Key reports, issues, and decisions of interest to licensees and/or the public are reported here from the most recent Commission meeting:
Commission Meeting of May 21, 2025
Pending Cases: The Commission entered into consent agreements to suspend 4 licenses, ordered hearings in cases involving 13 licensees, left 2 cases pending, closed case without action against 1 licensee, authorized injunctive relief involving 3 licensees, reprimanded 3 licensees, accepted the voluntary surrender of 1 licensee, accepted the permanent voluntary surrender of 3 licensees, and approved payment from the Real Estate Education and Recovery Fund in the amount of $5,274.00.
License Applications Involving Character Issues: License applicants who have character issues such as prior criminal convictions or disciplinary actions by another licensing board are separately considered by the Commission. Decisions are based upon criminal background checks, information supplied by the applicant, and in-person interviews.
Total candidates considered: 15; total approved: 5; total approved with conditions: 8; continued: 2.
License Examination Results: If you are interested in reviewing the most recent statistics and pass rates regarding the North Carolina broker license examination, click here License Examination Results.
Renewals: The Director of Education and Licensing reviewed the comprehensive planning for renewals, including advance electronic notices and reminders in the Commission’s social media and the e-Bulletin. He reported that on the first day of renewals, License Services renewed 11,073 licenses, and as of Wednesday morning, 34,761 licenses have been renewed. The renewal rates are ahead of last year. The Director of Education and Licensing noted that as of the start of last week, there were over 38,000 brokers who were CE deficient. They have until June 10 to complete their education.
Education Town Hall: The Assistant Director of Education and Licensing gave a brief report on the May 13 Education Town Hall noting that 66 instructors, education providers, and education directors met. The Assistant Director of Education and Licensing reported that the topics discussed were CE-deficient licensees, form changes, and legislation. Staff reminded the educators that license renewal and CE completion is due in June and provided an update on possible rule changes resulting from the recommendations of the BIC Span of Control Workgroup.
PearsonVUE: The Director of Education and Licensing made a presentation regarding the first year of business with PearsonVue, the Commission’s license examination vendor since March 2024. The Director of Education and Licensing highlighted the many test centers available both within North Carolina and in neighboring states, the revalidation of 194 test questions, and revision of 8 others, and the plan for the next state-specific test development planned for August 2025. The Director of Education and Licensing reported that a total of 8,343 exams were delivered to licensees by PearsonVUE during their first year; there were 189 “no shows” for examination and 337 cancelations. The Director of Education and Licensing provided data on the number of exams delivered by month, noting a slight downward trend. The Director of Education and Licensing also provided data on the exams delivered by state, indicating that exams have been delivered in 37 states and the District of Columbia, including delivery of one test in Hawaii, and another in Alaska, most of these to people who are likely planning to move to North Carolina at some point in the future. The Director of Education and Licensing concluded with a review of the satisfaction survey results showing 98-100% satisfaction rates in all categories.
Press and Seal Notices: The Director of Education and Licensing reported that staff previously have eliminated all paper notices except change notices. With the support of the Administration Committee, staff would like to start sending all change notices electronically, as soon as technical systems and processes are in place. This would result in over $170,000 of cost savings on paper, postage, and printing. The Commission raised no objections.
Financial Report: The Commission received and reviewed the monthly Financial Report presented by the Chief Financial Officer for the period ending April 30, 2025.
Commission’s Authority to Charge Fees: The Chief Financial Officer presented a comprehensive report on the Commission’s authority to charge fees, as set out in the law and rules. The Executive Director reported that most fee changes would require a rule or statute change. Mr. Lindsey inquired about fees the Commission can increase without a rule or statute change. The Executive Director responded that the Commission has broad authority to set a fee for publications and educational programs. Mr. Lindsey commended the Executive Director, the Chief Financial Officer, and Accountant on the creation of the spreadsheet. He asked if the Commission created a new course and licensed it, for example an Item Writing Workshop, whether the Commission could establish a price for it without rulemaking. The Executive Director responded that the Commission could set a fee for the course, as to licensing it, she would need to look into that topic further.
Brochures: The Accountant presented the Commission with a detailed analysis of net income and loss for its various print publications, and the recommendation of the Finance Committee that the Commission consider discontinuing printing three disclosure forms that are available for download for free online, along with various Spanish language translations of brochures that are in low demand. Upon a motion from Mr. Aceto, the Commission voted to discontinue printing and storing those publications, as noted in gray on the exhibit. Mr. Lindsey commended the Accountant on the cost analysis.
Regulatory Affairs Committee Meeting: The Executive Director provided a report on the April 30 Regulatory Affairs Committee meeting. The Executive Director noted that Mr. Black, Mr. Beaty, and Ms. Sebti discussed NCGS § 93A-1, Zoom meeting broadcasting, wholesaling, the Residential Square Footage Guidelines brochure, and Rule 21 NCAC 58A. 0112(b). As to Rule A .0112(b), the Executive Director noted that the exhibit includes an email from NC REALTORS® requesting that the Commission eliminate from the rule the prohibition on including commission provisions in a standard form contract, even at the direction of the parties or their attorney. The Executive Director further reported that language had been added to a bill in the legislature that would require the Commission to allow commission provisions in the purchase contract. She reported that while the Committee discussed a variety of options, including letting the legislation proceed without comment, supporting or opposing it, and/or engaging in rulemaking to eliminate the prohibition, the Committee did not make a specific recommendation. Upon a motion from Mr. Aceto, the Commission directed staff to initiate rulemaking to eliminate the words “the payment of a commission or compensation including” in Rule 58A. 0112(b) so that the rule would read:
(b) A broker acting as an agent in a real estate transaction shall not use a preprinted offer or sales contract form containing: (1) any provision concerning the forfeiture of earnest money to any broker or firm….”
