How to Get a Real Estate License in California

In order to kickstart your real estate career in California, it’s essential to obtain a California Real Estate License. However, despite the fact that the application process is mainly completed online nowadays, many applicants can still find it quite confusing and complicated.

For this reason, this How to Get a Real Estate License in California article will break down the main steps involved in the licensing process, covering everything from educational requirements to exam preparation and having your fingerprints taken.

California Real Estate License 

In order to get your California real estate license and start working in the real estate industry, there are several key steps you’ll need to complete, including:

1. Ensuring You Meet the Licensing Eligibility Requirements
2. Completing the Mandatory Pre-Licensing Education
3. Passing the California Real Estate Exam
4. Passing a Background Check
5. Submitting a License Application
6. Finding a Sponsoring Broker

In the sections below, we’ve explored each of these steps in more detail.

Step 1: Meet the California Real Estate License Requirements

Before continuing ahead with your application for a California real estate license, you’ll first need to confirm that you’re actually eligible for it by ensuring you meet the following prerequisites under California Code of Regulations, Title 10, Chapter 6:

• Be at least 18 years old
• Have a Social Security Number or an Individual Taxpayer Identification Number (ITIN)
• Be truthful and honest

While it’s not a requirement to be a California resident to obtain this license, out-of-state applicants must include a Consent to Service of Process (Form RE 234) alongside either their original or renewal application.

This will need to be signed, notarized, and filed with the California Department of Real Estate (DRE).

Note: For the sake of the truthfulness and honesty requirement, criminal convictions are commonly used as a basis for the rejection of a license application.

Step 2: Complete the Mandatory Pre-Licensing Education

In addition to the general requirements outlined above, there are certain educational prerequisites you’ll be expected to meet in order to qualify for the California real estate licensing examination.

In particular, you’ll be expected to complete three semester (or quarter-equivalent) courses in the following subjects:

• Real Estate Principles; and
• Real Estate Practice; and
• Any one of the following courses:
  • Real Estate Appraisal
  • Property Management
  • Real Estate Finance
  • Real Estate Economics
  • Legal Aspects of Real Estate
  • Real Estate Office Administration
  • General Accounting
  • Business Law
  • Escrows
  • Mortgage Loan Brokering and Lending
  • Computer Applications in Real Estate
  • Common Interest Developments

Additionally, following the legal revisions implemented on January 1, 2024, the Real Estate Practice course you complete must also contain components on:

• Implicit Bias: This’ll specifically touch on the impact of this bias, its history, and how licensees can identify and handle their own implicit biases appropriately. This component also should cover what explicit bias is as well as the systemic bias on consumers
• Federal and State Fair Housing Laws: This component should include information on how these laws apply to the real estate industry as well as an “interactive participatory component” that allows licensees to assume the roles of both consumers and real estate professionals

Members of the California State Bar don’t need to satisfy the requirement for college-level courses. However, they must present proof of their ability to practice law within the state instead (e.g., a California State Bar membership card).

Step 3: Pass the California Real Estate Exam

The next step you’ll need to complete is to pass the multiple-choice California Real Estate Exam, which is administered in an electronic format at five exam centers across the state:

• Fresno
• La Palma (Orange County)
• Oakland
• Sacramento 
• San Diego

In order to be able to take this exam, you’ll need to apply to the DRE for authorization and pay a $100 fee. You can either do this by applying online or by mailing a Salesperson Examination Application (Form RE 400A) to the following address:

Department of Real Estate
P.O. Box 137001
Sacramento, CA 95813-7001

Once your application is approved — which usually takes between two and four weeks — the DRE will email you to let you know that you’re eligible to schedule an examination.

In order to schedule your real estate exam, you’ll need to head over to the eLicensing online system and make a reservation. If this is your first time using the platform, you’ll be required to create an account, after which you’ll be shown step-by-step instructions on how to complete the reservation.

The real estate salesperson exam consists of 150 multiple-choice questions that you need to complete within three hours. To pass, you must achieve an overall score of at least 70%. You’ll find out if you passed or failed immediately upon completing the exam.

Note: For more information on the structure and topics tested on the California real estate exam, you can refer to the DRE’s Examination Description (Form RE 425) for a content outline.

