Changing Sponsoring Brokers – A Quick Summary
Illinois real estate licensees typically only submit forms to the IDFPR’s Division of Real Estate only once every two years, when it’s time to renew their licenses. (For Brokers, that time is approaching once again.) However, you also rely on the IDFPR to process an application if you become sponsored by a new Managing Broker sometime during your license renewal period.
The process to change sponsors is pretty straightforward, as summarized here:
- Notify your current sponsor that you no longer wish to be sponsored. The current sponsor will terminate your license by signing the back of it before returning it to you. (Your license should have been on display at your office location. Your pocket card is not your license.)
- Complete the IDFPR’s 45-Day Permit Sponsor Card form. Provide the form to your new sponsoring broker, so that he or she may complete the bottom section of the form.
- Make two copies – one for you and one for your new sponsoring broker.
- Within 24 hours, mail the original form, your old (terminated) license and the required $25 processing fee to the IDFPR.
Your copy of the form will serve as a 45-day permit while you’re waiting for the IDFPR to process the form and mail your new license.
Does it Really Take Less Than 45 Days?
Until recently, the Division of Real Estate had been processing license applications and other forms rather promptly. This was no small feat, since just a few employees at the division process more than 15,000 termination and sponsor change requests every year!
Unfortunately, reductions in staff have led to delays in processing documents like these. In fact, some applications are taking more than 45 days to process.
So, What Happens When Your Permit Expires?
Most notably, you would not be able to provide a copy of your license to customers or your sponsoring broker. Of course, this is just a temporary problem and no fault of your own.
Recently, the division advised that it is doing its best to manage the situation and understands that such a delay would impact licensees. To mitigate the issue, the division indicated that it will allow these licensees to complete and submit a duplicate 45-Day Permit Sponsor Card – without the $25 payment. You may reference a copy of this document as needed. Meanwhile, the division will be working to clear out the backlog and issue your new license as quickly as practicable.
A Word To the Wise…
As you might imagine, the Division’s staff will be under much more pressure we proceed into the upcoming Broker’s license renewal season. Brokers should look to complete their continuing education requirement early and apply for their new license as soon as permitted (early next year.) That way, you’ll be out in front of the line!