A Step-by-Step Guide to Becoming a Real Estate Agent in California
Everyone assumes becoming a real estate agent is easy, the process to actually get your license is but the job itself not so much (we’ll talk about that later). I’m going to walk you through the exact steps you need to take to get your real estate license and start your journey in the industry.
Step 1: Meet the Basic Requirements
Before you start, make sure you meet the state's eligibility criteria:
Be at least 18 years old
Have a valid Social Security Number or Individual Taxpayer Identification Number (ITIN)
Be a U.S. citizen or a legal resident
Step 2: Complete the Courses
California requires you to complete 135 hours of pre-licensing education from an approved real estate school. These courses include:
Real Estate Principles (45 hours)
Real Estate Practice (45 hours)
An elective course (45 hours) – options include Real Estate Finance, Real Estate Appraisal, or Legal Aspects of Real Estate (I chose the legal aspects course).
These courses can be taken online or in-person at accredited institutions. I completed my coursework online with DREClass. You can take the courses in as quickly as 2-3 months. It took me about 5 months to work through everything. You read through the course work then take an exam. Once you’ve passed you have to wait a few weeks before being able to take the next course’s exam, repeat until you’ve completed everything.
Step 3: Apply for the Real Estate Exam
Once you complete your coursework, you’ll get a certificate of completion you can use to apply for the California Salesperson Exam through the Department of Real Estate (DRE). Here's how:
Submit the Salesperson Examination Application (RE 400A) and pay the exam fee ($100) or the Sales Combo Exam/License Application (RE435) and pay the exam ($100) + license fee ($350) for $450.
Provide course completion certificates
Pass a background check, including fingerprinting via Live Scan Service (pay $49) directly to the service provider when you go to get fingerprinted
Step 4: Pass the California Real Estate Exam
I took my test in Oakland at the DRE facility on the last day available in December 2023.
The real estate exam consists of 150 multiple-choice questions and requires a 70% or higher score to pass. You will have 3 hours and 15 minutes to complete the test, which covers:
Property ownership and land use controls
Laws of agency
Contracts and financing
Real estate practice and disclosures
Valuation and market analysis
Step 5: Get Fingerprinted and Pass a Background Check
All applicants must complete a Live Scan fingerprinting process to ensure they meet California’s legal and ethical standards. The fingerprinting fee varies by location.
Step 6: Apply for Your Real Estate License
You do not need to wait to choose a sponsoring broker before applying for your license. You can even apply for your exam and license at the same time.
After passing the exam, subadmit your Real Estate License Application (RE 202) and pay the licensing fee ($245 as of 2024). The DRE will process your application, and once approved, you’ll receive your official California real estate license.
Step 7: Find a Sponsoring Broker
To legally work as a real estate agent, you must affiliate with a licensed California real estate broker. Choose a brokerage that aligns with your career goals and provides training and support especially as a brand new real estate agent who is new to the real estate business. Remember, you are interviewing them just as much as they are interviewing you, so make sure it's a good fit for your needs and career aspirations. I’ll share the cost breakdown of joining a brokerage and the fees I had to pay and the splits I started at.
Step 8: Start Your Real Estate Career
Once you’re licensed and sponsored by a broker, you can officially start selling homes, helping clients, and building your real estate career in California!
Final Thoughts Becoming a real estate agent in California requires a lot of dedication, but with the right steps and support, you should be able to achieve success.
For more real estate tips and guidance, stay tuned to our blog!