How to Become a Real Estate Broker in California | ADHI Schools

Pathway to Your Broker License

Start your journey towards becoming a licensed
estate broker in California.

Here's a step-by-step breakdown.

Requirements/Qualifications

There are three broad requirements for all prospective real estate brokers in California which will be outlined below.

Background clearance
Experience
Education

6 Steps to Becoming a California Real Estate Broker

To meet the California real estate broker license requirements, do the following:

Step 1

Make sure you're honest about your background

In terms of the background check, you need to be at least 18 years old and demonstrate 100 percent honesty on the "criminal history" and background sections of the broker license application. Not having a criminal record is not a de facto ground for denial of a license.

Rather, the Department of Real Estate (DRE) investigates each application individually. It is up to the Real Estate Commissioner to decide whether a past legal infraction warrants denial of licensing. One thing that will almost invariably lead to denial is lack of full disclosure on the application. The Department of Real Estate makes its determination based upon the relevance of any criminal offenses as they might pertain to the practice of real estate brokerage. Things like felony fraud, theft and any types of violent crimes are often grounds for denial of a license. Applicants should know that failure to list any part of a criminal record, no matter how seemingly insignificant a particular charge or conviction might seem, can lead to swift denial of a license application.

Steps to getting a

Real estate license

Steps to getting a Real Estate license

Step 2

Get the necessary real estate industry experience:

You also have to submit written verification of experience, which can be done a few different ways. If you have 2 years of full-time and verifiable real estate experience that has taken place during the prior 5 years, that's all you need. Also, remember that the Department of Real Estate will accept a 4-year college degree, with a minor or major in real estate, as fulfilling the requirement.

A few alternate forms of experience also work. For example, if you have 2 years of experience working in another state or country as a real estate agent, or worked 2 years or more as a real estate developer, property manager, loan officer, escrow officer, or builder, you may meet the requirement. Applicants who are unsure whether their experience is relevant for purposes of obtaining a real estate broker license should contact the DRE and find out before they send in an application.

Step 3

Complete the required education

ADHI Schools has you covered on all of the eight courses you will need. They are as below:

  • Real Estate Practice
  • Legal Aspects of Real Estate
  • Real Estate Finance
  • Real Estate Appraisal
  • Real Estate Economics & Accounting
  • Three elective courses
*Note: If you take both accounting and economics, you only need two electives.

Step 4

Pay the combined application fees for taking the exam and obtaining a license:

ADHI Schools has you covered on all of the eight courses you will need. They are as below:

On the Broker Examination and License Application, you must fill out everything and submit the fees. No cash! Credit cards, cashier's checks, money orders and checks are acceptable. The RE 436 form is the main form that you'll need.

Currently the fee to take the California real estate broker exam is $150 and a four-year license will set you back $450.

On the application, you can choose to schedule your own exam time or let the DRE pick a time for you.

After that, it's time to wait. The Department of Real Estate will get back to you within 4-8 weeks.

Step 5

Decide on a date when you will be able to take the exam:

If you opted to determine your own exam time when you sent in the application, you will receive communication from the state stating that you can now choose your exam time, location and date. If you chose to let DRE pick your exam time, you will get an Exam Schedule Notice stating the time, date and location where you will take the test.

Step 6

Sit for, and pass, the California real estate broker's examination:

The exam is given at various sites around the state. You'll be able to choose one of five locations that is most convenient for you. Testing takes place throughout the week and is year round. Don't forget your government issued photo identification.

You'll have four hours to respond to 200 questions, all of which are multiple-choice format. All real estate broker exams are now administered in electronic form, which allows you to get your exam results instantaneously. If you score 75 percent or above, you pass.

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Why become a broker?

Becoming a real estate broker in California offers numerous advantages for those looking to advance their careers in the real estate industry. As a broker, you not only gain greater autonomy but also the potential to earn significantly higher income through commissions and the ability to open your own brokerage firm. This step up from a real estate salesperson allows you to employ other agents, which can multiply your earning potential as you benefit from their sales as well.

The advanced knowledge and skills gained through broker-specific education in legal aspects of real estate, property management, and finance add immense value. This expertise enables brokers to provide superior advice and service, making them indispensable to clients navigating the complexities of property transactions.

Moreover, the prestige associated with being a licensed real estate broker can lead to broader professional opportunities, including consulting roles and industry leadership positions. For those passionate about real estate, becoming a broker in California is a powerful step toward a fulfilling and prosperous career.

Why does a broker license matter?

A broker license matters because it grants you the authority to run your own real estate business, leading to higher earning potential and the ability to oversee other agents. It reflects a high level of expertise and trust, essential for advising clients on significant investments and complex transactions.

How to become a broker?

To become a real estate broker in California, you must meet the following requirements:

  1. Experience: You need a minimum of two years of full-time licensed salesperson experience within the last five years, or equivalent experience in a related field, or a four-year degree with a major or minor in real estate.
  2. Education: You must have successfully completed eight college-level courses, which include mandatory courses in Real Estate Practice, Legal Aspects of Real Estate, Real Estate Finance, Real Estate Appraisal, and Real Estate Economics or Accounting. Additionally, you must choose three elective courses from a list that includes Real Estate Principles, Business Law, Property Management, and several other options.

Broker License Experience

Qualification Quiz

Find out if you meet the experience requirements to become a

licensed real estate broker in California!

Question

Are you currently licensed as a salesperson in California?

Question

Have you been working full-time in real estate for two of the last five years?

Question

Do you have at least two years of unlicensed equivalent experience in real estate or a four-year degree with a major or minor in real estate?

Congratulations!

You likely meet the experience requirements to become a real estate broker in California!

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