Mr. Ramseur was recused and not present for the discussion.
Legislation: The Director of Regulatory Affairs reviewed the Legislative Report, summarizing bills that are currently pending in the General Assembly that relate to real estate brokerage, occupational licensing, or other matters of interest to the Commission. The Director of Regulatory Affairs noted that bills H15, H44, H96, H171, H212, H227, H402, H432, H763, H797, H992, S227, S257, S378, S423, and S474 made crossover. Upon a motion from Mr. Ramseur, the Commission voted to support H797 Residential Wholesaling Protection bill.
Rulemaking Update: The Compliance Manager provided an update on the 2025 Annual Rulemaking. The Compliance Manager reported that following the Commission’s adoption of the proposed rule text in March, eight rules were submitted to the Rules Review Commission (RRC) for review and approval at its April 24, 2025, meeting. RRC approved seven of these rules with non-substantive, technical modifications based on RRC Staff recommendations. The approved rules include 21 NCAC 58A .0106, .0502; and 58H .0204, .0206, .0209, .0302, and .0416. The remaining rule, 21 NCAC 58A .0302 is scheduled for review at RRC’s May 29, 2025, meeting. It retains the proposed effective date of July 1, 2025, and, with revisions, now meets the RRC staffs’ criteria for recommendation. The Compliance Manager reviewed the changes agreed to by RRC and Commission staff. The Compliance Manager noted that upon final approval of 21 NCAC 58A .0302, the Commission staff will publish a redline version of the rule text on the Commission’s website, notify individuals on the interested persons list, and share the update via the Commission’s social media platforms.
Medical/Dental Insurance Proposals: The Executive Director reported that she, the Chief Administrative Officer, and the Commission’s Administration Committee (Mr. Aceto, Mr. Bell, and Ms. O’Connor), met with Mr. Parham McNair, CLU, ChFC, to review options for continuation of health, dental, and life/accidental death/long term disability insurance benefits for staff. Upon the motion of the Administration Committee, the Commission voted to adopt the recommendation of the Administration Committee and continue the current insurance coverage and benefits.
2025-2026 Projects: The Executive Director noted that if any of the members have any projects that they would like to add to the draft 2025-26 Projects Summaries list for consideration, she would like them to email their ideas to her and the Chair and Vice Chair.
Commission Member Expense Reimbursement Form: The Accountant provided a demonstration of the new Commission Member Expense Reimbursement Form. The Accountant commended the Chief Technology Officer and his team for the coding that went into creating the form. Mr. Lindsey commended the accountant on her work on the form.
Fair Housing Webpage: The Diversity, Equity, and Inclusion Officer gave a brief presentation on the layout of the updated Fair Housing webpage. Mr. Aceto inquired if the Commission’s Fair Housing statement should be added to the top of the Fair Housing page rather than the homepage. The Executive Director commended the Software Engineer and the Diversity, Equity, and Inclusion Officer for their work on revising the Fair Housing webpage. Mr. Lindsey suggested that the page also be updated to include any references relevant to commercial real estate. Upon the motion of Mr. Alston, the Commission directed staff to implement the changes to the Fair Housing webpage, to add the Commission’s mission statement more prominently to the homepage, and to put the Fair Housing Statement at the top of the Fair Housing web page rather than on the home page.
Appearances and Speeches: The Executive Director provided a report on recent speeches and reviewed the upcoming speeches and appearances by Commission members and staff.
Report on License Numbers: As of May 1, 2025, there are 127,811 brokers and firms licensed by the Commission, as follows:
Active Full Brokers – 84,904
Active Provisional Brokers – 4,362
Brokers-in-Charge – 17,921
BIC Eligible Brokers – 6,810
Inactive Full Brokers – 24,849
Inactive Provisional Brokers – 7,338
Firms – 17,774
Limited Nonresident Commercial Brokers – 284
Next Commission Meeting: The next Commission meeting will be held at 9:00am, June 18, 2025, at the North Carolina Real Estate Commission in Raleigh, NC and is open to the public. It can be viewed via Zoom online video.
Continuing Education Deadline is Rapidly Approaching
NCREC encourages all brokers and firms to take a moment to verify their Continuing Education (CE) status. There are currently thousands of brokers with outstanding CE requirements that, if not satisfied by June 10, 2025, will cause their licenses to go inactive on July 1st.
What can a co-host do without a license?
The Commission often receives calls from both brokers and unlicensed individuals who want to know what activities require licensure when renting property on Airbnb, VRBO and other similar online platforms. Watch this video and read the eBulletin article for details.
You are invited!
The monthly Real Estate Commission meetings are always open to the public, and you are invited to attend in person or online via Zoom. The meeting next month is June 18th, 2025, here at the Commission building, 1313 Navaho Drive, Raleigh, NC. A Zoom link will be available at ncrec.gov on the day of the meeting.
