A new anti-discrimination law is set to replace the current Standard Operating Procedure Law for NYS real estate brokers / salespersons. 

The current law is explained at our blog here and Governor Hochul's prior memorandum, from when she signed such law, indicating a change in the future, is here. 

Now, Governor Hochul has signed S7729 and made her promised changes to the Standard Operating Procedure Law. 

If you are confused, here is the Lieb Cast discussing this confusion and straightening it all out.

Here are the big 4 takeaways:

1. Real Estate Brokers must have Standard Operating Procedures (SOPs) as to:

(i) whether prospective clients shall show identification;

(ii) whether an exclusive broker agreement is required; [and]

(iii) whether pre-approval for a mortgage loan is required; and

(iv) any other such standard operating procedures as the Secretary of State shall determine by regulation and upon notice and public hearing. 

2. Rather than brokerage firms being required to submit such SOPs to the Secretary of State, as required under the current law, under the new law, they will be required to first date stamp and notarize their SOPs, and then, post them on any publicly available website and mobile device application that the brokerage / team(s) / salesperson(s) maintain while also making them available, on request, to the public at their office locations;

3. On license renewal, brokers will be required to affirm their compliance with the new law to the Department of State; and 

4. Brokers must follow the current law until July 16, 2022 when this new law is first effective.

Remember, brokers who stray from their SOPs are going to have to explain, to DOS and/or in a discrimination lawsuit, why a particular buyer / tenant is being treated differently from the SOPs and how that act does not constitute discrimination.

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?