Real Estate Licensing
Getting a real estate license can give investors access to the MLS, commission income, and a deeper understanding of the market.
How to get a real estate license
Complete state-required pre-licensing education (typically 60-180 hours), pass the state exam, find a sponsoring broker, and submit your application.
Agent vs broker
Agents work under a broker's license. Brokers can operate independently and manage agents. Becoming a broker requires additional education and experience.
Why investors may want a license
Direct MLS access, commission savings on your own deals, referral income, deeper market knowledge, and professional credibility.
MLS access
The Multiple Listing Service is the primary database of properties for sale. Licensed agents get direct access to listings, historical data, and market analytics.
Commissions
Typical commissions are 2.5-3% per side. On your own deals, you can earn or save this commission. On referrals, you can earn without doing the transaction yourself.
State requirements
Each state has different education hours, exam requirements, and continuing education mandates. Some states have reciprocity agreements for easier multi-state licensing.
License portability
Some states allow you to practice with an out-of-state license through reciprocity or cooperative agreements. Research your target states' specific policies.
Continuing education
Most states require ongoing education to maintain your license. Typical requirements are 12-24 hours every 1-2 years.