Key reports, issues, and decisions of interest to licensees and/or the public are reported here from the most recent Commission meeting:
Commission Meeting of April 23, 2025
Mr. Lindsey called the business meeting to order at 9:06 a.m., Wednesday, April 23, 2025, welcoming guests, including others not listed and those observing via Zoom video conferencing. Mr. Lindsey welcomed Mayor Jeffrey Odham, NC Senator Bob Brinson, and Representative Steve Tyson, each of whom made brief welcoming remarks to the Commission members and attendees. Mr. Lindsey also introduced former Commission member Walt Craven, as well as Whitney Woodall and Brittany Blizzard from the Neuse River Region Association of REALTORS®. Mr. Black later introduced former Appraisal Board member and Chair Dana Outlaw.
Pending Cases: The Commission entered into consent agreements to suspend 8 licenses, ordered 8 hearings in cases involving licensees, closed 1 case without action against licensees, authorized injunctive relief involving 2 licensees, reprimanded 2 licensees, accepted the voluntary surrender of 2 licensees and accepted the permanent voluntary surrender of 2 licensees.
License Applications Involving Character Issues: License applicants who have character issues such as prior criminal convictions or disciplinary actions by another licensing board are separately considered by the Commission. Decisions are based upon criminal background checks, information supplied by the applicant, and in-person interviews.
Total candidates considered: 14 ; total approved: 4; total approved with conditions: 3; continued: 4; total deferred 3.
License Examination Results: If you are interested in reviewing the most recent statistics and pass rates regarding the North Carolina broker license examination, click here License Examination Results.
Spring Educators Conference
The Director of Education and Licensing reported that the annual Spring Educators Conference was held on Thursday, March 27, 2025, at the McKimmon Center in Raleigh. Approximately 350 people attended, making it the largest education conference in the country. Mr. Elder reported savings of $18,251 out of the $25,000 budget. The Director of Education and Licensing commended the Logistics and Program Manager for the coordination of the event, the Communications Officer for her integration of AI in the content, and the Chair, Vice Chair, and staff on their presentations. Ms. O’Connor, Mr. Aceto, and Mr. Lindsey indicated that the conference was outstanding, and went well beyond what was anticipated. They commended the staff on the conference and the creativity that went into creating it.
License Exam Statistics: The Director of Education and Licensing gave an overview of the license exam statistics. He noted that since the changes in examination providers, the pass rates are more consistent. The Director of Education and Licensing noted that if an instructor or education provider does not have a 40% examination pass rate for two years, they are at risk of losing certification for a year. Currently, of the 248 education providers and 502 instructors, only one education provider and two instructors are at risk of losing their certifications. The Director of Education and Licensing also gave a brief presentation breaking down the attrition rates for prelicense courses depending upon the type of course (synchronous, distance/asynchronous, and in-person) and how this correlates with the examination pass rates and course completion rates. Mr. Lindsey noted that the data provides valuable insight and can guide the Commission on future education policy.
Real Estate Manual: The Assistant Director of Education and Licensing reported on the proposals received for the digital version on the Real Estate Manual in response to the Commission’s RFP, noting the pros and cons of the two bids received, and considering the possibility of bringing the project in-house. Upon a motion from Mr. Alston, the Commission directed staff to move forward with the internal development of an electronic Real Estate Manual in pdf form. The Assistant Director of Education and Licensing asked that the Real Estate Manual remain on the projects list for this additional work, including updates to the content of both the hard copy and the electronic version of the Real Estate Manual.
Renewal Season: The Director of Education and Licensing provided a brief overview of the upcoming renewal season noting that licenses must be renewed between May 15 and June 30, 2025. Staff have set a schedule for reminder notices to be emailed to licensees. The Communications Officer is working on AI videos to send to licensees on how to renew their licenses. The primary goal with AI and social media is to educate the licensees, ease their renewal process, and cut down on the number of phone calls staff receive. Currently, 80,890 brokers need at least one CE class and 30,000+ brokers need all eight hours of CE.
Monthly Financial Report, Quarterly Investment, and Education & Recovery Fund Report: The Commission received the monthly Financial Report, Quarterly Investment Report, and Education & Recovery Fund Report presented by the Chief Financial Executive for the period ending March 31, 2025. Mr. Lindsey reminded Commission members that funds from the Education & Recovery Fund can be used for education of consumers.
Appeals: The Assistant Director of Regulatory Affairs reported that the NC Office of the Attorney General filed a motion to dismiss the Shipman appeal. Following a hearing on April 21, 2025, in Transylvania Superior Court, the court dismissed Ms. Shipman’s appeal.
Legislative Agenda: The Executive Director reviewed the Legislative Report, summarizing bills that are currently pending in the General Assembly that relate to real estate brokerage, occupational licensing, or other matters of interest to the Commission.
Character and Fitness Review Guidelines: The Associate Legal Council provided a review of the Character and Fitness Review Guidelines. The Commission made no changes.
Project Summaries: The Executive Director, the Director of Education and Licensing, Chief Financial Executive, and Chief Technology Officer reviewed the 2024-2025 Project Summaries noting projects that have been completed or extended since the March Commission meeting. Mr. Lindsey would like the Commission members to think about data or information needed to make policy decisions for future projects.
Operational Study RFP: The Executive Director provided an overview of the status of the RFP for an operational study. She hopes to have proposals for the Commission to review at the June meeting.
