How do you turn your dream of selling homes into a thriving career? If you’re wondering how to be a real estate agent in the U.S., you’ve come to the right place. Becoming a real estate agent involves more than passing an exam – it’s about building a professional presence from day one.
In today’s digital age, new agents should start establishing their reputation early. One smart move is to get listed on professional directories like internationalbusinesslisting.com to boost your visibility and credibility as you embark on this journey.
Such platforms help you connect with clients and peers, underscoring the importance of networking alongside licensing.
Easy Ways to Become a Real Estate Agent
In this comprehensive guide, we’ll walk you through every step to become a licensed real estate agent in the United States – from meeting requirements and acing the exam to choosing a brokerage and thriving in your first year. Let’s get started on turning your real estate ambitions into reality!
Step 1: Meet the Basic Requirements
Before you invest time and money into this career, make sure you meet the basic eligibility requirements to become a real estate agent. Most states require you to be at least 18 years old (a few states set the minimum at 19, such as Alabama, Alaska, and Nebraska). You must be a U.S. citizen or legal resident, and you’ll need at least a high school diploma or GED before you can start the licensing process.
These prerequisites ensure you have a foundation of maturity and education before moving forward. Keep in mind that each state sets its own rules, so always double-check your state’s real estate commission website for any additional criteria (for example, some states may require you to pass a background check at this stage or be sponsored by a broker before taking the exam).
Tip: If you plan to work in multiple states, note that licenses are state-specific. Being licensed in one state doesn’t automatically allow you to practice in another; you’ll need to meet each state’s requirements and obtain a license for each state.
Step 2: Complete Pre-Licensing Education
Once you’ve confirmed you meet the basics, the next step is to enrol in a state-approved pre-licensing course. Every state mandates a certain number of education hours covering real estate principles, practices, and law. The required course hours can range widely (for example, 75 hours in New Jersey vs. just 45 hours in Wyoming), but the goal is the same – to give you the knowledge needed to pass the exam and practice real estate.
You can choose in-person classes or convenient online real estate schools, as long as the program is accredited by your state. Coursework typically covers fundamentals like property law, contracts, financing, and ethics, ensuring you grasp key concepts and terminology.
Pre-licensing education isn’t free, so budget for it as part of your startup costs. Prices vary by state and provider, but on average, these courses cost around $300 to $600. Many find online courses to be more affordable and flexible, though in-person classes can offer live instruction and interaction. Whichever format you choose, treat your coursework seriously – pay attention, take notes, and ask questions. A solid understanding of the material not only prepares you for the licensing exam but also lays the groundwork for your new career.
Step 3: Pass the Real Estate Licensing Exam
After completing your required education, you’ll be eligible to register for the real estate licensing exam in your state. This exam is usually administered by a third-party testing centre and typically consists of a multiple-choice test with about 100–150 questions.
The exam is divided into two portions: one covering broad national real estate topics (like property ownership, laws, and general practices) and another focusing on state-specific laws and regulations. You’ll need to demonstrate knowledge in areas such as property valuation, contracts, financing, and real estate ethics as they apply both generally and in your state.
Each state sets its own passing score (often around 70%–75%) and charges an exam fee for each attempt. The exam fee can range from as low as about $15 in some states to over $50 in others (for instance, New York’s exam fee is $15 while Texas charges $43). Don’t be discouraged if the test has a reputation for being tough – many people do not pass on the first try. In fact, the real estate test is considered difficult, and many aspiring agents need two or three attempts to pass. The good news is you can usually retake the exam after a short waiting period if you don’t pass on your first attempt (though you’ll pay the exam fee each time).
Pro Tip: Take advantage of exam prep resources. Many real estate schools offer exam prep classes or practice tests, often for an additional $50–$125. Practice exams can greatly increase your odds of passing by familiarising you with the question format and identifying areas where you need more review. Studying hard and possibly investing in a prep course is well worth it to clear this hurdle on the path to becoming a licensed agent.
Step 4: Submit Your License Application and Background Check
Passing the exam is a huge accomplishment – congratulations! But you’re not licensed quite yet. The next step is to apply for your real estate salesperson license through your state’s real estate department or commission. This typically involves submitting a formal application, paying a licensing fee, and undergoing a background check (including fingerprinting). Each state has a different application process and fee schedule.
For example, the fee to obtain an initial license might be around $20 in North Dakota but as high as $160 in Idaho. In addition, most states require a criminal background check and fingerprint processing, which can cost roughly $50–$100 depending on the state. You’ll need to disclose any criminal history on your application; honesty is critical, as discrepancies will show up on your background check.
