Broker Application - Equivalent Experience

[Llewelyn A.]

I just want to mention before you decide NOT to answer, I know I am asking only your opinion, so I am not going to take anyone's advice as legal advice. So if you were deciding not to answer based on someone possible using your opinion without checking it first, please go ahead and comment.

Also, I won't be opening up a Brokerage. If I passed the Broker's Exam, I'll apply as an "Associate Broker" under a Brokerage, acting as an Agent. I just wanted the designation because it may help people think of me as not just an Agent. Or so I have heard it might come in as an advantage.

I will eventually call the New York State Department to see if I can ask the question. But I'd like to run it by others before calling up.

Below is one of the pages in the New York Real Estate Broker Application. In this case, it's for the B1 Worksheet, Equivalent Experience in General Real Estate Business Worksheet. See snapshot:

I bought 8 properties since 1998, all in my name, some with joint partners. I am assuming I can use all 8 for 1.

I have sold 3 properties. That gives me a total of 11.

Line 1 will be 11 x 250 = 2,750

Line 3, Rentals - I probably did more than 100, but let's say I did exactly 100. That gives me another 25 x 100 = 2,500.

Total now is 5,250 points.

Line 4, Property Management - Lease renewal - I probably exceeded 300 of these lease renewals. 

I will definitely qualify on points.

BUT, on the instructions, it says the following:

"If You Are Using Supplement B1/B2

(Equivalent Experience)

You must accumulate a minimum of 5250 points* to qualify for a

broker’s license based on equivalent experience in general real

estate business. Applicants must also possess at least 3 years of

experience in the real estate business equivalent to that of an

active real estate salesperson*."

Additionally, the form wants me to fill out the 2nd part of the Equivalent form:

I did not operate in a business. Everything is in my personal name. I'm assuming I can use self-employed as the Name of Company.

Hours worked.... well, I can put a number here. But to be honest, what constitute work in your own self-employed real estate business? I wind up doing a lot of work that I can claim is work, such as creating spreadsheets, filing out tax forms like the schedule E, etc. There is a lot of over lap between personal and business. I can probably justify 20 hours a week, but then I can even justify 40 hours a week if I include reading trade literature like Bigger Pockets! I don't pay myself. I just receive the cash flow from the properties.

Does that mean I really don't qualify because the properties are Rental Properties and not a Business because I am not using Schedule C?

The problem with the application is that you have to take the 75 Hours of the Salesperson's Course, then 45 hours of the Broker's Course, then pass the Broker's Exam, then fill out this application before you even know you would be accepted or denied!

I finished the Salesperson's Course and got the Certificate. I scheduled the Salesperson's Exam mid-next week.

I'm trying to figure out if I can qualify for the Broker's Exam and License but it's all very confusing and I don't see any literature that pertain to my specific situation.

Thanks in Advance!