
Does a San Diego Property Manager Need a License? How to Check
Reviewed by Brendan McKee, Managing Broker, DRE #01882732, on October 21, 2026.
Yes. In California, anyone who rents out property, finds tenants or collects rent for someone else in exchange for pay must hold a real estate broker license from the Department of Real Estate (DRE), or work as a licensed salesperson under a broker (Bus. & Prof. Code § 10131(b)). The same rule applies across San Diego County, because licensing is state law, not a city rule. You can check any manager's license in a few minutes on the DRE's public lookup.
Key takeaways
- Managing a rental "for another or others" for compensation is broker activity under Bus. & Prof. Code § 10131(b).
- Owners managing their own property are not acting for another, so the broker definition does not reach them.
- The exemptions are narrow: for example, the resident manager of an apartment building, and limited tasks by employees working under a broker. They do not cover someone managing scattered homes for several owners.
- A company can hold a corporate broker license, with one designated officer responsible for supervising its licensed work.
- Look up the license on the DRE site, check that it is active, and confirm the name matches the company you are signing with.
- The license comes with trust account rules that protect your rent and your tenants' deposits.
What the law says
The definition of a real estate broker in Bus. & Prof. Code § 10131(b) covers a person who, "for a compensation or in expectation of a compensation, regardless of the form or time of payment," for another or others, "Leases or rents or offers to lease or rent, or places for rent, or solicits listings of places for rent, or solicits for prospective tenants, ... or collects rents from real property."
That language reaches nearly everything a property manager does: marketing a vacancy, signing up tenants, and collecting rent. It doesn't matter whether the pay is a percentage, a flat fee or something else. If a person does those things for you and expects to be paid, they need a license.
Who doesn't need a license
Owners managing their own rentals
There is no "owner" exemption written into the statute, and none is needed. Section 10131 covers acts "for another or others." An owner who rents out and manages their own home isn't acting for anyone else, so the broker definition does not apply.
The listed exemptions
Bus. & Prof. Code § 10133(a) says a license is not required for:
- a regular officer of a corporation or a general partner of a partnership, for property the entity owns or leases, if they do not act in expectation of special compensation;
- a person holding a duly executed power of attorney from the owner;
- an attorney providing legal services to a client;
- a receiver, bankruptcy trustee or other person acting under a court order;
- a trustee selling under a deed of trust.
Section 10133(b) adds that these exemptions do not apply to anyone who uses them to evade the licensing law. A power of attorney is not a workaround for paying an unlicensed friend to manage your rental.
Apartment buildings and their staff
Bus. & Prof. Code § 10131.01 exempts the resident manager of an apartment building, apartment complex or court, and that manager's employees. It also lets employees of a property management firm managing an apartment building or complex, working under a broker's supervision, do a short list of tasks: show units, hand out and accept applications, accept credit check fees, deposits and rent, give rental rates from a schedule the employer provides, and accept signed leases. The broker must supervise them.
These apartment exemptions do not extend to a person managing single-family homes or condos for several different owners. That work requires a license. A separate exemption covers people arranging transient (vacation) occupancies.
Individual and corporate licenses
A property management company may operate under an individual broker's license or a corporate license.
- Corporate license. Under Bus. & Prof. Code § 10211, a corporate license lets one designated officer act as broker on the corporation's behalf. Other officers who do licensed work need their own licenses (§ 10158).
- Supervision. The designated officer is responsible for supervising the licensed activities of the corporation's officers and employees, including salespersons (§ 10159.2(a)).
- Continuity. If the sole designated officer dies or becomes incapacitated, the corporation can keep operating if it files notice and an application for a new designated officer within the deadline in § 10158.
For you, the practical point is simple: you should be able to find both the company's license and the name of the responsible broker.
How to check a license
The DRE's Public License Information page is at www2.dre.ca.gov/PublicASP/pplinfo.asp (opens in a new tab).
- Ask the manager for its license number, and the name of the responsible broker.
- Search by license number, by the person's name (last name, first name), by company name, or by main or branch office address.
- Check the License Status and Expiration Date.
