Washington State
House of Representatives
Office of Program Research
BILL
ANALYSIS
Consumer Protection & Business Committee
SSB 5378
Brief Description: Concerning real estate brokers and managing brokers license renewal requirements.
Sponsors: Senate Committee on Business, Financial Services & Trade (originally sponsored by Senators Das, Nobles, Hasegawa, Lovelett, Randall, Salda?a and Wilson, C.).
Brief Summary of Substitute Bill
  • Requires course instruction in fair housing and consumer protection within the existing education requirements for obtaining or renewing real estate broker licenses.  
  • Directs the Department of Licensing to provide specific training concepts for fair housing education after receiving input from other entities.
Hearing Date: 3/18/21
Staff: Serena Dolly (786-7150).
Background:

Real Estate Broker Licensing Requirements.

The Department of Licensing is responsible for licensing and regulating real estate brokers and managing brokers.  To obtain a license, real estate brokers and managing brokers must meet the following minimum requirements:

  • be at least 18 years of age;
  • have a high school diploma or its equivalent;
  • complete 90 hours of approved real estate education; and
  • pass a broker's license examination.

 

To qualify for a license, a managing broker also must have three years of full-time experience as a real estate broker, pass a managing broker's license examination, and complete an additional 90 hours of real estate instruction unless other qualifying experience is met.

 

Licenses must be renewed every two years.  Renewal requirements include completion of continuing education requirements and payment of a renewal fee.  For the first renewal after licensure, a real estate broker must complete an additional 90 hours of instruction.  For subsequent renewals, a real estate broker must complete at least 30 hours of instruction.  A managing broker must complete 30 hours of instruction for each license renewal.

 

Fair Housing.
Federal, state, and local laws prohibit discrimination in the sale or rental of housing.  The Washington Law Against Discrimination prohibits housing discrimination based on race, color, creed, national origin, citizenship or immigration status, families with children, sex, marital status, sexual orientation, gender identity, age, honorably discharged veterans, or military status.  The law also protects persons from discrimination based on the presence of any sensory, mental, or physical disability or the use of a trained dog guide or service animal by a person with a disability.

Summary of Substitute Bill:

The education required to obtain or renew a real estate broker or managing broker license must include a specific number of instruction hours in fair housing education and prevention of discrimination in real estate transactions, facilities, and services as follows:

  • three of the 90 hours required for an initial real estate broker license;
  • six of the 30 hours required for the first renewal of a real estate broker license; and
  • three of the 30 hours required for subsequent renewals of a real estate broker license and any renewal of a managing broker license.

 

The Department of Licensing must provide more specific training concepts within fair housing education after receiving input from the following entities:

  • associations that represent real estate brokers and agents;
  • the Washington State Commission on African American Affairs;
  • the Washington State Commission on Hispanic Affairs;
  • the Governor's Office of Indian Affairs;
  • the Washington State Commission on Asian Pacific American Affairs;
  • the Washington State Human Rights Commission;
  • the Governor's Committee on Disability Issues and Employment;
  • the Washington State LGBTQ Commission; and
  • the Washington State Housing Finance Commission.

 

Appropriation: None.
Fiscal Note: Available.
Effective Date: The bill takes effect on June 1, 2022.