At a Glance (TL;DR)
- Two licensing paths: Act 392 of 2025 created the Property Management Associate and Property Management Broker licenses. Traditional real estate salesperson and broker licenses remain viable alternatives.
- Governing body: The Arkansas Real Estate Commission (AREC) oversees all four license types statewide.
- Property Management Associate education: Candidates must complete 30 hours of AREC-approved property management coursework.
- Property Management Broker education: Candidates must complete 60 hours of AREC-approved coursework and have 2 years of qualifying experience.
- Exam: Pearson Professional Assessments administers the licensing test for both dedicated PM licenses.
- E&O insurance: Arkansas doesn't require coverage, though a brokerage may expect it.
- Self-managers exempt: Owners who manage only their own rentals don't need a license.
Managing rentals for other owners involves several tasks — like leases, rent payments, tenant screening, and owner reports (sometimes all in the same afternoon). Because Arkansas treats many of those tasks as licensed activities, working without a property management license in Arkansas can have serious legal and financial consequences.
The state created a dedicated property management track in 2025 so you don’t have to earn a full real estate license just to manage rentals. This guide explains how to become a property manager in Arkansas, compares the two licensing paths, and covers the costs, timelines, and steps. You’ll also learn how rental property management software can simplify the admin work once you start taking on clients.
Duties of a Property Manager
Property management in Arkansas goes well beyond collecting rent. If you handle several of the following duties for pay, the practice counts as licensed, governed real estate activity:
- Marketing property creates disclosure responsibilities before a lease exists.
- Collecting rent and managing owner disbursements brings trust accounting rules into play.
- Drafting, executing, and administering lease agreements creates binding legal obligations.
- Coordinating and logging maintenance requests helps prevent documentation holes.
- Screening tenants and managing vacancies must be in line with fair housing laws.
- Handling tenant communication helps you avoid notice mistakes that could lead to legal action.
- Trust accounting and owner financial reporting keep client money separate from operating funds.
- Conducting inspections supports deposit deductions with documented property conditions.
- Ensuring fair housing compliance lowers your exposure to discrimination claims.
Freeing up time for higher-value work: Online property management software can take care of many repetitive tasks tied to payment records, documentation, and tenant communication.
Does Arkansas require a property management license?
If you plan to manage rentals for another owner, you’ll need an appropriate Arkansas license. Act 392 of 2025 created 2 dedicated options: the Property Management (PM) Associate and the Property Management (PM) Broker. Either path lets you work in property management without earning a full real estate license.
A PM Broker may work independently, while a PM Associate works under a PM Broker’s oversight. Both licenses cover collecting rent, signing lease agreements, negotiating leases, advertising vacancies, and communicating with owners and tenants (Ark. Code Ann. § 17-42-103(11), § 17-42-103(12)).
Neither PM license lets you handle real estate sales, however, meaning you’ll have to earn a separate Arkansas real estate license for that work. As always, real estate salespersons and principal brokers can manage rentals under their existing licenses (Ark. Code Ann. § 17-42-311(13), § 17-42-103).
The Arkansas Real Estate Commission oversees all four license types, and a license is required for each one before you can practice (Ark. Code Ann. § 17-42-301).
Arkansas Property Manager License Requirements
Arkansas offers two dedicated property management license levels, and each follows a different education and experience path. Before enrolling in a course, you’ll want to confirm the latest details directly with the Arkansas Real Estate Commission (AREC). Here’s how the two options compare.
Property Management Associate
PM Associate applicants must have reached the age of majority (18 years old), completed 30 hours of AREC-approved property management education, and passed a licensing exam.
The coursework covers landlord-tenant law, fair housing laws, the ADA, state licensing rules, trust accounts, accounting, contract law, agency, and disclosure (Ark. Code Ann. § 17-42-303(a)(4)).
You’ll also need to complete criminal background checks at the state and federal levels. AREC will review criminal history individually (Ark. Code Ann. § 17-42-302, § 17-42-315).
After passing the test, you’ll have to affiliate with a Property Management Broker before your license can become active. That broker must supervise the associates working under their direction (Ark. Code Ann. § 17-42-103(11), § 17-42-311(a)(9)).
Property Management Broker
PM Broker applicants must be 18 years or older, complete 60 hours of AREC-approved education, and demonstrate two years of qualifying experience.
The education includes 30 hours of PM principles and 30 hours of Commission property management supervision best practices (Ark. Code Ann. § 17-42-303(a)(3)).
If you want to run your own firm eventually, you’ll need to become a PM Broker. Two years as a licensed PM Associate or two years managing 7 or more units (or a combination of the two) can satisfy the experience standard (Ark. Code Ann. § 17-42-303(b)(3)).
Errors & Omissions Insurance
E&O coverage isn’t among Arkansas’s licensure requirements, though a brokerage may still ask for it.
A policy may help with claims arising from management errors, missed disclosures, or mishandled client funds, depending on the policy’s coverage terms (Ark. Code Ann. § 17-42-302).
How to Get Your Arkansas Property Management License
The main route to become a property manager in Arkansas is to complete the education, pass the test, submit your paperwork, and affiliate with a PM Broker.
