Before you can begin your career as a licensed real estate broker, you must meet all relevant educational requirements and pass your state’s licensure exam. Then, in most states, you must work as a licensed real estate salesperson under the tutelage of a licensed broker at a registered brokerage firm.
How long it takes to become a broker will depend on a number of different factors—though, in most places, you may be able to get your real estate career started in as little as a few months. At Real Estate Prep Guide, we have helped thousands of students nationwide pass the real estate broker examination. Here, our team answers a common question: What steps do I need to take to become a licensed real estate broker?
Becoming a Real Estate Broker: Know the Requirements
The path to becoming a real estate broker varies from state to state. Indeed, each state has its own unique requirements and licensure standards. Before you get too deep into the process, make sure you check with your state’s regulatory authority to ensure that you understand the standards and that you know exactly what you need to do to get your license. Although the real estate broker licensure requirements vary from state-to-state, applicants will generally need to:
- Satisfy Educational Standards: Unless you have already obtained a real estate license in another jurisdiction—which may allow you to waive it under a reciprocity agreement—you will be required to take real estate classes. As a general baseline, most states mandate that applicants obtain between 45 hours and 150 hours of approved real estate credits before they can take the real estate salesperson exam.
- Pass the Real Estate Exam: After you have satisfied the state-required class hours, you will be eligible to sit for the initial real estate licensure examination. Only when you pass this test will you be able to get a real estate license. In most states, a passing score is around a ‘70’. Though, of course, the passing score does vary.
Beyond these basic requirements, applicants may also need to meet some other standards. For instance, in most states, you must be 18 years old or older to be eligible to apply for a real estate license. Additionally, some jurisdictions require applicants to submit to a background check. Certain offenses may bar you from becoming a real estate broker.
What is the Difference Between a Real Estate Salesperson and Real Estate Broker?
You have probably noticed that people refer to real estate professionals by many different terms. Among other things, you may hear a real estate professional referred to as a realtor, a real estate agent, a sales associate, a real estate salesperson, or a real estate broker. This can be confusing because these terms are not always used in a consistent manner. As such, people often have questions about what is the difference between a real estate broker and a real estate salesperson or the difference between a realtor and a real estate sales associate.
One of the key differences is that there are different types of real estate licenses. Indeed, in most states, there are two types of real estate licenses: real estate salesperson and real estate brokers. A real estate broker is a person who is licensed to open up their own practice and who has the professional authority to hire other real estate professionals. In contrast, generally, a real estate salesperson cannot open their own firm—they must work under a broker.
With limited exceptions, most real estate professionals must work as a real estate salesperson before they can become a broker. As an example, the Texas Real Estate Commission (TREC) requires applicants to serve as a real estate agent for at least four years before they can apply to become a broker. In other states, only one or two years of experience in the industry is required before a real estate professional can take the broker’s exam.
Get Access to the Best Real Estate Broker Exam Study Guides Today
Are you ready to become a real estate broker? You must pass your state’s licensure exam. While it is not a simple exam, you can absolutely pass on your first try. Using our practice tests and painstakingly curated study guides, students pass more than 95 percent of the time. We are so sure that you will pass that our team offers a full refund guarantee—pass the real estate broker exam, or you will get your money back. There are no further questions asked. Get started with your free trial today.