Are you considering a career in real estate? With flexible hours, unlimited income potential, and the opportunity to help people find their dream homes, it’s no wonder that real estate continues to attract career-changers and entrepreneurs. But before you can start showing properties and closing deals, you’ll need to obtain a real estate license.
This comprehensive guide walks you through every step of getting your real estate license, from meeting educational requirements to finding your first brokerage. Whether you’re looking for a career change or adding real estate to your investment portfolio, we’ve got you covered with expert insights and practical advice.
What is a Real Estate License?
A real estate license is a professional credential that legally authorizes you to represent buyers and sellers in real estate transactions. Without this license, you cannot legally earn commissions from buying, selling, or renting properties on behalf of others.
There are generally two types of real estate licenses:
- Salesperson License: Entry-level license allowing you to represent clients under the supervision of a licensed broker
- Broker License: Advanced license that permits you to work independently and hire other agents
Each state has its own regulatory body—typically called the Real Estate Commission or Division of Real Estate—that oversees licensing requirements and enforcement of real estate laws.
Step 1: Check Your Eligibility
Before investing time and money in pursuing a real estate license, verify that you meet the basic eligibility requirements in your state:
- Age: Most states require applicants to be at least 18 years old
- Legal Residency: Proof of U.S. citizenship or lawful permanent residency
- Education: High school diploma or equivalent (GED)
- Background Check: Clean criminal record (some states allow licenses with certain minor offenses)
State requirements vary significantly. For example, while Florida requires 63 hours of pre-licensing education, California mandates 135 hours. Research your state’s specific requirements by visiting your state’s real estate commission website.
| State | Pre-Licensing Hours | Visualization |
|---|
Step 2: Complete Pre-Licensing Education
Once you’ve confirmed your eligibility, you’ll need to complete required pre-licensing courses from an accredited education provider.
Course Options
You can typically complete pre-licensing education through:
- Online courses: Flexible, self-paced learning that fits around your schedule
- In-person classes: Traditional classroom setting with direct instructor interaction
- Hybrid programs: Combination of online and in-person learning
When choosing an education provider, consider:
- Accreditation: Ensure the school is approved by your state’s real estate commission
- Pass rates: Look for providers with high student success rates on state exams
- Learning format: Choose the delivery method that matches your learning style
- Support services: Access to instructors, exam prep resources, and career guidance
- Cost: Compare tuition and included materials across providers
Pre-Licensing Curriculum
While specific content varies by state, most pre-licensing courses cover:
- Real estate principles and practices
- Real estate law and contracts
- Property ownership and land use
- Finance and appraisal methods
- Agency relationships and professional ethics
- Federal and state real estate laws
Pro Tip: Even if your state offers the minimum required hours, consider taking additional exam prep courses to increase your chances of passing the licensing exam on the first attempt.
Step 3: Pass the Real Estate Exam
After completing your pre-licensing education, you’ll need to pass your state’s real estate licensing exam—typically the most challenging step in the process.
Exam Structure
Most state exams consist of two portions:
- National portion: Covering general real estate principles and practices
- State-specific portion: Focusing on your state’s laws and regulations
The exam is usually multiple-choice format, with anywhere from 80-150 questions total, and you’ll have 2-4 hours to complete it.
Exam Preparation Tips
- Take practice exams: Simulate the testing environment with timed practice tests
- Create study groups: Collaborate with others pursuing their license
- Use flashcards: Memorize key terms, formulas, and concepts
- Focus on weak areas: Identify and concentrate on challenging topics
- Rest before exam day: Get plenty of sleep the night before your test
According to data from the Association of Real Estate License Law Officials (ARELLO), the average national pass rate for first-time test takers is approximately 55%. Students who take exam prep courses increase their pass rates by roughly 20%.
Exam Day Essentials
- Government-issued photo ID
- Certificate of pre-licensing course completion
- Registration confirmation
- Approved calculator (if permitted)
- Arrive early (at least 30 minutes before start time)
If you don’t pass on your first attempt, don’t be discouraged. Most states allow multiple retakes, though you may need to wait 24 hours to 30 days between attempts, depending on state regulations.
Step 4: Submit Your License Application
After passing your exam, it’s time to apply for your license through your state’s real estate commission.