These are the four steps you need to take in greater detail:
1. Complete Your PM Pre-Licensing Education
You’ll need to complete 30 hours of AREC-approved PM coursework for the Associate license. AREC spells out the education requirement on its property management licensee information page, so check a school’s status before paying tuition.
2. Pass the PM Licensing Exam
Pearson Professional Assessments administers Arkansas’s licensing tests. Once your Authorization to Test letter arrives, you can schedule through the Pearson Professional Assessments portal. Both PM Associate and PM Broker candidates have to pass the test.
3. Submit Your License Application
You must file with AREC before you test, and the agency starts the background check once it has processed that application. After you pass, you’ll get 90 days to send the license fee and Recovery Fund fee, or the exam results will become void (Ark. Code Ann. § 17-42-306).
4. Affiliate With a Property Management Broker
A new PM Associate has to affiliate with a licensed PM Broker before their license can become active. The broker will supervise each associate in the office and answer to the Commission for their work (Ark. Code Ann. § 17-42-312).
Costs and Timeline
Arkansas caps its licensing fees by statute, and PM Broker costs are slightly higher because the cap is higher. Here’s the breakdown:
- Application fee: Up to $50
- Examination fee: Up to $75
- PM Associate license fee: Up to $60 (up to $80 for the PM Broker license fee)
- Criminal background check: Charged at the actual cost of the state and federal check
- Pre-licensing education: Pricing depends on the AREC-approved provider
- E&O insurance: Optional under state law, though a brokerage may expect it
- Fee caps: Set by Ark. Code Ann. § 17-42-304
Your timing depends on the coursework, the test, and the background check, since AREC won’t issue a license until it approves the results. The PM Broker route also requires two years of qualifying experience before you can work independently (Ark. Code Ann. § 17-42-306).
Who is exempt from Arkansas's license requirement?
Not everyone handling rentals in Arkansas has to become licensed, and state law lists a few common exceptions:
Owners managing their own rentals: Owners may manage their own rentals. The exception only applies to the holder of the freehold or leasehold interest, so an outside manager can’t use it (Ark. Code Ann. § 17-42-104(a)(1)).
Resident managers: A resident manager may also handle leasing as part of the job when they live at the property. Living on-site is the deciding factor, so an off-site manager can’t rely on this exception (Ark. Code Ann. § 17-42-104(a)(5)).
LLCs and other entities: If you’re managing through an LLC, you should probably confirm your status with AREC. The exception can apply to a member, manager, partner, or officer with authority over the entity’s real estate policy (as long as the work involves only the owner’s interest) (Ark. Code Ann. § 17-42-104(a)(1)(B)).
What happens if you manage property without a license in Arkansas?
Managing rentals for other people for pay without a valid license counts as unlicensed real estate activity:
Criminal record: A violation of the license law is a Class D felony (Ark. Code Ann. § 17-42-105).
Civil penalties: AREC may also assess a civil penalty of up to $5,000, order the return of fees collected during the unlicensed activity, and ask a court to halt the work (Ark. Code Ann. § 17-42-106, § 17-42-109).
Uncollectible fees: You may also lose the right to collect any outstanding fees from your past clients. No one may sue in an Arkansas court for compensation on property management work without an active PM Broker license at the time, so completed work can go unpaid (Ark. Code Ann. § 17-42-107).
In short, trying to work around the licensing rules can cost far more than completing the process properly.
Beyond the License: Starting Your Arkansas Property Management Career
As a licensed property manager, your business’ cash flow will ultimately determine whether your business thrives or fizzles out. Trust accounting begins with the first rent payment: client money goes into a dedicated account, every disbursement gets recorded, and each owner receives a reconciled statement on schedule.
To stay compliant and keep stress levels down, you’ll need systems that make day-to-day work manageable. TenantCloud’s property management software brings rent collection, lease renewals, maintenance coordination, and owner reporting into a digital platform that you can access anywhere.
As your portfolio grows (and new staff join the office), team management tools can limit each role to the information it uses. Integrated accounting that syncs with QuickBooks can also keep your records organized and ready for review at a moment’s notice.
Start a free 14-day trial with TenantCloud and manage properties smarter, not harder.
Arkansas Property Management License FAQs
What is the difference between a PM Associate and a PM Broker?
A PM Associate works under a licensed PM Broker, who supervises the associates in the office. A PM Broker may operate independently, run a property management firm, and oversee PM Associates. Broker status also requires two years of qualifying experience.
How long does it take to get a property management license in Arkansas?
It depends on how quickly you complete the 30-hour course, the Pearson Professional Assessments test, the paperwork, and the background review, since AREC won’t issue a license until it approves the checks.
Can a PM Associate work independently in Arkansas?
No. A PM Associate must be affiliated with a licensed PM Broker before the license becomes active. To open your own property management business or work without a broker’s direction, you’ll need to qualify for the PM Broker license.
Is E&O insurance mandatory?
Arkansas doesn’t list errors and omissions insurance as a licensure requirement. That said, the brokerage you join may expect you to carry coverage, and a policy may address certain claims involving mistakes, missed disclosures, or mishandled client funds.
Can a resident manager work without a license in Arkansas?
A resident manager may qualify for an exception when they live at the property and handle leasing as part of that employment. An off-site employee can’t rely on the same exception, even if they perform similar duties.
