Many brokers and salespersons hire assistants to aid them in providing real estate services either for the entire firm or they can be hired to assist a single person or a team. These assistants can either be unlicensed or licensed. In some situations, an assistant must be licensed to remain compliant with Michigan law. Whether they are licensed or not will depend on the types of tasks they are expected to perform under the brokerage’s business model.
Licensed assistants can perform any real estate-related activity permitted under the licensing statute. However, an unlicensed assistant may not perform real estate-related activities that would require a license, such as hosting an open house or showing properties.
In the State of Michigan, it has been understood that an unlicensed assistant MAY perform the following activities.
- Tasks that are strictly clerical (answering phones, directing calls, greeting customers, etc.)
- Acting as a courier in picking up or delivering documents on behalf of the licensee.
- Assisting licensees during an open house. An unlicensed assistant cannot independently show property or host open houses. At an open house, an unlicensed assistant may:
- Greet potential homebuyers as they arrive.
- Hand out prepared printed materials
- Have prospects sign a guest book to record names, addresses, and phone numbers.
- Escort potential buyers throughout the home for security purposes, but not to answer materials questions about the home.
It is crucial that brokerages identify those activities that are off-limits to individuals who do not have a real estate license. In the State of Michigan, it has been historically understood that an unlicensed assistant MAY NOT engage in the following activities:
- Independently hold open houses for Realtors®
- Show properties to potential buyers.
- Solicit listings or other business via phone.
- Make cold calls by telephone or in-person to potential sellers, purchasers, tenants, or landlords.
- Answer any questions relating to financing, title insurance, or closing.
- Provide any additional information to the public aside from information that has already been set forth in the prepared promotional materials that have already been distributed to the public.
- Have their names printed on business cards or stationery in a way that would imply that they are a real estate salesperson or broker.
- Hold themselves out as a real estate salesperson or broker.
- Perform any acts for which a license is required under Michigan Real Estate License Law