Licensing
Area II is worth 6 of the 60 state items. Its printed subtopics are activities requiring a license, change in license status, licensed and unlicensed assistants, and errors and omissions insurance.
Activities requiring a license, and the exceptions
AS 08.88.161 lists what needs a license: selling, leasing, auctioning or buying real estate; listing it; collecting rent or property management fees; practicing or negotiating to practice property management or community association management; dealing in options; procuring buyers and sellers; and holding out as doing any of it. AS 08.88.900 then carves out exceptions, and 12 AAC 64.905 warns that each exception is "limited to the roles or activities specified." The exceptions a broker candidate should know include owners dealing in their own property; an attorney in fact under a power of attorney for a specific transaction, capped at two transactions a calendar year; lawyers, public officials, receivers and trustees; resident managers; the management of a total of four or fewer residential units by a natural person for others; and management without a fee beyond reimbursed expenses. AS 08.88.165 lets an unlicensed auctioneer conduct a real estate auction if the auctioneer completed a certified auctioneering program including a real estate sales course and a licensed broker or associate broker supervises and is present.
Change in license status
AS 08.88.171(d) requires a licensee to inform the commission promptly of a change in business association affecting license status. 12 AAC 64.071(a) lapses all licenses on January 31 of every even-numbered year unless renewed, and 12 AAC 64.071(g) lapses an initially issued license 395 days after issuance unless the 30 hours of post-license education in 12 AAC 64.064 is completed. AS 08.88.241 allows reinstatement of a license lapsed under 24 months; past 24 months the person must qualify for initial licensure again, and AS 08.88.251(c) applies the same 24-month line to reactivating an inactive license. On a transfer, 12 AAC 64.075(b) gives the terminating broker five days from the licensee's request to file the termination form, 12 AAC 64.075(c) lets the licensee work in the new office for up to 30 days awaiting the amended certificate, and 12 AAC 64.075(e) interrupts the licensee's active and continuous experience if the commission is not notified within 15 days.
Assistants and errors and omissions insurance
AS 08.88.398 permits a licensed salesperson or associate broker to work as a licensed assistant to another licensee only where both are employed by the same broker, the assistant works for no more than one broker, the arrangement is in writing, the employing broker approves it in writing, the employing licensee pays the wages and taxes, and the broker accepts liability for the assistant's acts. 12 AAC 64.095 draws the line for unlicensed staff: they may not host an open house, show property, or explain a purchase, listing or management contract, but they may place signs, input MLS data, fill in forms with factual information as directed, record and deposit trust funds, and compute commission checks. On insurance, AS 08.88.172(a) makes errors and omissions coverage a condition of licensing, and 12 AAC 02.510(a) sets the master policy floor at $100,000 per covered wrongful act and a $300,000 annual aggregate, with a deductible no greater than $5,000 for each $300,000 of aggregate and a maximum annual premium of $2,500 under 12 AAC 02.550.
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State-specific details
State exam facts
- State regulator
- Alaska Real Estate Commission (Division of Corporations, Business and Professional Licensing)
- Exam vendor
- Pearson VUE
- Prelicensing education
- 30 hours of Alaska broker training education
- Passing score
- Scaled score of 75
- Scored questions
- 140
- Time limit
- 240 minutes
Who regulates real estate brokers in Alaska?
The Alaska Real Estate Commission, within the Division of Corporations, Business and Professional Licensing, licenses real estate brokers, associate brokers, and salespersons. The Commission contracts with Pearson VUE to develop, administer, and score both the national and the Alaska state law portions of the licensing exam.
What experience do I need before the Alaska broker exam?
Alaska broker applicants must be at least 22 years old (12 AAC 64.059) and must have had at least 36 months of active and continuous experience as a real estate licensee within the 60 months immediately preceding application (AS 08.88.171(a)). "Active and continuous" is defined in 12 AAC 64.990(a) as holding a current active license with no single break of more than 30 days caused by failing to affiliate with an employing broker and file the application — so it is not quite the same as 36 unbroken months. Applicants must also complete 30 hours of commission-approved broker training education within the 18 months immediately preceding application, and file the license application within six months of passing the exam.
How is the Alaska broker exam structured?
The Alaska broker exam is one four-hour session covering two portions: a national/general portion of 80 scored items plus 5 pretest items, and an Alaska state law portion of 60 scored items plus 5 to 10 pretest items. Results are reported as a scaled score from 0 to 100 and a scaled score of 75 is required to pass, so the number reported is neither the count nor the percentage of questions answered correctly.
Sources: https://www.commerce.alaska.gov/web/cbpl/professionallicensing/realestatecommission.aspx, https://www.pearsonvue.com/content/dam/VUE/vue/en/documents/publications/092200.pdf
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