Are real estate agents employees in California?

California Real Estate Agents and Salespersons Working as Personal Assistants are Employees. There MUST be a WRITTEN CONTRACT that identifies specifically states that the real estate agent will not be treated as an employee for tax purposes; and.

Is a broker an employee?

In the real estate industry in the United States, real estate agents, while under the supervision of real estate brokers, are not generally considered employees unless this employer/employee has been expressly stated. Instead, in most cases, real estate agents are considered independent contractors.

Is a sales agent an employee?

An agent is someone who acts on your behalf to negotiate sales of your products or services, and can bind you legally. Although an agent may arrange a sale, the sales contract will be between you and the customer. Most agents are self-employed – ie they are not employees of your business.

Who is an agent or broker-associate in California?

Regardless of which written employment agreement is entered into, the broker and agent need to comply with all DRE rules and regulations. Despite the labels given to these employment forms, an agent or broker-associate is always an employee of the broker under both California labor law and real estate law.

Is the broker an employee of the agent?

Despite the labels given to these employment forms, an agent or broker-associate is always an employee of the broker under both California labor law and real estate law. Thus, the broker is liable as an employer for any wrongful conduct by the agent as a function of their employment.

Can a real estate agent be an employee in California?

Generally, brokers may classify their real estate agents as employees or independent contractors in California. By special statute, a real estate agent may be treated as an independent contractor, even if, when considering the factors that determine employee/independent contractor…

Can a real estate broker be an employee or independent contractor?

However, the California Business and Professions Code does state that the relationship between a real estate broker and agent can be either an employee/employer or independent contractor relationship. Ultimately, it is your choice as a real estate broker, to either employ real estate agents or engage them as independent contractors.

Is a real estate agent an employee or contractor in California?

While brokers may be held liable for their employees’ negligence or fraud, they are generally not liable for the same conduct by their independent contractors. Under this law – California Business and Professions Code 10032, a real estate agent will be considered an independent contractor if: (1) he is licensed as a real estate agent under the law;

How to get a real estate broker license in California?

Members of the State Bar of California using equivalent experience should submit a RE 227 Equivalent Experience Verification form outlying this experience along with their broker exam or broker exam/license combination application. Courses must be three semester-units or four quarter-units at the college level.