Appearances and Speeches: The Executive Director provided a report on recent speeches and reviewed the upcoming speeches and appearances by Commission members and staff. Mr. Lindsey will ask Mr. Beaty to join the Assistant Director of Regulatory Affairs at the Winston Salem Association of REALTORS® Membership Meeting.
Emerging Trends: The Executive Director reported that there was a lot of great information presented at the 2025 ARELLO Mid-Year meeting Mr. Lindsey noted that several states are also dealing with wholesaling and new rules that need to be put in place to deal with the changing regulatory environment. He was pleased that he was able to discuss the impact of the inclusion of commission in sales contracts with representatives of other states. Ms. O’Connor is Vice Chair of the Fair Housing Committee and reported that they are working on an education piece to roll out next year.
Mr. Black noted that the residential appraisal world is getting ready for a dramatic change: the current URAR form will be replaced with a new process. The new form will be phased in this September.
Mr. Lindsey noted that Connie Corey from the Home Inspector Licensing Board was present for the meeting. The Commission is collaborating with the Home Inspector Licensing Board to discuss the impact of unlicensed home inspectors and related issues.
Report on License Numbers: As of April 1, 2025, there are 127,140 brokers and firms licensed by the Commission, as follows:
Active Full Brokers – 84,517
Active Provisional Brokers – 4,446
Brokers-in-Charge – 17,808
BIC Eligible Brokers – 6,784
Inactive Full Brokers – 24,673
Inactive Provisional Brokers – 7,156
Firms – 17,667
Limited Nonresident Commercial Brokers – 283
Next Commission Meeting: The next Commission meeting will be held at 9:00am, May 21, 2025, at the North Carolina Real Estate Commission in Raleigh, NC and is open to the public. It can be viewed via Zoom online video.
The Spring Educators Conference was a Shining Success
The Spring Educators Conference was held at the McKimmon Center on March 27, 2025. The theme was “Raleighwood: How to Become an Education Star.” Commission Chair T. Anthony Lindsey, and Vice Chair Bill Aceto addressed the educators and answered their questions about Commission policy and related issues. Executive Director Miriam Baer presented the state of the Commission, and education staff conducted several sessions to enhance the instructors’ education toolboxes.
Is radon a material fact?
A material fact is any fact that could affect a reasonable person’s decision to buy, sell, or lease real estate. Real estate brokers have a duty to take reasonable steps to discover and disclose material facts about a property to all parties in the transaction, regardless of who their agency agreement may be with. Many properties in North Carolina will have some level of radon in them. The EPA has determined that a radon reading of 4.0 picocuries per liter (pCi/L) or higher is the level that is dangerous enough to trigger remediation. If a broker knows prior to listing a property that it has been tested for radon and received a radon reading at or above 4.0 pCi/L, the broker has a duty to disclose this information prior to contract formation. If the broker discovers this information after contract formation, they must disclose this information immediately.
You are invited!
The monthly Real Estate Commission meetings are always open to the public, and you are invited to attend in person or online via Zoom. The meeting tomorrow will be held at the DoubleTree by Hilton New Bern – Riverfront, Bradham Room, 100 Middle Street, New Bern, NC 28560. A Zoom link will be available at ncrec.gov on the day of the meeting.
Key reports, issues, and decisions of interest to licensees and/or the public are reported here from the most recent Commission meeting:
Commission Meeting of March 19, 2025
Pending Cases: The Commission entered into consent agreements to suspend 3 licenses, ordered hearings in cases involving 9 licensees, left 3 cases pending, closed cases without action against 2 licensees, and denied the issuance of 1 license.
License Applications Involving Character Issues: License applicants who have character issues such as prior criminal convictions or disciplinary actions by another licensing board are separately considered by the Commission. Decisions are based upon criminal background checks, information supplied by the applicant, and in-person interviews.
Total candidates considered: 12; total approved: 3; total approved with conditions: 3; continued: 3; total deferred 3.
License Examination Results: If you are interested in reviewing the most recent statistics and pass rates regarding the North Carolina broker license examination, click here License Examination Results.
Education Town Hall: The Assistant Director of Education and Licensing reported on the February 25, 2025, Educators Town Hall. She noted that this was an informal conversation with the educators addressing their questions. Discussion topics included course rooster submittal punctuality, item writing workshops, proposed rulemaking, and the Update course. Ms. O’Connor was present for the Town Hall and noted that she appreciates the opportunity for engagement with education providers.
Spring Educators Conference: The Director of Education and Licensing reminded the members that the Spring Educators Conference is on Thursday, March 27, 2025, at the McKimmon Center in Raliegh. He provided each Commission members with the conference program and reported that the 350-seat conference is sold out. He noted that it is the largest gathering of real estate instructors in the United States, exceeding REEA and ARELLO. Doors are open at 8:00 a.m. and the conference begins at 9:00 a.m. He commended the Education staff for the planning of the Educators Conference.
Financial Report: The Commission received and reviewed the monthly Financial Report presented by the Chief Financial Officer for the period ending February 28, 2025.
Appeals: The Assistant Director of Regulatory Affairs reported that the NC Office of the Attorney General has filed a motion to dismiss the Shipman appeal. A hearing is scheduled for April 21 at 10:00 a.m.
