real estate license via a reciprocity agreement with the following states:
- Alabama
- Alaska
- Colorado
- Delaware
- Georgia
- Kansas
- Kentucky
- Maine
- Missouri
- Nebraska
- Nevada
- North Carolina
- Virginia
- Washington
Colorado
Holders of a Colorado real estate license can obtain a new real estate license via a reciprocity agreement with the following states:
- Alabama
- Alaska
- Arkansas
- Connecticut
- Delaware
- Georgia
- Illinois
- Kansas
- Kentucky
- Louisiana
- Maine
- Massachusetts
- Minnesota
- Mississippi
- Missouri
- Nebraska
- New York
- North Carolina
- Ohio
- Virginia
- Washington
Connecticut
Holders of a Connecticut real estate license can obtain a new real estate license via a reciprocity agreement with the following states:
- Alabama
- Alaska
- Colorado
- Delaware
- Florida
- Georgia
- Illinois
- Kansas
- Kentucky
- Maine
- Massachusetts
- Mississippi
- Missouri
- Nebraska
- Nevada
- New York
- North Carolina
- Ohio
- Rhode Island
- Virginia
- Washington
Delaware
Holders of a Delaware real estate license can obtain a new real estate license via a reciprocity agreement with the following states:
- Alabama
- Alaska
- Colorado
- Georgia
- Kansas
- Kentucky
- Maine
- Mississippi
- Missouri
- Nebraska
- North Carolina
- Virginia
- Washington
Florida
Holders of a Florida real estate license can obtain a new real estate license via a reciprocity agreement with the following states:
- Alabama
- Alaska
- Arkansas
- Colorado
- Connecticut
- Delaware
- Georgia
- Illinois
- Kansas
- Kentucky
- Maine
- Mississippi
- Missouri
- Nebraska
- Nevada
- North Carolina
- Virginia
- Washington
Georgia
Holders of a Georgia real estate license can obtain a new real estate license via a reciprocity agreement with the following states:
- Alabama
- Alaska
- Arkansas
- Colorado
- Connecticut
- Delaware
- Florida
- Illinois
- Iowa
- Kansas
- Kentucky
- Louisiana
- Maine
- Massachusetts
- Mississippi
- Missouri
- Nebraska
- New Hampshire
- New Mexico
- New York
- North Carolina
- North Dakota
- Oregon
- Pennsylvania
- South Carolina
- Utah
- Virginia
- Washington
- West Virginia
Hawaii
Holders of a Hawaii real estate license can obtain a new real estate license via a reciprocity agreement with the following states:
- Alabama
- Alaska
- Colorado
- Delaware
- Georgia
- Kansas
- Kentucky
- Maine
- Missouri
- Nebraska
- North Carolina
- Virginia
- Washington
Idaho
Holders of an Idaho real estate license can obtain a new real estate license via a reciprocity agreement with the following states:
- Alabama
- Alaska
- Colorado
- Delaware
- Georgia
- Kansas
- Kentucky
- Maine
- Missouri
- Nebraska
- North Carolina
- Virginia
- Washington
Illinois
Holders of an Illinois real estate license can obtain a new real estate license via a reciprocity agreement with the following states:
- Alabama
- Alaska
- Colorado
- Connecticut
- Delaware
- Florida
- Georgia
- Kansas
- Kentucky
- Maine
- Missouri
- Nebraska
- North Carolina
- Virginia
- Washington
- Wisconsin
Indiana
Holders of an Indiana real estate license can obtain a new real estate license via a reciprocity agreement with the following states:
- Alabama
- Alaska
- Colorado
- Connecticut
- Delaware
- Georgia
- Illinois
- Kansas
- Kentucky
- Maine
- Missouri
- Nebraska
- North Carolina
- Virginia
- Washington
- Wisconsin
Iowa
Holders of an Iowa real estate license can obtain a new real estate license via a reciprocity agreement with the following states:
- Alabama
- Alaska
- Arkansas
- Colorado
- Delaware
- Georgia
- Illinois
- Kansas
- Kentucky
- Louisiana
- Maine
- Massachusetts
- Minnesota
- Mississippi
- Missouri
- Nebraska
- North Carolina
- North Dakota
- Oklahoma
- Virginia
- Washington
- West Virginia
Kansas
Holders of a Kansas real estate license can obtain a new real estate license via a reciprocity agreement with the following states:
- Alabama
- Alaska
- Arkansas
- Colorado
- Delaware
- Georgia
- Kentucky
- Maine
- Mississippi
- Missouri
- Nebraska
- North Carolina
- Virginia
- Washington
Kentucky
Holders of a Kentucky real estate license can obtain a new real estate license via a reciprocity agreement with the following states:
- Alabama
- Alaska
- Colorado
- Delaware
- Georgia
- Kansas
- Maine
- Mississippi
- Missouri
- Nebraska
- North Carolina
- South Carolina
- Virginia
- Washington
Louisiana
Holders of a Louisiana real estate license can obtain a new real estate license via a reciprocity agreement with the following states:
- Alabama
- Alaska
- Arkansas
- Colorado
- Delaware
- Georgia
- Iowa
- Kansas
- Kentucky
- Maine
- Mississippi
- Missouri
- Nebraska
- New Mexico
- North Carolina
- Oklahoma
- Pennsylvania
- Virginia
- Washington
Maine
Holders of a Maine real estate license can obtain a new real estate license via a reciprocity agreement with the following states:
- Alabama
- Alaska
- Colorado
- Delaware
- Georgia
- Kansas
- Kentucky
- Mississippi
- Missouri
- Nebraska
- Nevada
- New Hampshire
- North Carolina
- Virginia
- Washington
Maryland
Holders of a Maryland real estate license can obtain a new real estate license via a reciprocity agreement with the following states:
- Alabama
- Alaska
- Colorado
- Delaware
- Georgia
- Kansas
- Kentucky
- Maine
- Missouri
- Nebraska
- Nevada
- North Carolina
- Oklahoma
- Pennsylvania
- Virginia
- Washington
Massachusetts
Holders of a Massachusetts real estate license can obtain a new real estate license via a reciprocity agreement with the following states:
- Alabama
- Alaska
- Colorado
- Connecticut
- Delaware
- Georgia
- Iowa
- Kansas
- Kentucky
- Maine
- Mississippi
- Missouri
- Nebraska
- New Hampshire
- New Mexico
- New York
- Pennsylvania
- Rhode Island
- Virginia
- Washington
- West Virginia
Michigan
Holders of a Michigan real estate license can obtain a new real estate license via a reciprocity agreement with the following states:
- Alabama
- Alaska
- Colorado
- Delaware
- Georgia
- Kansas
- Kentucky
- Missouri
- Nebraska
- Nevada
- North Carolina
- Virginia
- Washington
Minnesota
Holders of a Minnesota real estate license can obtain a new real estate license via a reciprocity agreement with the following states:
- Alabama
- Alaska
- Colorado
- Delaware
- Georgia
- Iowa
- Kansas
- Kentucky
- Maine
- Missouri
- Nebraska
- North Carolina
- North Dakota
- Virginia
- Washington
Mississippi
Holders of a Mississippi real estate license can obtain a new real estate license via a reciprocity agreement with the following states:
- Alabama
- Alaska
- Arkansas
- Colorado
- Connecticut
- Delaware
- Florida
- Georgia
- Iowa
- Kansas
- Kentucky
- Louisiana
- Maine
- Massachusetts
- Missouri
- Nebraska
- New York
- North Carolina
- Ohio
- Utah
- Virginia
- Washington
- West Virginia
Missouri
Holders of a Missouri real estate license can obtain a new real estate license via a reciprocity agreement with the following states:
- Alabama
- Alaska
- Colorado
- Delaware
- Georgia
- Kansas
- Kentucky
- Maine
- Mississippi
- Nebraska
- Virginia
- Washington
Montana
Holders of a Montana real estate license can obtain a new real estate license via a reciprocity agreement with the following states:
- Alabama
- Alaska
- Colorado
- Delaware
- Georgia
- Idaho
- Kansas
- Kentucky
- Maine
- Missouri
- Nebraska
- North Carolina
- Virginia
- Washington
Nebraska
