My fiance is considering becoming licensed to sell real estate. I am a first year law student. I have learned a little about real estate transactions and how they work. I understand the roles of both the broker and the attorney, but I’m wondering if my husband-to-be and I will be able to use our skills together to start our own business. Will I have to have a separate practice, or can the real estate lawyer be a part of the broker’s company?
It depends. Conflicts of interest is your main issue to avoid.
Of course you can work together. I am a lawyer and a Finance broker and soon to be tax agent too.
You probably could not run both together through the same company, and wouldn't want to either. I think there are licencing restrictions that at least 1 person with a real estate licence must be director of a real estate company. All directors of a legal company are required to be solicitors however.
So you would just operate separate companies and refer clients to each other – but running totally separate.
Terryw | Structuring Lawyers Pty Ltd / Loan Structuring Pty Ltd
http://www.Structuring.com.au
Email MeLawyer, Mortgage Broker and Tax Advisor (Sydney based but advising Aust wide) http://www.Structuring.com.au
I completely agree with the Terryw opinion.
This is really good advice about your business planning..You asked whether an individual who is not licenced as a real estate agent / realtor can be "part of the brokers company". By "part of" I assume you mean have ownership interests.
It is unclear what country you are in, so you cannot receive advice about this without that issue being certain. I assume the USA, as you use the words "broker" and "attorney" when you would usually use the words "real estate agent" and "lawyer / solicitor" in Australia.
I then also assume that the broker would set up a company, and that you wish to know whether you can be an equity holder in that company. Generally speaking, you can be a shareholder, but not an officer or director unless you hold a real estate broker licence also. This varies a little State by State, so you will need to check with the relevant US State law as well.
It really depends. First of all, does your husband-to-be currently have the qualifications and license to sell real estate? If he doesn’t, that’s the first and most important thing to do!
It doesn't matter that only a broker or a lawyer can start a real estate company. He should have experience in the real estate industry and understanding of real estate contracts. So I think if both of you have this kind of experience then you may go for it.
All solicitors are grounded in property law, it is one of the first things that you study. They cover contract law, conveyancing, real property act, secret commissions act & several others before getting out of bed in first year.
You must be logged in to reply to this topic. If you don't have an account, you can register here.
