How to Become a Real Estate Agent in 2026: Requirements, Cost & Steps
Getting a real estate license is one of the fastest paths to a new career. In most states, you can go from zero to licensed agent in 2 to 6 months, with total costs between $400 and $1,200.
Here’s exactly what you need to know.
What Does a Real Estate Agent Do?
A real estate agent helps people buy, sell, or rent properties. As a licensed agent, you work under a licensed broker and earn commissions on closed deals. The median salary for real estate agents in the U.S. is approximately $52,030 per year, though top earners in states like New York and California make significantly more.
Real Estate License Requirements by State
Every state sets its own licensing requirements, but they all follow a similar structure. Here’s what you’ll need:
1. Meet the Basic Eligibility
- Age: 18 or 19 years old (varies by state)
- Education: High school diploma or GED
- Background check: Required in all 50 states
- Legal residency: U.S. citizen or legal resident (most states)
2. Complete Pre-Licensing Education
This is the biggest variable between states. Required education hours range from 40 hours in some states to 180 hours in Texas.
States with the lowest education requirements:
- Michigan: 40 hours
- Massachusetts: 40 hours
- Indiana: 90 hours
States with the highest requirements:
- Texas: 180 hours
- Colorado: 168 hours
- Idaho: 150 hours
You can complete these courses online through accredited schools. Most students finish in 2 to 8 weeks depending on the state’s hour requirements and their own pace.
3. Pass the Licensing Exam
After completing your education, you’ll take a state licensing exam administered by testing companies like Pearson VUE or PSI. The exam typically has two sections:
- National portion: Real estate principles, practices, and law
- State portion: State-specific regulations and laws
Pass rates vary, but most states see 60% to 70% first-time pass rates. The exam fee ranges from $30 to $100.
4. Submit Your Application
After passing the exam, you submit your license application to your state’s real estate commission. This includes:
- Application fee ($50 to $250, depending on the state)
- Fingerprint and background check results
- Proof of completed education
- Exam score report
5. Find a Sponsoring Broker
In every state, new agents must work under a licensed broker. Your broker provides training, access to listings, and handles legal requirements. Choose a brokerage that fits your style — large national firms offer structure, while independent brokerages may offer higher commission splits.
How Much Does a Real Estate License Cost?
Here’s a typical cost breakdown:
| Expense | Range |
|---|---|
| Pre-licensing education | $200 – $700 |
| Exam fee | $30 – $100 |
| Application fee | $50 – $250 |
| Background check/fingerprints | $30 – $80 |
| Total | $310 – $1,130 |
These costs don’t include ongoing expenses like MLS fees, association dues, or continuing education for renewal (required every 2 to 4 years in most states).
Compare costs for your specific state on our state-by-state real estate agent pages.
How Long Does It Take?
| Step | Timeline |
|---|---|
| Pre-licensing education | 2 – 8 weeks |
| Schedule & pass exam | 1 – 3 weeks |
| Application processing | 1 – 4 weeks |
| Total | 1 – 3 months |
Some states like Florida and Texas process applications quickly, while others like New York can take longer.
States with the Easiest and Hardest Requirements
Easiest to get licensed:
- Florida: 63 hours, fast processing, online-friendly
- Michigan: 40 hours, affordable fees
- Pennsylvania: 75 hours, no state-specific exam section
Most demanding:
- Texas: 180 hours of education required
- Colorado: 168 hours plus additional broker requirements
- New York: 75 hours but longer processing times
See the full comparison across all 50 states on our real estate agent overview.
Reciprocity and Multi-State Licensing
Many states offer reciprocity agreements that allow licensed agents to practice in other states with reduced requirements. For example:
- Full reciprocity: Some state pairs waive all requirements
- Partial reciprocity: Waive education but require the state exam
- Cooperative states: Require both education and exam but at reduced levels
Check our interstate compacts guide for details on multi-state licensing.
Frequently Asked Questions
How much does it cost to get a real estate license? Total costs range from $310 to $1,130 depending on your state. The biggest expense is pre-licensing education ($200 to $700). See exact costs for your state at LicenseCompass.
Can I get a real estate license online? Yes. Most states allow you to complete pre-licensing education online through accredited schools. The licensing exam must be taken in person at an approved testing center.
How long does it take to become a real estate agent? Most people complete the process in 1 to 3 months. States with lower education requirements (like Michigan at 40 hours) are faster than states like Texas (180 hours).
Do I need a college degree to become a real estate agent? No. All states require only a high school diploma or GED. There is no college degree requirement for a real estate license.
What is the pass rate for the real estate exam? First-time pass rates are typically 60% to 70% depending on the state. Most candidates who fail the first time pass on their second attempt.
Data sourced from CareerOneStop (U.S. Department of Labor). Requirements change — always verify with your state licensing board before starting the process.