How to Start a Career as a Real Estate Agent

Licensing is state-by-state — from 40 classroom hours in Michigan to 180 in Texas — and nearly every new agent must be sponsored by a licensed broker.

By Desmond OkaforOct 28, 20269 min read

Quick answer

  • The minimum education is a high school diploma or equivalent, and licensure is mandatory in every state — there is no legal way to work as an agent without it (U.S. Bureau of Labor Statistics, 2025).
  • The fastest path is a state-approved prelicensing course, a background check, the state salesperson exam, then sponsorship by a licensed broker; expect 2 to 6 months from first class to activated license.
  • Prelicensing hours differ sharply by state — 40 in Michigan, 63 in Florida, 75 in New York and Pennsylvania, 90 in Louisiana, 135 in California, 168 in Colorado and 180 in Texas (Opendoor, undated; Colibri Real Estate, undated).
Featured image for "How to Start a Career as a Real Estate Agent"

Becoming a real estate agent is one of the shorter licensing paths in the United States: the typical entry-level education is a high school diploma or equivalent (U.S. Bureau of Labor Statistics, 2025), and every state requires brokers and sales agents to be licensed, with minimum requirements that usually include being at least 18, holding a high school diploma or equivalent, completing prelicensing courses, and passing an exam (U.S. Bureau of Labor Statistics, 2025).

Most people move from their first class to an active license in roughly 2 to 6 months, depending on their state's course hours and exam scheduling. The license is only half the job — you also need a broker willing to sponsor you, and you are paid on commission rather than a salary.

What This Job Involves Day to Day

Your week is built around finding clients and moving deals forward. Typical duties include soliciting potential clients to buy, sell and rent properties; advising clients on prices, mortgages and market conditions; comparing properties to determine a competitive market price; and promoting listings through advertisements, open houses and listing services (U.S. Bureau of Labor Statistics, 2025).

Once a buyer is interested, the work shifts to transaction management. Occupation-specific tasks include presenting purchase offers to sellers, acting as an intermediary in negotiations between buyers and sellers, conferring with escrow companies, lenders, home inspectors and pest control operators, and preparing documents such as purchase agreements, closing statements, deeds and leases (O*NET OnLine, undated). A single closing can mean a dozen short calls and emails a day to keep inspection, appraisal and financing deadlines on track.

The setting is part desk, part driving. Agents typically work in an office setting but spend much of their time away from their desks to show properties and meet clients (U.S. Bureau of Labor Statistics, 2025), which in practice means evenings and weekends. Reported job titles include Real Estate Agent, Real Estate Salesperson, Realtor and Realtor Associate (O*NET OnLine, undated). Many agents are classed as self-employed rather than as employees of their brokerage (U.S. Bureau of Labor Statistics, 2025), and pay is almost always a commission on closed transactions split with the sponsoring broker. Check the Occupational Outlook Handbook, which publishes median annual wages for real estate sales agents and brokers as of May 2025 (U.S. Bureau of Labor Statistics, 2025), before you budget.

Step-by-Step Path to Get Started

  1. Confirm you meet the minimums (1 day). Requirements typically include being at least age 18 and having a high school diploma or equivalent (U.S. Bureau of Labor Statistics, 2025). Read the salesperson checklist on your regulator's site — the Texas Real Estate Commission, the New York Department of State's Division of Licensing Services, or your state's equivalent board — before you pay for anything.
  2. Enrol in a state-approved prelicensing course (3 weeks to 4 months). Hours differ by state: 40 in Michigan, 75 in New York, 135 in California, 168 in Colorado and 180 in Texas (Opendoor, undated); Florida's salesperson course is 63 hours, Louisiana's 90 hours and Pennsylvania's 75 hours (Colibri Real Estate, undated). Some states also cap your speed — under Texas Real Estate Commission rules a candidate cannot complete the 180 hours in fewer than 15 days (360training, undated).
  3. Submit fingerprints and clear the background check (1 to 3 weeks). Louisiana, for example, requires applicants to pass a criminal background check as part of the licensing sequence (Colibri Real Estate, undated). Book this early, because results can lag behind your exam date.
  4. Apply for and pass the state salesperson licensing exam (2 to 6 weeks of study, 1 test day). The pass mark is 75% or higher in Florida and in Louisiana (Colibri Real Estate, undated). New York's written exam is based on a 77-hour prelicensing curriculum and applicants are allowed 1.5 hours to complete it (New York Department of State, undated).
  5. Find a sponsoring broker (2 to 6 weeks). Louisiana's steps include obtaining sponsorship from a licensed broker and showing proof of mandatory errors and omissions insurance (Colibri Real Estate, undated), and most states follow a similar pattern. Interview national franchises, independent local firms and property management companies, and ask each about commission splits, desk fees and training.
  6. File your license application and activate it (2 to 6 weeks to process). The license is issued by the state board, not your broker, and stays inactive until the sponsorship paperwork is on file.
  7. Join your local Realtor association and MLS, and finish any post-license course (first 6 to 12 months). Pennsylvania requires an approved 14-hour post-license course after you pass the salesperson exam (Colibri Real Estate, undated). Association membership is what gets most agents multiple listing service access.
  8. Diarise renewal from day one (every 2 to 4 years). State licenses typically must be renewed every 2 to 4 years, and in most states agents must complete continuing education to renew (U.S. Bureau of Labor Statistics, 2025).

