Course Objectives

A broker pre-license course is offered in class to applicants for broker/associate broker to satisfy educational requirements for licensure as required by the Georgia Real Estate Commission. The primary objectives of this course are (1) to provide students with the basic knowledge and skills necessary to act as a licensed real estate broker in a manner that protects and serves the public interest and (2) to prepare students for the real estate license examination.

 

Course Description

The Real Estate Broker Pre-licensing Course is an introductory level real estate principles and practices course with heavy emphasis on real estate brokerage law and practice. Major topics addressed in this course include basic real property law, property taxation, land use controls, environmental hazards, brokerage relationships and practices, real estate contracts, real estate financing, closing a real estate sale transaction, real estate valuation, fair housing laws, landlord and tenant, property management, federal income taxation of real estate, the Georgia Real Estate License Law and Georgia Real Estate Commission Rules and Trust Account Guidelines.

 

Required Course for Real Estate Licensure in Georgia

Successful completion of the Real Estate Broker Pre-licensing Course is generally required to qualify for the Georgia real estate license examination and to obtain a Georgia real estate broker license. This course may be offered only by schools and instructors approved by the Georgia Real Estate Commission.

 

Course Hours and Delivery Method

The Broker Pre-licensing Course consists of a minimum of 60 classroom hours. The course may only be offered using a live classroom presentation method.

 

Course Contents, Outline, and Learning Objectives

The course contents, outline, and learning objectives are basically the same as the Salesperson Pre-license Course. In addition to the basic theory, however, this course focuses more on practical field application to major real estate topics described above in the course description.

 

 

Upon completion of this course, the student will be able to:

 

• Distinguish between different types of brokerage relationships, including seller agency, designated seller agency, buyer agency, designated buyer agency, transaction broker and dual agency.
• Analyze actual cases regarding licensees and agency disclosure, being able to explain where licensees made mistakes and what the correct agency disclosure should have been.
• List the steps involved in agency disclosure, from the beginning of the transaction to the conclusion.
• Differentiate between residential and commercial transactions regarding the different rules for agency disclosure.
• List the seven protected classes under Federal Fair Housing laws.
• List the exemptions to the Fair Housing laws and explain the circumstances under which the exemptions apply.
• Describe how an agency office policy helps protect not only the public but the brokerage company as well.
• Explain the difference between enforceable and non-enforceable contracts.
• Describe contract law regarding who legally can draft additions to pre-printed contracts prepared by legal counsel.
• Explain how agents must recommend experts to their clients and customers for matters outside their expertise, such as inspections, etc.
• Differentiate between what constitutes solicitation of another’s clients and what is acceptable.
• Explain when a listing contract with another’s client can be obtained and when this would be a law violation.
• List circumstances in which a licensee can be licensed with multiple companies at the same time.
• Explain when agency agreements must be in writing and how this protects the public.
• Describe the advertising requirements on listed and unlisted property.
• Describe why closing and possession dates can create major conflicts in the sale of a home.
• Clarify why conversion of agency relationships to transaction broker or dual agency must be part of agency agreements and explain the importance of the conversion to members of the public.

Course Content Outline

This timed outline for the Broker Pre-license Course specifies the minimum contents of the 60-hour course.

The course contents may be presented in any order and supplemented in any way an instructor deems appropriate to achieve the objectives/competencies of the course, consistent with prevailing laws and contemporary business practices, including Georgia practices and laws.

