Known for its beautiful landscapes, quality education, excellent healthcare, and affordable standard of living, Vermont is a gem among the nation’s 50 states. It’s no wonder that so many of its residents love it while others look to move there. Vermont’s real estate professionals can enjoy long and fulfilling careers helping people find the right homes and/or build thriving businesses.
Unfortunately, professional license restrictions, suspensions, revocations, and other disciplinary actions can put a dent in your real estate career. If you’re facing sanctions or worry about being accused of a license violation, call the LLF National Law Firm Professional License Defense Team at 888.535.3686 or fill out this contact form.
Who is in Charge of Real Estate Professional Licenses in Vermont?
Housed under the Secretary of State Department, the Office of Professional Regulation (OPR) oversees real estate licenses in Vermont. Specifically, they establish and enforce the rules, regulations, policies, and requirements for real estate professionals in the state. The OPR’s statutes apply to anyone who wants to embark on any of the following types of real estate careers.
Real Estate Salesperson
The most common and visible of careers in the industry, real estate salespeople handle any transaction or management issue involving land, houses, residential complexes, and commercial buildings. Since Vermont has outlawed dual agency, salespeople are only allowed to focus on the selling or purchasing side of each transaction.
According to the Vermont OPR, aspiring real estate salespeople must complete a 40-hour real estate course and pass both the national and state exams to obtain professional licenses. Even after that, however, they must hang their licenses with a firm or contract directly with a qualified broker to practice real estate.
Real Estate Broker
Once a Vermont real estate salesperson has worked consistently for at least two years and successfully completed a minimum of eight transactions, they’re eligible to become a real estate broker. This position comes with all the same authority and responsibility as a salesperson, except that they must also manage a team of salespeople and the firm’s daily operations. There is another option, though—working independently.
If a salesperson wants to become a broker, then they must finish another 40 hours of coursework and pass relevant exams. They must also present the OPR with verification of their employment and supervision under a brokerage.
Real Estate Appraiser
To some extent, every real estate salesperson and broker in Vermont needs to know how to appraise properties. That’s how they can set reasonable prices for new listings or negotiate deals with sellers.
However, real estate appraisers specialize in this aspect of the industry and often perform in-person inspections and assessments to determine a property’s value, confirm its livability, and uncover serious flaws, if applicable. They work independently from real estate firms and brokers, but they must obtain a real estate license specific to their field.
Per the Vermont OPR, anyone who wants to be a licensed or certified appraiser must complete 154 hours of coursework and document thousands of hours of work in the field over certain periods of time.
What to Know About Real Estate License Violations in Vermont
Even after passing the courses and exams, real estate professionals in Vermont are expected to maintain certain standards and abide by the statutes as described by state law. There may be some differences depending on whether you’re a salesperson, broker, or appraiser, but most of the rules apply to everyone in the real estate industry. Read on to find out what the OPR would consider violations.
Unauthorized Practice
Real estate professionals can perform numerous specific tasks, but they do have limitations. For instance, a salesperson cannot act as a therapist for a client who is experiencing anxiety about making a purchase. Salespeople are also prohibited from taking on the responsibilities of brokers. Appraisers cannot take any direct roles in real estate transactions.
Each real estate job has its own expectations and specialties to ensure order, compliance, and fairness. The OPR will likely investigate and discipline anyone found to engage in practices they are not authorized to do.
Fraud, Bribery, or Misrepresentation
Honesty must be the basis of every aspect of a real estate transaction so that all parties know exactly what they’re agreeing to do.
Salespeople and brokers must be truthful and transparent in their license applications, advertise correct information about their listings, and disclose all facts pertinent to a transaction or report, to name a few examples. Along with appraisers, they must also refrain from altering or forging documents and giving or accepting bribes.
If the OPR suspects that any real estate professional has acted dishonestly, the consequences could be severe.
Non-Compliance with State or Federal Law
The Fair Housing Act is a federal law meant to guarantee housing opportunities for everyone, regardless of age, race, color, nationality, background, family status, or ability. States typically have their own set of laws tailored to their unique needs while ensuring compliance with federal law. Vermont is no different.
That’s why the OPR firmly disciplines any real estate professionals found to break housing laws. There’s no tolerance for discrimination, steering, blockbusting, redlining, net listing, and similar actions. Leniency could mean trouble with both state and federal governments.
Sexual Harassment or Exploitation
Respect is one of the most fundamental elements of professionalism, and sexual harassment or exploitation is among the most egregious violations of that element.
All real estate professionals must interact and work with their superiors, subordinates, colleagues, clients, and others without crossing any physical or verbal boundaries and creating an uncomfortable or hostile work environment. The OPR is likely to deal harsh punishments to offenders in this category.
Conviction of a Crime
Having a criminal record may not immediately disqualify anyone from obtaining, maintaining, or renewing a real estate license. Still, the more recent and serious the charges, the higher the odds that the OPR will deny or revoke the license in question.
