Key Takeaways
- The Arkansas Real Estate Commission (AREC) regulates real estate licensees under the Arkansas Real Estate License Law
- AREC consists of seven members appointed by the Governor: five licensed brokers and two public members
- AREC has authority to investigate complaints, conduct audits, and take disciplinary action including license suspension or revocation
- Arkansas requires 60 hours of pre-license education for salesperson applicants
- The exam is administered by Pearson VUE with 110 total questions (80 national + 30 state)
Arkansas Real Estate Commission (AREC)
The Arkansas Real Estate Commission (AREC) is the state agency responsible for licensing, regulating, and overseeing real estate professionals in Arkansas under the Arkansas Real Estate License Law.
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AREC Structure and Authority
Commission Members
AREC consists of seven members appointed by the Governor:
| Member Type | Number | Requirements |
|---|---|---|
| Licensed brokers | 5 | Active Arkansas broker license |
| Public members | 2 | Not licensed in real estate |
Members serve five-year staggered terms with terms expiring on different years.
Key AREC Functions
| Function | Description |
|---|---|
| Licensing | Process applications, approve education providers, issue licenses |
| Education | Set education requirements, approve courses and schools |
| Enforcement | Investigate complaints, conduct audits of trust accounts |
| Discipline | Suspend, revoke, or deny licenses; impose fines |
| Recovery Fund | Administer the Real Estate Recovery Fund |
Arkansas Real Estate License Law
The Arkansas Real Estate License Law is the primary statute governing real estate licensing in Arkansas. Key provisions include:
- Who must be licensed - Definitions of broker and salesperson activities
- Exemptions - Attorneys, property owners, certain employees
- Prohibited conduct - Actions that violate the law
- Disciplinary actions - Grounds for suspension or revocation
- Trust fund handling - Requirements for client funds
AREC Rules and Regulations
AREC adopts administrative rules that implement the License Law. These rules cover:
- License application procedures
- Education requirements and course approval
- Advertising standards
- Trust account requirements
- Agency disclosure procedures
Exam Tip: AREC can impose administrative penalties and revoke licenses. Always check the current AREC rules as they are frequently updated.
Real Estate Recovery Fund
The Arkansas Real Estate Recovery Fund provides compensation to consumers who suffer financial losses due to the misconduct of a licensed real estate professional.
Fund Details
| Requirement | Details |
|---|---|
| Maximum per transaction | $50,000 |
| Maximum per licensee | $50,000 total |
| Filing requirements | Must obtain court judgment first |
| License consequence | License suspended until fund repaid |
How the Fund Works
- Consumer is harmed by licensee misconduct
- Consumer obtains court judgment against licensee
- Consumer cannot collect judgment from licensee
- Consumer applies to AREC for payment from Recovery Fund
- AREC pays from fund (if eligible)
- Licensee's license is suspended until fund is repaid with interest
Key Point: The Recovery Fund covers actual damages only—not punitive damages, attorney fees, or court costs.
AREC Contact Information
| Resource | Information |
|---|---|
| Website | arec.arkansas.gov |
| Main Office | Little Rock, Arkansas |
| Phone | (501) 683-8010 |
| Online System | AREC online licensing portal |
How many members serve on the Arkansas Real Estate Commission?
What is the maximum amount the Arkansas Real Estate Recovery Fund can pay per licensee?