License Law and Regulation
Florida real estate licensing lives in Chapter 475, Part I, Florida Statutes, and the rules of the Florida Real Estate Commission (FREC) in Chapter 61J2. FREC sits within the Division of Real Estate of the Department of Business and Professional Regulation (DBPR) and has seven members appointed by the Governor: four brokers, two sales associates, and one consumer member.
Licensure basics
Applicants must be at least 18, hold a high school diploma or equivalent, complete the required pre-license course, pass the state exam, and submit fingerprints for a background check. Licenses renew biennially and require continuing education that includes a core-law component. A sales associate works under a broker; a broker may operate independently.
Activities and exemptions
Licensees list, sell, buy, rent, negotiate, and advertise real property for others for compensation. Attorneys acting in the practice of law, court-appointed officers, and owners disposing of their own property are typical exemptions. Paying a commission or referral fee to an unlicensed person is prohibited; compensation flows to and through the brokerage.
Escrow
Brokers must place escrow funds in a properly titled escrow account at a Florida institution and deposit them within three business days of receipt. No commingling; records are retained, generally for three years.
Discipline
FREC may issue a notice of noncompliance, reprimand, fine (up to $5,000 per count), suspend (up to ten years), or revoke. The Real Estate Recovery Fund reimburses consumers who cannot collect a judgment, subject to statutory caps.
Traps
FREC's membership mix, the three-business-day escrow rule, and the fact that commission rates are negotiable and never set by law are favorite exam items.