The four steps to get your California real estate license
To become a real estate agent in California, you need a real estate salesperson license issued by the California Department of Real Estate (DRE). The process has four parts: complete a pre-licensing course, pass the state exam, join a brokerage, and maintain your license with continuing education.
You cannot work independently as an agent in California. You must work under a broker — a licensed firm that supervises your transactions and handles client trust accounts. Most agents work for a brokerage in exchange for a split of their commission on each sale.
The entire process from course to active license typically takes four to eight weeks, depending on how quickly you complete the coursework and pass the exam on your first attempt.
Key Takeaways
- California requires 120 hours of pre-licensing instruction from a DRE-approved school before you can sit for the state exam.
- You must pass the California real estate salesperson exam, which covers state law, contracts, and ethical conduct; the pass rate is roughly 50 percent on first attempt.
- After passing the exam, you must join a brokerage within six months or your license will expire; the brokerage sponsors your license and you work under their supervision.
- Once licensed, you must complete 45 hours of continuing education every four years to renew, including specific courses on trust accounts and fair housing.
Complete your 120-hour pre-licensing course
California law requires all prospective agents to complete 120 hours of instruction from a school approved by the DRE. These courses cover California real estate law, contracts, ethics, property management, and fair housing practices. You can take the course online, in person, or in a hybrid format.
Pre-licensing schools charge between $300 and $800 for the full 120-hour course, depending on the provider and format. Some schools bundle the course with exam prep materials or practice tests. Common providers include Real Estate Express, Kaplan, and local community colleges.
You do not need to complete all 120 hours before sitting for the exam — California allows you to take the test while still enrolled in the course, as long as you finish the coursework before your license is issued. However, most people complete the course first to be fully prepared for the exam.
Pass the California real estate salesperson exam
The DRE administers the real estate salesperson exam through Pearson VUE testing centers across California. The exam has 150 multiple-choice questions covering state law, contracts, property rights, financing, and ethical conduct. You have three hours to complete it.
The passing score is 70 percent. The exam costs $60 to take. You can schedule your test date online through the Pearson VUE website once you have completed your pre-licensing course. Most testing centers offer appointments within one to two weeks of your request.
If you do not pass on your first attempt, you can retake the exam. There is no waiting period between attempts, though you will pay the $60 fee each time. Many people take a practice exam before the real one; most pre-licensing schools include practice tests in their course materials.
Join a brokerage to sponsor your license
After you pass the exam, you have six months to find a brokerage and have them sponsor your license. Without a sponsoring broker, your license will expire. The brokerage is the licensed firm that supervises your work, handles client money, and ensures you follow California real estate law.
Brokerages range from large national firms like RE/MAX and Keller Williams to small independent offices with just a few agents. When you join, you sign an independent contractor agreement that spells out your commission split, desk fees (if any), and what support the brokerage provides. Commission splits typically range from 50/50 to 80/20 in your favor, depending on your experience and the firm's policies.
The brokerage will submit your sponsorship paperwork to the DRE. Once approved, you are officially licensed and can begin showing properties and representing buyers or sellers. This step usually takes one to two weeks.
Maintain your license with continuing education
Your real estate license is valid for four years. To renew it, you must complete 45 hours of continuing education during that four-year period. The DRE requires specific courses: eight hours on trust accounts and client funds, four hours on fair housing, and two hours on ethics and professional conduct. The remaining 31 hours can be any DRE-approved real estate course.
You must complete these hours before your license expires. If you let your license lapse, you can renew it within two years by paying a late fee and completing the required education. After two years, you must retake the full pre-licensing course and exam.
Continuing education courses cost between $50 and $200 depending on the provider and format. Many brokerages offer in-house courses or partnerships with education providers to make this requirement easier for their agents.
Understand the costs and timeline
The total cost to get licensed ranges from $500 to $1,000 before you earn any commission. This includes the pre-licensing course ($300–$800), the exam fee ($60), and any practice materials or study guides. Some brokerages charge a desk fee or technology fee once you join, which varies widely.
The timeline depends on how quickly you move through each step. If you complete the 120-hour course in two to three weeks and pass the exam on your first attempt, you can be licensed within four to six weeks. If you need to retake the exam or take longer with coursework, add another two to four weeks.
Once you are licensed and working, your income depends entirely on commissions. Most agents do not earn significant income in their first six months while building a client base and learning the market.
Know what happens if you fail the exam or miss a important date
If you fail the state exam, you can retake it when ready without waiting. There is no limit on the number of attempts, though each attempt costs $60. Most people who fail the first time pass on the second or third attempt after additional study.
If you pass the exam but do not join a brokerage within six months, your license expires. You can renew it by joining a brokerage within two years without retaking the exam, but after two years you must complete the full pre-licensing course and exam again.
If your license lapses while you are already working as an agent, you cannot legally represent clients or receive commission. Your brokerage will notify you when renewal is due, typically 60 days before expiration.
Frequently Asked Questions
Do I need a high school diploma or college degree to become a realtor in California?
No. California requires you to be at least 18 years old and a legal resident, but there is no education requirement beyond the 120-hour pre-licensing course. You do not need a high school diploma or any college credits.
Can I work as a real estate agent without joining a brokerage?
No. California law requires all agents to work under a licensed broker. You cannot operate independently or represent clients on your own. The broker is responsible for supervising your transactions and holding client funds in trust.
How much do real estate agents make in California?
Income varies widely and depends on the number of transactions you close, the price of properties you sell, and your commission split with your brokerage. There is no may provide income. Many new agents earn little or nothing in their first year while building a client base.
What is the difference between a real estate salesperson license and a broker license?
A salesperson license allows you to represent buyers and sellers under a broker's supervision. A broker license allows you to open your own brokerage and sponsor other agents. Becoming a broker requires additional coursework, experience as a licensed salesperson, and passing a separate exam.
Can I take the pre-licensing course online?
Yes. Most DRE-approved schools offer the 120-hour course entirely online, in person, or in a hybrid format. Online courses are self-paced and typically cost the same as in-person options. You still must take the state exam in person at a Pearson VUE testing center.