Can unlicensed real estate assistants or neighbors show property on behalf of owners?

[ryan_gz]

Question on the Agent Assisted FSBO product. Can an unlicensed real estate assistant or a neighbor show property and hold open houses on behalf of the owner?

For example, what if my friend has a neighbor who is 80 years old and does not have a computer and is not very mobile. This old neighbor wants to sell her apartment and would be a great fit for the flat fee MLS listing service you guys have. Can my friend, who is unlicensed, help her neighbor out and show the property on her behalf?

[aslan]

I would start with a careful reading of Article 12A of New York's Real Property Law: https://www.dos.ny.gov/licensing/lawbooks/RE-Law.pdf This is the definition of a real estate broker:

the term “real estate broker” shall also include any person, partnership, association or corporation employed by or on behalf of the owner or owners of lots or other parcels of real estate, at a stated salary, or upon a commission, or upon a salary and commission, or otherwise, to sell such real estate, or any parts thereof, in lots or other parcels, and who shall sell or exchange, or offer or attempt or agree to negotiate the sale or exchange, of any such lot or parcel of real estate

An unlicensed assistant or neighbor attempting to do any of this for starters would be highly illegal.

The Buffalo Niagara Association of Realtors has an excellent handout on this topic (http://www.bnar.org/downloads/rrpersonalassist) where their interpretation is that the showing of properties and hosting of open houses is not allowed per NY's Real Property Law.

I would encourage you consult your attorney before trying this path. Though I'm doubtful any organization or brokerage would agree to you doing something like this. Why would they risk losing their license or being fined for a flat fee?