Chapter 1, Unit 2: Georgia Licensing Law
with correct answers 2025/2026
Practicing with No License - correct answers-It's against the law
-The Commission has authority to issue a cease and desist order
-The commission can impose a fine of $1,000 a day for this violation
-The Commission can't impose jail time but the courts can
-This is a misdemeanor
-Jail period is one year or less
Exemptions - correct answersAccording to Georgia law, an individual is NOT required to have a
real estate license if he or she is any of the following:
1. An owner of real estate, the spouse of an owner, a general partner of a limited partnership, a
landlord, or a prospective purchaser OR their regular employees OR spouses who perform any
act with reference to property owned, leased, or to be acquired by such owner, limited
partnership, lessor, or prospective purchaser when said person is buying, leasing, or selling for
his own purposes.
2. An attorney in fact under a duly executed power of attorney to convey real estate from the
owner or lessor. This person - whether an actual attorney, or simply an individual authorized to
act on another's behalf as an agent - may act as an agent for the principal without having a real
estate license, with a legally executed power of attorney.
3. An attorney at law - also known as a licensed practicing attorney - acting solely as an incident
to the practice of law.
4. Any person acting as receiver, trustee in bankruptcy, administrator, executor, or guardian or
while acting under a court order or under the authority of a will or of a trust instrument.
5. Any officer or employee of a government agency in the conduct of official duties.
,6. Any person employed full-time by a public or private utility - including utility companies, and
lending institutions - who performs any act with reference to property owned, leased, or to be
acquired by the utility employing that person, where such acts are performed in the regular
course of, or as incident to, the management of such property and the investment therein.
7. A manager of residential properties if the contract has been approved by a federal agency.
This means any person who, as owner or through another person engaged by such owner on a
full-time basis or as owner o
Property Management Exemption - correct answers"The licensing regulations required by
Georgia real estate license laws do not apply to any individual employed by a broker to assist in
property management services on residential property."
-This exemption applies if the broker has a written management agreement that the broker
procured from and negotiated with the owner. Such individual's activities must be explicitly
authorized by the broker in a written agreement between the broker and the employee AND
the activities performed must be limited to one or more of the following:
1. Delivering a lease application or a lease
2. Receiving a lease application, lease, security deposit, rental payment, or any related payment
(for delivery to and made payable to the broker or the owner)
3. Showing a rental unit to any person, or executing leases, provided that the employee is acting
under the direct instructions of the broker
4. Providing information authorized by the broker about a rental unit, a lease application, or a
lease
5. (E) Providing information to a tenant about the status of such tenant's security deposit or
rent payments, or to an owner about the owner's financial accounts and payments from the
owner's tenants
6. Performing any ministerial acts that are explicitly authorized by the broker in a written
agreement between the broker and the employee.
Innkeeper's Exemption - correct answersAny person who provides property management
services on properties available for less than 90 days' occupancy by guests or occupants and
meets all of the following conditions is exempt from license law. In other words, this applies to
those who make accommodations to others on a daily/weekly basis, in operation of a hotel,
motel or vacation rental. ALL of the following conditions must be met.
, 1. The property manager must have a written agreement with the owner, which states all terms
and conditions for managing the property, reporting income and expenses, and remitting
income to the owner.
2. This agreement must specify that the property manager cannot rent or lease the property
AND that the guest or occupant is nota tenant.
3. Zoning laws do not prohibit short-term occupancy uses of the property.
4. The person's occupancy is for less than 90 days.
5. The deposit given must not exceed the cost of the rental required for the minimum rental
period.
6. The guest or occupant must pay any required state or local sales taxes or excise taxes on
rooms, lodgings, and accommodations; while the property manager pays any required state or
local business licenses or permits.
7. The property manager can specify which rooms or units that the guest or occupant will
occupy.
8. No extra charge is made for basic utilities.
9. Notice is not required for a guest or occupant to terminate occupancy of the room or unit,
except under certain conditions.
10. The room or unit is not the permanent residence of the guest or occupant.
Business Brokerage - correct answers-A person who brokers the sale of a business must hold an
appropriate real estate license if the sale of the business involves the transfer of any interest in
real property.
-A business broker and any associates who do not hold licenses issued by the Commission may
not negotiate or attempt to negotiate or assist in procuring prospects for the sale of a business
where:
1. The sale involves the transfer of any interest in real property.
2. The payment of all or part of a commission or fee to the business broker or any associates in
the sale of the business is contingent upon the transfer of an interest in real estate.