Rulemaking Text: The Compliance Manager presented the draft rulemaking text noting that the proposed rulemaking schedule is an effective date of July 1, 2025. The Compliance Manager noted the public engagement was high with 19 comments and a Public Rulemaking Hearing at the February Commission meeting. The Commission took the following actions pertaining to rulemaking:
| 21 NCAC 58A .0106 – Delivery of Instruments | Upon a motion from Ms. O’Connor, the Commission accepted the proposed rule text for publication. |
| 21 NCAC 58A .0302 – License Application and Fee | Upon a motion from Mr. Aceto, the Commission accepted the proposed rule text for publication. |
| 21 NCAC 58A .0502 – Firm Licensing | Upon a motion from Mr. Alston, the Commission accepted the proposed rule text for publication. |
| 21 NCAC 58A .1801 – .1810 – Limited Nonresident Commercial Licensing | Following discussion of concerns raised in connection with the comments about the proposed changes, and the possible benefits of keeping the limited non-resident commercial broker license, upon a motion from Mr. Bell, the Commission voted not to proceed with elimination of the rules at this time. Mr. Lindsey will appoint a workgroup of Commission members to recommend possible modifications of the rule. |
| 21 NCAC 58H .0204 – Policies and Procedures Disclosure | Upon a motion from Mr. Alston, the Commission accepted the proposed rule text for publication. |
| 21 NCAC 58H .0206 – Advertising and Recruitment Activities | Upon a motion from Mr. Ramseur, the Commission accepted the proposed rule text for publication. |
| 21 NCAC 58H .0209 – Renewal and Expiration of Education Provider Certification | Upon a motion from Mr. Alston, the Commission accepted the proposed rule text for publication. |
| 21 NCAC 58H .0302 – Application and Criteria for Instructor Approval | Upon a motion from Mr. Alston, the Commission accepted the proposed rule text for publication. |
| 21 NCAC 58H .0416 – Renewal and Expiration of Course Approval | Upon a motion from Mr. Aceto, the Commission accepted the proposed rule text for publication. |
BIC Span of Control: The Executive Director reviewed the BIC Span of Control Report outlining the recommendations of the Workgroup. Mr. Bell moved to accept all items but #3 in the Report. Upon a substitute motion from Mr. Alston, the Commission approved all items (#1-10) as set forth in the “Decisions column” on the BIC Span of Control spreadsheet contained within the Report. The Executive Director noted that she would include the action items in her June planning documents, namely the proposed project list.
Material Facts eBulletin Article: The Assistant Director of Regulatory Affairs reviewed the draft material facts article for the eBulletin. Mr. Ramseur suggested edits to paragraph four to more clearly explain that the buyer’s agent received a specific request for a quiet location from the buyer. Ms. O’Connor suggested clarification in paragraph 3 to disclose the property’s malfunctioning electrical system when that malfunction is readily apparent to a broker. Upon a motion from Mr. Aceto, the Commission approved the material facts article to be published in the eBulletin with the changes discussed. Mr. Bell voted against the motion. Mr. Lindsey made a motion to add to the article a statement to the effect that brokers cannot decline receipt of an inspection report to avoid having knowledge of material facts about property’s condition. The motion failed with Mr. Lindsey, Mr. Beaty, Mr. Bell, and Ms. O’Connor supporting the motion.
Operational/Planning Study: Mr. Lindsey presented the Commission with the draft Operational/Planning Study RFP, and noted that the Administration Committee (Mr. Aceto, Mr. Bell, Ms. O’Connor) met the prior week and reviewed and approved it for presentation to the full Commission. Upon a motion from Mr. Aceto, the Commission approved publishing the RFP for responses. Mr. Aceto commended the Executive Director on creating the RFP. Mr. Lindsey asked Commission members to let the Executive Director know of any companies that may be interested in bidding on the RFP. Mr. Ramseur does not believe that one company will be able to complete the entire RFP and suggests that if that is the case, then the RFP be broken down into smaller projects with separate bidding.
Appearances and Speeches: The Executive Director provided a report on recent speeches and reviewed the upcoming speeches and appearances by Commission members and staff.
Emerging Trends: Mr. Lindsey discussed the changing regulatory environment and directed Commission members to review the March 2025 ARELLO Boundaries newsletter.
Mr. Lindsey discussed the trend of bots acting as real estate agents.
The Executive Director noted that the US Department of Justice again weighed in on REALTORS® compensation arrangements.
Mr. Ramseur reported that the Director of Regulatory Affairs has been in talks with Certified to determine if the Commission can put the company’s services in place for brokers to verify consumers’ identity.
Report on License Numbers: As of March 1, 2025, there are 126,531 brokers and firms licensed by the Commission, as follows:
Active Full Brokers – 79,488
Active Provisional Brokers – 4,508
Brokers-in-Charge – 17,746
BIC Eligible Brokers – 6,711
Inactive Full Brokers – 17,571
Inactive Provisional Brokers – 7,059
Firms– 17,623
Limited Nonresident Commercial Brokers – 282
Next Commission Meeting: The next Commission meeting will be held at 9:00am, April 23, 2025, at the Doubletree by Hilton New Bern-Riverfront, Bradham Road, 100 Middle Street, New Bern, NC 28560, and is open to the public. It can be attended in-person or viewed via Zoom online video.
NCREC welcomes our newest Commission Member James Beaty Jr.
