Arkansas House Bill HB1700

Arkansas 2023 Regular Session

• Introduced: 3/27/23
• Refer: 3/27/23
• Report Pass: 3/29/23
• Engrossed: 3/30/23
• Refer: 3/31/23
• Failed: 5/1/23

Caption

To Exempt Property Managers From Licensure By The Arkansas Real Estate Commission; And To Amend The Real Estate License Law.

Impact

The bill specifically alters the previous requirements under the Arkansas Real Estate License Law, presenting significant changes for property management operations within the state. Under these new provisions, individuals with sufficient experience or certification as property managers—along with the requirement for a fidelity bond—may work without a license. This could streamline property management practices and reduce barriers for those seeking to enter the industry, theoretically increasing the pool of individuals available to manage rental properties in Arkansas.

Summary

House Bill 1700 aims to exempt property managers from the requirements of licensure by the Arkansas Real Estate Commission. This amendment to the Real Estate License Law defines 'property manager' and establishes conditions under which individuals may operate without a license. Notably, the bill delineates the activities that qualify as property management, providing clarity for those in the industry who handle leasing, renting, and related responsibilities on behalf of property owners.

Contention

There are potential points of contention surrounding HB1700, notably concerns from real estate professionals and regulatory bodies about the exemption from licensure. Critics may argue that eliminating licensure requirements could lead to unregulated practices in property management, impacting service quality and consumer protections. Proponents, on the other hand, see it as a necessary reform that can enhance accessibility and efficiency in the property management sector, especially for well-qualified individuals who can demonstrate their competence through experience or certification.