1. A. Certificate of School Approval. Except for a community college or university accredited by the Council on Post Secondary Accreditation or the U.S. Department of Education offering courses in real estate, any school offering a course of study for original or renewal licensure of a real estate applicant shall apply for and possess a Certificate of School Approval from the Department. The school’s administrator or an owner shall provide the following information on or with the Certificate of School Approval form:

   1. 1. The name, address, telephone number, and email address, if any, of the school;
   2. 2. The name of the owners, school legal names, and d.b.a. name, if any;
   3. 3. Whether the owner is a sole proprietorship, partnership, trust, limited liability company, or corporation;
   4. 4. The name, address, telephone number, and percentage ownership of each person, entity, or beneficiary holding or controlling 10% or more financial interest in the school;
   5. 5. The name of each individual authorized to act on behalf of the school and sign continuing education certificates or prelicensure verifications, or both;
   6. 6. The name, address of record, and telephone number of all current and prospective administrators and directors;
   7. 7. If the owner is a partnership, a copy of the partnership agreement naming the partner authorized to act on its behalf;
   8. 8. If the owner is a corporation or limited liability company, as applicable, a copy a of current Certificate of Good Standing from the Arizona Corporation Commission.
   9. 9. The location of student enrollment, attendance, and certification records.

2. B. Certificate of Course Approval. Any school offering a course of study for original or renewal licensure of a real estate applicant shall apply for and possess a Certificate of Course Approval for each course offered by the school. The school’s authorized representative shall submit the following information:

   1. 1. The school name, address, telephone number, and email address, if any;
   2. 2. The authorized representative’s name, title, and signature;
   3. 3. The title of the course;
   4. 4. A detailed outline of course material content that clearly lists the subject matter to be covered;
   5. 5. The number of credit hours requested. The time allocated by a school for examination shall not be included in calculating credit hours if the examination is used for overall evaluation.
   6. 6. The category of approval requested;
   7. 7. A definition of segments if the course is to be offered in part and in its entirety;
   8. 8. If any third party recorded material will be used as instructional aids, they will not exceed 20 percent of instructional time, and;
   9. 9. The date of the application.
3. C. Instructor approval. Any person wishing to instruct an approved real estate course shall submit on a form provided by the Department detailed information of professional qualifications, demonstrating an ability to instruct, subject matter expertise, or any other applicable information.

4. D. The school shall maintain a record for five years of each student attending the school. The record shall include:

   1. 1. The name of each student;
   2. 2. The dates of attendance;
   3. 3. The title of each course taken;
   4. 4. The course number, category, and credit hours awarded; and
   5. 5. The original signature roster, if live in person instruction.

5. E. The student for prelicensing shall sign an agreement or application to enroll. The agreement or application presented to the student by the school representative must include the following, in bold type and capital letters:

   1. 1. The course or course segment title within a curriculum,
   2. 2. The total credit hours applicable for licensure or renewal,
   3. 3. The cost of each course,
   4. 4. A statement of the refund policy,
   5. 5. A statement related to license pre-determination petitions, and;
   6. 6. A statement of any job placement service.

6. F. The Department does not consider lists of employers given to graduates to be a placement service. The school may advertise job placement services only if:

   1. 1. Student referrals result from direct contact between the school placement service and prospective employers,

   2. 2. Documented evidence of student referrals is maintained and includes:

      1. a. The number of referrals to prospective employers per student,
      2. b. Results of referrals,
      3. c. Final placement or other disposition.
7. G. Complaints. The Commissioner may, and upon a verified complaint in writing shall, investigate and observe the classes of any school, owner, administrator, director, or instructor acting on behalf of the school and may examine the books and records of the school in connection with the offering of approved courses.

8. H. Change in school, course, or instructor. Each school owner, operator, director, and instructor shall:

   1. 1. Provide a written notice and supporting documentation within 10 days of any:

      1. a. Change of personal name or address,
      2. b. Change of business address,
      3. c. Change of business mailing address,
      4. d. School closing, or
      5. e. Disclosure of certification information pursuant to R4-28-301(A),

   2. 2. Provide a written notice and supporting documentation within 30 days after any change in structure of a licensed entity, including any change of a:

      1. a. Director, officer, or person holding or controlling 10% or more of the shares, if a corporation;
      2. b. Partner, if a partnership;
      3. c. Member or manager, if a limited liability company.

   3. 3. Obtain approval from the Commissioner before conducting business when:

      1. a. Changing a business name,
      2. b. Establishing a school location,
      3. c. Changing the course content,
      4. d. Changing the course length, or
      5. e. Offering a new course.
   4. 4. Provide written notice as soon as practical of a last minute change of instructor due to illness or emergency.

Historical Note

Section R4-28-404 renumbered from R4-28-403 and amended by final rulemaking at 5 A.A.R. 650, effective February 3, 1999 (Supp. 99-1). Amended by final rulemaking at 31 A.A.R. 4267 (November 7, 2025), effective December 13, 2025 (Supp. 25-4).