Holders of a Nebraska real estate license can obtain a new real estate license via a reciprocity agreement with the following states:
- Alabama
- Alaska
- Arkansas
- Colorado
- Connecticut
- Delaware
- Georgia
- Florida
- Illinois
- Kansas
- Kentucky
- Maine
- Massachusetts
- Minnesota
- Mississippi
- Missouri
- North Carolina
- Ohio
- Oklahoma
- Oregon
- Virginia
- Washington
- West Virginia
Nevada
Holders of a Nevada real estate license can obtain a new real estate license via a reciprocity agreement with the following states:
- Alabama
- Alaska
- Colorado
- Delaware
- Georgia
- Kansas
- Kentucky
- Maine
- Missouri
- Nebraska
- North Carolina
- Virginia
- Washington
New Hampshire
Holders of a New Hampshire real estate license can obtain a new real estate license via a reciprocity agreement with the following states:
- Alabama
- Alaska
- Colorado
- Delaware
- Georgia
- Kansas
- Kentucky
- Maine
- Missouri
- Nebraska
- North Carolina
- Virginia
- Washington
New Jersey
Holders of a New Jersey real estate license can obtain a new real estate license via a reciprocity agreement with the following states:
- Alabama
- Alaska
- Colorado
- Delaware
- Georgia
- Kansas
- Kentucky
- Maine
- Missouri
- Nebraska
- Nevada
- North Carolina
- Virginia
- Washington
New Mexico
Holders of a New Mexico real estate license can obtain a new real estate license via a reciprocity agreement with the following states:
- Alabama
- Alaska
- Colorado
- Delaware
- Georgia
- Kansas
- Kentucky
- Maine
- Massachusetts
- Missouri
- Nebraska
- Nevada
- North Carolina
- Virginia
- Washington
New York
Holders of a New York real estate license can obtain a new real estate license via a reciprocity agreement with the following states:
- Alabama
- Alaska
- Arkansas
- Colorado
- Connecticut
- Delaware
- Georgia
- Kansas
- Kentucky
- Maine
- Mississippi
- Missouri
- Nebraska
- Nevada
- North Carolina
- Pennsylvania
- Virginia
- Washington
- West Virginia
North Carolina
Holders of a North Carolina real estate license can obtain a new real estate license via a reciprocity agreement with the following states:
- Alabama
- Alaska
- Colorado
- Delaware
- Georgia
- Kansas
- Kentucky
- Louisiana
- Maine
- Mississippi
- Missouri
- Nebraska
- Virginia
- Washington
North Dakota
Holders of a North Dakota real estate license can obtain a new real estate license via a reciprocity agreement with the following states:
- Alabama
- Alaska
- Colorado
- Delaware
- Georgia
- Iowa
- Kansas
- Kentucky
- Maine
- Minnesota
- Missouri
- Nebraska
- North Caroline
- Oklahoma
- Virginia
- Washington
Ohio
Holders of an Ohio real estate license can obtain a new real estate license via a reciprocity agreement with the following states:
- Alabama
- Alaska
- Colorado
- Connecticut
- Delaware
- Georgia
- Kansas
- Kentucky
- Maine
- Mississippi
- Missouri
- Nebraska
- Nevada
- North Carolina
- Virginia
- Washington
- West Virginia
Oklahoma
Holders of an Oklahoma real estate license can obtain a new real estate license via a reciprocity agreement with the following states:
- Alabama
- Alaska
- Arkansas
- Colorado
- Connecticut
- Delaware
- Georgia
- Kansas
- Kentucky
- Louisiana
- Maine
- Maryland
- Minnesota
- Missouri
- Nebraska
- New York
- North Carolina
- Ohio
- Virginia
- Washington
- West Virginia
Oregon
Holders of an Oregon real estate license can obtain a new real estate license via a reciprocity agreement with the following states:
- Alabama
- Alaska
- Colorado
- Delaware
- Georgia
- Idaho
- Kansas
- Kentucky
- Maine
- Missouri
- Nebraska
- Nevada
- North Carolina
- Virginia
- Washington
Pennsylvania
Holders of a Pennsylvania real estate license can obtain a new real estate license via a reciprocity agreement with the following states:
- Alabama
- Alaska
- Arkansas
- Colorado
- Delaware
- Georgia
- Kansas
- Kentucky
- Louisiana
- Maine
- Maryland
- Massachusetts
- Missouri
- Nebraska
- Nevada
- New York
- North Carolina
- Virginia
- Washington
- West Virginia
Rhode Island
Holders of a Rhode Island real estate license can obtain a new real estate license via a reciprocity agreement with the following states:
- Alabama
- Alaska
- Colorado
- Connecticut
- Florida
- Georgia
- Kansas
- Kentucky
- Maine
- Massachusetts
- Missouri
- Nebraska
- Nevada
- North Carolina
- Virginia
- Washington
South Carolina
Holders of a South Carolina real estate license can obtain a new real estate license via a reciprocity agreement with the following states:
- Alabama
- Alaska
- Colorado
- Delaware
- Georgia
- Kansas
- Kentucky
- Maine
- Missouri
- Nebraska
- North Carolina
- Virginia
- Washington
- West Virginia
South Dakota
Holders of a South Dakota real estate license can obtain a new real estate license via a reciprocity agreement with the following states:
- Alabama
- Alaska
- Arkansas
- Colorado
- Delaware
- Georgia
- Kansas
- Kentucky
- Maine
- Minnesota
- Missouri
- Nebraska
- North Carolina
- Oklahoma
- Oregon
- Virginia
- Washington
Tennessee
Holders of a Tennessee real estate license can obtain a new real estate license via a reciprocity agreement with the following states:
- Alabama
- Alaska
- Colorado
- Delaware
- Georgia
- Kansas
- Kentucky
- Maine
- Massachusetts
- Missouri
- Nebraska
- North Carolina
- Virginia
- Washington
Texas
Holders of a Texas real estate license can obtain a new real estate license via a reciprocity agreement with the following states:
- Alabama
- Alaska
- Colorado
- Delaware
- Georgia
- Kansas
- Kentucky
- Maine
- Missouri
- Nebraska
- North Carolina
- Virginia
- Washington
Utah
Holders of a Utah real estate license can obtain a new real estate license via a reciprocity agreement with the following states:
- Alabama
- Alaska
- Colorado
- Delaware
- Georgia
- Kansas
- Kentucky
- Maine
- Mississippi
- Missouri
- Nebraska
- North Carolina
- Virginia
- Washington
Vermont
Holders of a Vermont real estate license can obtain a new real estate license via a reciprocity agreement with the following states:
- Alabama
- Alaska
- Colorado
- Delaware
- Georgia
- Kansas
- Kentucky
- Maine
- Missouri
- Nebraska
- New Hampshire
- North Carolina
- Virginia
- Washington
Virginia
Holders of a Virginia real estate license can obtain a new real estate license via a reciprocity agreement with the following states:
- Alabama
- Alaska
- Colorado
- Delaware
- Georgia
- Kansas
- Kentucky
- Maine
- Mississippi
- Missouri
- Nebraska
- Nevada
- North Carolina
- Washington
Washington
Holders of a Washington real estate license can obtain a new real estate license via a reciprocity agreement with the following states:
- Alabama
- Alaska
- Colorado
- Delaware
- Georgia
- Kansas
- Kentucky
- Maine
- Mississippi
- Missouri
- Nebraska
- North Carolina
- Virginia
West Virginia
Holders of a West Virginia real estate license can obtain a new real estate license via a reciprocity agreement with the following states:
- Alabama
- Alaska
- Colorado
- Delaware
- Georgia
- Kansas
- Kentucky
- Maine
- Massachusetts
- Mississippi
- Missouri
- Nebraska
- New York
- North Carolina
- Ohio
- Oklahoma
- South Carolina
- Virginia
- Washington
Wisconsin
Holders of a Wisconsin real estate license can obtain a new real estate license via a reciprocity agreement with the following states:
- Alabama
- Alaska
- Colorado
- Delaware
- Georgia
- Kansas
- Kentucky
- Maine
