Wis. Admin. Code Real Estate Examining Board REEB 25.03

Current through December 30, 2024

Section REEB 25.03 - Educational requirements of applicant for an original real estate salesperson's license

(1) GENERAL REQUIREMENTS. Each applicant for an original real estate salesperson's license shall present evidence of attendance, within 5 years before application for a license, at the educational program in sub. (3), which has been approved by the board in accordance with s. REEB 25.05 or 25.06.

(2) TEN SEMESTER-HOUR WAIVER. The educational requirement in sub. (1) is not required of an applicant who submits proof that the applicant has received 10 semester hour credits in real estate or real estate related law courses at an accredited institution of higher education. A quarter hour credit equals 2/3 of a semester hour credit.

(3) SALESPERSON'S PRE-LICENSE PROGRAM. The educational program for applicants for an original real estate salesperson's license shall cover all of the following topics and shall be designed so that if the educational program were presented as classroom education, it would be presented in no less than 72 hours:

(a)Real property.

1. Land, real estate and real property.

2. Real property versus personal property.

3. Classification of fixtures.

4. Characteristics of real estate.

5. Types of home ownership.

6. Mobile homes - s. 70.043, Stats.

7. Ownership expenses.

8. Property features.

9. Investment considerations.

10. Tax benefits for home ownership.

11. Homeowner's insurance.

(b)The real estate business.

1. Real estate specialties.

2. The real estate market.

3. Factors affecting supply and demand.

4. Business cycles.

5. Real estate practice - ch. 452, Stats.

(c)Real estate brokerage.

1. Law of agency.

2. Creation and termination of agency.

3. Fiduciary duties.

4. Responsibilities to third parties.

5. Broker's and salesperson's compensation.

6. Antitrust laws.

7. Independent contractor versus employee.

8. Broker-to-broker relationships.

9. Sales associate-to-sales associate relationships.

(d)Listing agreements.

1. Listing property.

2. Listing agreements - ch. REEB 16.

3. Special listing provisions.

4. Termination of listings.

5. Obtaining listings.

6. Pricing the property.

7. Disclosures.

8. Home warranties.

(e)Interests in real estate.

1. Government powers.

2. Estates in land.

3. Encumbrances.

4. Water rights.

5. Forms of ownership.

6. Trusts.

7. Ownership by business organizations.

8. Cooperatives.

9. Time-shares - ss. 70.095, 707.02, 707.05, 707.40, 707.47, 707.49, Stats.

10. Condominiums - ss. 703.08, 703.21, 703.33, Stats.

11. Homestead - ss. 706.01(7), 766.605, Stats.

(f)Legal descriptions.

1. Methods of describing real estate.

2. Land units and measurements.

3. Measuring elevations.

(g)Taxes and other liens.

1. Liens and their effects on title.

2. Tax liens.

3. General tax assessment, equalization, tax bills.

4. Mortgage liens.

5. Mechanics liens.

6. Judgments.

7. Estate and inheritance tax liens.

8. Other liens.

9. Taxes - ss. 74.15, 74.47(1) and (2), Stats.

10. Taxation and transfer fee - ss. 77.22, 77.27, Stats.

(h)Real estate contracts.

1. Contract law.

2. Elements of a valid contract.

3. Performance of contract.

4. Discharge of contract.

5. Default or breach of contract.

6. Forms used in real estate - ch. REEB 16.

a. Listing agreements - s. 240.10, Stats.

b. Offers to purchase.

c. Buyer agency agreements.

d. Counteroffers.

e. Amendments.

f. Understanding closing statements.

g. Disclosure forms: seller condition report; agency; buyer and seller disclosure.

h. Addendums.

i. Cancellation and mutual release agreements.

7. Agreement to arbitrate real estate transaction disputes - s. 788.015, Stats.

(i)Title records and transfers of title.

1. Requirements of a valid conveyance - ss. 240.10, 706.02, 706.03, Stats.

2. Types of deeds.

3. Involuntary alienation.

4. Probate.

5. Transfer of title by will and descent.

6. Public records and recording.

7. Evidence of title.

8. Uniform commercial code.

9. Other conveyances.

(j)Real estate finance and basic math.

1. Buyer qualification.

2. Mortgage instruments.

3. Payment plans.

4. Provisions for default: assignment; release; subject to.

5. Land contracts.

6. Secondary mortgage market.

(k)Appraisal - market analysis.

