BROKER ALERT

DRE ADVERTISING GUIDELINES

                       On October 5, 2026, Broker Risk Management (“BRM”) provided its Fall Risk Management webinar.  BRM discussed a transition by the California Department of Real Estate (“DRE”), whereby the DRE is now focusing on agents’ social media.

The DRE is specifically focusing on compliance with DRE advertising guidelines, a copy of which is attached.  The DRE is confirming that an agent’s complete and full name is listed, consistent with the name on the agent’s license.  The DRE is also looking to confirm that the broker is identified, as well as the agent’s license number.

A relatively new development is the DRE prohibiting agents from using names that could be misleading, such as suggesting that the agents have an independent brokerage.  The DRE’s prohibitions apply despite agents using their surname.  For example, the DRE will prohibit an agent from using “Smith Realty.”  According to the DRE, that name suggests that the agent has his/her own brokerage, which is not accurate.

The DRE has also raised questions regarding names such as “John Smith Homes.”  “Homes by John Smith” may be a more acceptable name.

Please let us know if you have any questions or need assistance in this regard.

DO NOT FORWARD TO SELLERS OR BUYERS.  This Broker Alert is for the exclusive use of clients of Broker Risk Management and their agents.  It may not be reproduced or distributed without the express written consent of Broker Risk Management.  The advice and recommendations contained herein are not necessarily indicative of standards of care in the industry, but rather are intended to suggest good risk management practices.