- Minnesota
- Missouri
- Nebraska
- North Carolina
- Virginia
- Washington
Wyoming
Holders of a Wyoming real estate license can obtain a new real estate license via a reciprocity agreement with the following states:
- Alabama
- Alaska
- Colorado
- Delaware
- Georgia
- Idaho
- Kansas
- Kentucky
- Maine
- Missouri
- Nebraska
- North Carolina
- Ohio
- Virginia
- Washington
Real Estate License Portability By State
Alabama
Category: Cooperative
An out-of-state real estate agent may enter Alabama to work on a transaction as long as they enter into a cooperative arrangement with Alabama licensee. The out-of-state real estate agent will need to submit to the jurisdiction of Alabama courts. Co-Brokerage agreement must be written and filed with local real estate commission in order for commissions to be paid to the out-of-state real estate agent’s brokerage.
Alaska
Category: Physical Location
An out-of-state real estate agent may not enter into Alaska to work on a transaction, but may receive a brokerage commission from Alaska licensee for co-brokering with an Alaska licensee in actions for which an Alaska license is required.
Arizona
Category: Cooperative
An out-of-state real estate agent can enter into a written co-brokerage agreement with Arizona licensee, in which the out-of-state real estate agent must agree to submit to Arizona law. The cooperating Arizona licensee assumes responsibility for acts of out-of-state real estate agent. All negotiations in Arizona or with Arizona property owners are conducted through Arizona licensee; and all funds are handled in accordance with Arizona law. An out-of-state real estate agent can collect a commission via their broker.
Arkansas
Category: Physical Location
An out-of-state real estate agent can share a commission as long as all licensed activities relating to the sale of the property are performed in state by an Arkansas licensee. An out-of-state real estate agent cannot perform any services in Arkansas, but can participate remotely as long as they are physically in the state they are licensed in. An out-of-state real estate agent can collect a commission via their broker.
California
Category: Physical Location
An out-of-state real estate agent can perform no real estate acts while physically in California. An out-of-state real estate agent can receive a referral fee or share a commission if they are in a co-brokerage agreement with a California licensee.
Colorado
Category: Cooperative
An out-of-state real estate agent may share in a commission earned on a Colorado transaction provided that the out-of-state real estate agent cooperates with a Colorado licensee, and provided that all advertising, negotiations, contracting, and conveyancing done in Colorado must be performed in the name of the Colorado broker, and provided that all money collected from the parties to the transaction shall be deposited in the name of the co-broker.
Connecticut
Category: Cooperative
An out-of-state real estate agent can collect a commission for commercial real estate transactions only. Additionally, the following requirements must be met: An out-of-state real estate agent must cooperate with licensed CT broker; they must provide proof of license; and handle escrow funds according to CT law. All advertising in CT must reference in-state cooperating broker only.
Delaware
Category: Turf
Delaware prohibits the proving of licensed real estate services within the state without a Delaware license.
Florida
Category: Physical Location
An out-of-state real estate agent can negotiate and submit offers on behalf of clients for property within the state of Florida, but is strictly prohibited from doing so located anywhere other than in their home state. There are conflicting and contradictory statutes on this topic.
Georgia
Category: Cooperative
An out-of-state real estate agent must enter into a written co-brokerage agreement with Georgia licensee. The agreement must specify the commission split arrangement between the parties and what must apply to a specific property as specified in the agreement. Georgia licensee is responsible for supervising the out-of-state real estate agent.
Hawaii
Category: Physical Location
An out-of-state real estate agent cannot perform any work within Hawaii. They may receive a commission from a Hawaii licensee via their broker so long as the OSL performs no functions physically within the state.
Idaho
Category: Physical Location
An out-of-state real estate agent can enter the state, but only for the purpose of accompanying their client and an Idaho licensee to property. An out-of-state real estate agent can receive cooperative commission from Idaho licensee but cannot list, show, or inspect property in Idaho, nor advertise within the state.
Illinois
Category: Physical Location
An out-of-state real estate agent can share a commission with an Illinois licensee, but cannot perform any of the actions related to the sale within Illinois.
Indiana
Category: Cooperative
An out-of-state real estate agent can enter cooperative agreement with Indiana licensee for acts related to commercial real estate only. A cooperative agreement requires an out-of-state real estate agent to work closely with Indiana licensee and must file consent to jurisdiction with Indiana Real Estate Commission.
Iowa
Category: Physical Location
An out-of-state real estate agent may receive part of a commission or fee from an Iowa broker. The out-of-state real estate agent cannot participate in any of the activities in Iowa which require an Iowa broker’s license. Comments from Real Estate Commission officials indicate that an out-of-state real estate agent may enter state and act in an advisory role but not officially perform licensed services within the state.
Kansas
Category: Cooperative
An out-of-state real estate agent can enter into co-brokerage agreement with Kansas supervising broker for purposes of a commercial real estate transaction only. The agreement requirements include: 1) a written agreement; 2) consent from the out-of-state real estate agent to submit to the jurisdiction of Kansas Real Estate Commission; 3) any escrowed funds shall be held exclusively with Kansas supervising broker; 4) a filed agreement with Kansas Real Estate Commission.
Kentucky
Category: Cooperative
An out-of-state real estate agent may render licensed services on a commercial or residential real estate transaction in cooperation with a Kentucky licensed real estate agent based on a written cooperation agreement and under a local licensed broker’s supervision.
Louisiana
Category: Cooperative
An out-of-state real estate agent can receive commissions from Louisiana licensee, if a valid cooperation agreement is entered into between the parties, which include the Louisiana broker providing supervision over the out-of-state real estate agent. In order to conduct any transaction, the aforementioned cooperative agreement must be filed with the state of Louisiana’s real estate commission.
Maine
Category: Physical Location
An out-of-state real estate agent can share a commission with a Maine licensee for a transaction if licensed services performed by the out-of-state real estate agent are done so outside the state of Maine, supervised and verified by their supervising broker.
