26.2 AL – License Status

Lesson 26: Alabama Licensing Regulation
Section 26.2 — License Status: Transfer of License to a Different Qualifying Broker

Because Alabama licenses are registered under a specific real estate office and qualifying broker, a salesperson or broker
who changes companies must complete a formal license transfer. Alabama license law also sets clear steps, deadlines, and fees for transfers.

How to Transfer to a New Qualifying Broker (Step-by-Step)

  1. Written notice to AREC: The licensee must give notice of intent to transfer in writing to the Commission
    and send a copy of the notice to the current qualifying broker.
  2. Pay the transfer fee: The licensee must pay a $25 transfer fee.
  3. New broker requests transfer: The new qualifying broker must file a request for the transfer with the Commission
    and include a statement assuming liability for the transferred licensee.
  4. Mail the license + forms correctly: The licensee must mail their license by certified or registered mail,
    return receipt requested, to AREC along with the required transfer forms, license certificates, and fee(s).

Transfers for Companies and Branch Offices

  • A company or sole proprietorship changing qualifying brokers must pay a transfer fee for the license(s) that contain the current and new
    qualifying broker’s names.
  • Companies with branch offices changing the qualifying broker for the main office must pay a transfer fee for
    each branch office license and each branch office qualifying broker’s license.

The 10-Day Rule (Completion Deadline)

If the required forms and fees are submitted within 10 days after AREC receives the notice of transfer,
AREC will issue a new license certificate for the remainder of the current license term, registered under the new qualifying broker.

Important: If the necessary forms and fees are not submitted within the 10 days, the transfer is null and void.
AREC will return any submitted forms/fees and notify the licensee that the transfer was not complete.

If the transfer is not completed, the current qualifying broker remains responsible for the licensee’s actions.

Topic 26.2 Check-In

Keeping Your License Active

Choose the best answer for each question, then select Check Answers.

What is the transfer fee for a licensee transferring to a different qualifying broker?

Alabama license law requires a $25 transfer fee when transferring to a different qualifying broker.

What happens if the required transfer forms and fees are not submitted within 10 days after AREC receives the notice of transfer?

If the paperwork/fees aren’t submitted within the 10-day window, the transfer is null and void, and the current qualifying broker remains responsible for the licensee’s actions.

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