When you submit your application, you’ll also need to provide proof that you completed the required education and passed the exam (the testing provider usually sends your results, or you include the passing score certificate). Some states require you to be sponsored by a licensed real estate broker at the time of application (more on choosing a brokerage in the next step), so check whether you need a broker’s signature or documentation before applying.
Once your application is approved and your license is issued by the state, you are officially a licensed real estate agent! At this point, you can legally transact in real estate – but remember that new agents must work under a broker’s supervision (you can’t work independently as a rookie salesperson). Your physical license will be mailed to you, or available digitally, and you’ll be ready to hang it with a brokerage and start helping clients.
Step 5: Choose a Sponsoring Brokerage
Every new real estate agent needs to join a brokerage to activate their license and start working with clients. A real estate brokerage is the firm or office where agents work, led by one or more licensed brokers who oversee transactions. In fact, in many states, your license is not fully active until it’s associated with a broker – you’re often required to name your sponsoring broker in the license application.
Choosing the right brokerage is an important career decision for a new agent. You’ll want to consider factors such as the firm’s reputation and market presence, the training and support they offer to new agents, the commission split or fees you’ll have to pay, and the company culture and mentorship opportunities. For example, a brokerage that has a great mentorship program and a lower commission split might benefit you more in the first year than one that offers high commission but no guidance.
Joining a brokerage offers many advantages to kickstart your career. You’ll gain a team environment with experienced colleagues who can guide you through your first transactions and answer questions. Good brokerages provide new agents with practical training on paperwork, local market knowledge, and legal/ethical guidelines of the industry. When interviewing with potential brokerages, ask about what new agent training they have, how leads are distributed, and what costs you’re responsible for (some brokerages charge “desk fees” for office space or monthly technology fees).
Also, inquire about the commission structure – most agents earn money on commission only, meaning you get paid a percentage of each property sale you close and do not earn a base salary. A typical real estate commission might be around 5–6% of the home’s sale price, split between the listing agent and buyer’s agent (often roughly 2.5%–3% each). Understanding how you’ll be compensated and what support you’ll receive will help you choose a brokerage that sets you up for success.
Step 6: Maintain Your License with Continuing Education
Once you’re licensed and working under a broker, your journey is well underway – but it doesn’t end there. Real estate agents must maintain an active license by renewing it periodically and completing continuing education (CE) requirements. Each state dictates how often you must renew (typically every one or two years) and how many hours of continuing education you need.
The specific CE requirements vary widely: for instance, Texas requires 18 hours of CE for each renewal cycle (every two years), California requires 45 hours (every four years), Rhode Island requires 24 hours, and West Virginia requires only 7 hours. These courses keep you up-to-date on real estate laws, regulations, and best practices. They often cover topics like fair housing, ethics, contracts, and any legal changes in your state’s real estate code.
When renewal time comes, you’ll typically need to submit a renewal application and pay a renewal fee, and sometimes show proof of having completed your CE credits. Failing to complete your continuing education can lead to your license being put on inactive status, meaning you can’t legally practice until you fulfil the requirements.
The good news is that CE courses can also be an opportunity to learn new skills and niches, helping you grow as a professional. Always stay aware of your state’s current rules – states update their CE requirements occasionally. By staying compliant and continually learning, you’ll keep your license in good standing and be better prepared to serve your clients with the latest knowledge in real estate.
How Much Does a Real Estate License Cost?
One of the top questions for newcomers is how much it costs to get licensed. The cost of a real estate license includes several components, and it can add up to a few hundred or even over a thousand dollars by the time you’re fully licensed. Here’s a breakdown of typical expenses:
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Pre-licensing education: $250 – $700 (course tuition varies by state and hours required).
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State licensing exam fee: $75 – $200 per attempt (each time you take the exam).
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Background check & fingerprinting: $50 – $100 (varies by state for processing fingerprints and criminal history report).
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License application fee: $125 – $300 (paid to the state when you apply for the license after passing the exam).
Adding these up, the total cost to get a real estate license typically ranges from about $500 to $1,500 for most people. The exact figure depends on your state’s requirements and fees (and whether you need to retake the exam). For example, a state with lower fees, like Alabama, has an estimated total licensing cost of around $560 (including courses, exam, and licensing fees). On the other hand, a state with more extensive requirements, like Alaska, can run closer to $1,300+ in total costs. Heavily populated states like California, New York, and Texas often end up on the higher end of the range due to higher course tuition and exam fees.
