Where this fits on the exam
| Official syllabus topic | State Laws and Rules: Qualifications and Fees; Required Licensure |
|---|---|
| Official PSI group | State Laws and Rules |
| Published group count | 16 of the 52 Georgia questions |
| Exam portion | Georgia salesperson supplement |
| Source edition | PSI Georgia Candidate Information Bulletin dated July 1, 2026 |
The Rule
PSI publishes 16, 21, and 15 items for the three Georgia groups. It does not publish a guaranteed subtopic count. The statute, current GREC rule, contract, or other cited primary authority controls each lesson.
The lesson
Salesperson
An active salesperson performs brokerage on behalf of the broker holding the license. Under O.C.G.A. 43-40-25(b)(8), receiving brokerage compensation from anyone other than that broker requires the holding broker's consent.
Associate broker
An associate broker has broker-level qualification but is affiliated with another broker for the activity at issue and remains within that firm's supervision structure.
Broker and qualifying broker
A broker may operate a sole proprietorship or qualify a licensed entity. The qualifying broker carries statutory and rule-based management responsibility for the firm.
CAM and firm
The CAM category covers community association management within its authority. A corporation, LLC, or partnership conducting brokerage must hold the appropriate firm broker license.
Decision rule
Georgia rule and national contrast
Worked Georgia example
Scenario. An associate broker affiliated with Peach Realty signs an engagement in a personal business name that is not a licensed firm.
Reason it through. Broker qualification does not erase the current affiliation or firm-license requirements. The actor must work through an authorized broker and licensed firm structure.
Answer. The associate broker cannot bypass Peach Realty by using an unlicensed personal business name.
Common exam traps
- Treating an associate broker as automatically independent
- Ignoring the firm license
- Confusing a CAM with an ordinary rental manager
- Assuming qualifying broker is only an honorary title
Original practice questions with detailed explanations
These are original instructional questions mapped to the July 1, 2026 PSI outline. They are not copied from PSI or a live examination. Choose an answer before opening the explanation.
Question 1An active Georgia salesperson closes a sale, and the grateful seller wants to pay the commission straight to the salesperson. The holding broker has not consented to outside compensation. What is correct?
- A. The seller may pay directly if both agree in writing
- B. Compensation must come through the salesperson's broker
- C. The salesperson may accept it if the broker is told afterward
- D. Direct payment is allowed on the salesperson's own listings
Show answer and explanation →
Answer: B. Compensation must come through the salesperson's broker
O.C.G.A. 43-40-25(b)(8) prohibits an affiliated licensee from receiving brokerage compensation from someone other than the holding broker without that broker's consent. No such consent is given here, so the commission must pass through the broker. The client's written agreement is not the holding broker's consent.
- A. Incorrect. The seller's written agreement does not replace consent from the broker holding the license.
- B. Correct. With no broker consent to outside payment, the commission must be paid through the holding broker.
- C. Incorrect. Telling the broker afterward does not cure unauthorized direct compensation.
- D. Incorrect. A listing handled by the salesperson still belongs to the firm's brokerage business.
Question 2An associate broker affiliated with Peach Realty starts taking listings under a personal business name that is not a licensed firm. What is the problem?
- A. None, because broker qualification allows independent practice
- B. None, as long as Peach Realty receives a share of each fee
- C. The work must run through the affiliated broker's licensed firm
- D. Only a disclosure issue, fixed by adding a license number
Show answer and explanation →
Answer: C. The work must run through the affiliated broker's licensed firm
An associate broker has broker-level qualifications but works on behalf of the broker with whom the license is affiliated. Taking listings under an unlicensed personal name bypasses both the affiliation and the firm-license requirement. The independent-practice answer looks plausible because of the word broker, but qualification is not the same as operating a firm.
- A. Incorrect. Broker qualifications do not authorize an affiliated associate broker to operate an unlicensed separate firm.
- B. Incorrect. Sharing the fee does not cure listings taken under an unlicensed business name.
- C. Correct. The associate broker must conduct this work through the licensed firm with which the license is affiliated.
- D. Incorrect. Adding a license number does not license the separate business or resolve the affiliation problem.
Question 3Three licensees form an LLC to conduct brokerage in Georgia. Beyond their individual licenses, what does the arrangement require?
- A. Nothing more, because each member already holds a license
- B. A county business license, which also covers brokerage
- C. A written notice to GREC naming the managing member
- D. A firm license with a qualifying broker responsible for it
Show answer and explanation →
Answer: D. A firm license with a qualifying broker responsible for it
A corporation, LLC, or partnership that conducts brokerage must hold the appropriate firm license, and a qualifying broker is responsible for the firm's compliance. Individual licenses do not license the entity. The nothing-more answer is plausible because everyone involved is licensed, but Georgia licenses the firm separately.
- A. Incorrect. Individual licenses do not license the LLC to conduct brokerage.
- B. Incorrect. A general county business license does not replace the state real estate firm license.
- C. Incorrect. A notice naming a managing member is not a firm license with a qualifying broker.
- D. Correct. The brokerage entity needs its own firm license and a responsible qualifying broker.
Ready to move on?
You are ready for the next lesson when all of these are true.
- Distinguish a salesperson, associate broker, qualifying broker, and CAM.
- Explain why broker-level qualifications do not allow an associate broker to bypass the affiliated firm.
- Identify when both a licensed individual and a licensed firm are involved.
- Answer the practice questions without looking back, then explain why the other choices fail.
- Explain the worked example in your own words and identify the fact that decides the answer.
- Retest this topic on another day in a mixed question set.
Recommended next lesson
Continue with Georgia License Qualifications, Education Routes, Experience, and Fees. Each license category has its own way in, and the next lesson lists them: the 75-hour salesperson course or its alternatives, the 25-hour CAM course, and the three years of active licensure in the past five that a broker candidate needs.
Return to the State Laws and Rules hub for the complete official branch and the full lesson list for this Georgia group.