Step 4: Pass the Background Check

After passing the state real estate exam and satisfying all other licensing requirements, you’ll need to undergo a background check.

To do this, you must submit your fingerprints directly with the State Department of Justice (DOJ) by filing a Live Scan Service Request (Form RE 237) with your nearest Live Scan service provider.

Submitting your fingerprints will involve a $49 fee payable to the California DOJ as well as an additional fee that must be paid directly to the Live Scan service provider. Once you’ve had your fingerprints taken, you’ll need to submit a copy of your Live Scan Service Request (Form RE 237) to the DRE.

The FBI will then provide the DRE with a report on your background, which will be reviewed in order to determine your eligibility for a career in this industry. Be aware that the DRE may contact you if it needs any additional documentation due to any findings it deems relevant to your application.

Step 5: Submit a License Application

After completing your background check, you’ll finally be able to submit your application for a real estate salesperson license to the DRE. You can do this by logging into your eLicensing account and downloading and filling out a Salesperson License Application (Form RE 202).

Next, you’ll need to submit your completed license application — at the same time as your Live Scan Service Request (Form RE 237) from the previous step — alongside a $350 license fee to the following address:

Department of Real Estate
P.O. Box 137002
Sacramento, CA 95813-7002

Step 6: Application Review

If you’ve managed to get this far, congratulations! With your application submitted and all the other licensing requirements satisfied, in most cases you should receive a notification from the California Department of Real Estate that your license is ready for download from its website.

Be sure to take some time to celebrate your accomplishment. You’ve put in a lot of work and effort and deserve a celebration!

Note: If you’re not sure what’s happening with your license and it’s been longer than expected, check out the DRE’s Current Processing Timeframes page for more information.

Step 7: Find a Sponsoring Broker

As the new holder of a California real estate salesperson license, there’s one extra step you’ll need to take in order to “activate” this license and begin selling: find a sponsoring broker.

While this isn’t required in order to take the licensing exam or submit your application, you’ll have to find one before you can kick-start your new career in the real estate industry.

Sponsoring brokers are essentially highly experienced professionals in this industry who’re qualified to supervise and mentor you.

On top of ensuring you abide by all relevant ethical and legal standards, they can grant you access to the marketing and lead-generation tools necessary to get your name out there.

When choosing between different sponsoring brokers, it’s important to consider a number of different factors like:

• Their commission split
• If they offer any additional compensation (e.g., stock options or rewards programs)
• What fees they charge
• The extent of their support systems and training programs
• Their industry prestige

If you’re stuck on which one to choose, visiting the different sponsoring brokers you’re considering can be a good way to help you make a decision.

California Real Estate License Renewal

In order to keep your license valid and continue working as a real estate sales agent, you’ll need to renew your license every four years.

For your first real estate salesperson license renewal, you must complete 45 hours of approved continuing education (CE) courses broken down as follows:

• Ethics (3 hours)
• Agency (3 hours)
• Trust Fund Handling (3 hours)
• Risk Management (3 hours)
• Fair Housing — This must include an interactive “role-play component.” (3 hours)
• Implicit Bias Training (2 hours)
• Consumer Protection Courses (18 hours)
• Consumer Service or Consumer Protection Courses (10 hours)

For all subsequent renewals, you’ll have to complete 45 hours of CE courses divided up as follows:

• Survey Course on the Seven Mandatory Subjects (9 hours)
• Consumer Protection Courses (18 hours)
• Consumer Service or Consumer Protection Courses (18 hours)

Note: You may complete the CE hours for both initial and subsequent renewals in person in a classroom or online using remote software.

Once you complete the required CE hours, you’ll need to file your renewal application with the DRE. You can do this online through its eLicensing system or by submitting the following by mail:

• Salesperson Renewal Application (Form RE 209)
• Continuing Education Course Verification (Form RE 251)
• A $350 renewal fee (for on-time renewals) or a $525 renewal fee (for late renewals)

Note: Alternatively, check out the California Department of Real Estate’s list of Approved Real Estate Continuing Education Courses.

California Department of Real Estate

Mailing Address:
1651 Exposition Boulevard
Sacramento, CA 95815

Phone: (877) 373-4542

Fax: (916) 263-8758

Website: http://www.dre.ca.gov/