Real estate can be a great option if you’re looking for a new start with a new career. Real estate brokers enjoy job flexibility with unlimited income potential.
But what if you have a less-than-perfect past? For someone who has had a felony conviction or other questionable action in their background, getting a North Carolina real estate license can be difficult—but it’s not impossible.
Key Takeaways
- While having a felony doesn’t automatically disqualify you, the North Carolina Real Estate Commission (NCREC) reviews applications on a case-by-case basis, considering factors such as the severity of the crime, rehabilitation efforts, and behavior since the conviction.
- Certain felonies may negatively impact your application. Felonies involving fraud, embezzlement, violence, dishonesty, and repeated offenses are more likely to cause issues during the evaluation.
- Applicants must fully disclose all criminal convictions and relevant character issues. Trying to hide past offenses may result in automatic denial, while transparency can help you demonstrate rehabilitation and responsibility.
- If an application is denied, applicants can request a formal hearing or informal conference to address the Commission’s concerns.
Overview of Real Estate Licensing in North Carolina
To get your North Carolina real estate license, you must be at least 18 years old, have a social security number, and meet one of the following requirements:
- U.S. citizen
- non-citizen national or a qualified alien under federal law
- have a lawful presence in the U.S. and be authorized to work in the U.S. in the real estate brokerage field
If you can meet those basic requirements, the next step is to sign up for the 75-hour North Carolina real estate license classes. These courses can be completed at your own pace online or during scheduled livestream or in-person class sessions.
The next step is to complete your license application. You must order and pay for a criminal record report to complete the application. These reports are required because applicants for a real estate license must possess “the honesty, truthfulness, integrity, good moral character, and general fitness, including mental and emotional fitness, necessary to protect the public interest and promote public confidence in the real estate brokerage business.”
In short, your character is important, and a criminal record may limit your ability to get licensed.
If you pass your background check, you’ll receive instructions on how to sign up for the North Carolina real estate licensing exam, which you must pass with at least a 75%.
However, what if you don’t pass the background check? Keep reading if you have a problematic legal history.
Legal Considerations for Felons
Every state’s real estate licensing commission has a background check requirement for licensees. Here’s what you need to know about North Carolina’s laws and regulations.
North Carolina laws and regulations
A criminal record report is required for real estate license applications in North Carolina. It must include searches of criminal records from each state, county, or country where the applicant has lived in the past seven years under all names used. International criminal records must also be included if an applicant has lived outside the U.S. Military records are also searched.
The report will show all felony and misdemeanor convictions, not just those from the past seven years.
Additionally, the North Carolina Real Estate Commission (NCREC) checks applicants against a national disciplinary database for real estate license issues in other states.
If the applicant has a criminal conviction or other “character issues,” such as professional license disciplinary actions or unpaid judgments, the NCREC will evaluate the applicant’s character using specific criteria. The evaluation process can take up to 45 days, and applicants with character issues may request a formal hearing or informal conference to discuss the matter.
Would you like to know whether your background will be a problem BEFORE completing your real estate coursework? Individuals with criminal records can petition the Commission for a pre-determination to assess whether their history will affect their eligibility for a license.
Types of felonies that may affect licensure
A “character issue” arises when a real estate license applicant has a criminal conviction (including serious traffic offenses like DWI) or answers “Yes” to questions on the application regarding criminal offenses, professional discipline, or unpaid judgments. The NCREC evaluates such cases individually, considering factors like the severity and timing of the crime, the applicant’s age at the time, rehabilitation efforts, and subsequent behavior.
Disclosure Requirements for Felons
When you apply for your license, you must disclose the following on your application:
- All felony or misdemeanor criminal convictions, including serious traffic offenses like Driving While Impaired (DWI)
- Any current or pending criminal charges, even if they have not yet resulted in a conviction
- Disciplinary actions taken against you concerning a professional license, such as suspensions or revocations in any state
- Unpaid judgments or liens, including those related to civil or financial matters
- Use of different names
This information about your past does not necessarily mean you’ll be automatically disqualified from getting your license. But if you don’t reveal the information upfront, you’ll more than likely be denied a license.
It might be tempting to try to hide a felony or criminal record, but the best thing to do is provide full disclosure to the real estate commission. Explain the following:
- The specific conviction and the circumstances surrounding it
- How long it’s been since you completed your sentence
- How you’ve been rehabilitated and/or changed
- Why you want to become a real estate agent
The Commission will consider both the positive and the negative aspects of your character in its evaluation, so the members may ask you for more information, such as a civil records search or credit report, before making a decision.
Please note: If you have a pending criminal charge or other matter related to your character, the Commission may postpone consideration of the application until the awaiting issue has been resolved.
A license will be issued if the Commission determines an applicant has the required good character. The application will be denied if the Commission determines that an applicant hasn’t demonstrated the requisite truthfulness, honesty, and integrity for licensure. If you’re denied, you’ll be advised of your right to request a hearing before the Commission.
FAQs About Felonies and Real Estate Licenses
Can a felon get a real estate license in North Carolina?
Yes, a felon may be able to get a real estate license in North Carolina. However, the NCREC will carefully review the applicant’s criminal history and assess their character on a case-by-case basis. The Commission will consider factors such as the severity of the crime, the time elapsed since the offense, rehabilitation efforts, and the applicant’s behavior since the conviction.
Felons are not automatically disqualified but must demonstrate the honesty, integrity, and trustworthiness required for licensure.
What types of felonies are most likely to affect my real estate application?
Felonies involving fraud, embezzlement, violent crimes, or those related to dishonesty are more likely to impact your real estate license application negatively. Additionally, drug-related felonies or repeated offenses may also raise concerns. The Commission considers the nature and seriousness of the felony, as well as the potential impact on your ability to perform real estate duties ethically and responsibly.
What should I include in my personal statement to accompany my application?
In your personal statement, provide a detailed and honest explanation of your felony conviction, including the circumstances surrounding the crime, your age at the time, and what you’ve done since then to demonstrate rehabilitation. Include information about participation in rehabilitation programs, employment history, community service, and character references. Be transparent about your growth and how you’ve changed since the offense, highlighting why you’re now a trustworthy and responsible candidate for a real estate license.
What happens if my application is denied?
You’ll receive written notice from the NCREC if your application is denied. You have the right to request a formal hearing to appeal the decision within 60 days of the denial. The decision becomes final if you don’t request a hearing within this period.
In some cases, you may also be offered an informal conference to discuss the character issues before the final determination is made. If your application remains denied, you may seek legal guidance for further appeals or reapply after addressing the concerns raised by the Commission.
A felony conviction is a serious offense, but you might still be able to become a real estate broker with one. A real estate career is possible if you’re honest, disclose your past, and display integrity at every turn.
If you’re ready to get started in your real estate career, Superior School of Real Estate offers the pre-licensing courses and information you need.
