The activities undertaken by real estate industry members that require an authorization from the Real Estate Council of Alberta (RECA) are called “trades in real estate.”
What activities are considered “a trade in real estate”?
Typically, many people think of real estate industry members providing real estate services to assist others in buying and selling property. While these are activities that fall under the definition of “trade,” there are many other activities that require an authorization from RECA, such as:
- Offering, advertising and showing of real estate for purchase or sale;
- Providing property management services; and,
- Solicitation, negotiation or obtaining of a contract or agreement for a trade in real estate.
Who needs to be authorized to trade in real estate?
The Real Estate Act of Alberta (Act) requires any person who trades in real estate to hold an authorization with RECA, unless there is an exemption in the real estate legislation. The most noteworthy exemption is for owners of real estate or persons buying property on their own behalf. Additionally, court or statute-appointed custodians, liquidators, trustees and executors of a will are also exempt from the licensing provisions. For a full list of exemptions, please review the real estate legislation section of this website.
Why join the real estate industry?
A career in real estate offers varied and interesting opportunities. Real estate industry professionals provide services in the following specialty areas of practice:
- Residential real estate and acreage residential;
- Commercial, industrial and investment real estate;
- Property management; and,
- Agri-business including farm/ranch.
The public places great trust in the assistance provided by real estate associates, associate brokers, and brokers in making decisions related to buying and selling real estate. A standard level of competency ensures that real estate industry members are well trained, well informed, and up to date with current industry trends.
Individuals cannot trade in real estate on behalf of others without an authorization from RECA. They must be authorized through a legal entity or company known as a brokerage which trades in real estate. Each brokerage has a registered broker, an individual who has specific qualifications, experience and responsibilities including ensuring adequate supervision of associate brokers and associates, proper management and control of documents, and proper maintenance of trust accounts. Brokers, associate brokers and associates trade in real estate on behalf of a brokerage. While the roles and responsibilities of associate brokers and associates are the same, an associate broker has the education and experience required to be a broker.
Individuals considering a career in real estate must meet a number of eligibility requirements in order to become licensed with a brokerage. For a complete list of the eligibility requirements click on the New to the Industry link below.
For more information about real estate industry member licensing, please see:
New to the Industry
Changing Licence Class
Opening a New Brokerage