The New York City Council has approved the FARE Act (Int 0360-2024), a new bill that eliminates upfront broker fees for most renters. 

Currently, New York is one of the only places in the country where tenants are required to pay these fees, often around 15% of the yearly rent, even when they’ve never met the broker. This has meant an average upfront cost of $13,000 for renters, which includes broker fees, security deposits, and first month’s rent. Under the FARE Act, the responsibility for paying the broker fee will shift to the party that hires the broker—usually the landlord or building manager—unless the tenant specifically hires the broker. 

The bill passed with solid support, at 42 votes to 8. Proponents argue it’s common sense that the party hiring the broker should pay for their services, adding that the FARE Act will help make housing more accessible for working- and middle-income renters. However, critics, including the Real Estate Board of New York (REBNY), have raised concerns that the law could lead to higher rents, make it more difficult to find housing, and harm brokers.

Starting on June 19, 2022, real estate licensees in NYS will be required to complete "at least two hours of instruction pertaining to implicit bias awareness and understanding" as part of their 22.5 hours of continuing education to renew their license because of a new law, S538B. 

According to the law, "'implicit bias' shall mean the attitudes or stereotypes that affect an individual's understanding, actions and decisions in an unconscious manner."

Lieb School is ready and already offers an implicit bias course that counts towards the fair housing and discrimination requirements. To comply with the new law, we are re-submitting this course to count towards the required implicit bias training as well. 

Starting on April 20, 2022, real estate licensees in NYS will be required to complete "at least two hours of cultural competency training" as part of their 22.5 hours of continuing education to renew their license because of a new law, S979A. 

Lieb School is on top of making sure that its students lead the industry, having already drafted curriculum to satisfy this requirement. Our course will educate licensees on the following subtopics:

1. Right to Social Benefits of Integration
2. Misunderstanding in Cultural Competency
3. 4 Elements in Developing Cultural Competency
4. Friction Between Cultural Sensitivity & Discrimination Law
5. Cultural Norms, Preferences, & Challenges
6. Cultural Competence Techniques

On March 11, 2021, the NYS Board of Real Estate continued its mission of optimizing the regulation of real estate brokers in our state by holding its meeting. 

To remind real estate brokers and salespersons, the public is welcome at these meetings where the public can bring comments from the floor. Its encouraged that Lieb School students attend these meetings to have your voices heard.

"[T]he Board has general authority to promulgate rules and regulations affecting real estate brokers and salespersons in order to administer and effectuate the purposes of Article 12-A of the Real Property Law."

A complete video of the meeting is available on youtube.

In summary, the following was discussed:

• 5 hearings that have been held by the DOS and 10 others that scheduled as a result of the Newsday Long Island Divided expose;
• Brokerages compliance with the Executive Orders about essential workers and safety in light of COVID;
• Communication with Complainants and Respondents about outcomes of Administrative cases; 
• Current real estate licensee numbers for February 2020 and February 2021 were provided in a report;
• 27 Schools have submitted course applications for the 2.5 hours of business ethics topic (Lieb School is one of these schools);
• 23 Schools have submitted course applications for the 1 hour of recent legal matters topic (Lieb School is one of these schools);
• 2020 Exam Results:
• Salesperson = 17,643 applicants with a pass rate of 59%
• Broker = 1,464 applicants with a pass rate of 65%
• Executive Order Updates:
• Extension of the Licenses continued through March 28, 2021
• Electronic Notarization of Documents continued through March 28, 2021

Does it shock you to learn that from January through October 2020, of the 13,527 examinees, only 59% passed the Real Estate Salesperson exam?

Brokers did a little better - of the 1,098, 66% passed.

Isn't that low? 

How do we get brokers to pass at a higher rate?

Would it help if the state released past exams? That makes sense, doesn't it? How can you study otherwise?