Category: Study Guides

Source of Income Discrimination: The NY Rule Most Candidates Miss

Refusing a tenant because they pay with a housing voucher is unlawful in New York. It is not one of the seven federal protected classes — which is exactly why national prep courses leave it out and the New York exam puts it in.

Start with the federal seven

The federal Fair Housing Act protects seven classes. Nearly every prep course in the country teaches these, and you should know them cold:

Familial status is the one people forget: it protects households with children under 18, and pregnant people. A landlord advertising “adults only” is describing a violation, not a preference.

What New York adds on top

Here is where candidates studying from national material get caught. New York’s Human Rights Law protects additional classes beyond the federal seven, including:

• Age
• Marital status
• Military status
• Source of income
• Sexual orientation
• Gender identity or expression
• Domestic violence victim status

Individual localities — New York City in particular — protect further categories still. For exam purposes, the point to internalise is directional: New York protects more than the federal minimum, so an answer that lists only the federal seven is frequently the wrong answer.

Source of income, specifically

Source of income protection means a housing provider may not refuse an applicant because of where their lawful income comes from. That covers housing vouchers (including Section 8), Social Security, disability payments, alimony, child support, veterans’ benefits, and other lawful sources.

Practically, this means:

• “No vouchers” or “no programs” in a listing is a violation.
• Refusing to show a unit once a voucher is mentioned is a violation, even if no formal application was ever made.
• Applying a stricter income multiple to voucher holders than to other applicants is a violation.
• Telling an applicant the unit is “no longer available” after they mention a voucher is a violation — and it is also the classic fact pattern for a fair housing tester.

A housing provider may still apply neutral, consistently enforced criteria — credit history, references, prior evictions — as long as those standards are applied the same way to everyone. The rule prohibits treating the source of the money differently, not screening tenants at all.

The three prohibited practices, and how they read in a question

The exam usually presents these as scenarios rather than definitions, and the agent in the scenario is usually described as well-intentioned. Intent is not the test. An agent who only shows a family with children buildings that already have children is steering, regardless of motive.

Advertising traps

Fair housing violations frequently appear in advertising questions, because a listing puts the discriminatory preference in writing.

• “Perfect for a young professional” — implicates age and potentially familial status.
• “Ideal for a mature couple” — age and marital status.
• “Walking distance to St. Mary’s” — can imply religious preference.
• “No Section 8” — source of income.
• “Quiet building, no kids” — familial status.

The safe pattern: describe the property, never the desired occupant. “Two bedrooms, third floor, no elevator” is a description. “Better for someone without young children” is a preference, and it is unlawful.

Separately — and unrelated to fair housing but tested alongside it — New York prohibits blind ads. Every advertisement must identify the brokerage. An ad that reads as though a private owner placed it, when in fact a licensee did, is a license law violation.

How this shows up on the exam

• “Which of these is NOT a federally protected class?” — read carefully; New York additions are commonly the correct answer to a “not federal” question.
• “May a landlord refuse a housing voucher in New York?” — no.
• Scenario questions where an agent steers with good intentions — still a violation.
• Advertising questions — find the phrase describing the occupant rather than the property.
• Co-op board questions — board discretion does not override fair housing law. See our guide to co-ops vs condos.

Fair housing is one of the largest topic areas on the New York exam and one of the easiest to over-estimate your knowledge of, because the federal seven feel like the whole answer. They are not. If your study material was written for a national audience, this is the gap — our free New York quick reference PDF lists the New York additions on one page.

Co-op vs Condo: What the NY Exam Actually Tests

A condo buyer gets a deed. A co-op buyer gets shares of stock and a lease. Almost every exam question on this topic is a variation on that one distinction — and national prep courses barely mention it.

The core distinction: what you actually own

Everything follows from one question — is the buyer acquiring real property or personal property?

A condominium purchaser receives a deed. They own real property: the airspace within their unit, plus an undivided percentage interest in the common areas, held with the other unit owners as tenants in common. They pay their own property taxes on their own tax lot.

A cooperative purchaser receives shares of stock in a corporation plus a proprietary lease giving them the right to occupy a specific unit. They own personal property, not real property. The corporation owns the building. There is no deed and no separate tax lot for the unit.