Maryland
Category: Cooperative
An out-of-state real estate agent can receive temporary license from Commission for specific commercial real estate transaction only. The out-of-state real estate agent must file a license application with the state of Maryland’s Real Estate Commission, listing all salespeople who will work on the transaction as well as consenting to jurisdiction in the state. The out-of-state real estate agent must agree to enter into a cooperative arrangement with a Maryland broker specifying commission amounts as well, delineating responsibility as well as the specification of the property in question.
Massachusetts
Category: Physical Location
Massachusetts would not prevent a Massachusetts licensee from paying part of a commission to an out-of-state real estate agent so long as the out-of-state real estate agent performed no licensed services within the state. The law is unclear on specifics beyond this.
Michigan
Category: Cooperative
An out-of-state real estate agent is entitled to a commission from a Michigan licensee on a specific transaction so long as the out-of-state real estate agent doesn’t conduct any negotiations within the state of Michigan. Michigan law is unclear as to whether an out-of-state real estate agent can enter the state of Michigan for other real estate purposes.
Minnesota
Category: Physical Location
An out-of-state real estate agent can receive commission split from Minnesota licensee so long as no real estate work whatsoever is performed within the state of Minnesota.
Mississippi
Category: Cooperative
An out-of-state real estate agent cannot act within the Transaction State except with the cooperation of a Mississippi broker. Whenever an out-of-state real estate agent enters into a written cooperative agreement with a Mississippi broker, the Mississippi broker shall file (within 10 days of execution of the agreement) a copy with the state of Mississippi’s real estate commission.
When the out-of-state real estate agent signs this agreement, they agree to abide by Mississippi law, and the rules and regulations of the committee. Further, the showing of the property and negotiations pertaining to the transaction shall be supervised by the Mississippi broker.
Missouri
Category: Cooperative
An out-of-state real estate agent may render licensed services only in a commercial real estate transaction, and after executing a cooperative brokerage agreement with a Missouri broker. The out-of-state real estate agent must also consent to Missouri jurisdiction for litigation and disciplinary matters.
Montana
Category: Physical Location
An out-of-state real estate agent can share a commission with a Montana licensee, but cannot perform licensed services within the Transaction State.
Nebraska
Category: Turf
In order to perform real estate services in the state of Nebraska, you need a Nebraska real estate license.
Nevada
Category: Cooperative
An out-of-state real estate agent can perform work in the state, but first must obtain a “certificate of cooperation” from the state real estate commission. The out-of-state real estate agent can also receive a referral fee from Nevada licensee if no work is performed.
New Hampshire
Category: Cooperative
An out-of-state real estate agent may perform real estate acts and services with the state of New Hampshire as long as they follow the laws and guidelines of real estate in New Hampshire. They also must agree to co-brokerage any transaction with a New Hampshire licensed realtor.
New Jersey
Category: Turf
An out-of-state real estate agent is only eligible to receive a referral fee for client introductions.
New Mexico
Category: Cooperative
A co-brokerage agreement specific to a particular property must be in place between an out-of-state real estate agent and licensed New Mexico real estate agent. All negotiations must be done under the supervision of New Mexico real estate agent’s broker, and all funds pertaining to the acquisition of the subject property must be held in escrow in a New Mexico bank, being placed there by the supervising New Mexico brokerage.
New York
Category: Physical Location
An out-of-state real estate agent can conduct any and all business related to real estate they choose as long as they are doing so remotely and from the state they are licensed in.
North Carolina
Category: Cooperative
An out-of-state real estate agent shall be issued a temporary real estate license in the state of North Carolina for the purposes of conducting a specific commercial real estate transaction only. The out-of-state real estate agent must co-broker their transaction with a licensed North Carolina agent in good standing with their local board.
North Dakota
Category: Cooperative
An out-of-state real estate agent can enter the state and perform licensed services. They are not allowed to list property for sale without a co-listing agreement with a licensed North Dakota realtor. North Dakota’s cooperation with out-of-state realtors also depends on whether the out-of-state’s originating state also provides a similar level of real estate license portability.
Ohio
Category: Cooperative
An out-of-state real estate agent can perform work on a transaction involving commercial real estate only, so long as the out-of-state real estate agent enters into a written agreement with Ohio broker; files consent to jurisdiction in Ohio; furnishes a certificate of good standing in home state to Ohio broker; and all funds received are deposited in Ohio broker’s escrow account.
Oklahoma
Category: Physical Location
An out-of-state real estate agent can share a commission with the Oklahoma licensee, as long as all licensed services for which the out-of-state real estate agent receives compensation are performed in out-of-state real estate agent’s state of licensure.
Oregon
Category: Cooperative
An out-of-state real estate agent can perform work on a “nonresidential real estate” transaction (defined as property that has or could have commercial development or a property with five or more residential units) in Oregon if the out-of-state real estate agent enters into a written cooperative agreement with an Oregon licensee. The cooperative agreement must be in writing and must state the Oregon licensee will supervise all activities conducted in Oregon. Oregon licensee must be present for all showings and negotiations conducted in Oregon.
Pennsylvania
Category: Turf
An out-of-state real estate agent may receive a referral fee from Pennsylvania licensee, otherwise, a Pennsylvania license is required to receive a commission or part of a commission.
Rhode Island
Category: Physical Location
An out-of-state real estate agent can share a commission with a Rhode Island licensee, so long as the out-of-state real estate agent does not conduct any negotiations within the state.
South Carolina
Category: Physical Location
An out-of-state real estate agent may split a commission with a South Carolina licensee so long as the out-of-state real estate agent does not conduct any negotiations while physically within the state.
South Dakota
Category: Physical Location
An out-of-state real estate agent may split a commission with a South Dakota licensee so long as the out-of-state real estate agent does not conduct any negotiations while physically within the state.
Tennessee
Category: Cooperative
An out-of-state real estate agent is entitled to a portion of a commission split with a Tennessee licensee as long as no negotiating on behalf of clients occurred in the state of Tennessee. An out-of-state real estate agent is entitled to enter the state and attend showings and view property, but only while accompanied by a Tennessee licensee.
Texas
Category: Physical Location
An out-of-state real estate agent may split a commission with a Texas licensee so long as out-of-state real estate agent doesn’t conduct any of the activities related to the transaction in Texas. However, the state of Texas defines official communication regarding the sale or purchase of real estate with anybody who resides in Texas to be in-state communication, regardless of the out-of-state real estate agent’s physical location. As such, this appears to be a de facto Turf relationship, though the statutes don’t spell it explicitly as such.
Utah
Category: Turf
A Utah license is required in order to receive any compensation for real estate activities in the state.
Vermont
Category: Physical Location
An out-of-state real estate agent may receive share commission with a Vermont licensee, however, they are not permitted to perform any licensed services in the state. An out-of-state real estate agent may observe brokerage services in Vermont and advise while they are in their home state.
Virginia
Category: Physical Location
An out-of-state real estate agent can receive a referral fee or share a commission with a Virginia licensee so long as out-of-state real estate agent does not physically enter the state to perform licensed services.
Washington
Category: Cooperative
An out-of-state real estate agent with a broker designation can perform work in Washington for commercial property only, so long as the out-of-state real estate agent (broker) enters into a written agreement with a Washington broker. This agreement shall include the following stipulations: name of the Washington broker on all advertising, consent to jurisdiction in Washington, and providing all transaction records to Washington broker. The out-of-state real estate agent’s (broker’s) salespeople can also work in the state, so long as their broker has met the requirements of the Washington statute and the out-of-state real estate agent salespeople provide a copy of their license to the Washington broker.
