Yes! In order to charge a fee for property management, one needs a CA Real Estate Broker's License. This is the case in most states across the United States. Any person or company that conducts business on behalf of an owner of real property is required to either have a Broker's License or to have a Real Estate Salesperson License working underneath a Broker's License. It is illegal to conduct Real Estate transactions (which includes property management) without a Broker's License.
Does a Real Estate Broker's License make someone qualified to manage properties? A Broker's License will satisfy the state requirements, whether they are qualified or not depends on their experience, education, and track record. You should check with NARPM.org before hiring a property manager. You will want a property manager that is not only a member in good standing with NARPM (National Association of Residential Property Managers) but preferably has demonstrated their competence and experience within the property management industry by obtaining their RMP (Residential Management Professional) and possibly their MPM (Master in Property Management) designations.
Hiring and maintaining a professional property manager should be a thrilling experience. When done right, great property management will increase money in your pocket, decrease hassles and headaches, and be a well deserved relief in your life. Choosing a fantastic property management company will be the last piece of hard work needed for your rental property!
By Robert Sittman III
Business Development Manager