REAL ESTATE RESOURCES
How to Become a Real Estate Agent
Kaplan Real Estate Education
Deciding to become a real estate agent is a major career shift. People enter the real estate industry from various occupations and careers and at various stages of life. Everyone has different reasons for choosing real estate, but one question consistently comes from people looking to enter the real estate industry: "How do I become a real estate agent?"
TABLE OF CONTENTS
General Requirements to Become a Real Estate Agent
- Be at least 18 or 19 years old (depends on the state)
- Have legal US residency
- Complete your required prelicense education
- Pass your state real estate license examination
These items represent the high-level checklist of what it takes to become a licensed real estate agent. But there are a lot of caveats depending on which state you live in and which state you work in.
Steps to Become a Real Estate Agent
While the specifics vary by state, there are five general steps that every individual must take to earn their license and become a real estate agent.
Step 1: Understand Your State’s Real Estate Licensing Requirements
Each state’s real estate licensing requirements are different, and your state’s Real Estate Commission website will list the official pre-licensing requirements.
State-Specific Steps to Become a Real Estate Agent
Pick your state from the table below to learn about how to become a real estate agent in your location.
Don’t See Your State Listed Above? Find More States Here
Step 2: Enroll in a Real Estate Pre-Licensing Course
There are a variety of ways you can complete your real estate pre-licensing education requirements.
For example, live classrooms or online course options at real estate schools, some realty firms, universities, and even technical schools offer real estate licensing programs with home-study and online course opportunities.
Pick the venue that makes the most sense for you. No matter what, make sure you enroll with a school that has an excellent reputation, offers quality content and instructors, and is focused on positive student outcomes.
Kaplan Real Estate Education offers a variety of convenient ways to complete your education.
Online vs. In-Classroom Real Estate Courses
The format best for you will depend on your learning style. If you prefer learning in a traditional classroom setting, it could take around four to six months to complete your courses and get your real estate license.
But if you’d rather take your real estate courses online or in a live online setting, it could take a mere eight weeks.
Online Real Estate License Classes & Education >>
Real Estate Agent Reciprocity
By and large, real estate is a state-specific profession. This is because real estate laws very often differ from state to state. However, real estate license reciprocity allows current agents from certain states to apply for a real estate license in a different state without taking all of that state’s required pre-licensing courses.
For example, the state of Colorado allows license reciprocity for all 50 states. Being able to fulfill your job duties in multiple states can lead to a diverse and exciting career.
Step 3: Apply To Take the Real Estate Salesperson Exam
Timing is important at this step. Make sure you are following the application process with your state so you can sit for your real estate agent exam soon after you finish your courses. This process will be state-specific and include a fee.
Some states require you to submit fingerprints and pass a background check, and this can take weeks to process.
In many states, the application process must be complete before you can register or schedule your exam date.
Don’t let the paperwork become a roadblock to starting your new real estate career.
Step 4: Pass the Real Estate Salesperson Exam
Passing the real estate exam takes more than finishing the educational requirements—it takes preparation. Not everyone passes the exam the first time. Preparing yourself to pass the state exam takes additional study time.
Kaplan highly recommends enrolling in a real estate exam prep class. Because the ultimate goal is to help you pass the exam, most of Kaplan’s prelicensing packages include the comprehensive Exam Prep Course.
Taking practice exams, measuring your strengths and weaknesses, and working through the comprehensive topical reviews will sharpen your knowledge and prepare you for exam day.
Common companies that administer the real estate salesperson exams are:
Real Estate Licensing Exam Math Practice Quiz
Answer these 5 questions to test your math skills for the Real Estate Licensing Exam. After the quiz, we’ll provide answer explanations to ensure you understand each concept.
Step 5: Find a Real Estate Broker
Once you have completed your prelicensing education requirements and passed your exam, you and your broker will both need to complete the final paperwork with the state.
Consider finding a real estate broker early in your licensing process.
After your paperwork is accepted, your license will be issued, and you will be able to practice real estate under your sponsoring broker.
How to Choose a Real Estate Broker >>
Is Becoming a Real Estate Agent Right For You?
Try using a pros and cons list to figure out if a real estate career is right for you.
It can be a demanding career, but one aspect lots of agents love is how much flexibility working as a real estate agent can provide. There are lots of demands, too, like handling your paperwork, prospecting leads, developing relationships, managing contacts, and dealing with buyers and sellers.