West Virginia
Category: Physical Location
West Virginia’s statutes expressly prohibit the performance of license real estate services by individuals not licensed in West Virginia. However, it does not expressly forbid these services to be performed remotely and from a state where an out-of-state real estate agent is licensed. Because the law doesn’t specifically allow this activity (just doesn’t forbid it), it is unclear whether or not a suit for commission would hold up in court.
Wisconsin
Category: Physical Location
An out-of-state real estate agent can split a commission with Wisconsin licensee for services provided while the out-of-state real estate agent is physically in the state they are licensed.
Wyoming
Category: Cooperative
An out-of-state real estate agent can receive commission split from Wyoming licensee, so long as the out-of-state real estate agent conducts no negotiations within Wyoming for the transaction. Case law allows out-of-state real estate agent to enter Wyoming and work on transaction, so long as they do not conduct negotiations within the state.
3 Real Estate License Reciprocity Tips From Kat Kosmala
Stay Connected With Clients and Prospects Any Way You Can
One of the biggest challenges of operating in multiple states is maintaining personal relationships with clients you’re supporting. Social media and technology have allowed me to get around these day to day challenges, but you’ve got to be consistent about it. Make a plan to be in contact with the people who matter to you, make a plan to have a public presence in a community, especially if you aren’t physically in that community. Don’t forget small touches like birthday cards or personalized messages, they make a big difference.
Build a Support Team in Both Markets
Cultivating a strong foundation of support people is critical during a transition into a new market. These are people that will help rebuild your business in the new state. I suggest partnering with another agent who you trust to help oversee your business, especially since you can’t always be in each of your locations. This local expert can also help you make sure you stay on top of your new set of requirements for continuing education and the like.
Get Involved In Your New Community Quickly
Once you get to your new state or location, get involved. Volunteer, mentor, find ways to start building new relationships. You may have the expertise and the knowledge, but people don’t know that yet. Find as many opportunities as you can to communicate that message.
Bringing it All Together
Want to close more multi-state deals. Look into a virtual brokerage like Real to open more doors for you real estate business.
THANK YOU FOR YOUR INFO. i JUST WANT TO KNOW IF MY THOUGHTS AND BELIEFS ARE ACCURATE.
I am a Broker in South Carolina and have been for 50 Years. I have a client that wants to Buy a large tract of land in Florida and has given me the assignment. I located the land on the Internet, but I have not Physically inspected it nor will I go with the client when he inspects it. All my involvement will be by way of Telephone and emails to Listing Broker. It appears that the client wants to make an offer on the property, so I called Listing Broker in Florida and he informed me that the Law Prohibits him paying me a commission because I do not have a Florida License. I have sold and closed many properties in Florida under the same guidelines as above and this has never come up before, and I was paid a commission. I was always of belief that as long as I personally never set foot in Florida with the client and all showings were conducted by the Listing agent that I could be paid a commission by the Listing Broker under the Physical Location Heading, since there is no Reciprocity Agreement (Cooperative State) between Florida and South Carolina and also since Florida is not classified as a TURF State. Am I correct with my belief that I can collect a commission under The Physical Location State definition? Thank You for any direction that you can Provide –
Ken Butler 843.593.3325 ekbutler3@comcast.net
Florida
What Is Real Estate License Reciprocity?
My State of SC is not included in Florida list as one that has Reciprocity
Real estate license reciprocity is an agreement between multiple states allowing real estate agents licensed in one state to be licensed in reciprocal states without taking local real estate pre-licensing courses. Reciprocity is state-specific, with some states requiring full re-examination, some requiring limited examination, and others flatly denying reciprocity to out-of-state licensees.
This means that a reciprocity agreement doesn’t necessarily allow a real estate salesperson or broker can take part in real estate transactions in a reciprocal state without getting a license in that state. For that, you need to understand the state laws for real estate license portability.
What Is Real Estate License Portability?
#2 below pertains to me
Real estate license portability describes state laws allowing out-of-state real estate agents to engage in real estate transactions in their state. In general, there are three kinds of portability laws: 1) cooperative, 2) physical location, and 3) turf states. Each of these classifications requires different circumstances under which an out-of-state real estate agent may work within the state.
There are three major classifications of real estate license portability:
1. Cooperative State – NO
Cooperative states allow out-of-state real estate agents or brokers to physically enter the state to conduct real estate business. This includes property showings, closings, negotiations, and other stages of real estate transactions. However, in order for out-of-state agents to work in a cooperative state, they must have a co-brokerage agreement with a licensee of that state.
There are 24 cooperative states, including Alabama, Colorado, and Washington. Keep in mind, however, that some cooperative states, like Michigan, place limitations on out-of-state agents. So, you should always familiarize yourself with local requirements before committing to a client looking for property in a cooperative state.
2. Physical Location State YES
A physical location state allows agents and brokers to conduct business in another state but doesn’t allow them to enter the state for the purpose of conducting real estate business. This means that an agent or broker from another state must conduct all out-of-state business remotely and may not enter the state for showings, closings, or any other reason.
For example, in a physical location state, you can send your clients to view properties, submit offers on their behalf, and negotiate transactions as long as you physically remain in the state in which you are licensed. There are 21 physical location states, including Florida, Illinois, and Massachusetts, plus the District of Columbia.
3. Turf State NO
A turf state does not allow out-of-state agents or brokers to conduct any business in their state, either in-person or remotely. The only option to work with clients in a turf state is to refer them to a licensee of the turf state. There are six turf states: Kentucky, Missouri, Nebraska, New Jersey, Pennsylvania, and Utah.
If you have a lead who wants to buy or sell property in a turf state, your options are limited. If you work with a brokerage that has offices in multiple states, simply refer your client to someone in the appropriate turf state office.
Hi Ken –
Thanks for the questions. Sorry for the frustration you’re feeling, let’s see if we can sort some of this out.
You’re correct, Florida is classified as a Physical Location Portability state, meaning agents licensed in other states are allowed to conduct business on a one-time basis in the state of Florida as long as they remain in their home state.
That being said, there are a number of conflicting statutes in the Florida state regulations that make this issue a little less cut and dry.
If the listing broker is refusing to pay based on your out-of-state status, I would appeal to the Florida MLS where the property is listed. While you may not have any direct representation here, my guess is they could help get the wheels turning for you.
In my experience, there are a couple of reasons why a broker wouldn’t want to pay an out of state commission. The most likely is fear of violating rules, and support and validation from a local MLS board could help quell those fears.
The less likely reason is that the broker is trying to avoid paying a commission because they are trying to double-side the deal. If that is the case, and they’re holding back the presentation and movement of a legitimate offer (obviously a no-no), a little attention from the local board might help cure that ailment too.
Long story short, you’ve got your facts straight, but the Florida rules aren’t going to be the explicit support you need, so it is time to get a little more local with your appeals.
Good luck, let me know how it goes!
Chris
Hi, I am in the process of relocating to South Carolina from Georgia. Understanding that South Carolina is full RECIPROCITY state for Georgia. What exactly does that mean? Why does the SC application ask me for Georgia resident information? I am so confused.
Hi Frieda –
Congrats on the move, I hope it’s a good one! As for your license stuff, you are right on track. Yes, moving from Georgia to South Carolina means you have full license reciprocity, meaning that you will be exempt from the pre-licensure requirements native South Carolinians would be subject to. You’ll still need to take the state licensing test, but once you pass that, you’re good to go!
