How to Become a Real Estate Agent

Real estate agents help people buy and sell property, but this career offers much more. On any given day, you may host an open house, design a website to market a property or help a family negotiate a contract for purchasing their first home.

To earn your license, you typically must pursue and complete specific courses, pass an exam, and work with a broker. Discover the steps you need to follow to become a real estate agent, the skills to develop, how long it might take to become a real estate agent, and the salary you could earn.

What is a real estate agent?

A real estate agent helps clients buy and sell residential or commercial properties and rent and lease buildings and land. As a real estate agent, you must work directly with a broker to complete the buying and selling of properties.

What does a real estate agent do?

In this role, you'll have a variety of duties that help clients get the best deals for the sale, purchase, or rental of their property, including listing properties and advertising to attract buyers. You'll also help negotiate contracts, search for properties that fit your client's needs, and coordinate with other real estate professionals, such as brokers and Realtors.

How to become a real estate agent

Each state has requirements for real estate agents, but you'll typically need to begin with a high school diploma. Though optional, a certificate, certification, or bachelor's degree in real estate or a related field, such as marketing, finance, or business administration, may be helpful. You'll need to pass an exam to become a licensed real estate agent in all states.

Read more: Your Guide to Business Administration Degrees

Explore this step-by-step guide to how to become a real estate agent:

1. Learn the duties of a real estate agent.

Before you embark on your real estate journey, familiarize yourself with the job duties. Real estate agents benefit from being efficient multi-taskers, as the job may include a variety of tasks. While no two real estate agents do exactly the same thing each day, you may find yourself performing some or all of the following duties:

• Searching for and communicating with potential clients

• Communicating with potential clients about their wants and needs

• Communicating with current clients about what's going on with their property or contract

• Coming up with a competitive market price for a property based on research and prior knowledge

• Helping buyers with the mortgage process

• Assisting buyers to prepare a house for sale

• Keeping up with local community information, such as the best schools, crime rates, and entertainment options

• Hosting open houses

• Creating print media to promote properties for sale

• Creating and executing a digital marketing plan for each property for sale

• Showing houses to potential buyers

• Negotiating deals for clients

• Preparing documents and ensuring they meet all state and local laws and regulations

2. Learn your state’s real estate regulations.

Each state has unique requirements for real estate agent licensure, though they typically involve taking some courses and passing an exam. If you’re curious about what education is required to be a real estate agent, be mindful that precise education requirements, similar to licensure requirements, vary from state to state.

All states have an age requirement, while some have education qualifications you must meet. For example, you must be 18 years old in Georgia and have your high school diploma or GED, while applicants must be 19 years old with a high school education or equivalent in Nebraska. You must also complete a background check. Some states may require fingerprinting or require you to disclose any criminal history.  

Once you satisfy any basic requirements for your state, you'll typically need to enroll in a program that allows you to take a certain number of hours of real estate courses from an approved school or organization. You typically need to pay for these courses, and prices vary by state. Also, some states have reciprocity agreements with other states, which means if you earn your license in one state, another state will let you practice there without additional coursework.

3. Prepare for the exam.

Some pre-licensure coursework requires a final exam to complete all course requirements. Depending on the state, you may also need to score a certain percentage on it to move on to the next step. Once you do that, you can prepare for the final state licensing exam.

Inquire if your state previews the topics on the exam so you'll better understand what you need to study. You may also look for practice exams online. Your state may offer them, and so do some real estate schools.

Once you know what to study, it may help to make relevant notes or flashcards and review them as much as possible. Some experts suggest breaking your study sessions into 30 or 45 minutes to make them more efficient [1].

After scheduling the exam, ensure you know where the exam will take place, how to get there on time, and how to park. Finally, stay positive. You've worked hard to reach this point, which may result in a rewarding and exciting real estate career.

4. Register and sit for the exam.

You will likely have to register to take your state's licensing exam, which typically includes paying a fee. Look to your state's regulatory board to learn when to register and where you can take the exam.

The exam typically consists of two parts—a national section and a state-specific section. The number of questions and time allotted for the exam will depend on the state. If you don't pass one or both sections, you can typically retake the exam after a specific passing of time.

5. Find a sponsoring broker.

In most states, finding a broker to sponsor you is the final step in getting your real estate license. As an agent, you'll work on behalf of a broker, and they'll help you finally earn your license. Research and find a broker who meets your needs and goals. For example, if you're interested in selling commercial property, look for a broker with this specialty. Some states may require you to find a broker before you take the real estate exam, so be sure to check with your state's regulatory board on current rules.

Once you've chosen a broker and they agree to sponsor you, they'll help you complete the necessary paperwork to get your license. Together, you will submit this paperwork to your state's licensing board. Once you get approved, you'll officially be a real estate agent.

How much does it cost to become a real estate agent? The amount you pay in your investment to become a real estate agent will likely vary depending on the state you live in. Realtor.com reports a pre-licensing course and licensing exam costs between $300 and $600 [2] while Redfin estimates that it typically costs $525 to $1325 to become a real estate agent [3]. This includes pre-licensing coursework, real estate licensing exam fees and licensing fees, broker fees, membership fees, additional education, and marketing expenses.

Required skills for a real estate agent

Real estate agents work hard and often work weekends and evenings in addition to regular office hours. You must have good organizational skills, as you'll likely work with multiple clients simultaneously. You must also be a great communicator, self-motivated, and negotiator. Knowledge of the real estate market and your local community is essential to the job. Other skills that you typically need as a real estate agent include:

• Adaptability

• Comfort using the latest technology

• Negotiation skills

• Integrity

• Problem-solving

• Self-motivation

• Time management

• Marketing

Real estate agent career path

Working as a real estate agent may be exciting and rewarding. You may advance your career with more education or try different jobs in the industry. Explore examples of what your real estate agent career path may look like:

• Becoming a Realtor by joining the National Association of Realtors

• Becoming a real estate broker yourself

• Going to law school and becoming a real estate attorney

• Becoming a mortgage officer or appraiser

• Embracing your creative side by professional staging and photographing homes for sale

How long does it take to become a real estate agent?

It may take anywhere from two to six months to become a real estate agent, depending on where you live and your pace. Your state requirements and your schedule may also impact your timeline. Taking your pre-licensing courses online or in person may also contribute to your real estate licensure timeline. Getting your license may take longer if you need to retake the licensing exam.

Real estate agent salary and job outlook

According to Lightcast™, real estate agents make an average annual salary of $99,178 [4]. The US Bureau of Labor Statistics predicts the real estate field will continue to grow through 2033 at a rate of 2 percent [5]. With around 46,600 new job openings each year, US BLS considers this growth rate as fast as average compared to other career fields [5].

Read more: Real Estate Agent Salary Guide: What to Expect

How to become a real estate agent with Coursera

Your path to becoming a real estate agent involves acquiring your real estate license and meeting requirements based on your state and plan to work in.

Once you've earned your real estate license, continuing your education may help you advance your career. On Coursera, you'll find courses and Professional Certificates that can help you do just that and more, such as Financing and Investing in Infrastructure offered by Bocconi University, Introduction to Negotiation: A Strategic Playbook for Becoming a Principled and Persuasive Negotiator offered by Yale University, and Finance for Non-Finance Professionals offered by Rice University.