Education, Certification, and Cost Requirements

The figures below follow a published breakdown of license costs totalling $600–$900 (Champions School of Real Estate, undated). Your own total shifts within that range mainly with your state's required course hours, and rises if your brokerage charges desk fees.

RequirementWhere to Get ItTypical CostTypical Time
High school diploma or equivalentPublic or private high school, or your state's equivalency testing agencyNo tuition at a public high school; equivalency test fees are set by each state4 years, or 3 to 8 months for an equivalency
State-approved prelicensing courseProviders approved by your state board, such as those approved by the Texas Real Estate Commission$400–$600 (Champions School of Real Estate, undated)40 hours in Michigan to 180 in Texas; 3 weeks to 4 months
Fingerprinting and background checkThe livescan vendor named by your licensing board$40–$50 (Champions School of Real Estate, undated)1 to 3 weeks for results
Salesperson licensing examState testing vendor booked through your board$60–$80 (Champions School of Real Estate, undated)1.5 hours to sit in New York; 2 to 6 weeks of study
State license applicationYour state real estate commission or department of state$100–$170 (Champions School of Real Estate, undated)2 to 6 weeks to process
Post-license course where requiredApproved provider, e.g. Pennsylvania's 14-hour courseUsually billed inside the $400–$600 education estimate (Champions School of Real Estate, undated)14 hours in Pennsylvania; first 6 to 12 months
Association membership and MLS accessLocal, state and national Realtor associations$100–$500 per year (Champions School of Real Estate, undated)Join within 30 days of activation
Continuing education for renewalApproved CE providers in your state$100–$300 per year (Champions School of Real Estate, undated)Renewal every 2 to 4 years

Before You Apply

Have these ready before a brokerage interview:

  • Your license or candidate number from the state real estate commission, with issue and expiry dates, so a broker can verify you in the public licensee lookup.
  • Course completion certificates for every prelicensing hour your state requires, as PDFs you can email the same day.
  • Your exam score report, showing you met the state pass mark — 75% or higher in Florida and Louisiana (Colibri Real Estate, undated).
  • Background check clearance on file with the board, plus your livescan receipt as proof.
  • Errors and omissions insurance details, or written confirmation the brokerage policy covers you; Louisiana requires proof of mandatory E&O cover (Colibri Real Estate, undated).
  • A one-page resume aimed at sales, not office admin — lead generation, customer-facing roles, negotiation and any self-employed work.
  • A sample comparative market analysis for two homes in your target area, showing how you set a competitive market price.
  • A reliable vehicle, valid driver's license and auto insurance, because much of the work happens away from the desk showing properties (U.S. Bureau of Labor Statistics, 2025).
  • A written 90-day prospecting plan naming where your first clients come from: your local Realtor association's new-member events, open houses you host for colleagues, and one specific farm area.
  • Several months of living costs set aside, since commission arrives only after closings, which land weeks after a contract is signed.

Frequently asked questions

Do I need a college degree to become a real estate agent?

No. The typical entry-level education is a high school diploma or equivalent (U.S. Bureau of Labor Statistics, 2025), and boards ask for proof of that rather than a university transcript. A background in finance, marketing or construction can help you win listings, but it does not reduce any licensing requirement.

What happens if I fail the licensing exam?

Every state lets you retake it after paying the exam fee again, which sits in the $60–$80 range (Champions School of Real Estate, undated). Check your board's rules on waiting periods between attempts and on how long your coursework stays valid, since prelicensing credit expires after a set number of years in several states. Work through your school's exam-prep question bank before rebooking.

Is joining a Realtor association required, or optional?

The state license is mandatory; association membership is technically optional, but it is how most agents obtain multiple listing service access, and the Realtor title is reserved for members. Dues of $100 to $500 per year (Champions School of Real Estate, undated) are usually billed as one combined local, state and national amount. Ask whether MLS access is already bundled into your brokerage's desk fee so you do not pay twice.

How long until I can get my own broker's license?

States typically require a specified number of years of experience as a licensed sales agent, and most require at least 2 years (U.S. Bureau of Labor Statistics, 2025), plus extra coursework and a separate broker exam. If running your own firm is the goal, log transaction counts and closing dates from your first deal, because boards often ask for deal volume as well as elapsed time.

Is the field growing, and how competitive is entry?

Employment of real estate brokers and sales agents is projected to grow 2 percent from 2025 to 2035, slower than the average for all occupations, with about 40,400 openings projected each year on average (U.S. Bureau of Labor Statistics, 2025). Many of those openings come from people leaving the occupation, so expect competition for clients in your first year rather than a shortage of licensed agents. Brokerages that sponsor new agents are generally easier to join than the client base is to build.

Sources

  1. U.S. Bureau of Labor Statistics — Real Estate Brokers and Sales Agents : Occupational Outlook Handbook (2025)
  2. O*NET OnLine — 41-9022.00 - Real Estate Sales Agents

Written by

Desmond Okafor

Desmond writes about the mechanics of job searching: resumes, interviews, the long silence after applying. He's fascinated by how much of getting hired depends on luck dressed up as skill.