In a Nutshell

  1. Local association staff apply the membership qualification criteria set forth in their bylaws to make determinations on applications for REALTOR® membership.
  2. Individuals who posses an appraiser’s license or certificate, a broker’s license, or a salesperson’s license automatically meet the licensure component of qualifying for REALTOR® membership. Local associations may expand who qualifies by amending its bylaws.
  3. The areas of practice or specialty someone possessing a license might engage in are multitudinous and their choice of specialty should not disqualify them from REALTOR® membership so long as the person otherwise meets the association’s qualification criteria.

Nuts and Bolts

Associations Evaluate Applicants

Association staff apply the membership qualification criteria set forth in their bylaws to make determinations on whether any applicant qualifies for REALTOR® membership.

The National Association’s Membership Qualification Criteria provides associations of REALTORS® with reasonable and nondiscriminatory requirements for membership. They are the most rigorous qualifications for membership that an association can require.

Association staff/leadership that have questions or concerns, when considering an applicant’s eligibility, should consult with the association’s local legal counsel.

Types of Licensure that Qualify

The National Association of REALTORS®’s policies provide that individuals maintaining a current, valid license of the following types shall be eligible for REALTOR® membership in any association of REALTORS®:

  • real estate broker's license;
  • salesperson's license;
  • or is licensed or certified by an appropriate state regulatory agency to engage in the appraisal of real property.

That said, local Associations of REALTORS® have the authority to adjust the qualification criteria in their bylaws to grant REALTOR® membership to real estate professions whether they hold a real estate license or not1. Said another way, NAR does not mandate local associations to require applicants to hold a sales/broker’s/appraiser's license to qualify for REALTOR® membership.

In addition to the above referenced types of licensure that are commonly recognized by local associations as meeting the qualifications for REALTOR® membership, associations may choose to locally recognize other real estate-related types of licenses granted by their state regulatory agency. Some examples of these include, but are not limited to:

  • Sales-trainee licenses
  • Broker associate licenses
  • Appraiser-trainee licenses
  • Property management licenses

Ultimately, it is a matter of local discretion whether the association will recognize additional types of licensure. If an association chooses to recognize additional state-issued licenses towards membership qualification, the local association will need to amend two sections of its bylaws, and identify those types of licensure, to allow those individuals to be granted membership: Article V, Section 2 and Article X, Section 2 (a) (1).

Areas of Practice that Qualify

Though it is rather straightforward for an association’s staff to verify whether someone has a license issued by it’s state regulatory authority, the areas of practice or specialty someone possessing a license might engage in can be multitudinous. Common specialties include, but are not limited to:

  • buying,
  • selling,
  • exchanging,
  • renting or leasing,
  • managing,
  • appraising for others for compensation,
  • counseling,
  • building,
  • developing or subdividing real estate

An individual’s choice of practice specialty should not be cited as a basis to disqualify someone from REALTOR® membership so long as the person otherwise meets the association’s qualification criteria.

1 Associations interested in removing the licensure requirement would need to amend its bylaws, typically at Article V, Qualification and Election, Section 2. Qualification, by replacing its qualification language with verbiage similar to this:

NOTE: Association leadership should consult their local legal counsel when considering changing their bylaws.

Option: For associations that do not maintain a license requirement for REALTOR® membership.
(a) An applicant for REALTOR® membership who is a sole proprietor, partner, corporate officer, or branch office manager of a real estate firm shall supply evidence satisfactory to the association, through its membership committee or otherwise, that he/she is actively engaged in the real estate profession, has a place of business within the state or a state contiguous thereto (unless a secondary member), has no record of recent or pending bankruptcy*, has no record of official sanctions involving unprofessional conduct**, agrees to complete a course of instruction covering the Bylaws and rules and regulations of the association, the Bylaws of the State Association, and the Constitution and Bylaws and Code of Ethics of the NATIONAL ASSOCIATION OF REALTORS®, and shall pass such reasonable and nondiscriminatory written examination thereon, as may be required by the committee, and shall agree that if elected to membership, he/she will abide by such Constitution, Bylaws, rules and regulations, and the Code of Ethics.