As far as the Georgia residency questions, I haven’t seen the forms specifically, so I can’t speak to exactly why, but my guess is it has to do with the verification of your existing license.
Do you have a broker all picked out in South Carolina? If so, I would suggest linking up with them, they will have state specific resources that might be helpful too!
Chris
I think you are wrong about California.
They don’t allow any reciprocity according to this website:
http://www.dre.ca.gov/Examinees/OutOfState.html
Hi Adam –
You are correct, California doesn’t allow any sort of inbound reciprocity. However, reciprocity isn’t a two-way street. All the states listed in the California section are the places that you could go to with a Cali license.
Chris
Thank you for this info. It was very helpful. I am still a bit confused about CA portability.
Can an out-of-state agent list a property located in CA if they never step foot in the state based on physical location portability?
Also, per the excerpt below it states you still need to co-list with a CA licensee, wouldn’t that mean CA is more a Cooperative State rather than Physical Location?
California
Category: Physical Location
An out-of-state real estate agent can perform no real estate acts while physically in California. An out-of-state real estate agent can receive a referral fee or share a commission if they are in a co-brokerage agreement with a California licensee.
Hi Steven –
Thanks for the question. I’ll admit, this is a bit of a confusing topic, in part because there is no standard that states have to follow, they can pick and choose what they want for their own policies which is what California does. You are correct in your assessment, their portability policy is a combo of the two: you can list a property in the state of California if you’re partnering with a state licensed agent, but, you can’t come in to the state to do it.
A simpler system, I wish it was, but we’ll work with what we’ve got!
Thanks!
Chris
Hi Chris,
I’m a California’s active agent.
I have clients who want to purchase a commercial property $20M.+ in Manhattan, NY.
We found a property they like (NOT on the market/ unlisted) through out the conversation with a property manager.
How do we get this process goes on legally without violate New York’s Laws ?
Do I need to take a New York’s real estate license since it’s not listed? Do I have to fly over to do the inspections and all?
Thank you so much for your help!
Hi Winnie –
First off all, this sounds like it could be a great transaction, nice work!
OK, down to business. New York is a Physical Location state when it comes to portability. This means that you can represent the buyer on the property as long as the seller is represented by a licensed agent / broker from the state of New York. In a deal this size, that would be a pretty hefty commission going to the seller’s agent, so if this truly is an off-market deal and the seller has no representation, if the parties are willing to wait, I would get my NY license just for this deal.
If you don’t end up getting your New York license, you can still represent the buyer, but following Physical Location rules, which means you can’t actually do any business in the state of New York physically, you have to be in California while brokering this deal. So, you can’t be present for inspections, you can’t actually be on site and acting in a professional role.
Sounds intriguing, I’d love to hear how it all comes together. Keep me posted!
Chris
Why is the District of Columbia and Puerto Rico not on your list?
Hi Robert –
That’s a great question, and an oversight on my part. We’ll make sure to include them when we update this article!
Thanks!
Chris
Any update on DC?
Hi Joseph –
Thanks again for your comment. We haven’t done an update on this article yet, but when we do we’ll make sure to include DC. Here is a good place to get started though: https://dcra.dc.gov/real-estate
Chris
Are we sure this is right?? I am in TN and want my KY license but was informed as of jan 2020, KY is not honoring reciprocity.
Hi Raquel –
Thanks for the comment. Yes, I just saw this too. As of late December 2019, Kentucky is no longer honoring any sort of reciprocity, which is a total bummer. Here’s the info I found about it: https://krec.ky.gov/licensing/Pages/Recip%20License.aspx
We will need to get in and update the article ASAP!
Chris
Your information on Arizona is not correct:
Arizona does not offer real estate license reciprocity with any other State. Arizona requires 90 hours of in-classroom salesperson pre-license education.
https://www.azre.gov/Lic/LicForms.aspx
Conrad –
Thanks for the head’s up! This article is due for an update soon, we’ll make sure to make that change.
Chris
I have been a licensed real estate broker in Colorado for 30 years. I am moving to Connecticut. I understand that there is reciprocity with a reciprocity agreement. Where do I obtain that agreement?
Thank you! Joan
Hi Joan –
Your first step will be to visit the Connecticut Department of Consumer Protection website, they’ll have the forms to get the process started for you!
https://portal.ct.gov/DCP/License-Services-Division/All-License-Applications/Real-Estate—Reciprocal
Chris
Hello Chris,
My daughter is relocating to New York. I’m a realtor in Colorado.
You stated in an earlier post that I can only conduct professionally related activities from my home state.
Can I attend the inspection in my non-professional capacity as her mother and advisor?
Thank you for your help!
Hi Viki –
Great question. Yes, you can absolutely attend the inspection in a non-professional capacity.
If I have friends or family from out of state or just out of my service area, inevitably real estate will come up in conversation, and I usually end up getting questions.
I always start those conversations by saying, “I know you’re working with a Realtor, so to be clear, we’re chatting as friends / family. Any advice or suggestions you get from me is friendly, not professional. You should consult with your local agent before making any real estate decisions.”
I know is sounds a little formal, but it just clears the air a little bit. You are under no legal obligation to disclose your professional status to those in New York, so as long as you’re offering personal advice to your daughter and not representing her legally, you’re in the clear!
Is your daughter moving to NYC? Is she is real estate too?
Chris
I,m a broker in Georgia and recently started working in Louisiana under the GA/LA reciprocal agreement. I recently met a Louisiana agent who wanted to work with me under my brokerage here is Louisiana. Is that possible?
Oops… meant “here in Louisiana. Is that possible?”
Hi Stan –
Great question. As far as I know, as long as you’re licensed to operate in LA as a broker, you can take on agents too. But, each state is a little different on that, so I would check with the LA board of licensing and regulatory affairs to make sure before you get too deep into the planning process.
Chris
I am a real estate broker in California. What is the easiest way to also obtain a principal brokers license in Oregon and a brokers license in Nevada?
Hi Jim –
Obtaining broker status is a little trickier than agent status using reciprocity rules. The best course of action is going to be to reach out to the licensing and regulatory affairs commissions for each state and address those questions with them.
Chris
Why wouldn’t you just join a US and Canada wide brokerage so that you don’t have to get a brokers license or take on the liability? You can hold multiple licenses and pay only 16K in commissions for the year. I have 5 licenses
Hello. I am a licensed Agent in PA but will be moving to GA. I would also like to get my broker’s license here before I make that move. Would I still have to take GA tests? What is the process? Thanks
Hi Althea –
You will definitely have to take the tests. Reciprocity doesn’t excuse you from taking your state licensing exams, just from completing the pre-test education and training requirements. Unless there is a reason you want to retain a broker’s license in PA, I would not take the test there.
Chris
Chris:
Your soonest response would be greatly appreciated as my husband and I will be touring homes tomorrow. Our situation is that we currently live in CT and my husband holds a NY real estate salesperson’s license. Is my husband entitled to get shared commission from the CT listing agent if we buy the home on the basis of referral or some other arrangement? What are the steps involved and at what point do we tell the CT listing agent that my husband has NY license? Can the CT listing agent refuse to go forward on the transaction with an out of state licensed realtor? You’re soonest reply would be awesome 😉 Thanks so much.