James Beaty Jr. was ceremonially sworn in by former Congressman G.K. Butterfield at our March 19th business meeting. Mr. Beaty is a former United States District Court Judge for the Middle District of North Carolina. He previously served on the Commission from 1979-1981.
Seller’s Obligation to Disclose Latent Defects
This month’s eBulletin features an article that explains that the seller may be liable for failing to disclose latent or hidden defects, if they know there is a problem. The RPOADS (Residential Property and Owners’ Association and Disclosure Statement) released in 2024 contains clear language explaining this to sellers and brokers. Read more details in the article: https://bulletins.ncrec.gov/sellers-obligation-to-disclose-latent-defects-legal-liability-and-the-role-of-brokers/
You are invited!
The monthly Real Estate Commission meetings are always open to the public, and you are invited to attend in person or online via Zoom. The meeting next month will be held in New Bern at the DoubleTree by Hilton New Bern – Riverfront, Bradham Room, 100 Middle Street, New Bern, NC 28560. A Zoom link will be available at ncrec.gov on the day of the meeting.
Key reports, issues, and decisions of interest to licensees and/or the public are reported here from the most recent Commission meeting:
Commission Meeting of February 19, 2025
Pending Cases: The Commission entered into consent agreements to suspend 15 licenses, ordered 6 hearings in cases involving licensees, authorized injunctive relief involving 1 licensee, left 7 cases pending, and permanently revoked 1 license.
License Applications Involving Character Issues: License applicants who have character issues such as prior criminal convictions or disciplinary actions by another licensing board are separately considered by the Commission. Decisions are based upon criminal background checks, information supplied by the applicant, and in-person interviews.
Total candidates considered:13; total approved: 4; total approved with conditions: 5; continued: 3; total deferred 1.
License Examination Results: If you are interested in reviewing the most recent statistics and pass rates regarding the North Carolina broker license examination, click here License Examination Results.
Update Instructor Seminar: The Assistant Director of Education and Licensing provided a report on the Update Instructor Seminars (UIS) for the 2024-2025 license year to date and presented the 2025-2026 UIS proposed budget. Upon a motion from Mr. Aceto, the Commission approved the 2025-2026 UIS budget.
Closed Session: The Commission voted to meet in closed session pursuant to N.C.G.S § 143-318.11(a)(2) to select the recipient of the Larry A. Outlaw Excellence in Education Award. The recipient of the Award will be announced at the March 27, 2025, Spring Educators Conference.
Financial Report: The Commission received and reviewed the monthly Financial Report presented by the Chief Financial Officer for the period ending January 31, 2025.
FY2024-25 Income and Expense Projections: The Chief Financial Officer reviewed the adjusted FY2024-25 Income and Expense Projections, reflecting revised projections based on receipts and disbursements for the first half of the year.
Appeals: The Director of Regulatory Affairs reported that the NC Office of the Attorney General has filed a motion to dismiss the Shipman appeal. A hearing is scheduled in April.
BIC Span of Control: The Executive Director reviewed the BIC Span of Control report outlining the recommendations of the Workgroup and reminded the Commission that it had previously made decisions on Recommendations #1, 2, 3, 4, 5, 9, and 10 in the Report. After discussion and consideration, the Commission made decisions regarding Recommendations #6, 7, and 8 as shown in the following chart. The Commission will review its decisions as a whole at the March meeting.
| Education Required to Become a BIC [Task Force Recommendation #6] | Upon a motion from Ms. O’Connor, the Commission voted to increase the BIC Course from 12 to 30 hours. Upon a motion from Ms. O’Connor, the Commission voted to decrease the time to take the Course after designation from 120 days to 60 days. Mr. Lindsey, Mr. Bell, and Mr. Black voted against the motion. Mr. Bell made a motion to include an end-of-course test as a requirement to become a BIC. The motion failed with Mr. Aceto, Mr. Alston, Mr. Beaty, Ms. O’Connor, and Mr. Ramseur voting against the motion. |
| Continuing Education for a BIC [Task Force Recommendation #7] | After discussion of the merits of increasing or changing the CE requirements for BICs, Mr. Alston moved not to make a change to the existing requirements. Following discussion of negative motions and whether a motion is needed to make no change, Mr. Alston withdrew the motion, and no further motions were made. |
| Existence of BIC Eligibility [Task Force Recommendation #8] | Upon a motion by Ms. O’Connor the Commission voted to maintain the BIC eligibility status. Mr. Ramseur voted against the motion. Upon a motion from Ms. O’Connor, the Commission voted to draft rules to require that to maintain BIC eligibility status, the BIC-eligible broker must take the BIC eligibility course every five years unless they have been designated BIC for at least one year out of the five, with the proviso that at the end of their service as a BIC, the five year period would begin anew. Mr. Aceto, Mr. Alston, Mr. Beaty, and Mr. Ramseur voted against the motion. |
Evaluation of Statement of Economic Interest: The Executive Director gave a brief overview of the Statement of Economic Interest for Commission Members. The Executive Director then read into the record of the Commission’s meeting the results of the Evaluation of the Statement of Economic Interest of Commission member Beaty by the North Carolina State Ethics Commission; namely, that the Ethics Commission did not find an actual conflict of interest or the likelihood of a conflict of interest. The Executive Director concluded that these Statements will be kept on file as required by law.
