Nebraska Administrative Code Topic - REAL ESTATE COMMISSION
Nebraska Administrative Code (NAC) – Real Estate Commission
The Nebraska Real Estate Commission (NREC) regulates the practice of real estate in Nebraska. Its rules are codified in the Nebraska Administrative Code, which lays out licensing requirements, professional conduct, and disciplinary procedures.
The key topics covered by the NAC for real estate include:
1. Licensing Requirements
The NAC sets out the rules for obtaining a real estate license:
Broker License
Must be at least 19 years old.
Must have completed pre-licensing education (usually 66 hours).
Must pass the state broker exam.
Salesperson License
Must be at least 19 years old.
Completion of pre-licensing courses (48 hours).
Must pass the state salesperson exam.
Continuing Education
All licensees must complete continuing education (CE) every two years to renew their licenses.
CE includes courses on ethics, Nebraska real estate law, and updates to rules.
2. Duties and Conduct of Licensees
The NAC defines ethical and professional duties for licensees:
Fiduciary Duty: Licensees must act in the best interest of their clients.
Disclosure Requirements: Must disclose known defects in property.
Avoiding Misrepresentation: No false advertising or misleading statements.
Handling Trust Accounts: Properly manage client funds in escrow or trust accounts.
Conflicts of Interest: Must avoid undisclosed conflicts that could harm a client.
Violation of these duties can lead to disciplinary action, including fines, license suspension, or revocation.
3. Advertising Rules
The NAC has specific guidelines for advertising:
Must include the broker’s or company’s legal name.
Must not mislead clients or the public about property features, price, or legal status.
Online advertising, social media, and print media all fall under the same rules.
4. Disciplinary Procedures
If a licensee violates NAC rules or Nebraska real estate law:
The Real Estate Commission can investigate complaints.
Licensees can be subject to:
Fines
Suspension
Revocation of license
Probation or corrective action
Licensees have the right to a hearing before disciplinary action is finalized.
5. Recordkeeping and Transactions
Licensees must:
Maintain accurate records of transactions, including contracts, disclosures, and trust account activity.
Keep records for a minimum period (usually 5 years).
Provide records to the Commission upon request during an investigation.
6. Role of the Nebraska Real Estate Commission
The NREC is responsible for:
Licensing brokers and salespersons.
Regulating professional conduct.
Investigating complaints.
Conducting disciplinary hearings.
Approving continuing education courses.
The NAC gives the Commission the authority to enforce laws and rules, including imposing penalties for violations.
7. Practical Examples of NAC Enforcement
A broker fails to disclose a major property defect → Commission may fine or suspend license.
A salesperson misuses client funds in escrow → License may be revoked.
False advertising about property amenities → Commission issues corrective action or fines.
Failure to complete continuing education → License cannot be renewed.
Summary
The Nebraska Administrative Code for the Real Estate Commission ensures that:
Only qualified individuals are licensed to practice real estate.
Licensees follow ethical and professional standards.
Consumers are protected from fraud, misrepresentation, and misconduct.
The Commission has authority to investigate, discipline, and maintain high standards in the real estate profession.
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