Hi Lisa –
OK, a lot to unpack here, but let me try and tackle this bit by bit:
– OK, first thing’s first…is your husband acting as the agent-of-record in potential purchase of the property? If so, there is definitely a case to be made for buyer’s agent commission. However, there is no scenario in which you would get a chunk of the listing agent’s side of the commission.
– If you are not acting as your own agent here (working with a buyer’s representative), things get a little trickier. Since you aren’t actually making a referral, it’s harder to get arms around the fact that you would be paying a referral fee. If you are working with a buyer’s agent, they should be aware of your status as a licensed agent and this should be a conversation you have ASAP.
– You should definitely not wait any longer to let this cat out of the bag. Some states require immediate disclosure of the buyer or seller parties are licensed agents (I don’t know if CT or NY is one of those), and there is no advantage to holding that information close to the vest, so get it out there ASAP.
– Remember, all commissions, referrals, ANY money that is made through a real estate transaction is done so through your broker. I would suggest starting there; talk to your husband’s broker to see how a potential commission or referral could come about.
– As for whether a CT listing agent could refuse to do business with you…I suppose they could, but that would be a direct violation of their fiduciary responsibility to their client, so that seems unlikely.
My best advice here: Be as transparent as possible, as quickly as possible.
Good Luck!
Chris
Thanks so much for the valuable information, Chris. Your points are clear and make perfect sense. There’s always some “gray area” in real estate and we just wanted to get another perspective. Thanks again for your prompt, courteous and elaborate response :-).
Stay safe and healthy!
I am currently licensed in Pennsylvania and am planning on buying a home in Delaware and possibly North Carolina. I see that my license is reciprocal in both states. What exactly does that mean and what do I have to do if I move?
Hi Trish –
Congrats on the upcoming moves! Since you have reciprocity agreements with both states, that means that if you want to continue to practice real estate, all you’ll need to do is take the licensing exams again, you won’t be required to complete any of the pre-license education.
Good luck, let us know how it all works out!
Chris
Hi Chris,
I have a private listing in CA and I’m licensed in CT. What do I have to do to list this on MLS?
Thanks,
Lori
Hi Lori –
Thanks for the question. California has actually tightened regulations on this recently, so you’ll need to check with the California department of regulatory affairs and with the local MLS you want to list on. It used to be that you could pay a guest listing fee and as long as the Realtor who is representing the buyer is licensed in California, you would be in good shape. Now, I believe you’ll need to partner with a locally licensed agent (and essentially pay them a referral fee for listing the property for you) in order to list. But, definitely check with the local board first!
Chris
Hi Chris,
I have received conflicting information from Texas regarding reciprocity of real estate license. Currently, I am licensed in Florida, Military Spouse. I reached out to Texas to investigate if it was a state that recognized reciprocity. This was in Nov/Dec of this year. The person whom I spoke to said that yes, Texas had just began accepting reciprocity but it was so new, they had no forms and I was the first to ask. And, since the courses in Texas or so much more extensive none of the other 49 states qualified for reciprocity, somewhat of a Misnomer to me. Recently I came across the portability clause and as a Realtor in Florida, moving to Texas, am I able to conduct the Buyer side of my transaction and if so, is that written on a Florida Contract or Texas Contract? Thanks in advance for your reply, greatly appreciate it!!
Hi Kat –
Thanks for the question! So, you should be able to represent yourself on the buy side of the transaction, but here’s the tricky part: If you want to get paid the commission on the buy side, you need to maintain your relationship with your Florida brokerage at least until the transaction is complete and your commission check has cleared. Remember, commissions are paid through brokerages, not direct to agents, so there needs to be a place that the Texas closing company (or whoever is conducting the closing) can send the check.
What you might want to investigate is whether or not the seller (and seller’s agent) can reduce the purchase price by what the commission would be, rather than trying to go through the commission process. This will streamline the process for you, remove the need to loop a broker in on the Florida end of things (though you’ll still need to maintain a licensure at a Florida brokerage in order to be considered an active agent), and this way you won’t have any taxes to pay (I am not up to snuff on my Florida tax knowledge – I know there’s no personal income tax, but don’t know if there are taxes on a real estate commission due?).
Good luck!
Chris
I have a license in California and am planning on moving to AZ. Is your list up-to-date showing that I can’t get an AZ license by reciprocity? I wanted a license to represent myself when I make a purchase in AZ.
Hi Larry –
As best I know, the list is up to date, but you should definitely check with the Arizona Real Estate Commission to make sure!
Chris
Can you list the states that have reciprocity on continued education courses…. Thanks!
Hi Lily –
I’d have to look into that. So I am clear, what you’re looking for are continuing ed courses that you can take in one state that will apply to another state’s licensing requirements? If so, I am not sure such a thing exists, but I could investigate. Is this what you’re after?
Chris
Hi Chris,
Thank you so much for this information about license portability. I was wondering if you had the code section for the Wisconsin law that allows out-of-state brokers to conduct business in Wisconsin from their home state as long as they physically stay in their home state. It would be helpful in negotiating a commission in a deal I am starting in Wisconsin.
Hi Peter –
I believe it is Wis. Stat. § 452.19. Definitely verify to make sure though!
Chris
I am a licensed SC Realtor. I have a friend that wants me to list her house in Georgia. I know that Georgia has a reciprocity agreement with SC. I applied for a Georgia license and got it. They placed it as inactive until my SC broker finishes registering as a firm in Georgia and then I would be affiliated with him. However, that is taking longer than necessary. Instead of making my current inactive Georgia license active by filling out a change form and affiliating with a totally different broker (one that is already licensed in GA), what is the fastest way to be able to list my friend’s home in GA? Should I just use the cooperative portability agreement and find an already licensed GA real estate licensee to co-list it with me? I just learned about the cooperative portability idea. I would have probably gone that route from the start. Will the inactive license I have in GA matter if I use the cooperative portability agreement? I need to list it ASAP and need to know the quickest way possible.
Hi Martha –
Good questions. If speed is the most important thing for you, utilizing the portability agreement is going to be your best bet. Yes, you’re going to lose some of the commission by sharing it with a co-listing agent, but honestly, you’ll have to pay to maintain a GA license too, so in the end this is probably a bit of a wash in terms of cost. I am just guessing here, but is your current firm an independent shop? If that is the case, I would suggest looking for another independent shop in Georgia to co-list with. They are typically a little more flexible in terms of the co-listing agreement and split.
Good luck!
Chris
if both Florida and New York have Reciprocity with Georgia is it possible to transfer the license for Florida to Georgia to New York?
Hi Linka –
While technically this is possible, I don’t think this would be the best use of your time and money, since you’re still going to need to take the test. I would look for the simplest route possible.
Chris
I just rec’d my FL license and live on the FL/GA state line. I’d like to practice RE in both states on a consistent basis. I am going to sign a LoI with a local FL Independent brokerage, but trying to figure out the best way to get licensed in GA. I understand that GA has reciprocity with FL, but I’d like to find information before moving forward. Would it be best to find a brokerage in GA to work under there? Are there brokerages out there that might cover both states; eXp? Any thoughts would be greatly appreciated.
Hi Ron –
Great questions. Honestly, all of these are good options and will work for what you want to do. If it were me, I would be looking for a broker that services both states, just for simplicity’s sake. With two brokers, you’re going to have two caps, two split agreements, etc. Having a single broker may save you big money (and headaches) in the long run.