Application Requirements
Typical application materials include:
- Completed application form
- Proof of pre-licensing education
- Exam pass certificates
- Background check authorization
- Fingerprints for FBI and state criminal history review
- Application fee (typically $200-$400)
Real Estate License Application Materials
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Application FormComplete and sign the license application form provided by your state’s real estate commission.
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Education CertificateProof of completion of required pre-licensing education hours (certificate or transcript).
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Exam Pass CertificateDocumentation showing you passed both the national and state portions of the licensing exam.
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Background CheckAuthorization for criminal background check and any related disclosure forms.
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FingerprintsFingerprint card or electronic fingerprinting receipt for FBI and state criminal history review.
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Application Fee $200-$400Payment for your license application processing. Methods vary by state.
Some states require proof of errors and omissions (E&O) insurance before issuing your license. This professional liability insurance protects you against claims of negligence or inadequate work.
Processing Time
License application processing typically takes between 1-8 weeks, depending on:
- Background check completion time
- Application volume in your state
- Accuracy and completeness of your application
- Time of year (busy seasons may cause delays)
Step 5: Find a Sponsoring Broker
In most states, new real estate agents must work under the supervision of an established broker who provides mentorship and oversight. Finding the right broker is crucial to your early success in real estate.
Types of Brokerages
- National franchises: Recognized brands with established training programs (RE/MAX, Keller Williams, Century 21)
- Boutique agencies: Smaller firms specializing in specific market segments
- Virtual brokerages: Technology-focused firms with remote work options (eXp Realty, Real)
- Independent brokerages: Locally-owned agencies with varying structures
What to Consider When Choosing a Broker
- Commission splits: How will you share commission with the brokerage?
- Training programs: What mentorship and education do they provide?
- Brand recognition: How established is their presence in your market?
- Office environment: Is it collaborative or competitive?
- Technology and tools: What resources do they provide to agents?
- Growth opportunities: Is there a clear path for advancement?
Pro Tip: Interview multiple brokerages before making a decision. The right fit goes beyond commission splits—consider culture, support, and alignment with your business goals.
Step 6: Launch Your Real Estate Career
With your license in hand and a brokerage selected, you’re ready to begin your real estate career.
First 90 Days Checklist
- Complete your broker’s onboarding and training program
- Set up your professional real estate profiles (MLS, Zillow, Realtor.com)
- Create your business cards and marketing materials
- Notify your personal network about your new career
- Develop a business plan with specific goals and metrics
- Establish a routine for prospecting and lead generation
- Join your local REALTOR® association (if applicable)
Continuing Education Requirements
Your education doesn’t end with licensing. Most states require continuing education (CE) to maintain your license:
- 12-45 hours of CE courses every 1-4 years (varies by state)
- Mandatory courses in ethics, fair housing, and legal updates
- Elective courses in specialized areas (commercial, property management, etc.)
Start of License Period
- Review CE requirements for your state
- Create a timeline for completing required courses
25% Through Cycle
- Ethics course (3 hours) Required
- Fair Housing (3 hours) Required
Halfway Point
- Legal updates (3 hours) Required
- Begin elective courses (6-12 hours)
75% Through Cycle
- Complete remaining elective courses
- Collect and organize CE certificates
Renewal Application Period
- Verify all CE requirements are complete (typically 12-45 hours total)
- Complete renewal application
- Pay renewal fee ($100-$300)
License Expiration Date
- If not renewed, your license becomes inactive
- If renewed, new 2-year cycle begins
Building Your Business
Success in real estate requires consistent effort in:
- Lead generation and prospecting
- Market knowledge and expertise
- Client relationship management
- Transaction coordination
- Personal branding and marketing
The Cost of Getting a Real Estate License
Understanding the financial investment required helps you prepare adequately for your real estate career.
| Expense Category | Typical Cost Range |
|---|---|
| Pre-licensing education | $300 – $1,000 |
| Exam fees | $100 – $300 |
| License application fee | $200 – $400 |
| Background check | $50 – $100 |
| E&O insurance | $400 – $800 annually |
| MLS membership | $20 – $100 monthly |
| REALTOR® association dues | $400 – $700 annually |
| Broker fees | Varies (desk fees or % of commission) |
| Marketing startup costs | $500 – $2,000 |
| Total initial investment | $2,000 – $5,000 |
Additional ongoing expenses include:
- Continuing education courses
- Transaction management software
- Customer relationship management (CRM) tools
- Website hosting and maintenance
- Vehicle expenses and gas
Timeline: How Long Does It Take?