Side by side

The co-op board — the part that surprises people

A cooperative board can approve or reject a prospective purchaser, and it generally does not have to state a reason. Applicants typically submit an extensive package — financial statements, tax returns, reference letters — and sit for a board interview.

This is genuine authority, and the exam tests that you know it exists. But there is a hard limit: a board may not reject an applicant for a reason prohibited by fair housing law. The absence of a stated reason does not create an exemption from anti-discrimination rules. A question describing a rejection that correlates with a protected characteristic is describing a violation, however the board framed it.

A condominium board, by contrast, usually has only a right of first refusal — it can buy the unit itself on the same terms rather than let the sale proceed, but it cannot simply veto a buyer.

Financing and closing differences

• Co-op loans are share loans. Because the collateral is stock and a lease rather than real property, the instrument differs — and some lenders will not write them at all.
• Co-op boards often cap financing. A building may require a minimum down payment well above what a lender would otherwise accept.
• Flip taxes are common in co-ops. A transfer fee payable to the corporation on sale, set by the building’s own rules.
• Sublet rules are stricter in co-ops. Many buildings limit or prohibit subletting; condos are usually far more permissive, which is part of why investors prefer them.

Why New York cares so much about this

Cooperatives are disproportionately a New York phenomenon. A large share of the housing stock in New York City is co-op — in many neighbourhoods, considerably more co-op than condo — and the form is far less common in most other states.

That is precisely why national prep material handles it thinly and why the New York exam handles it heavily. A national course has little reason to spend time on a structure most of its readers will never encounter. If you are studying from generic material, this topic is one of the predictable holes in it.

How it gets asked

• “What does a co-op purchaser receive?” — shares of stock and a proprietary lease. Not a deed.
• “Which is personal property?” — the co-op interest.
• “Who pays the property taxes in a co-op?” — the corporation, recovered through maintenance.
• “Can the board reject a buyer?” — a co-op board can; a condo board generally holds only a right of first refusal.
• Fair housing overlap. A board rejection that tracks a protected class is unlawful regardless of the board’s discretion.
• “How are common areas held in a condo?” — by the unit owners together, as tenants in common.

The other New York topics that travel with this

Co-ops and condos sit inside a cluster of New York-specific material that the exam draws on repeatedly: rent stabilization (which mainly covers older buildings of six or more units in certain areas, notably New York City), the mansion tax (an additional transfer tax on higher-priced residential purchases, paid by the buyer — unlike the standard transfer tax, customarily paid by the seller), and New York’s expanded fair housing protected classes.

If you have been preparing with national material, treat this cluster as its own study session rather than assuming it is covered. Our free New York quick reference PDF puts all of it on two printable pages, and the glossary defines the vocabulary these questions use.

NY Agency Disclosure: When Must You Give the Form?

At the first substantive contact. Not at the showing, not with the offer, not at closing. This single timing rule appears on the exam more reliably than almost anything else in New York agency law.

The rule, in one sentence

New York requires a licensee to present the agency disclosure form at the first substantive contact with a prospective buyer or seller, and to obtain a signed acknowledgement.

That is the whole answer to the exam question. Everything else in this guide exists to stop you being talked out of it by a plausible-sounding distractor.

What counts as “substantive contact”?

The phrase is doing precise work. Substantive contact is where the conversation moves past pleasantries and general information into the specifics of a person’s real estate needs, motivations, or finances.

The practical test is simple: the moment the conversation would be damaging to that person if you repeated it to the other side, disclosure should already have happened.

Why the exam keeps asking

Because the disclosure form is the mechanism that makes everything else in agency law work. It is the point at which a consumer learns who you actually represent — and therefore whose interests you are legally bound to put first.

A buyer chatting at an open house may assume the agent standing there is helping them. If that agent is the seller’s agent, everything the buyer volunteers about their maximum budget can lawfully be passed to the seller. The disclosure exists to end that misunderstanding before it costs the consumer money — which is exactly why the timing is early rather than convenient.

What if the consumer refuses to sign?

Refusal does not stop you working. You note the refusal — recording the date, time, and circumstances — and keep that record on file. The obligation is to present the disclosure and seek acknowledgement, not to obtain a signature under all circumstances.

This is a common exam distractor. Answer choices will suggest you must stop working with the person, or that the transaction cannot proceed. Neither is correct.