Application for Licenses - correct answersAn individual who wishes to become a real estate
licensee must file an application for a license with the Commission. All original as well as
subsequent applications filed with the Commission must contain ALL of the following
information:
with correct answers 2025/2026
Practicing with No License - correct answers-It's against the law
-The Commission has authority to issue a cease and desist order
-The commission can impose a fine of $1,000 a day for this violation
-The Commission can't impose jail time but the courts can
-This is a misdemeanor
-Jail period is one year or less
Exemptions - correct answersAccording to Georgia law, an individual is NOT required to have a
real estate license if he or she is any of the following:
1. An owner of real estate, the spouse of an owner, a general partner of a limited partnership, a
landlord, or a prospective purchaser OR their regular employees OR spouses who perform any
act with reference to property owned, leased, or to be acquired by such owner, limited
partnership, lessor, or prospective purchaser when said person is buying, leasing, or selling for
his own purposes.
2. An attorney in fact under a duly executed power of attorney to convey real estate from the
owner or lessor. This person - whether an actual attorney, or simply an individual authorized to
act on another's behalf as an agent - may act as an agent for the principal without having a real
estate license, with a legally executed power of attorney.
3. An attorney at law - also known as a licensed practicing attorney - acting solely as an incident
to the practice of law.
4. Any person acting as receiver, trustee in bankruptcy, administrator, executor, or guardian or
while acting under a court order or under the authority of a will or of a trust instrument.
5. Any officer or employee of a government agency in the conduct of official duties.
,6. Any person employed full-time by a public or private utility - including utility companies, and
lending institutions - who performs any act with reference to property owned, leased, or to be
acquired by the utility employing that person, where such acts are performed in the regular
course of, or as incident to, the management of such property and the investment therein.
7. A manager of residential properties if the contract has been approved by a federal agency.
This means any person who, as owner or through another person engaged by such owner on a
full-time basis or as owner o
Property Management Exemption - correct answers"The licensing regulations required by
Georgia real estate license laws do not apply to any individual employed by a broker to assist in
property management services on residential property."
-This exemption applies if the broker has a written management agreement that the broker
procured from and negotiated with the owner. Such individual's activities must be explicitly
authorized by the broker in a written agreement between the broker and the employee AND
the activities performed must be limited to one or more of the following:
1. Delivering a lease application or a lease
2. Receiving a lease application, lease, security deposit, rental payment, or any related payment
(for delivery to and made payable to the broker or the owner)
3. Showing a rental unit to any person, or executing leases, provided that the employee is acting
under the direct instructions of the broker
4. Providing information authorized by the broker about a rental unit, a lease application, or a
lease
5. (E) Providing information to a tenant about the status of such tenant's security deposit or
rent payments, or to an owner about the owner's financial accounts and payments from the
owner's tenants
6. Performing any ministerial acts that are explicitly authorized by the broker in a written
agreement between the broker and the employee.
Innkeeper's Exemption - correct answersAny person who provides property management
services on properties available for less than 90 days' occupancy by guests or occupants and
meets all of the following conditions is exempt from license law. In other words, this applies to
those who make accommodations to others on a daily/weekly basis, in operation of a hotel,
motel or vacation rental. ALL of the following conditions must be met.
, 1. The property manager must have a written agreement with the owner, which states all terms
and conditions for managing the property, reporting income and expenses, and remitting
income to the owner.
2. This agreement must specify that the property manager cannot rent or lease the property
AND that the guest or occupant is nota tenant.
3. Zoning laws do not prohibit short-term occupancy uses of the property.
4. The person's occupancy is for less than 90 days.
5. The deposit given must not exceed the cost of the rental required for the minimum rental
period.
6. The guest or occupant must pay any required state or local sales taxes or excise taxes on
rooms, lodgings, and accommodations; while the property manager pays any required state or
local business licenses or permits.
7. The property manager can specify which rooms or units that the guest or occupant will
occupy.
8. No extra charge is made for basic utilities.
9. Notice is not required for a guest or occupant to terminate occupancy of the room or unit,
except under certain conditions.
10. The room or unit is not the permanent residence of the guest or occupant.
Business Brokerage - correct answers-A person who brokers the sale of a business must hold an
appropriate real estate license if the sale of the business involves the transfer of any interest in
real property.
-A business broker and any associates who do not hold licenses issued by the Commission may
not negotiate or attempt to negotiate or assist in procuring prospects for the sale of a business
where:
1. The sale involves the transfer of any interest in real property.
2. The payment of all or part of a commission or fee to the business broker or any associates in
the sale of the business is contingent upon the transfer of an interest in real estate.
Application for Licenses - correct answersAn individual who wishes to become a real estate
licensee must file an application for a license with the Commission. All original as well as
subsequent applications filed with the Commission must contain ALL of the following
information:
