As the holiday season approaches, many of Florida’s real estate licensees are preparing for the end of the 2025 fiscal year and business planning ahead to new opportunities. As the 12 Days of Christmas approach, here is the first half of a list of twelve real estate violations for licensees to avoid in the new year, based on the most common recent disciplinary actions seen by the Florida Real Estate Commission (“FREC”):
Six Real Estate Violations to Avoid in 2026
- § 475.25(1)(e), F.S. – Violating any rule of the FREC or lawful order or rule made or issued under the Florida Statutes that govern real estate licensees. You can help avoid this violation by remaining vigilant in your compliance with the legal provisions that govern the real estate industry, including general orders that may affect you as well as specific orders (such as disciplinary orders) that apply to you in particular.
- § 475.25(1)(m), F.S. – Obtaining a license through fraud, concealment, or misrepresentation. This violation relates back to the means by which a license is obtained, and the statute of limitations for this is flexible and may allow for prosecution of a license that has been in existence for a long period of time. You can help avoid this violation by being honest and forthcoming when you apply for your real estate license and by taking steps to proactively inform the FREC of any circumstances of facts that may have impacted your license application.
- Failing to comply with a Department of Business and Professional Regulation (“DBPR”) or FREC order or failing to respond to official inquiries. This violation can be easy for a licensee with a high-volume of business to commit, as it may be the result of something as simple as a failure to properly calendar the payment of an administrative fine. You can help avoid this violation by setting multiple calendar reminders or using other scheduling tools to ensure that pending actions to satisfy an order or to answer an inquiry take place. You can also prioritize early response to an inquiry or payment to avoid any calendar issues altogether.
- § 475.25(1)(f), F.S. – Being convicted or found guilty of a crime related to real estate or involving moral turpitude. This violation involves criminal conduct, which is something that every licensee should aim to avoid. You can help avoid this violation by avoiding any conduct that you know may have criminal implications and contacting an attorney before engaging in business changes that may appear to fall into a grey area.
- § 475.25(1)(d)1, F.S. – Failing to account and deliver escrow, trust funds, or property belonging to others. This is the classic violation for escrow mismanagement and is one of the easiest for a broker to commit. You can help avoid this violation by establishing and using clear accounting and bookkeeping practices and ensuring that your staff is aware of these practices. Good practices include ensuring that clients make payments to the proper parties and proper accounts, conducting routine escrow account transaction reviews, and ensuring that you have a system for making your business-related payments from accounts or payment methods separate from your escrow account.
- § 475.25(1)(p), F.S. – Failing to inform the FREC in writing within 30 days after pleading guilty or nolo contendere to, or being convicted or found guilty of, a felony. This is a violation of a licensee’s duty to self-report their involvement in felony proceedings. Crucially, this does not have to be a real estate specific felony. Additionally, it does not require an actual finding of guilt, but merely requires a plea of nolo contendere (in which adjudication may be withheld). You can help avoid this violation by promptly reporting any felony plea or conviction to the FREC.
Stay Compliant and Protect Your Real Estate License
These are only the first six of the twelve real estate violations for licensees to avoid. In the next post, we will provide detail on the second six violations that licensees should aim to avoid.