- Check that the name, DBA names and main office match the company on the agreement you were given.
- For a corporation, note the license type and check the designated officer's own license as well.
Two cautions from the DRE page itself. Some past discipline may have been removed from a record under Bus. & Prof. Code § 10083.2(c), and a record will not show pending licensing changes. The DRE also warns about unlicensed people using real licensees' names and information, so confirm the license number belongs to the company you are actually dealing with.
What the license means for your money
A licensed broker must follow the DRE's trust fund rules. As of October 2026:
- Trust account. Rent and deposits not placed in a neutral escrow or handed to you go into a trust account at a bank or recognized depository in California, and stay there until paid out on the instructions of the person entitled to them (Bus. & Prof. Code § 10145(a)(1)).
- Three business days. Funds go to you, an escrow or the trust account within three business days of receipt (10 CCR § 2832).
- Your own ledger. The broker keeps a record of all trust funds and a separate ledger for each owner, reconciled at least once a month (10 CCR §§ 2831, 2831.1, 2831.2).
- No commingling. Mixing your money with the broker's is a ground for discipline (Bus. & Prof. Code § 10176(e)). The broker may keep up to $200 of its own money in the account for bank charges (10 CCR § 2835).
- Records. The broker keeps trust records for three years, and the DRE may audit them (Bus. & Prof. Code § 10148).
Licensees can also be disciplined for substantial misrepresentation, for "secret or undisclosed" compensation, and for negligence or incompetence (Bus. & Prof. Code §§ 10176(a), (g), 10177(g)). Our guide to trust accounts and owner statements explains what you should see each month.
One change ahead: from January 1, 2027, a rental ad that uses a digitally altered image must disclose it and offer the unaltered original, and for a real estate licensee a violation counts as a violation of the licensing law (AB 2025).
This is general information, not legal or tax advice. Confirm the details for your situation with a California attorney or tax professional.
Where licensing fits in choosing a manager
A license is the minimum, not the whole answer. It tells you the manager is allowed to do the work and is subject to trust account rules and DRE oversight. It doesn't tell you how well the manager prices, screens, maintains or communicates. Use the license check as the first filter, then compare written proposals and agreements. Our guides to questions to ask a San Diego property manager and red flags when hiring a property manager cover the next steps, and the statewide property manager licensing page has more on the law. For a broader view, see our San Diego property management overview.
Frequently asked questions
Does a property manager need a real estate license in California?
Yes, if they manage property for someone else for pay. Bus. & Prof. Code § 10131(b) defines leasing, soliciting tenants and collecting rent for another, for compensation, as broker activity, which requires a DRE broker license or a salesperson license under a broker. Narrow exemptions cover resident managers of apartment buildings and certain employees working under a broker's supervision.
How do I verify a property manager's DRE license?
Go to the DRE's Public License Information page and search by license number, name, company name or office address. Check that the status is active, the expiration date hasn't passed, and the name and main office match the company named in your agreement.
Can a family member manage my rental without a license?
If they are paid, or expect to be paid, the work falls within the broker definition, so they need a license. A power of attorney is a listed exemption, but it cannot be used to get around the licensing law (Bus. & Prof. Code § 10133(b)). Ask a California attorney before relying on an informal arrangement.
Do I need a license to manage my own San Diego rental?
No. The broker definition covers acts done for another or others. An owner managing their own property is not acting for another, so no license is needed. State landlord-tenant law still applies to you, and so does the City of San Diego's Rental Unit Business Tax if the property is in the City.
How are rent and security deposits held by a licensed manager?
In a trust account, unless they go to a neutral escrow or directly to you. The broker must deposit them within three business days, keep a separate ledger for each owner, reconcile monthly, and not mix the funds with its own (10 CCR §§ 2831.1, 2831.2, 2832; Bus. & Prof. Code § 10176(e)).
Next step: check us the same way
McKee Properties, established in San Diego in 1982 and incorporated in California in 1985 as Russell B. McKee, Inc., holds California DRE corporate license #00907967. Look it up on the DRE site as described above, then request a free San Diego rental analysis when you are ready to compare managers.
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