1. Basic principles of value.

2. Direct market comparison approach.

3. Cost approach.

4. Income approach.

5. Appraisal process.

(m)Ethical real estate practices.

1. Chapter REEB 24.

2. Ethical business conduct.

(n)Leases.

1. Leasehold estates.

2. Standard lease provisions.

3. Lease documents.

4. Legal principles of leases.

5. Assignment and subleasing.

6. Improvements.

7. Maintenance.

8. Breach.

9. Residential rental practices - ss. ATCP 134.02, 134.06, 134.09, and 134.09.

(o)Property management.

1. Functions of property manager.

2. Management agreement.

3. Management considerations.

4. Renting and maintaining the property.

5. Risk management.

(p)Land use control and development.

1. Public controls.

2. The master plan.

3. Zoning.

4. Subdivision regulations.

5. Private land-use controls.

6. Building codes.

7. Land development.

8. Subdividing.

9. Interstate land sales full disclosure act.

10. Platting and subdivisions - ss. 236.01, 236.02, 236.03, 236.31, 236.33, 236.335, 236.35, Stats.

(q)Environmental concerns.

1. Radon.

2. Asbestos.

2m. Lead-based paint.

3. Toxic waste.

4. Underground storage tanks - ch. ATCP 93.

5. Floodplains - s. 87.30, Stats. and ss. NR 116.01, 116.06.

6. Flood insurance.

7. Wetlands - s. 23.32, Stats.

8. Farmland preservation - ss. 91.01, 91.60 to 91.70, Stats.

9. Rental unit energy efficiency standards - ss. SPS 367.03, 367.08.

10. Disclosure documents - s. 452.23, Stats., and ch. 709, Stats. and s. REEB 24.07.

11. Other.

(r)Miscellaneous Wisconsin license laws.

1. Chapter REEB 15 - documents and records.

2. Chapter REEB 16 - contractual forms.

3. Chapter REEB 17 - licensure and supervision of employees.

4. Chapter REEB 18 - trust accounts.

5. Chapter REEB 23 - change of name, address, trade names.

6. Commercial bulk sales - ss. 406.101, 406.102, 406.103, 406.104, 406.105, 406.107, 406.108, Stats.

Note: Sections 406.101 to 406.108, Stats., were repealed by 2009 Wis. Act 110.

7. Property provisions for aliens and corporations - ss. 710.01, 710.02, Stats.

8. Property rights of married persons - ss. 766.31, 766.51, 766.60, 766.63, Stats.

9. Mortgage banking - s. 224.71, Stats., and s. DFI-Bkg 40.03(4) (b).

Wis. Admin. Code Real Estate Examining Board REEB 25.03

Cr. Register, October, 1979, No. 286, eff. 11-1-79; am. (2) (intro.) and r. and recr. (2) (b), Register, April, 1981, No. 304, eff. 5-1-81; am. (2) (b), Register, June, 1982, No. 318, eff. 7-1-82; renum. from REB 16.03 and am. (2), Register, February, 1983, No. 326, eff. 3-1-83; r. and recr. Register, February, 1987, No. 374, eff. 6-1-87; r. and recr. Register, January, 1992, No. 433, eff. 2-1-92; am. (1), (3) (q) 10., (4), cr. (3) (h) 7., Register, September, 1993, No. 453, eff. 10-1-93; cr. (3) (q) 2m., r. (4), Register, July, 1997, No. 499, eff. 8-1-97; am. (3) (r) 9., Register, July, 1998, No. 511, eff. 8-1-98; am. (1), (3) (intro.), (a) (intro.), 6., (b) to (L) (intro.), 4. and (m) to (r), Register, August, 1999, No. 524, eff. 9-1-99; correction in (3) (L) 4. and 5. made under s. 13.93(2m) (b) 7, Stats., Register November 2007 No. 623; correction in (3) (q) 4. made under s. 13.92(4) (b) 7, Stats., Register January 2011 No. 661; correction in (1), (3) (d) 2., (h) 6. (intro.), (m) 1., (q) 4., 8., 9., 10., (r) 1. to 5. made under s. 13.92(4) (b) 6, 7., Stats., Register November 2011 No. 671; correction in (3) (q) 4. made under s. 13.92(4) (b) 7, Stats., Register October 2013 No. 694.

Section DFI-Bkg 40.03(4) (b) no longer exists, eff. 1-1-10.