If you’re a licensed real estate broker considering a temporary break from active sales — whether to focus on another career, raise a family, or simply reduce your workload — placing your real estate license on hold is a smart move. It allows you to maintain your license in good standing without the responsibilities and costs of being affiliated with a traditional brokerage.
But what does “putting your real estate license on hold” really mean? And how can a real estate license holding company help you stay compliant while preserving future income potential? Let’s break it down.
What Does It Mean to Place Your Real Estate License on Hold?
Putting your real estate license on hold doesn’t mean giving it up or letting it expire. It simply means you are removing yourself from active practice — no open houses, no client representation, no negotiations — but you’re still keeping your license current with the state.
In Illinois, you can either:
- Become inactive, which means you’re not affiliated with a brokerage and cannot legally engage in real estate transactions, or
- Transfer your license to a real estate license holding company, which allows you to remain licensed and earn referral commissions without practicing full-time.
Why Use a Real Estate License Holding Company?
A real estate license holding company exists for one primary purpose: to hold licenses for agents who want to stay in the industry passively. Instead of giving up your license or going inactive, you can park your license with a holding company and continue to:
- Collect referral income by referring buyers and sellers to active agents
- Avoid board and MLS fees, which are typically required by traditional brokerages
- Stay compliant with license renewal requirements while maintaining industry connections
- Return to full-time sales easily when the time is right, with no need to requalify
It’s a perfect solution for part-time agents, retired professionals, or those in transition.
Steps to Place Your Real Estate License on Hold in Illinois
Here’s a step-by-step guide to help you put your real estate license on hold:
- Contact Your Current Broker
Notify your current brokerage of your intention to transfer or inactivate your license. In Illinois, you are required to notify your broker within 24 hours of transferring. - Choose an Illinois Real Estate License Holding Company
Research reputable companies that offer license holding services in your state. Look for transparency in fees, a clear referral program, and minimal compliance requirements. - Transfer Your License
Submit the required online application to transfer your license to the holding company through the IDFPR portal. Typically the transfer takes place in 24 hours, but occasionally may be delayed by up to a week. - Maintain Your License
Even while on hold, you’ll still need to complete continuing education and renew your license as scheduled. Your holding company should provide reminders and resources to help you stay on track.
Final Thoughts
Placing your real estate license on hold doesn’t have to mean walking away from your career. With the help of a real estate license holding company, you can retain your license, protect your hard-earned credentials, and even continue earning income through referrals — all without the demands of active practice.
If you’re ready to take a step back from sales but still want to keep your license alive, consider working with a trusted real estate license holding company. It’s the most flexible and professional way to stay connected to the industry on your terms.
Ready to Put Your Real Estate License on Hold?
At NextPath Realty LLC, we specialize in helping agents like you stay licensed and earn referral income — without the pressure of day-to-day sales. Our real estate license holding company provides a simple, affordable way to keep your license active, remain compliant, and generate passive income.
Contact us today to learn how easy it is to transfer your license and stay connected to the real estate industry on your terms. Ready to join? Fill out our simple online application and start making through your referrals.