CHAPTER 1:   Agency                                                                                               8 hours

• Creating Agency
• Termination and Remedies for Nonperformance
• Disclosure (Related to Representation)
• Listing Agreements and Basic Provisions/Purpose/Elements
• Duties and Obligations of the Parties
• Conditions for Termination/Breach of Contract
• Buyer Agency Agreements and Compensation as a Buyer’s Agent
• Property Representations and Cancellation or Termination of Buyer Agency

 

CHAPTER 2:   Contracts                                                                                          6 hours

• General Principles and Legal Concepts
• Types and Validity of Contracts
• Void and Voidable, Executory/Executed, and Enforceability
• Addenda to Contracts
• Conditions for Termination/Breach of Contract
• Offer and Acceptance and Notice of Delivery/Acceptance
• Contingencies and Purchase Contract
• Basic Provisions/Purpose/Elements and Duties and Obligations of the Parties
• Options (Contractual Right to Buy) and Seeking Expert Advice

 

CHAPTER 3:   Ownership                                                                                        6 hours

• Freehold Estates (Rights of Ownership) and Types of Ownership (Estates in Land)
• Leasehold Interest and Types of Leases
• Basic Elements and Provisions of Leases and Rights and Duties of the Parties
• Remedies for Default/Nonperformance and Termination of Leases
• Forms of Business Ownership

CHAPTER 4:   Property Management                                                                   4 hours

• Basic Provisions/Purpose/Elements of Property Management Agreements
• Lease Agreements and Duties and Obligations of the Parties
• Market Analysis and Tenant Acquisition
• Property Maintenance and Improvements
• Risk Management and Evictions

 

CHAPTER 5:   Finance                                                                                              6 hours

• Primary and Secondary Mortgage Markets
• Fannie Mae, Freddie Mac, Ginnie Mae, and Fed
• Conventional and Unconventional Mortgages
• FHA-Insured Loans and VA-Guaranteed Loans
• Basic Elements and Provisions of Financing Instruments
• Amortized, Interest Only, ARM, Construction Loan, and Home Equity
• Owner-Financing: Purchase-Money Mortgage and Land Contract
• Types of Mortgages and Other Information Regarding Financial Instruments
• Legal Principles and Assumption of Existing Financing
• Nonperformance, Short Sales, Foreclosure, and Mortgage Fraud
• Preapproval and Prequalification (e.g., debt ratios, credit scoring, and history)
• Parties to the Lending Process (e.g., loan originator, underwriter, mortgage broker)
• Regulation Z, Antitrust, Other Brokerage Business Models, ECOA, and CRA

 

CHAPTER 6:   Government Regulations and Private Restrictions                   6 hours

• Types of Advertising
• Antitrust, Do-Not-Call List, Do Not Fax, CAN-SPAM Act, Fair Housing Acts
• Affirmative Marketing
• Government Powers: Police Power, Eminent Domain, Taxation, and Escheat
• Subdivision Regulations and Property Owner Association Agreements
• Land-Use Restrictions and Regulations
• Lead-Based Paint Disclosure, Radon, Other Environmental Issues

 

CHAPTER 7:   Description and Measurement                                                     3 hours

• Metes and Bounds, Rectangular Survey, and Lot and Block
• Structures (Space and Volume) and Livable Area
• Land Measurement

 

CHAPTER 8:   Valuation                                                                                          5 hours

• Basic Concepts and Terminology
• Influences and Characteristics Affecting Value
• CMA and BPO
• Appraisal Process/Procedure
• Sales Comparison (Market Data), Cost, and Income Analysis Approach
• Real Property and Personal Property

 

CHAPTER 9:   Title Conveyance                                                                             5 hours

• Definition of Clear (Marketable) Title and Matters Affecting Title
• Recordation, Title Insurance, Deeds, and Will
• Court-Ordered Sale, Adverse Possession, and Settlement Procedures

 

CHAPTER 10: Ethical Behavior                                                                               2 hours

• Employment Agreements between Broker and Other Licensees (including Supervision)

 

CHAPTER 11: Calculations                                                                                      6 hours

• Compensation, Commission, and Fees
• Valuation/Market Sale Price and Yields
• Tax and Other Prorations
• Net to Seller, Cost to Buyer (credits and debits)
• Amortization, Points, Prepayment Penalties, and Loan-to-Value Ratios
• Measurement (e.g., square footage, acreage, volume)
• Property Management/Investment (e.g., rate of return)

 

FINAL EXAM:                                                                                                            3 hours                :     Total: 60 hours