Keep in mind, these figures are just the costs to get licensed. Once you have your license, there will be ongoing expenses to work as a real estate agent. Plan for costs such as MLS membership dues, Realtor association fees, brokerage desk fees, and insurance. These can total roughly $600–$900 per year for active agents, depending on your brokerage and local board. For instance, joining your local Realtor board (which often provides MLS access) might be $400–$800/year. It’s wise to budget for these operational costs so you’re financially prepared to sustain your business after you’ve paid the upfront licensing fees.
Is Real Estate Hard? Challenges and Rewards for New Agents
Starting a career in real estate is exciting, but you may be asking, “Is real estate hard?” The honest answer: it can be challenging, especially in the beginning, but it’s also very rewarding if you persevere. Many new agents struggle with the fact that this is not a traditional job with a guaranteed salary – it’s more like starting your own small business.
You have to be self-motivated to prospect for clients, handle rejection, and manage your time effectively. It’s common for new agents to feel overwhelmed or discouraged when progress is slow. In fact, statistics show a high attrition rate in real estate: according to the National Association of Realtors (NAR), about 75% of new agents quit within their first year, and 87% leave the industry within five years. Those numbers sound daunting, but they highlight that success comes to those who are prepared to work hard and treat real estate like the entrepreneurial venture it is.
The challenges in real estate often come down to consistency and resilience. You’ll need to continuously generate leads, build a client base from scratch, and stay disciplined with your daily schedule. It requires stepping out of your comfort zone – whether that means cold calling, knocking on doors, or constantly marketing yourself. Being a real estate agent can indeed be hard in terms of the dedication and persistence required.
As one industry expert put it, the real difficulty lies in “staying disciplined in your work ethic and adapting to new trends” in the market. The learning curve is steep during that first year: you’re trying to understand contracts and legalities, master negotiation and sales skills, and navigate complex transactions, all while trying to earn an income on commissions alone.
But here’s the good news: real estate can also be incredibly rewarding. The career comes with significant upside and benefits that balance out the challenges. For one, you enjoy a great deal of flexibility – you can often set your own schedule and be your own boss. There’s unlimited earning potential because your income grows with your sales; a few successful deals can far surpass what you’d earn in a typical 9–5 job. Many agents find personal fulfilment in helping families buy their dream home or investors find a great property.
You’re out in the field, not stuck behind a desk, and every day is different. Over time, as you build your network and reputation, the job tends to get easier and more profitable. Seasoned agents thrive through referrals and repeat business from happy clients.
In short, real estate is hard work, but it’s not “hard” in the sense of requiring an advanced degree or extraordinary intellect – in fact, you only need a high school education to get started. The barrier to entry is relatively low, but the barrier to success is effort and perseverance. If you’re willing to put in consistent effort, continuously learn, and adapt, you can overcome the early challenges and enjoy the many rewards of a career in real estate.
Tips for Success in Your First Year as a Real Estate Agent
Your first year as a real estate agent will likely be the most challenging – it’s a time of learning, trial and error, and building the foundation of your business. Here are some practical tips to help you not only survive but thrive in that critical first year:
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Adopt a proactive mindset: Success starts with the right attitude. Stay motivated and treat each day as an opportunity to meet new clients. You’ll face rejection and slow periods, but if you remain active and consistently put in effort, you will see results. Discipline is key – set a daily routine and stick to it, even when you’re not seeing immediate payoff.
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Manage your finances wisely: It often takes time to close your first deal and earn that first commission check. Budget for a ramp-up period of a few months with little income. Ideally, have a savings cushion to cover 3–6 months of living expenses. This financial buffer will reduce stress and let you focus on learning and growing your business. Also, plan for business expenses like marketing, MLS dues, and transportation. Treat your finances like a business from the start.
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Leverage your network and sphere of influence: One of the fastest ways to land clients is through people who already know and trust you. Spread the word to friends, family, former coworkers, neighbours – everyone in your sphere – that you’re now a real estate agent. Attend community events, join local clubs or organisations, and hand out business cards. Networking is your best friend; the more people who know you in your new role, the more referrals and leads you can generate. Don’t be shy about asking for referrals or letting people know you’re available to help with their real estate needs.