The entire process from starting pre-licensing education to receiving your license typically takes 3-6 months, though this can vary based on:
- Your state’s required education hours
- Whether you study part-time or full-time
- Exam scheduling availability
- Background check processing time
- Application review periods
Here’s a typical timeline:
- Pre-licensing education: 2-12 weeks (depending on course format and state requirements)
- Exam preparation: 1-4 weeks
- Exam scheduling and taking: 1-3 weeks
- Application and background check: 2-8 weeks
- Finding a broker: 1-4 weeks (can be done concurrently with application processing)
Pro Tip: Begin researching brokerages while still in pre-licensing courses to streamline your transition to practice.
Frequently Asked Questions About How to Get a Real Estate License
Can I get my real estate license with a criminal record?
Answer: It depends on the state and the nature of the offense. Most states conduct background checks and review criminal histories on a case-by-case basis. Minor offenses or those unrelated to financial crimes or fraud may not prevent licensure. However, felonies and crimes involving dishonesty or financial misconduct typically present significant barriers. Contact your state’s real estate commission for specific guidelines about your situation before investing in coursework.
Do I need a college degree to become a real estate agent?
Answer: No, a college degree is not required to obtain a real estate license in any state. Most states require only a high school diploma or equivalent (GED). While a degree in real estate, business, or finance can provide valuable knowledge, it’s completely optional. The required pre-licensing education covers the specific information you need to practice real estate legally and effectively.
Can I get my real estate license online?
Answer: Yes, most states allow completion of pre-licensing education requirements through approved online courses. The actual licensing exam must be taken in person at an approved testing center, and fingerprinting for background checks typically requires in-person visits. However, the educational component can often be completed entirely online through state-approved providers.
How much do real estate agents typically earn?
Answer: According to the National Association of REALTORS®, the median gross income for real estate agents in 2023 was approximately $56,000, but earnings vary dramatically based on experience, location, specialization, and work ethic. New agents typically earn less in their first 1-2 years while establishing their business. Top-producing agents can earn well into six figures. Unlike salaried positions, real estate income is generally commission-based, offering unlimited earning potential with corresponding income volatility.
What’s the difference between a real estate agent and a REALTOR®?
Answer: All REALTORS® are real estate agents, but not all real estate agents are REALTORS®. A REALTOR® is a licensed real estate professional who is also a member of the National Association of REALTORS® (NAR). NAR members subscribe to a strict Code of Ethics and have access to additional resources, training, and market data. Becoming a REALTOR® requires joining your local association of REALTORS® and paying membership dues.
Can I practice real estate part-time?
Answer: Yes, many agents begin their careers working part-time while maintaining another job. However, succeeding in a part-time capacity requires efficient time management, clear client communication about your availability, and possibly a partnership with another agent who can cover for you when you’re unavailable. Some brokerages have minimum production requirements or desk fees that make part-time practice challenging, so research broker expectations before committing.
Conclusion
Obtaining your real estate license is the first step in what can be a rewarding and lucrative career. By following this step-by-step guide, you’ll be well-prepared to navigate the licensing process efficiently and start your real estate journey on solid footing.
Remember that while getting your license is crucial, your success in real estate will ultimately depend on your commitment to building relationships, providing excellent service, and continuously expanding your knowledge and skills.
Ready to take the next step? Research your state’s specific requirements and start exploring pre-licensing education options today. With determination and the right preparation, you could be helping clients buy and sell properties within months!
Next Steps:
- Visit your state’s real estate commission website
- Research accredited pre-licensing education providers
- Create a budget for licensing expenses
- Begin comparing local brokerages
- Connect with practicing agents for insights and advice
Disclaimer: This article provides general information about real estate licensing requirements and processes. Requirements vary by state and are subject to change. While we strive to provide accurate and up-to-date information, this content should not be considered legal or professional advice. Always verify current requirements with your state’s real estate regulatory body before beginning the licensing process.