Dual agency and the consent rule

Dual agency — one licensee or one brokerage representing both sides of the same transaction — is legal in New York, but only with the informed, written consent of both parties. Both words matter:

• Informed — the parties must understand what they are giving up. A dual agent cannot advocate for either side’s price position or reveal one party’s motivation to the other.
• Written — verbal agreement is not sufficient.

New York also recognises designated agency, in which a broker assigns different agents within the same firm to each side, with a designated sales agent for the buyer and another for the seller. Expect questions that test whether you can tell these apart.

The duties the disclosure is protecting

Once agency exists, the licensee owes fiduciary duties to the principal. The standard mnemonic is OLD CAR:

Note that obedience is limited to lawful instructions. A principal who instructs you to conceal a known material defect, or to screen buyers by a protected characteristic, is giving an instruction you must refuse. Questions testing this are common, and the answer is always that the law outranks the client.

How this appears on the exam

Recognise the shapes and the questions get much faster:

• Timing questions. “When must the agency disclosure form be presented?” — first substantive contact.
• Scenario questions. A conversation is described and you decide whether disclosure was required. Look for the moment motivation or finances entered.
• Refusal questions. Someone declines to sign — you note the refusal and continue.
• Dual agency consent questions. Is it permitted? Yes, with informed written consent from both.
• Duty-conflict questions. A client instructs something unlawful — the duty of obedience does not extend that far.

Agency is one of the largest topic areas on the New York exam, and it is also one where generic national study material is weakest, because the timing rule and the specific disclosure form are New York’s own. If you are studying from national prep, this is a gap worth closing deliberately — our free New York quick reference PDF collects the NY-only rules in one place.

How Much Math Is on the NY Real Estate Exam?

Expect roughly 8 to 12 questions out of 75 — around 10% of the exam. It is the most predictable section on the test, and the one candidates most often surrender without a fight.

How many math questions are on the exam?

The New York State Salesperson exam is 75 multiple-choice questions in 90 minutes, and you need 70% — 53 correct — to pass. Real estate math typically accounts for somewhere around 8 to 12 of those questions.

That number matters more than it looks. If you write off math entirely, you are starting the exam having already conceded roughly a tenth of it. You then need about 53 of the remaining 63–67 questions correct, which turns a comfortable margin into a tight one.

The math that actually shows up

Despite how open-ended it feels, the exam draws from a small, stable set of calculation types. Learn these six families and you have covered nearly all of it.

Two more appear occasionally: property tax mill rates and simple appreciation or depreciation over a period. Both are straightforward percentage work once you know the setup.

Is the math hard?

Not mathematically. There is no algebra beyond rearranging a simple equation, no geometry past length × width, and no calculus of any kind. Everything is arithmetic and percentages.

What makes it feel hard is that the questions are written as short stories rather than equations. The difficulty is in translating the words into numbers, not in the arithmetic itself. A question rarely says “calculate the commission” — it says a home sold, at a rate, split between two brokerages, and the agent is on a 60/40 with their broker, and asks what the agent takes home.

Can you bring a calculator?

Policy on calculators is set by the state and the testing vendor, and it can change, so confirm the current rule in eAccessNY when you book rather than trusting anything you read online — including this page. What is consistently true: a phone is never acceptable as a calculator, and personal items are generally stored outside the testing room.

Practically, this means you should practice as if you may be doing some of it by hand. Long multiplication of a sale price by a decimal rate is worth being comfortable with.

A method that works under time pressure

With 75 questions in 90 minutes you have about 72 seconds per question. Math questions take longer than average, which is fine as long as you are not also solving them inefficiently.

1. Write the numbers down as you read. Do not hold them in your head while parsing a three-sentence scenario.
2. Identify what is being asked before you calculate anything. Circle the party: total, brokerage, or agent.
3. Solve the whole first, then divide it. Almost every commission question is total → split → split again. Doing it in that order prevents compounding errors.
4. Convert percentages once. 6% becomes 0.06 at the start, not repeatedly mid-calculation.
5. Sanity-check the magnitude. A 6% commission on a $500,000 home is $30,000 — if you get $3,000 or $300,000, you slipped a decimal.
6. If it takes more than ~90 seconds, flag it and move on. Come back after you have banked the questions you know.

