UtahH.B. 3372025 General SessionHouseWALLET

Property Manager Requirements

Sponsored By: Jordan D. Teuscher (Republican)

Signed by Governor

BusinessReal EstateRental and Leasing ServicesOccupational and Professional Licensing

Personalized for You

How does this bill affect your finances?

Personalize government policy and PRIA will tell you what this bill means for your household, plus every other piece of legislation we track. PRIA reads each provision against your financial profile to show you exactly what matters to your wallet.

Free to download

Bill Overview

Analyzed Economic Effects

7 provisions identified: 2 benefits, 2 costs, 3 mixed.

Licensing exceptions for owners and workers

Beginning January 1, 2026, owners and lessors can perform listed management tasks on property they own or lease without a license. An owner's immediate family can also perform listed tasks on that owner's property. Assistants qualify for limited support work; workers doing only maintenance, repairs, bookkeeping, or accounting are also exempt. Rental-agency regional managers and corporate officials qualify only when they do not perform covered property management acts. Regular salaried common interest association employees can manage property covered by the association's declaration, without the former one-association limit.

Property managers gain rental service powers

Beginning January 1, 2026, property managers can fill out forms, contracts, and leases tied to renting and managing property. They can seek referrals, pay unlicensed people for prospective-client referrals, and accept referral fees from licensed or unlicensed people. They can advertise rentals, arrange services, pay bills, and act for owners as their management agreements allow. These permissions cover property management, not buying, selling, exchanging, or offering those transactions for someone else.

Background checks for real estate licensees

Beginning January 1, 2026, property manager applicants must submit fingerprints, sign a waiver, and consent to state and federal background checks. They must pay a fingerprint-related fee when applying; the law does not state the amount. Utah checks the records and requests fingerprint retention in the FBI's Rap Back service for ongoing criminal-history monitoring. Sales agents, principal brokers, associate brokers, and property managers renewing or reinstating licenses must also submit fingerprints, consent, and pay a fee. That renewal or reinstatement requirement applies only to applicants not already under ongoing criminal-history monitoring.

Utah property managers need state licenses

Beginning January 1, 2026, paid property managers need a Utah property manager license unless a legal exemption applies. Covered work includes arranging rentals, collecting rent, and signing leases or tenant add-ons for another owner's property, including advertised services. Hotel and motel management, tourist stays under 30 consecutive days, and certain mineral or oil and gas work are excluded. The Real Estate Commission can set management and licensing rules with Division approval, following state rulemaking law and this law. Utah also ends authority to issue specialty-limited sales and property management licenses and removes the related property management sales agent designation.

New safeguards for rent and deposits

Beginning January 1, 2026, property managers must use at least one trust account at a Utah bank or credit union. It holds deposits, rent, owner reserves, unexpected-expense funds, and other designated client money, unless the management contract changes the arrangement. Accounts normally earn no interest. Interest-bearing accounts require written agreements allowing interest and naming who receives it when the contract finishes or fails, plus compliance with agency rules. Managers can skip the trust account if a security bond protects at least 30% of estimated client funds in their bank accounts.

Real estate workers can restore licenses

Beginning January 1, 2026, the Division can reinstate expired Utah real estate licenses during the first 30 days after expiration. Reinstatement is also available after that period until one year after expiration. Applicants must pay renewal and applicable late fees. Restoring an active license also requires acceptable proof of required continuing education or demonstrated competence.

Training and fees for property managers

Beginning January 1, 2026, property manager applicants generally need at least 24 hours of Division-set training and a licensing exam. Each exam topic's share of questions must match its share of training hours. Out-of-state property manager license holders can receive a state-specific course with hours set by rule; exam changes require Commission approval and out-of-state licensing, relevant experience, or good cause. Active brokers, associate brokers, and sales agents can get the license without the property manager training or exam. Initial licenses, renewals, and exam admission carry nonrefundable fees, but the law does not state dollar amounts.

Sponsors & Cosponsors

Sponsor

Jordan D. Teuscher
Republican • House

Cosponsors

Calvin R. Musselman
Republican • Senate

Roll Call Votes

All Roll Calls

Yes: 223 • No: 0

House vote • 3/3/2025

House/ concurs with Senate amendment

Yes: 71 • No: 0

Senate vote • 2/28/2025

Senate/ passed 3rd reading

Yes: 23 • No: 0

Senate vote • 2/27/2025

Senate/ passed 2nd reading

Yes: 22 • No: 0

Senate vote • 2/27/2025

Senate/ floor amendment

Yes: 0 • No: 0

Senate vote • 2/20/2025

Senate Comm - Amendment Recommendation

Yes: 4 • No: 0

Senate vote • 2/20/2025

Senate Comm - Favorable Recommendation

Yes: 4 • No: 0

House vote • 2/13/2025

House/ passed 3rd reading

Yes: 71 • No: 0

House vote • 2/5/2025

House Comm - Favorable Recommendation

Yes: 14 • No: 0