Guidelines for Unlicensed Assistants

GUIDELINES FOR UNLICENSED ASSISTANTS MREC's list of DO's and DON'Ts for Unlicensed Assistants

An "Unlicensed Assistant" who works exclusively for a licensee will ordinarily be an employee rather than an independent contractor under Mississippi and Federal tax, unemployment and workers' compensation law. The licensee must follow all applicable laws. The licensee may pay an employee based on a predetermined rate that is agreeable to both parties as long as the assistant's compensation is NOT in any way related to listings or buyers solicited or obtained by the assistant. The Mississippi Real Estate Commission (MREC) has created a list of activities that cannot be conducted by an unlicensed assistant. The list is NOT inclusive and is intended to serve as a guideline.

Unlicensed Assistants may NOT:

1. Independently show properties that are for rent or sale.

2. Host an open house, kiosk, home show booth, fair, where
   interested non-licensees may be attending, or hand out materials at such functions UNLESS a licensee is present at all times. If, however, the event is solely for other licensees, an unlicensed assistant may perform the aforesaid functions without licensee supervision.

3. Preview, inspect, or determine (measure) the square
   footage of any property unless accompanied by a licensee.

4. Prepare promotional materials or advertising without the
   review and approval of a licensee and the principal broker.

5. Negotiate, discuss or explain a contract, listing, lease or
   any other real estate document with anyone outside the brokerage firm.

6. Answer questions concerning properties listed with the
   firm, EXCEPT to confirm that a property is listed, to identify the listing broker or sales agent, and to provide such information as would normally appear in a simple, classified newspaper advertisement (location and/or address).

7. Negotiate the amount of rent, security deposit, or other
   lease provisions in connection with rental property.

8. Open properties for viewing by prospective purchasers
   (but, at the licensee's direction, it is acceptable to open properties for appraisers, home inspectors or other professionals upon appointment).

9. Attend pre-closing walk-through or real estate closings
   unless accompanied by a licensee.

10. Place calls that would require a license such as cold calling,
    soliciting listings, contacting sellers, buyers or tenants in person or by phone, contacting expired listings, placing marketing calls, or extending open house invitations.

11. Represent themselves as being a licensee or as being
    engaged in the business of buying, selling, exchanging, renting, leasing, managing, auctioning, or dealing with options on any real estate or the improvement thereon for others.

Typically, unlicensed assistants MAY:

1. Provide "general" information about listed properties such
   as location, availability, and address (without any solicitation on behalf of the assistant).

2. Perform clerical duties, which may include answering the
   telephone and forwarding calls.

3. Complete and submit listings and changes to a multiple
   listing service, type contract forms for approval by the licensee and the principal broker, pick-up and deliver paperwork to other brokers and salespersons, obtain

status reports on a loan's progress, assemble closing documents and obtain required public information from governmental entities.

1. Write advertising and promotion materials for approval by
   the licensee and the principal broker, and arrange to place the advertising.

2. At the licensee's direction, have keys made for listings,
   place signs on a listed property, or open a property for appraisers, home inspectors or other professionals upon appointment.

3. Gather information required for a Broker Price Opinion or a
   Comparative Marketing Analysis.

4. Schedule appointments for the licensee to show a listed
   property.

5. May be compensated for their work at a predetermined rate
   that is not contingent upon the occurrence of a real estate transaction. Licensees may NOT share commissions with unlicensed persons who have assisted in transactions by performing any service with respect to a real estate closing.