Mistakes that quietly cost points

• Calculating points on the sale price. Discount points are a percentage of the loan amount, not the purchase price. This is one of the most reliably missed questions on the exam.
• Stopping at the total commission. If the question asks what the agent earns, the total is only step one of three.
• Mixing up cap rate and GRM. Cap rate uses net operating income; gross rent multiplier uses gross rent. The words “net” and “gross” are doing the work.
• Prorating with the wrong day count. Know whether the question uses a 365-day year or a 360-day banker’s year, and whether the seller owns the day of closing.
• Answering the reciprocal. LTV is loan divided by value. Value divided by loan is a different number and it is often on the answer sheet.

The only thing that actually fixes it

Reading formulas does not build the skill. Working problems does. Do ten commission questions in a row and the three-step structure stops being something you reason about and starts being something you recognise.

Two free things on this site will help: the real estate math calculator, which shows every step rather than just the answer, and the math formula cheat sheet, which is also available as a printable PDF.

Use the calculator to check your work and to see the method — then do the next problem on paper. You will not have it on exam day, and the exam is testing whether you can run the method.

NY Real Estate License Renewal & Continuing Education

Your NY license renews every two years and requires 22.5 hours of continuing education. Here is what those hours must cover, how to renew through eAccessNY, and what happens if you let it lapse.

The basics

A New York real estate salesperson license is valid for two years. To keep it active you must complete continuing education and renew before it expires.

The 22.5-hour requirement applies to both salespersons and brokers, and it resets every renewal cycle.

What the 22.5 hours must include

It is not 22.5 hours of anything you like. New York mandates specific subject areas within that total, including:

• Fair housing and/or discrimination in the sale or rental of property
• Implicit bias awareness training
• Cultural competency training
• Legal matters — recent legislative and regulatory changes affecting the industry

The exact hour breakdown for each mandatory topic has been adjusted by the legislature more than once in recent years. Before you buy a CE package, confirm the current required breakdown at dos.ny.gov — and make sure the provider is approved by the Department of State. An unapproved course does not count, no matter how good it is.

Who is exempt

There is a long-standing exemption for licensed brokers who have been continuously licensed and actively engaged in the real estate business for a qualifying number of years. This exemption applies to brokers, not to salespersons — as a salesperson you should plan on completing the full 22.5 hours every cycle.

Attorneys admitted to the New York bar have their own separate pathway into real estate licensure with different requirements.

How to renew

1. Complete your CE hours with a Department of State–approved provider. Your provider reports completion to the state.
2. Log into eAccessNY — the same system you used to schedule your exam and submit your original application.
3. Submit the renewal and pay the renewal fee.
4. Confirm it processed. Do not assume. Check that your license status shows as renewed.

New York generally sends a renewal reminder ahead of your expiration date, but the responsibility is yours regardless of whether a reminder reaches you. Email addresses change, mail gets lost.

What if your license expires

An expired license means you cannot legally practice. You cannot show property, negotiate deals, or collect commission on new business until it is reinstated.

New York does allow late renewal, but there are consequences: you are unlicensed during the gap, and depending how long it lapses, reinstatement gets more involved. If it lapses long enough, you may face re-examination or re-education requirements.

The practical advice is simple: do not let it lapse. Set a calendar reminder 90 days before your expiration date, not 7 days.

Practical tips

• Do not leave CE to the final month. Approved courses fill up and processing takes time.
• Keep your own records. Save certificates even though providers report to the state — systems fail.
• Verify the provider is DOS-approved before paying. This is the most common expensive mistake.
• Update your contact details in eAccessNY whenever they change, so renewal notices actually reach you.
• If you change brokerages, that transfer is separate from renewal — handle both.

What Happens After You Pass the NY Real Estate Exam?

Passing is not the finish line. Here are the three remaining steps — sponsoring broker, fingerprinting, and your license application — plus a realistic timeline for each.

Passing the exam does not make you licensed

This surprises a lot of people. Passing the state exam is a requirement for licensure, not licensure itself. You cannot legally practice real estate, show property, or collect commission until your license is actually issued and associated with a sponsoring broker.

There are three more things standing between you and an active license.

