Quick Takeaways

  • License Reciprocity occurs when one state chooses to honor the official real estate license of another, lessening the time effort of completing a multi-state transaction
  • Every state has different license reciprocity rules and regulations, and it is necessary to check the laws before engaging in even a single transaction.
  • There are three types of real estate license reciprocity: cooperative, physical location, and turf.

Source: Real Estate License Reciprocity & Portability (The Close, May 21, 2021)

Reciprocity in real estate applies to the functionality of real estate licensure from state to state. Many states do accept licensure from other states, especially neighbors.  The National Association of REALTORS® has a "Broker and Salesperson License Reciprocity and Portability" from the State Issues Tracker(link is external)* (National Association of REALTORS®, November 2019) *Requires nar.realtor username/password.

Various organizations, including the U.S. Bureau of Labor Statistics and the National Conference on State Legislators, regularly conduct research on reciprocity law in each of the 50 states. These reports provide current and reliable information on the reciprocity legislation for all to access.

Recently, California created a new law aiming to expedite to reciprocity process for veterans and military spouses – Bill AB 107. The law, one of the newest advances in reciprocity law, recognizes the challenges military spouses face in relocation, often having to move quickly and without enough time to receive a new license that they have already acquired in their current state.

See References for more information.

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