Operational/Planning Study: Mr. Lindsey reported that he and the Administration Committee, (Mr. Aceto, Mr. Bell, and Ms. O’Connor), would like to direct staff to solicit an RFP for an outside consultant to perform an operational/planning study. Mr. Ramseur suggested soliciting the proposal piecemeal if looking for experts in different areas. Mr. Black concurred with the proposal but suggested that the time period for review by the Administration Committee and the Commission be shortened such the Commission could review the RFP on March 5. The Executive Director requested that staff have the RFP ready for the March 19 meeting with the Administration Committee meeting prior thereto. The Commission concurred with that proposal.
Report on License Numbers: As of February 1, 2025, there are 125,944 brokers and firms licensed by the Commission, as follows:
Active Full Brokers –78,506
Active Provisional Brokers –4,945
Brokers-in-Charge –17,671
BIC Eligible Brokers –6,675
Inactive Full Brokers –17,616
Inactive Provisional Brokers –7,109
Firms–17,488
Limited Nonresident Commercial Brokers -280
Next Commission Meeting: The next Commission meeting will be held at 9:00am, March 19, 2025, at the North Carolina Real Estate Commission in Raleigh, NC and is open to the public. It can be viewed via Zoom online video.
How Medicaid Liens Affect Property
Medicaid, a federal program established in 1965, is managed individually by each state to provide healthcare coverage for individuals who do not qualify for welfare but still have incomes low enough that they cannot afford healthcare on their own. In North Carolina, the Medicaid program is administered by the North Carolina Department of Health and Human Services (DHHS). If the recipient needs long-term care, like in a nursing home, Medicaid rules address use of the equity in the home to cover those expenses and recoup the costs from the homeowner. More information is available from the NC DHHS. Read this month’s eBulletin article for more information: https://bulletins.ncrec.gov/medicaid-liens-on-real-property/
Public Comment Period Closes March 17th, 2025, for Proposed Rule Changes
NCREC welcomed public comments on proposed changes to its rules at the Commission’s Business Meeting at High Point University on February 19, 2025. The Commission encourages licensees and other members of the public to submit comments online via our website at ncrec.gov through the end of the public comment period.
You are invited!
The monthly Real Estate Commission meetings are always open to the public, and you are invited to attend in person or online via Zoom. The meeting next month is scheduled for March 18, 2025. The meeting will be held at the North Carolina Real Estate Commission building, 1313 Navaho Drive, Raleigh, NC. A Zoom link will be available at ncrec.gov on the day of the meeting.
Key reports, issues, and decisions of interest to licensees and/or the public are reported here from the most recent Commission meeting:
Commission Meeting of January 15, 2025
Pending Cases: The Commission entered into consent agreements to suspend 5 licenses, accepted the permanent voluntary surrender of 1 license, accepted the voluntary surrender of 1 license, ordered hearings in cases involving 17 licensees, authorized injunctive relief involving 1 licensee, extended the time to satisfy conditions for 1 licensee, and closed 3 cases.
License Applications Involving Character Issues: License applicants who have character issues such as prior criminal convictions or disciplinary actions by another licensing board are separately considered by the Commission. Decisions are based upon criminal background checks, information supplied by the applicant, and in-person interviews.
Total candidates considered: 13; total approved: 5; total approved with conditions: 3; continued: 4; postponed 1; total deferred 0.
License Examination Results: If you are interested in reviewing the most recent statistics and pass rates regarding the North Carolina broker license examination, click here License Examination Results.
Spring Educators Conference: The Director of Education and Licensing reported that the Spring Educators Conference will be held on March 27, 2025, at the McKimmon Center in Raleigh. The theme is “Raleighwood – How to be an Education Star.” The Director of Education and Licensing reviewed the conference schedule and noted that most of the presentations are limited to thirty minutes. Registration for the conference opened last week, and 100 seats have already been sold. The Director of Education and Licensing invited all Commission members to the conference. Mr. Lindsey, Mr. Aceto, Mr. Alston, Mr. Bell, Mr. Black, and Ms. O’Connor indicated that they would attend the conference. The Assistant Director of Education and Licensing stated that black tie and business attire are requested for the event.
2025 Education Town Halls: The Assistant Director of Education and Licensing reported that the quarterly 2025 Education Town Halls are scheduled for February 25, 2025, May 13, 2025, August 19, 2025, and November 6, 2025, from 3:00 – 4:30 p.m. She invited the Commission members to attend any and/or all the meetings.
DREI Summit: The Director of Education and Licensing noted that last week was the DREI Summit in Stone Mountain, Georgia. The Director of Education and Licensing commended the Education and Examination Officer for her work in planning the Summit. He also commended the Education and Examination Officer and the Assistant Director of Education and Licensing for their high-quality presentations at the conference. In addition, he noted that he was elected to a three-year term on the DREI Leadership Council.
Monthly Financial Report, Quarterly Investment, and Education & Recovery Fund Report: The Commission received the monthly Financial Report, Quarterly Investment Report, and Education & Recovery Fund Report presented by the Chief Financial Officer for the period ending December 31, 2024.
FY2024-25 Income and Expense Projections: The Executive Director reported that the Finance Committee is meeting Wednesday, January 22, 2025, to review the FY2024-25 Income and Expense Projections. The projections will be presented to the full Commission at the February meeting.
Appeals: The Assistant Director of Regulatory Affairs reported that a motion for dismissal of the Shipman appeal has been filed by the NC Office of the Attorney General and that a hearing is yet to be scheduled on the motion.