Real estate requires integrity, self-regulation, dependability, and other important qualities. Theft, assault, harassment, extortion, drug or alcohol abuse, and similar crimes cast doubt on an individual’s character and suitable disposition for real estate.
General Incompetence
Whether due to honest mistakes, an unsuitable personality, or pure apathy, some people simply don’t perform well in real estate. The OPR demands that all real estate professionals comply with certain rules and regulations designed to keep everything organized, honest, transparent, and as mutually beneficial as possible.
Professionals who constantly fail to maintain or turn in necessary paperwork, handle funds appropriately, work well with others, thoroughly train subordinates, or meet their clients’ needs may end up facing discipline from the OPR.
Vermont’s Process for Disciplining Real Estate License Violations
Does the OPR suspect you of violating the statutes governing your real estate license? If so, your first step to advocating for yourself is to know what to expect from the disciplinary process. Vermont law has a general guideline for administrators to follow in these cases. It goes something like this:
Launch of Investigation
As long as the complaint represents an actual violation of real estate law or code of conduct, the OPR will assign an investigator to look into the matter. You will receive a notification about the complaint either way.
Depending on the situation, the investigator might gather evidence, testimonies, legal documents, transcripts, and other materials as necessary. The investigator compiles all the information into a report for the OPR to review. If the complaint appears to be legitimate, the OPR will proceed to the next step.
Temporary Sanctions
If the OPR determines that the complaint suggests an immediate danger to the public, the next step they take might be to temporarily restrict or suspend your real estate license. It would likely remain in effect until after the final hearing or whenever the OPR makes a final decision about the case.
Invitation for a Response and Hearing
Regardless of whether the OPR imposes temporary sanctions on your real estate license, you’ll receive a report of the findings from the investigation. If you respond within 20 days, the OPR will schedule a hearing. That’s where you’ll be able to present your side of the situation and/or any additional evidence, witnesses, character statements, and logical arguments in your defense.
Final Decision
After considering all the available information, the OPR will decide whether and how to discipline you. Below are the possible sanctions.
Formal Warning or Reprimand
This is the least severe sanction you could hope to receive. The OPR will basically just state what you did wrong, why it was wrong, and instruct you not to do it again.
Even though you would essentially walk away from the case with just a slap on the wrist, it could still affect your career. Prospective employers and clients can look up disciplinary conduct decisions on the OPR website. If they see one for you—no matter how minor—they could be wary of doing business with you.
Fines
Although the OPR doesn’t have the authority to mediate or settle civil or financial matters between you and anyone you might have offended, they can charge you disciplinary fees up to $5,000 for each violation.
As you can imagine, multiple violations can quickly add up to a substantial sum that could hamper your ability to grow financially in your career, especially since real estate agents must pay for most of their own materials, tools, and workspaces.
Suspension
While suspensions bar you from practicing real estate at all, the good news is that they’re typically temporary. They end after a predetermined period of time and/or once you meet certain requirements demonstrating your remorse, improvement, or trustworthiness.
The bad news is that suspensions are still public record and can create notable gaps in your resume. Plus, you’d have to find a different way to make money during that time. By interrupting your career, even for a short time, suspensions can negatively impact both your finances and future opportunities.
Conditions
It’s possible that you’ll be allowed to continue fully practicing real estate, but you must also comply with certain conditions. These conditions could also be combined with suspensions, fines, warnings, or reprimands.
The OPR can choose the conditions, but they usually include things like taking remedial courses, enrolling in substance abuse rehab, receiving therapy or counseling, performing certain tasks at specific times or places, or working only when under supervision by an approved professional.
Revocation
This is the most extreme sanction and often the hardest to reverse. Revocation means that your real estate license is permanently invalidated. You can appeal the decision or apply for reinstatement, but it’s trickier to gain approval than when you initially obtained it. Even if you’re successful, your career might never fully recover. It’s best to avoid this result if at all possible.
Why Hire the LLF National Law Firm?
If you’re serious about your real estate career, you must act immediately when you receive notification of a complaint against you. Still, don’t run headfirst into the problem; get help from the skilled and dedicated attorneys at the LLF National Law Firm.
With years of experience defending clients dealing with a variety of professional license complaints, the LLF National Law Firm Professional License Defense Team knows how to get both state and national real estate law on your side. They’re no strangers to the unique challenges of protecting professional licenses in Vermont.
Plus, their track record proves that they have a deep understanding of the most effective defense strategies. Better yet, they can tailor those strategies to your needs. You’ll enjoy a passionate and personalized defense response so that your career can continue thriving.
Keep Practicing Real Estate in Vermont
Vermont will likely continue enjoying a reputation for quality living, and you deserve a positive reputation as a real estate professional there. Whether you’re in the bustling Burlington metro or the quaint little town of Vermont, don’t let yourself lose the opportunity to grow in this exciting industry in such a promising state. Find out how to safeguard your license by calling the LLF National Law Firm Professional License Defense Team at 888.535.3686 or filling out this contact form.