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How to Obtain Your Real Estate License

By Star Report 6 min read

Whether you are interested in residential sales, commercial properties, or property management, getting your real estate license is essential to finding success in the industry. Regardless of the real estate sector you choose, it is crucial to understand the time commitment required to earn your real estate license. The entire process can take anywhere from eight weeks to six months, depending on your learning pace and time allocation, and state requirements vary from 60 to 180 hours of coursework in preparation for the exam. 

Understanding the following framework for how to obtain your real estate license will help you begin your career in this compelling industry. 

Steps to Get Your Real Estate License

Step 1: Research your state’s requirements 

While some federal laws affect real estate transactions, most regulations involve state laws and local government ordinances. This means each state has different requirements for obtaining your real estate license. We recommend researching these specifications on your state’s real estate commission or Department of Real Estate website. For example, most states require that the applicant be at least 18 years old. 

Step 2: Complete pre-licensing education

Pre-licensing education helps you understand the real estate industry and prepare for the exam. The courses cover various topics, including real estate principles and practices, law, property management, mathematics, agency relations, appraisals, and advertising. It is worth noting that the overall format of these courses varies by state and provider. The course structure can be in-person or online based on preference and state regulations. Check with local real estate schools, professional organizations, or commissions to determine which provider best suits you.

If you prefer in-person learning, we recommend searching “[your state] realty school” or “realty school near me.” If you prefer virtual classes and self-paced courses, the following are four of the top online real estate schools: 

  • The CE Shop is an online interactive course designed for continuing education but also offers pre- and post-licensing. 
    • Strengths: 
      • User-friendly online learning 
      • Courses available for all 50 states 
      • Strong reputation for exam preparation
    • Weaknesses:
      • Reduced in-person options 
  • Colibri Real Estate offers self-paced and live webinars, including support resources. 
    • Strengths: 
      • Comprehensive curriculum 
      • Specific courses for individual states 
      • Comprehensive pricing 
    • Weaknesses:
      • Mixed reviews on customer support 
      • Reduced in-depth content 
      • Only available in 41 states
  • Kaplan provides live online and in-person classroom courses with extensive offerings focusing on high-quality information.
    • Strengths: 
      • Long-standing reputation 
      • Experienced instructors 
    • Weaknesses:
      • Higher cost 
      • Reduced access to 29 states 
  • Real Estate U is a self-paced online course that offers pre-licensing coursework. 
    • Strengths: 
      • The most cost-effective option for pre-licensing 
      • A fully online curriculum that allows for studying at one’s convenience
    • Weaknesses: 
      • Fewer courses on continuing education and post-licensing 
      • Relies heavily on video lectures 
      • Reported support issues 

Step 3: Complete the pre-licensing course exam

As is standard for most education providers, you must demonstrate your knowledge of the course materials through a proctored exam, which evaluates how to obtain your real estate license. Studying and preparation are essential to ensure you pass the exam. Stay organized with your course materials, understand the exam format, and practice regularly. 

Step 4: Apply for the real estate license exam

Once you pass the pre-licensing course exam, you can apply to take your state exam. Verify that you meet all eligibility requirements, and assess how to obtain your real estate license through your state’s commission. Visit your state’s Real Estate Commission website to find the application form. After submitting your application and documentation, wait for approval of eligibility and continue to study for your exam. Once approved, schedule your exam. Arrive at least 30 minutes early and provide the proper identification and documentation. 

Step 5: Pass for your state real estate license exam  

If you pass, you will receive instructions on the next steps to get your real estate license. If you do not pass, the best way to get your real estate license is to review the topics you struggled with during the test, study, and retake the exam. 

A Guide to the Real Estate License Exam

The real estate license exam tests your understanding of real estate principles and regulations. The exam’s difficulty depends on individual preparation, familiarity with the subject matter, and test-taking skills. We recommend you have a strong knowledge of the content before taking the exam. The overall pass rate for first-time test takers varies from state to state; however, according to The CE Shop, the national average is 52%.

Here’s what you can expect: 

  • Exam format: The majority of the exam is multiple-choice questions. Generally, the national and state portions cover your state's specific laws. 
  •  Topics covered: 
    • Property ownership 
    • Land use controls and regulations 
    • Market analysis and property valuation 
    • Financing and mortgaging (calculations)
    • Agency relations and contracts 
    • Transfer of titles 
    • Leasing and property management 
    • Ethical practices in real estate law
    • Fair housing laws
    • Licensing requirements
    • Landlord law
    • Tenant laws
    • Appraisal methodology 
    • Proration and closing costs 
    • Commissions 

We get it. This may all seem overwhelming at first, but don’t worry. With the proper education and preparation, you will be well-prepared to pass this exam. 

What’s next?

1. Submit your license application 

After passing the real estate license exam, you must submit your application for your license. This application comprises proof of passing, a completed background check, and paid licensing fees. Depending on your state’s regulations, you may be required to initially work under the supervision of a broker for a specific period. This sponsoring broker will activate your license upon completing their training and orientation.

2. Activate your license

Activating your real estate license requires additional documentation and fees. For specific details, refer to your state’s real estate commission. It’s always best practice to complete post-licensing education to stay current with industry trends and state laws. 

3. Start your career in real estate

Upon obtaining your real estate license, there are a variety of positions to consider pursuing:

  • A leasing consultant assists property managers with finding qualified tenants to lease properties. 
  • A real estate assistant helps agents and brokers with administrative responsibilities.
  • An apartment manager is readily available to apartment tenants, rents out units, secures monthly payments, and addresses property issues. 
  • A property manager ensures the safety and satisfaction of tenants’ arrangements. 
  • A rental property manager is responsible for overseeing rental properties.
  • A real estate agent assists clients with the home buying process. 
  • A new home associate showcases new home sites to clients.  

Discover New Home Star’s comprehensive sales training programs and dynamic real estate professionals network, designed to help you succeed in the industry. Whether you have obtained your license or are starting your real estate journey, learn more about our career opportunities and apply today!

FAQs

How much does it cost to get a real estate license?

The cumulative cost of getting your real estate license varies depending on your state and education provider, ranging from $500 to over $3,000+. 

Why does everyone want to get into real estate?

Real estate is a rewarding and challenging career. Due to commissions, there are opportunities to earn high earnings. From a social standpoint, being an agent allows you to play a role in finding a place people call home. This work is more than a transaction; it is about helping individuals and families cultivate fellowship and gathering. 

Originally published Jul 29, 2024 under Explore the latest topics, updated July 29, 2024

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