California Real Estate Licensing
Career & Jobs

Your Guide to California Real Estate Licensing

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As a lucrative, satisfying and high paying profession, California’s real estate industry attracts thousands of individuals every year.

The joy of making a six figure income while enjoying the freedom to set your own working hours is an alluring professional dream.

If you are interested in achieving this dream and building a thriving and fulfilling career in California real estate, now is a good time to start.

California is one of the hottest and popular real estate markets in the country. Home to cities like San Francisco, Las Vegas, Los Angeles and Sacramento, the sunshine state enjoys a high influx of migrant workers, homebuyers and real estate investors.

Did you know that real estate agents in California can earn around $120K annually on an average.

Add to that numerous opportunities for earning extra commissions and you are looking at a high earning career with virtually no limit to how much you can make as a real estate agent or a broker.

Sounds exciting? If you are all set to set your foot in California’s growing real estate market, the most important step is to get your California real estate license.

As per the state law, you must earn a real estate salesperson or broker’s license issued by the California Department of Real Estate (DRE) to be legally able to help people buy, sell or lease real estate in the sunshine state.

In simple words, getting a license is mandatory if you want to make a career in California real estate.

If you are not sure where and how to start with the licensing process, we are going to give you a brief overview of the steps involved so you can prepare yourself better.

Licensing Requirements for California Real Estate

To obtain a California real estate salesperson or broker license, every applicant must meet the minimum licensing requirements established by the DRE in California. These are:

  • Applicants must be at least 18 years or older in age
  • Applicants must have a legal proof of residence of California
  • Applicants must have completed high school education or have GED equivalent

Next comes the pre licensing educational requirements according to which every applicant must complete 135 hours pre-licensing education from a state approved and accredited education provider.

Completing pre-licensing education is a must as it gives students an overview of the fundamental topics of real estate including the state and federal laws, rules and guidelines for agents and brokers.

You will cover courses such as – Principles of Real Estate 1 (45 hours), Principles of Real Estate 2 (45 hours) and Real Estate Practice (45 hours).

Luckily, students have the flexibility to choose between in-person classroom learning or online, virtual classes to complete 135 hours of coursework.

For many students, online classes provide more flexibility as you can learn from anywhere in a self-paced way.

If you are looking for a proven, state approved online educator in California, you can check out RealEstateU for pre licensing and real estate exam prep courses.

Click here to learn more about the various study packages and plans for students.

California Real Estate Licensing Exam

The California DRE requires all applicants to take the state licensing exam to prove their competence and qualify for getting a California real estate license.

The exam consists of 150 multiple choice questions covering both state and national specific portions and you will get three hours to complete the test.

Some common topics and questions you can expect to see in the exam include:

  • Real Estate Finance
  • Laws of Agency
  • Property Ownership
  • Land Use Controls
  • Property Valuation
  • Disclosures in Real Estate

Students are required to score at least 70% in the final exam in order to pass the exam.

If you are worried about passing the exam, it helps to have practice sample test questions and mock tests to prepare for the test.

Getting a California Salesperson License

If you successfully clear the salesperson licensing exam in California, you will have to complete a few additional steps to get your license.

Firstly, you must prepare and submit your licensing application to the California DRE which you can do online or via mail.

Secondly, you are required to provide an electronic copy of your fingerprints for background verification.

Thirdly, you must procure a proof of completion of your pre licensing education along with a copy of your passing score to submit along with your licensing application.

After you have submitted all the above documents and proofs, you should wait for a few weeks during which your license application will be processed.

Once you receive your California real estate license in mail, the final step is to activate your license.

To activate your license, you must find a senior broker or a brokerage firm in California who can sponsor you.

This is a mandatory step as the California DRE requires all newly licensed individuals to work under the supervision of an experienced broker and gain experience.

Working with a sponsoring broker will help you learn the ropes and understand how the industry works in practical.

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