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madevry, Home Seller in Torrance, CA

if some one is broker,do he have to get city permit to work by Own?

Asked by madevry, Torrance, CA Mon Oct 27, 2008

if some one is real estate broker,do he have to get city permit to work alone?

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In California, some cities require a Business License to LIST or SELL property in their cities by both BROKERS and every AGENT. Even though your business is not located in the city of your listing (or sale), you may need a Business License anyway.

For example, it looks like you are located in Torrance, CA. For example, if you list even one property in Carson, you will need a City of Carson Business License ($400 thank you). If you also list or sell a property in Compton, you will need a Business License in Compton too ($300 thank you). Likewise in Long Beach (that will be $198, thanks). And each of your agents (if you have any) will need to get a Business license wherever they list or sell properties.

So, listing and selling Real Estate in CA is interesting and expensive. By the way, you may even get double taxed on the sales - taxed from the city of your place of business and taxed by the City of the property sold.

Be careful and choose where you locate your office and where you list and sell very carefully.

Since so many cities are stuggling with the economy, this has become a huge source of income and many cities are vigilantly goin after these fees.

Best of luck,

Thom Colby
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0 votes Thank Flag Link Mon Oct 27, 2008
to continue where I got cut off...The broker may have to get the permit, but I held that the agent isn't doing business and that legally, only a broker is doing business. So, for an agent to have to get a business license anywhere seems to contradict our State laws. What I don't know is how to beat a find if the City says "we don't care"
Flag Tue Sep 22, 2015
I had this argument with the City of Newport Beach. They backed down the one time, but I don't know if a good, valid argument will prevail, but, legally, you do business from where your office is. That is where you do paper work and conduct business, but, under California law, agents cannot take a listing under their own name and business and they are only allowed to be an agent for the broker and it's the broker who has taken the listing. So, just like be being a sales rep for a company, I'm only an employee of the company and that company must hold the business license where they do business. My other argument is that, the person actually selling the house in the specific city, is the owner. The real estate company isn't selling the house, right? But, back to who is doing business and where. If the listing firm is based in Pasadena and in their office writes a listing agreement for their seller in Torrance, the either that broker isn't doing business in Torrance or will
Flag Tue Sep 22, 2015
A Brokers license is all that is needed to own and/or run your own business. However, most cities will require that you have a City Business License to operate business in the City.
0 votes Thank Flag Link Mon Oct 27, 2008
You most likely need to contact the state you are licensed who can answer any and all of your questions be legal. Have you taken consideration regarding e & o insurance, additional fees.
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0 votes Thank Flag Link Mon Oct 27, 2008
No you do not need permits to work on you own.
You will need to be licensed as a broker working for yourself. Contact your state licensing agency for more details.

If you are asking about being able to do work on one of your propreties, you will need a building permit to do most improments. Contact your county building department on how to obtain permits for improvments like a new hot water heater, new roof, new wood deck...

Best wishes,

Bill Kosena
0 votes Thank Flag Link Mon Oct 27, 2008

Sorry but I do not understand your question? Are you planning on placing an offer on your property without the assistance of an agent? Are you asking about doing your own work, on a home you purchase, instead of hiring a contractor? Let me know.

Joe Homs
Realty Partners
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0 votes Thank Flag Link Mon Oct 27, 2008
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