SB17-215 – Sunset Licensed Real Estate Brokers and Subdivision Developers
Signed into law on 6/1/17
The new bill continues regulation requirements until until September 1, 2026. New modifications include:
- A broker cannot employ or supervise other brokers without first demonstrating that have the sufficient experience and knowledge. The Real Estate Commission has until January 1, 2019 to establish how brokers will be required to demonstrate these skills. Until then, the Commission will be auditing supervising/employing brokers to ensure they have the necessary education and experience.
- On June 1, 2017, the Real Estate Commission will now have two additional members of the public, who will join three real estate brokers. Two of the brokers are required to have 5+ years of industry experience, with one having substantial experience in property management. Governor Hickenlooper has already chosen the broker with substantial experience, Carolyn Rogers, who has over 30 years of industry experience.
- License expiration dates will be changed from anniversary dates to a December 31 date. Meaning if your license is set to expire in July, it will now expire in December of that year. Licenses are still valid for three years. The Commission will begin issuing December 31st renewal dates when people begin renewing their licenses on January 1, 2018.
- The Commission has the authority to investigate and/or discipline a broker who has “plead guilty” or “plead no contest” for any crime listed in the 12-61-113(1)(m), C.R.S. The law was expanded to also include any crimes with a deferred judgment or deferred sentence.
- The law now requires that a referral fee be only paid by a licensed real estate broker when reasonable cause for payment of a referral exists, which is defined in 12-61-203.5, C.R.S.
- A real estate broker is now allowed to complete standard forms for use in a real estate transactions, including any of the activities listed in 12-61-101(2), C.R.S. A standard form is now defined as anything that is drafted by the Real Estate Commission, licensed Colorado attorney, governmental agency, a quasi-governmental agency, a lender regulated by state or federal law, the Colorado Bar Association or its successor organization, a title company, or a letter of intent created by a broker which states that it is legally non-binding.