Chris
Hey there! i am taking on real estate as a new venture, currently in Texas through DEC 31st, we will be moving to FL afterwords; per your description FL and TX are not full reciprocity states, What would you suggest to do? take class work for FL or TX? we will not be selling our home in TX for a year or so once we try out FL and ensure its the right place for us, we plan to purchase a home in FL as well.
Hi Ally –
Thanks for the question. If you plan on moving to Florida in just a few months, I would suggest working on getting your Florida real estate license (you can do just about all of it remotely!) between now and then. Since a Texas license is a bit of a process to obtain, it doesn’t seem like that would be a great use of your time. Take your Florida pre-license classes, find a brokerage you’re excited about, make plans for a roadtrip to Florida to take your test. That way, when you move, you can hit the ground running!
Chris
I am trying to find any clarification on the “Physical Location” state between Washington, DC and Maryland.
I am licensed in DC and a client is looking homes right over the border in Maryland.
from what I gather of this article, I can help them as long as I stay in DC and do not go with the clients to MD.
I am having trouble finding legal clarification online and my Broker is looking into it as well but seems to understand that I would still need to be licensed in MD.
Hi Drew –
Yes, you’re understanding that correctly. If you’re licensed in DC, you physically have to remain there. You are not permitted to practice while physically in the state of Maryland. I would definitely suggest getting your broker’s blessing on this before going forward though, since they are ultimately the arbiters of your Errors and Omissions insurance, and will cover your back if there are any disputes. But, I think you’re on the right track!
Chris
Hello Chris!
I have enjoyed reading the comments and replies and now I have a question of my own. I am a licensed REALTOR®️ in Mississippi and am assisting an out of state REALTOR®️ who is licensed with the same Real Estate Company. They purchased an investment property here to remodel and sell (no contracts signed at this point) and said that they would have me list it. As they are not really familiar with the area, my role so far has been to get quotes from contractors and service providers to assist them with their project. No commissions have been discussed yet and I’m wondering if I should expect my normal commission rate when I do list and close on their property, as I would when not working with another licensee. Not sure what is customary for this type of scenario but I want to be fair and this is a ’fellow Agent’. Going to talk to my broker but would appreciate your input. Thank you!!
Hi Greg –
Great question. When working with other licensees, especially from your same firm, there is a certain amount of professional courtesy that gets you a long way, but that isn’t free.
The other agent knows how much work you’re doing, I would be shocked if they weren’t expecting you to get paid.
If I were you, I would take the tact of initiating the conversation now rather than after the fact. Maybe broach the subject by saying something like, “My broker and I were reviewing paperwork for my current clients and I wanted to get our arrangement squared up so we’re all on the same page.” These arrangements are always more awkward after the work is done, so figure things out early.
As Jerry Seinfeld says, “Before the meal, everyone is ordering off the menu without a care in the world. But when the bill comes everyone says, “Why did we order all this food, no one’s even hungry!”” Best to get things figured out before you’re all done eating 🙂
Chris
Hi,
If a real estate agent licensed in CA wants to make an offer on an Idaho property for a CA client is that allowed with license portability? If so what form would be used to write an offer since purchase contracts differ?
Thank you!
Hi Amy –
Yes, it appears that Idaho offers portability, which means you could represent a California buyer in the purchase of property there. However, since Idaho is a “physical location” state, you would have to physically be in California when all exchanges on the transaction take place.
There isn’t a standard form for making offers like this, but I would suggest speaking to the listing agent of the property for this; you’ll run into less bumps in the road if you use the forms the locals use!
Let me know how it goes!
Chris
I have a California brokers license but recently moved to Washington State. I would like to retain my California license but also obtain a Washington State license. Does the reciprocity rules allow me to keep my old license?
Hi Sheryl –
Great question. YES! You can keep your CA broker’s license, but you have to maintain it as if you were still living there, meaning, you still have to do all your continuing education, you still have to pay your renewal fees, etc. Basically, the reciprocity agreement with WA gives you a shortcut to getting your WA license, but you can still keep you CA license for whatever you’d like.
Chris
I am a licensed broker in Ontario, Canada. Do the same rules apply to out-of-country agents as well – specifically Canada? If not, what are the rules?
Hi AJ –
Thanks so much for the question. Unfortunately, I am not the right person to ask. The only start that I know has specifically spelled out rules regarding Canadian reciprocity and portability is Utah, and that is pretty restrictive.
If I were in your shoes, my first step would be to contact the Ontario Real Estate Association with my question, and then to also contact the specific state’s professional organization where you plan to do business. Hope that gets you started in the right direction!
Chris
Hi! I currently obtained a Georgia real estate license through reciprocity. Still have my Illinois license. Do I need to maintain my Illinois license active in order to my Georgia license to be active?Currently live in Georgia and thinking to cancel my Illinois license because off the cost to maintain the license.Thank you
Hi Nika –
Thanks for the question. No, once you’ve got your Georgia license up and running, there’s no need to maintain your Illinois Broker License unless you want to. Realtors who do take advantage of reciprocity will sometimes keep both licenses active so they can continue to collect referrals from their previous market, but if that isn’t something you’re pursuing, there’s no reason to keep paying on it (especially in a state like Illinois where the regular maintenance for a license is pretty steep).
Chris
Hi Chris,
I’m currently a licensed NY Broker. I plan to invest in a property in Los Angeles, CA. I may also move there to . I would like to represent myself and wife as the buyer. Do I need to get a CA brokers license?
Thanks
Hi James –
Thanks for the question. New York is a physical location state, which means that if you are conducting business as a real estate agent or broker, you have to actually be in New York. This is going to make it tricky for you representing yourself as the buyer, because it means you can’t actually go view the property as an agent; you’d need to get another licensed cali agent to do that for you. Also, it means that the property you’re buying has to be listed publicly for sale by a licensed agent or broker; you aren’t allowed to act as an agent in a private sale.
If I were you, I would consider finding someone local to represent you and just ask for a referral fee. You’re still getting a chunk of the commission, you won’t have the hoops to jump through, and there will be a clear path to close.
Good luck!
Chris
Hi James. My name is Greg and I am with Rodeo Realty. What kind of property are you looking to invest in and in what areas of Los Angeles?
It would be my pleasure to help you in any way I can.
Best,
Greg
Hi Chris,
Thanks for posting this! I am a commercial agent licensed in Ohio. I have a client wanting me to list his commercial property in WV. How can I list this property? I appreciate your help and insight.
Best,
Tyler
Hi Tyler –
West Virginia is a Physical Location state, which means you you have to physically remain in Ohio while conducting any of this transaction. This makes it a little trickier when you’re listing a property for sale (rather than representing a buyer).
My suggestion would be to find someone locally to partner with on this and draw up what I call a reverse referral agreement. Rather than giving them the bulk of the commission, give them 20% (or whatever is appropriate) to list the property locally, handle all the paperwork, get the property the exposure it deserves on the local MLS, then you can conduct all the business ends of things remotely.
Good luck!
Chris
Hi Chris,
I have my salespersons license in CA and NJ. I have had my license in CA for over two years and just recently obtained my NJ license.
I am interested in learning about any other states in which I would be able to get my brokers license as fast as possible, given the salespersons license. I would then use the reciprocity for CA and NJ.
Best,
Chris
Hi Chris –
I don’t have that information right at my fingertips – sometimes the process for getting a broker’s license via reciprocity is a little different than the one for getting a standard sales license. I would suggest starting with the states that CA and NJ have reciprocity agreements with and investigating them individually to find out what the broker’s license process looks like, then prioritizing from there.
Good luck!
Chris