To become a broker, earn a high school diploma, complete a real estate broker course, and gain experience as a licensed agent for at least two years. Then, pass your state’s broker exam, submit a license application, and meet continuing education requirements to maintain your broker license.
Understand What a Real Estate Broker Does
A real estate broker manages real estate transactions, oversees agents, and ensures legal compliance during sales. Unlike real estate agents, brokers can open their own real estate brokerage and hire associate brokers.
A licensed real estate broker handles:
- Contract negotiations
- Oversight of listing agreements
- Supervision of real estate agents
- Compliance with real estate law
- Business operations and commission structures
People enter this field to grow their real estate career, increase income, and gain independence. Becoming a broker means more responsibility but also more control over how you run your business.
[Image: Real estate broker speaking with a team of agents in an office]
Meet the Education Requirements
To become a broker, you must first complete all education requirements set by your state. This usually starts with a high school diploma and ends with a real estate brokerage course.
Typical requirements include:
- High school diploma or equivalent
- 60 to 150 hours of approved real estate practice coursework
- Specialized topics like real estate finance, fair housing, and real estate law
- Completion of a broker exam prep course
You must also have a track record of sales and real estate transactions to qualify for the broker exam.
Gain Work Experience as a Licensed Agent
Most states require at least two years of experience as a licensed real estate agent before you can become a broker. During this time, agents must:
- Participate in multiple property listings
- Help buyers and sellers through the real estate transaction process
- Submit all required forms correctly
- Stay current with industry trends and market conditions
- Work under a sponsoring broker
Many brokers say their experience as an agent gave them the confidence to handle more complex deals and manage teams.
Complete Pre-Licensing Broker Education
Before you can apply, you must complete a state-approved real estate brokerage course. This education focuses on broker-level skills such as:
- Business planning
- Supervision and managing other brokers
- Handling brokerage compliance and ethics
- Real estate office operations
- Legal topics specific to real estate brokers
The number of required courses and total hours vary by state. For example, Texas requires 270 classroom hours, while California requires 360.
Topics Covered:
- Brokerage management
- Fair housing regulations
- Escrow and trust accounts
- Real estate finance and risk analysis
- Continuing education preparation
Pass the Broker Exam
The broker exam tests your knowledge of state laws, real estate transactions, ethics, and finance. Exams are typically multiple-choice and may include simulations.
To pass the real estate broker exam, you must:
- Score 70% or higher
- Understand key transaction principles
- Study brokerage operations and ethics
- Know how to handle buyers, sellers, and property listings
- Prepare using a dedicated exam review course
Many applicants take the test more than once. After you pass, you will need to file a license application with the state and submit proof that you have successfully completed all required coursework.
Submit Your License Application and Fees
Once you pass the licensing exam, submit your broker license application through your state’s licensing board. You will typically need to:
- Pay a fee (ranges from $150–$300)
- Provide proof of education
- Include your broker exam results
- Show verified real estate transactions
- File fingerprint and background check paperwork
Once approved, you’ll receive your official license to begin work as a broker or launch your own real estate brokerage.
Stay Current with Continuing Education
Most states require brokers to complete continuing education courses every 1–2 years to keep their license active. These classes cover:
- Legal updates
- Ethics and compliance
- Changes in real estate finance
- Trends in property markets
Completing these courses helps you stay competitive and compliant. Many states require at least 12 to 24 hours of approved CE credits every renewal cycle.
Real Estate Broker Requirements by State
Here’s a comparison table showing the core requirements to become a real estate broker in various states, including education, exam, and application criteria.
Caption: Real estate broker license requirements compared by state, including exam, education, and experience prerequisites.
| State | Required Hours | Experience (Years) | Broker Exam | License Fee |
|---|---|---|---|---|
| California | 360 | 2 | Yes | $300 |
| Texas | 270 | 4 | Yes | $305 |
| Florida | 72 | 2 | Yes | $91.75 |
| New York | 120 | 2 | Yes | $155 |
| Illinois | 165 | 2 | Yes | $125 |
| Georgia | 60 | 3 | Yes | $170 |
| Arizona | 90 | 3 | Yes | $125 |
Source: Each state’s Department of Real Estate or equivalent licensing board
Most Common Questions About Becoming a Broker
These are the questions we get asked the most often in regards to how to become a broker and starting a real estate career.
How long does it take to become a real estate broker?
It typically takes 2 to 4 years. You must gain experience as a licensed agent for at least two years, complete brokerage education, and pass the licensing exam.
What’s the difference between a broker and a real estate agent?
A real estate broker has more education and can manage real estate agents or open a real estate brokerage. Agents must work under a licensed broker.
Do I need a degree to become a real estate broker?
No college degree is required. Most states only require a high school diploma, completion of a real estate brokerage course, and passing the broker exam.
What is the cost of getting a broker license?
Costs vary by state. You’ll pay for courses, the broker exam, fingerprinting, and the license application fee. Most people spend $500–$1,000 total.
Can I start my own brokerage after getting licensed?
Yes. Once you pass the broker exam and receive your license, you can open your own real estate brokerage and hire real estate agents.
