Chapter 1_updated

Chapter 1_updated - Chapter 1 The Business of Real Estate...

Info iconThis preview shows pages 1–7. Sign up to view the full content.

View Full Document Right Arrow Icon
Chapter 1: The Business of Real Estate Hua Sun Department of Accounting and Finance California State University, San Bernardino Sept 30, 2008 Hua Sun (CSUSB) The Business of Real Estate Sept 30, 2008 1 / 25
Background image of page 1

Info iconThis preview has intentionally blurred sections. Sign up to view the full version.

View Full Document Right Arrow Icon
Announcement Entering the FIN 380 distribution list: send email to hsun@csusb.edu Forthcoming lecture notes will be available by 11:59 pm before each lecture day. Hua Sun (CSUSB) The Business of Real Estate Sept 30, 2008 2 / 25
Background image of page 2
Overview California leads the nation in legislating licensing requirements for RE broker and sales person, as dated back to 1917. Now real estate agents are licensed at the state level. In California, 380,000 licensees, 1/3 are brokers and 2/3 are salespersons. Enforceability: State’s police power. Hua Sun (CSUSB) The Business of Real Estate Sept 30, 2008 3 / 25
Background image of page 3

Info iconThis preview has intentionally blurred sections. Sign up to view the full version.

View Full Document Right Arrow Icon
The Real Estate Law: an exercise of state’s police power Major provisions of the Real Estate Law are found in the Business and Professional Code, Division 4. Code: a series of books which compiles California legislation. In real estate law, I Part 1 of the Real Estate Law covers licensing. I Part 2 of the Real Estate Law covers transactions and includes the Subdivided Lands Law. I The Regulations of the Real Estate Commissioner (additional documents, enforceable as law) clarify and interpret the Real Estate Law. Department of Real Estate (DRE) is at www.dre.ca.gov I Purpose: administers real estate law in California. I Similar agencies exist in other states. Hua Sun (CSUSB) The Business of Real Estate Sept 30, 2008 4 / 25
Background image of page 4
The Role of Real Estate Commissioner The Real Estate Commissioner heads the DRE. I The Real Estate Commissioner is appointed by the Governor of California. I The Commissioner must have been a California real estate broker engaged in the business for five years or in other real estate activity for five of the past ten years. The Commissioner determines/enforces DRE administrative policy regarding: I Licensee-candidate screening I Subdivision public reports I Licensee disciplinary action I Investigation of nonlicensees performing activities for which a license is required I Regulation of nonexempt franchises and real property securities Hua Sun (CSUSB) The Business of Real Estate Sept 30, 2008 5 / 25
Background image of page 5

Info iconThis preview has intentionally blurred sections. Sign up to view the full version.

View Full Document Right Arrow Icon
The Real Estate Advisory Commission (REAC) is appointed by the Real Estate Commissioner. I The Advisory Commission has ten members. I The advisory Commission meets at least four times per year, and meetings are presided over by the Real Estate Commissioner. I Advisory Commission members serve without compensation, although they are reimbursed for certain expenses. I The Advisory Commission expresses its views of DRE policy and functions and makes recommendations to the Real Estate Commissioner. Hua Sun (CSUSB)
Background image of page 6
Image of page 7
This is the end of the preview. Sign up to access the rest of the document.

Page1 / 32

Chapter 1_updated - Chapter 1 The Business of Real Estate...

This preview shows document pages 1 - 7. Sign up to view the full document.

View Full Document Right Arrow Icon
Ask a homework question - tutors are online