BIC Span of Control: The Executive Director reviewed the BIC Span of Control report outlining the recommendations of the Workgroup and reminded the Commission that it had previously made decisions on Recommendations 1, 5, 9, & 10 in the Report. Following a discussion and consideration, the Commission made decisions on the following recommendations in the Report and deferred the discussion of Recommendations 6, 7, and 8 to a future meeting.
| Number of Offices & Requirement of Physical Space [Task Force Recommendation #2] | Upon a motion from Mr. Aceto, the Commission directed staff to draft a rule that allows one BIC the ability to manage multiple offices in the same geographic area and to craft language to define an office. Mr. Bell voted against the motion. Upon a motion from Mr. Black, the Commission agreed to explore allowing flexibility to have multiple BICs at the same physical location. Mr. Alston and Ms. O’Connor voted against the motion. Mr. Ramseur was not present for the vote. |
| Limitations on the Number of Brokers Supervised [Task Force Recommendation #3] | The Commission determined not to impose a limit at this time on the number of brokers one BIC can supervise. |
| Lenth of Time Requirement to be a BIC [Task Force Recommendation #4] | Upon a motion by Mr. Alston, the Commission determined to keep the experience requirement for brokers in charge, and directed staff to explore a statutory change of the time frame to become a BIC from two years to three years in NCGS § 93A-4.2, and propose a tracking process to quantify experience and eliminate the 40-hour-a-week requirement. |
Rule A .0112(b) Request: The Executive Director reminded the Commission that the NC REALTORS® made a request that the Commission eliminate the prohibition against including commission provisions in the offer to purchase from Rule a .0112(b). Mr. Ramseur cautioned the other members from acting on this request without getting input from the US Department of Justice. Upon a motion from Mr. Aceto, the Commission directed the Regulatory Affairs Committee to further investigate this matter and make a recommendation. Mr. Lindsey asked members to share any input on the subject with the members of the Regulatory Affairs committee (Mr. Black, Mr. Ramseur, and Ms. Sebti).
Interim Annual Report: At the request of Mr. Lindsey, the Executive Director reviewed with the Commission an interim update of the data included in the annual report to the State.
Project Summaries: The Executive Director reviewed the 2024-2025 Project Summaries noting projects that have been completed or extended since the December Commission meeting. She noted that the report now includes an additional column outlining the progress made on each project. Mr. Lindsey commended the Executive Director and the IT, RA, and E&L staff on all the work done in completing the projects and directed Commission members to reach out to the Executive Director with any questions they have about the projects.
Appearances and Speeches: The Executive Director provided a report on recent speeches and reviewed the upcoming speeches and appearances. Ms. O’Connor noted that she and Deputy Legal Counsel will present at Greensboro Allen Tate office on February 4. The Executive Director noted that Mr. Lindsey, Mr. Aceto, and herself will appear at the NC REALTORS® Leadership Meetings for a listening session on January 30 at 1:30 p.m.
Report on License Numbers: As of January 1, 2025, there are 125,311 brokers and firms licensed by the Commission, as follows:
Active Full Brokers – 78,506
Active Provisional Brokers – 4,719
Brokers-in-Charge – 17,615
BIC Eligible Brokers –6,600
Inactive Full Brokers – 17,573
Inactive Provisional Brokers – 6,840
Firms– 17,400
Limited Nonresident Commercial Brokers – 273
Next Commission Meeting: The next Commission meeting will be held at 9:00am, February 19, 2025, at High Point University, Congdon School of Health Sciences Building, Anne Kerr Ballroom, One N University Parkway, High Point, NC 27260, and is open to the public. It can be attended in-person or viewed via Zoom online video.
NCREC attends DREI Summit in Stone Mountain, GA
2025 is off to a busy start, with our Director and Assistant Director of Education & Licensing, Len Elder and Kizzy Crawford Heath, and Deborah Carpenter, Education and Examination Officer attending the DREI Summit last week in Georgia. Deb Carpenter planned and facilitated the conference, while Kizzy Crawford Heath presented on the Challenges of Mastering the GAPE Principles.
Square Footage Disclosures
Last month, the Commission addressed several cases during its meeting that involved material fact disclosure issues, especially misrepresentations on square footage. NCREC rules do not require square footage to be disclosed by brokers, however, if square footage is disclosed, brokers are responsible for making sure the disclosure is accurate. View this Square Footage Reminder video, and see the Residential Square Footage Guidelines for more information regarding square footage.
Public Comment Period Opens January 15th, 2025, for Proposed Rule Changes
This year’s proposed rule changes have been reviewed by the Commission and are opening for public comment beginning Wednesday, January 15th. The Commission Members would like to encourage licensees and other members of the public to submit comments online via our website, ncrec.gov, and/or to attend the public hearing on Wednesday, February 19th, 2025, in the Anne Kerr Walker Ballroom, Congdon School of Health Sciences Building, High Point University, One N University Pkwy, High Point, NC 27260. Please be aware that oral comments at the public hearing will be limited to three minutes.
You are invited!
The monthly Real Estate Commission meetings are always open to the public, and you are invited to attend in person or online via Zoom. The meeting tomorrow is here at the Commission building, 1313 Navaho Drive, Raleigh, NC. A Zoom link will be available at ncrec.gov on the day of the meeting.