If a property manager in New York is going to collect rent, rent a property, or list a property for sale, they will need to obtain a broker’s license. However, not everyone needs a license. A salesperson or secretary can work with the property manager and do all of the things listed above without having to obtain a broker’s license. Therefore, only the owner really needs the license and everyone else in the office can carry it around.
Another case where a license is not required is when the property manager only performs maintenance and repairs on the property. Therefore, since rent is generally collected by the property management company, a license would be required in most cases. This only refers to regular rental properties. A community association does not have the same requirements and does not need a license to manage them.
Obtaining a broker license is a two-step program. You must first obtain a seller’s license. To be licensed in New York, you must pass the Department of State (DOS) exam. You would have to enroll in a forty or forty-five hour course at a real estate school. Below, you will find a broker who will sponsor you. After having a full year of experience as a real estate salesperson, you will still need to take a real estate broker course. You still have to pass another exam.
Most of the professional property management companies in Manhattan are licensed. There are still many who don’t, and they will likely never get caught. But if you ever want to be a part of the big game, you’d be better off trying to get one. Any owner who owns a decent sized apartment building will not just pass the responsibility on to a business that does not have a license. They want to see what other buildings you have managed, and they will certainly see your credentials. It’s not just prestige, it’s just common sense.
To tell the truth, the courses are worth taking so that you can serve your clients in the best way. A wealth of information that you will gather on how to get your license will help you as a property manager. This includes legal aspects of the real estate industry in New York.
Eventually, they could make a license specifically for property managers in New York, but that’s still up for debate. Even if they do, having a broker’s license will continue to be an important asset to your business.