Step 1: Find a sponsoring broker

In New York, a salesperson license cannot exist on its own. It is always held under a licensed real estate broker who sponsors you. No broker, no active license.

This is the step that takes the longest for most people, and it is worth starting before you pass the exam rather than after. Interview more than one brokerage — they differ enormously on commission split, training, desk fees, and how much support new agents actually get.

Questions worth asking: What is the commission split, and does it change with volume? Are there monthly desk or technology fees? What training do new agents receive in the first 90 days? How many agents does the managing broker personally supervise?

Our guide on finding a sponsoring broker in New York goes deeper on how to evaluate offers.

Step 2: Fingerprinting and background check

New York requires fingerprinting for a criminal history background check as part of licensure. This is handled through the state’s approved vendor, and there is a separate fee for it.

You can generally get fingerprinted before you have a broker lined up, and doing so early removes it from the critical path. Results take time to process, so this is a good task to knock out while you are still interviewing brokerages.

A past conviction does not automatically disqualify you. New York evaluates these case by case — see our guide on getting a NY real estate license with a criminal record.

Step 3: Submit your license application

Once you have passed the exam, been fingerprinted, and secured a sponsoring broker, you submit your salesperson license application through eAccessNY and pay the application fee.

Your sponsoring broker plays a role here — the association between you and the brokerage has to be established in the system. Coordinate with whoever handles licensing at your brokerage so this does not stall.

Processing time varies. Budget a few weeks and do not assume it is instant.

Realistic timeline after passing

The candidates who get licensed fastest are the ones who ran these steps in parallel with exam prep instead of waiting for the pass notification.

Then what?

Once your license is issued and active under your broker, you can legally practice. Two things to keep in mind from day one:

• Your license is held by your broker. If you leave that brokerage, your license must be transferred to a new sponsoring broker before you keep working.
• Renewal comes around every two years and requires continuing education. It arrives faster than you expect — see our guide to NY license renewal and CE requirements.

How to Schedule Your NY Real Estate Exam (eAccessNY)

A plain-English walkthrough of booking your New York salesperson exam through eAccessNY — what you need first, how far ahead to book, and how rescheduling works.

Before you can schedule

You cannot book the state exam until two things are true:

• You have completed the 77-hour pre-licensing course and your school has reported your completion.
• You have created an eAccessNY account with the NY Department of State.

eAccessNY is the state’s online licensing system. It is where you schedule the exam, see your result, and later submit your license application. If you have not used it before, you will create an account first.

Scheduling, step by step

1. Log into eAccessNY. Use the Department of State’s occupational licensing portal.
2. Select the salesperson examination. Make sure you choose salesperson, not broker — they are separate exams with different requirements.
3. Choose a test site. New York runs exam sites across the state. See our testing center guide for locations.
4. Pick a date and time. Availability is first-come, first-served.
5. Pay the exam fee to confirm your seat. The current amount is shown in eAccessNY at booking.
6. Save your confirmation. Note the exact address, date, and reporting time.

How far ahead should you book?

This depends heavily on location. Downstate and New York City sites tend to fill up faster than upstate ones, especially for weekend and evening slots.

A practical approach: book the date before you feel fully ready, roughly three to five weeks out. A fixed date on the calendar is the single best cure for open-ended studying. You can generally reschedule if you need to, subject to the state’s notice rules.

Rescheduling or cancelling

Plans change. New York allows rescheduling through eAccessNY, but there are notice requirements — leave it too late and you may forfeit the fee and need to rebook and pay again. If you know you cannot make the date, act as early as possible rather than hoping.

What to bring on exam day

• Valid government-issued photo ID with a signature. The name should match your registration.
• Your exam confirmation details.
• A basic calculator if permitted — check the current rules when you book. Phones are not allowed as calculators.

Personal items are typically stored outside the testing room. Arrive early; late arrivals are usually turned away and forfeit the fee. Our exam day guide covers this in more detail.

After you book

Once the date is locked in, work backwards from it:

1. Week 1: Take a cold, untimed practice test to find your weak topics.
2. Weeks 2–3: Drill those specific topics with question practice, reading the explanation on everything you miss.
3. Final week: Two or three full-length timed tests to build pacing and stamina.

Do not save the timed practice for the end of your studying — save it for the end of each week. Running out of time is a completely avoidable way to fail.