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Build an online presence early: In today’s market, having a strong online presence is crucial for credibility. Create a professional website (or a page on your brokerage’s site) that highlights your services and background. Set up social media profiles dedicated to your real estate career on platforms like LinkedIn, Facebook, or Instagram. Consider listing yourself on real estate directories and business networking sites. For instance, InternationalBusinessListing.com is a platform where you can create a profile to showcase your business and connect with international clients. Being easily found online and showing some positive reviews or a professional profile can make a huge difference in attracting clients. Remember, modern clients often search online for agents – make sure you are visible.
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Find a mentor or join a supportive team: Real estate can feel like a “sink or swim” industry, but you don’t have to do it all alone. Seek out a mentor – perhaps an experienced agent in your office – who is willing to let you shadow them or answer questions. Some brokerages have formal mentorship programs or teams you can join. Working alongside seasoned agents will accelerate your learning curve dramatically. You’ll pick up best practices for everything from lead generation to closing techniques, and having a go-to person for questions is invaluable in your first year.
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Continually educate yourself: The licensing courses teach you the basics, but real-world real estate requires a broader skill set. Take advantage of any additional training your brokerage or local Realtor association offers. Attend workshops or webinars on topics like negotiation, marketing, or using new tech tools (many are free or low-cost for new agents). Not only will this build your expertise, but you might also meet fellow agents and build relationships. Continuing education isn’t just about keeping your license active – it’s a chance to become a better agent. The most successful agents are always learning and staying updated on market trends.
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Stay organised and set goals: From day one, put systems in place to manage your contacts and tasks. Use a CRM (Customer Relationship Management) software or even a simple spreadsheet to keep track of leads, client communications, and follow-ups. Real estate transactions have many moving parts, so develop a checklist for each deal to ensure nothing slips through the cracks. Additionally, set realistic short-term goals (e.g., number of calls to make each week, attending one networking event weekly, etc.) and long-term goals (e.g., number of listings or closings in your first year). Having clear goals keeps you focused and allows you to measure your progress. Celebrate small milestones – they will keep you motivated as you build momentum.
Above all, perseverance is the name of the game. The first year in real estate is often about building the groundwork for future success. You might work very hard with only modest results initially. But stick with it – the relationships you cultivate and the skills you hone in year one will start bearing fruit in year two and beyond. Many agents who push through the tough beginnings go on to have flourishing careers. As the saying goes, don’t judge your chapter one by someone else’s chapter twenty. Stay persistent, maintain a positive attitude, and keep learning from every experience.
Conclusion
Becoming a real estate agent in the U.S. is a step-by-step journey: you meet the basic requirements, complete your pre-licensing education, pass a challenging exam, and earn your license. Then the real learning begins as you choose a supportive brokerage and navigate your first year in the field. We’ve covered how to get your real estate license and addressed important questions like how much does a real estate license cost and is real estate hard.
By now, you know that while the process requires dedication and hard work, it’s absolutely achievable – and for many, well worth it. Real estate offers a chance to be your own boss, enjoy unlimited income potential, and make a difference in people’s lives by helping them with their homes and investments.
As you launch your career, remember that getting licensed is only the beginning. The agents who thrive are those who continue to network, market themselves, and sharpen their skills. Professional visibility and credibility are critical in this industry – clients want to work with someone they recognise and trust. That’s why it’s so important to put yourself out there. Attend local events, engage on social media, and leverage online platforms to showcase your expertise. A great way to boost your visibility from the start is to join Internationalbusinesslisting.com. By creating a profile on this international business directory, you can connect with potential clients and other professionals, increasing your exposure and lending credibility to your new venture. In an industry built on connections, being easy to find online can help you land those first few clients that kick off your success.
In summary, follow the steps, invest in your growth, and stay persistent. The road to becoming a successful real estate agent has its challenges, but with preparation and passion, you can navigate the licensing process and build a rewarding career. Now is the time to take action – complete your licensing steps, and once you’re ready, don’t forget to claim your spot on Internationalbusinesslisting.com to start growing your presence as a new agent. Here’s to your success in the world of real estate!
References
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Investopedia – How to Become a Real Estate Agent: A Step-by-Step Guide
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Tutors.com – How much does it cost to get a real estate license
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RealEstateU – Real Estate License Cost – Alabama vs. Alaska
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US Realty Training – 16 Costs to Become a Real Estate Agent (Full Guide)
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Tom Ferry (via NAR data) – Why Most Real Estate Agents Fail
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WebCE – Understanding Real Estate Continuing Education Requirements
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US Realty Training – First-Year Real Estate Agent Survival Guide
