You may have come across various websites that talk about California property management or you might have heard your friends talking about it. If this is your first time to deal with property management, then you may not really understand what license is all about and what do these licenses actually mean. Basically, property management is a service provided by property management companies or individuals to help buyers and other real estate investors and owners manage their real estates. This service is required by law, as it helps avoid conflicts of interest among the various parties involved in this kind of business.
Basically, a license to manage real estate is just like having an agent who is licensed to transact on behalf of someone else. This license is granted by the State in order for the license holder to carry out real estate transactions and work in the State. The State also requires that the license holder should have complied with all the regulations and rules that are set by the Department of Justice as well as the California State Board of Equalization. This information is usually made available to the public on the Internet so you can check if you need a license if you want to purchase or sell a house in California.
The next question that you might be thinking about is why do brokers need a license? Well, actually there are several different reasons why a broker or a manager needs a license to manage a property. In fact, there are even some brokers who do not need a license but rather, they engage in activities that are not allowed by the law. These activities include the practice of real estate advertising or selling and misrepresentation of the property. This is considered to be unethical and it can even lead to prosecution depending on the seriousness of the matter.
If you are planning to hire an agent or a broker, you should make sure that he or she is licensed. There is actually no limit as to how many licenses that a broker or an agent can have. You will also notice that most people who are licensed are actually working full-time and part-time in the industry. So if you are planning to hire someone to manage your property, you should really take into account their experience in managing properties. You can also find information about a licensed broker on the Internet so you will know that he is a licensed broker.
Property managers and brokers are also required to undergo thorough background checks as well as drug testing before they can become licensed. As a rule of thumb, most agencies require an applicant to undergo a background check. They also want to see if the applicant has faced any charges for criminal activities such as fraud or misrepresentation. These agencies believe that a licensed manager or broker is trustworthy enough to handle properties that are entrusted to their care.
When you are planning to hire a broker or a property manager, it would be best if you discuss everything first with your prospective license holder. It is important to make sure that the license you will give to a broker or an agent is one that is right for you. If you have children or pets, you might want to consider a non-creative license so you can run your business without the added burden of having to deal with licensing issues. A good broker or property manager will go through a thorough background check before being hired by a client. After all, he knows that what you are looking for is the right person to manage your property.