Thinking about starting a real estate career? Download the Launching Your Real Estate Career eBook
Reach out to local real estate agents and brokers and ask them questions about what the day-to-day work is like. Ask questions about real estate as a long-term career. Starting a full-time career as a real estate agent can’t be treated like a hobby. It requires a full commitment.
Salary Information For Real Estate Agents
As for the salary range of a real estate agent, that amount depends on the number of properties you sell and your commission percentage for those sales. This earning structure is known as performance-based commission. According to the U.S. Department of Labor, the mean salary of a real estate agent is around $65,850 (2022).
How to Calculate Commission-Based Salary of a Real Estate Agent >>
Career Options for Real Estate Agents
More than becoming a real estate agent, getting your real estate license opens the door to other opportunities within the housing industry. Here are just a few examples of real estate-related careers:
- Real Estate Broker: Manages a team of real estate agents.
- Appraiser: Verifies the value of a real estate property.
- Property Manager: Oversees and maintains real estate properties.
- Real Estate Investor: Buys and sells real estate properties for financial gain (similar to house flippers).
- Real Estate Attorney: Provides or examines the closing documents of a real estate transaction.
- Home Inspector: Inspects the condition of a property before purchase.
- Mortgage Loan Officer: Works with a financial institution to originate property loans.
- Real Estate Photographer: Captures interior and exterior images of commercial and residential real estate properties.
- House Stager: Ensures a property looks its best for potential buyers.
What Does a Real Estate Agent Do? >>
How Long Does it Take to Become a Real Estate Agent?
On average, it takes four to six months to complete your required real estate courses and pass the licensing exam. However, there are a few factors that influence the time it takes to become a real estate agent.
These factors include whether you take your real estate courses online or in a classroom, in which state you’re obtaining your real estate license, and how many times it takes you to pass the licensing exam.
What are State-Specific Real Estate Education Requirements?
Each state has its own requirements before issuing a real estate license. Overall, states require specific pre-licensing courses before you take the exam. These requirements, including the number of credit hours needed, can vary from state to state.
How Many Attempts You’ll Need to Pass Your Real Estate Licensing Exam
Passing your exam on the first try might be ideal, but it doesn’t always work out that way. If you need a second attempt, consider these questions to help you determine how much time you will need to pass the exam.
- How many times can I take the exam in my state?
- How often is the real estate exam offered in my state?
- Is there required downtime between exams in my state?
- How long is my certificate of completion good for after I finish my licensing education?
A lot of states require you to take and pass the exam within a certain time frame of getting your course completion certificate.
How Hard is it to Get Your Real Estate License?
The topics covered in a real estate licensing exam can vary in each state. In short, getting your real estate license doesn’t have to be difficult or overly complicated. Just understand the time and effort needed to:
- Complete your required real estate pre-licensing courses
- Study for the real estate exam
- Pass the exam
- Register your new real estate license with your state
How Much Does it Cost to Get a License and Become a Real Estate Agent?
The cost of becoming a licensed real estate agent may not be as high as you would expect –it can range from a couple of hundred dollars to just over a thousand. How much you’ll spend on real estate school depends on your preferred learning style and the required education hours in your state.
A few different options are available to you, including live online courses, on-demand courses, home study, and pre-licensing education.
- Live Online: $300 - $900+: Combines the stability of having a scheduled class time with the convenience of a live instructor from the comfort of your own home.
- On-Demand: $200 - $800+: Complete the work on your own time! This is a great option for busy parents, students, and professionals who aren’t able to attend courses on a set schedule.
- Home Study: $180 - $600: For those working with a tight budget and have the drive to complete courses independently.
What is the Difference Between a Real Estate Agent and a Real Estate Broker?
Simply put, you have to be a real estate agent first to become a broker. However, real estate agents aren’t always brokers. Real estate agents must achieve and maintain a professional license to help their clients buy, sell, and rent real estate properties.
A broker is a real estate professional with further education, training, and license requirements. Brokers might work independently, but often hire a team of real estate agents to work for them.
FREE eBook: Launching Your Real Estate Career
Wouldn’t it be great if you could sit down with a room full of successful real estate professionals and ask them for career advice?
We asked several accomplished real estate professionals what they wish they knew before they earned their license and started their career, and what they thought all aspiring real estate professionals should know. We put all of their advice into a value-packed eBook.
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