Oregon Brokerage Practice and Trust Accounts
This chapter covers day-to-day Oregon practice requirements: handling client funds through clients' trust accounts, record-keeping duties, and the separate licensing of property management activity.
Clients' Trust Accounts
Client funds such as earnest money must be deposited into a clients' trust account, kept separate from the brokerage's operating funds. The principal broker is responsible for the trust account, including timely deposit, accurate records, and monthly reconciliation. Commingling client funds with personal or business funds is a violation of Oregon license law.
Records and Advertising
Oregon licensees must maintain transaction and trust account records for the period required by the Agency and make them available for audit. Advertising must be conducted under the supervising principal broker and must not be false or misleading. All licensed activity, including advertising a property, is attributed to the supervising principal broker.
Property Management as a Distinct Activity
Managing rental real estate for others for compensation is regulated in Oregon. It may be performed by an active broker or principal broker, or by a person holding Oregon's separate property manager license. Property management funds, like security deposits and rents, are also subject to trust account and record-keeping rules.