Are you considering a career in Alabama real estate industry? If so, you must first obtain an Alabama real estate license. The process of getting the licensure could look tedious; however, if you know what to expect, it could be easier.
This post will give a step-by-step guide on how to get an Alabama real estate license, the necessary requirements, tips on how to pass the licensing exam, and further details on real estate exams.
Real Estate License
A real estate license is a legal authorization that allows realtors to sell, broker, or rent real estate on behalf of a brokerage. However, the requirements to obtain one vary from state to state.
The first step is to research your state’s licensing and education requirements to obtain a real estate license. The requirements for pre-licensing courses and licensing applications are different in every state.
How to Get Alabama Real Estate License
The step-by-step guide to getting a real estate license in Alabama is as follows:
#Step 1: Real Estate Pre-Licensing Course
You must complete an approved 60-hour pre-licensing course to get an Alabama real estate license. Most people choose to take their pre-license education course online, which is usually self-paced and includes study materials like real estate practice exams and flashcards.
Some courses also come with a “guarantee” that you will pass the exam on your first attempt if you complete their course. Remember that the point of these courses is to prepare you to pass your exam and become a better agent.
One example of an online course provider is Perry Real Estate College.
#Step 2: Alabama Real Estate License Exam
After completing your pre-license education and course exam, take the Alabama Real Estate Exam. The exam consists of 140 questions, including 100 for the national and 40 for the state sections. You have 210 minutes (3.5 hours) to complete the entire exam. A passing score for the Alabama Real Estate Salesperson Exam is 70/100 on the national section and 28/40 on the state section.
You can register to take your exam on the PSI Alabama Real Estate page
#Step 3: Apply for a Temporary Alabama Real Estate License
After passing the exam, you need to apply for a temporary license. The license application costs $210, which includes a $150 license fee, a $30 research and education fee, and a $30 recovery fund fee. Send the completed application and any other documentation to the Alabama Real Estate Commission’s Licensing Division at 1201 Carmichael Way, Montgomery, AL 36106.
#Step 4: Complete 30 Hours of Post-Licensing Education
When you receive your real estate license in Alabama, you must complete 30 hours of post-licensing education within the first 12 months of licensure to be issued an original (permanent) license. For that, you’ll need to register with the Alabama Real Estate Commission prior to starting your post-licensing course.
You can sign up for your post-licensing courses after you’ve received your license, or you can include them as part of your prelicensing package.
Remember that pre-license education and test preparation are the two steps that take the most time when getting your license. The average amount of time people take from start to finish is generally 3-6 months.
Alabama Real Estate License Requirements
To obtain an Alabama real estate license, you must fulfill certain requirements:
- Age requirement: You must be at least 19 years old.
- Citizenship: You must be a US citizen, a lawfully admitted foreigner, or legally present in the US.
- Education: You must have proof of high school graduation or equivalent.
- Residency: You must show proof of bona fide residency in any state in the US.
If you meet the requirements for the Alabama real estate license, follow these steps:
- Complete an Alabama real estate pre-licensing course
- Apply for the Alabama Real Estate License Examination
- After passing the exam, submit your application within 90 days of your examination date.
- Apply for a temporary ID number
- Complete the 30-hour post-licensing course.
Alabama Real Estate License Cost
The cost of obtaining an Alabama real estate license can be broken down into several components:
- Pre-Licensing Education: The estimated cost for this is around $200-$500 or more, depending on the school or online program you select.
- State Examination: The exam fee is $77 per attempt.
- License Application: The total fee for the application is $210, which includes a $150 License Fee, a $30 Research and Education Fee, and a $30 Recovery Fund Fee
- Temporary License: After passing the exam and completing a background check, you will receive a license application. This costs $210.
- Real Estate Salesperson’s Original License: You must apply for this within 12 months after the state issues your temporary license. The fee is $85 per year, with the option to secure two years for $170.
- Additional Expenses: There may be other costs associated with becoming an Alabama Real Estate Agent, such as joining local Realtor boards or MLS, application fees, and MLS fees.
The total estimated cost of obtaining an Alabama real estate license ranges from $640 to $905.
Alabama Real Estate License Course
The Alabama Real Estate License Course is the first step to becoming a licensed real estate agent in Alabama. The 60-hour Salesperson Pre-license course is one of the requirements for anyone wishing to earn an Alabama real estate license. The prelicensing course curriculum puts you on track to obtaining your real estate license. This prelicensing online course can be completed at your own speed and adapted to fit your schedule.
After completing the license course, you must pass the Alabama State Real Estate exam. This exam must be completed and passed within six months of finishing your schooling.
There are several schools where you can get an Alabama real estate license course. They include;
- Alabama Real Estate Institute
- ACRE Real Estate School
- Perry Real Estate College
- Alabama Real Estate Education Academy.
Also, while taking the Alabama Real Estate License Course, it is recommended that you take the cram course as well. A cram course is a tremendous tool most students attribute their success in passing their Alabama real estate license exams to.
What Is the Pass Rate for the Alabama Real Estate Exam?
The pass rate for the Alabama Real Estate Salesperson Exam is 70%. This test is purposefully difficult but not impossible. You can pass the exam on your first attempt with proper preparation and effort.
The Alabama Real Estate Exam consists of 140 questions, including 100 for the national and 40 for the state sections. You will have 210 minutes (3.5 hours) to complete the entire exam. A passing score for the Alabama Real Estate Salesperson Exam is 70/100 on the National section and 28/40 on the State section.
Alabama Real Estate License Reciprocity
Real estate license reciprocity refers to an agreement between states that allows real estate agents with a license in one state to obtain a license in another state with minimal additional requirements, such as skipping pre-licensing courses and going straight to the real estate exam. There are two types of license reciprocity:
- Full Real Estate Reciprocity: You can transfer your real estate license from any state in the country upon completing your target state’s state-specific portion of the real estate exam.
- Partial Real Estate Reciprocity: Allows agents to practice in certain states without obtaining additional licensure, providing more limited opportunities than full reciprocity.
Alabama has reciprocity with most other states for real estate licenses meaning that if you hold a real estate license in another state for at least a year, you can apply for a license in Alabama without needing to take the state-specific portion of the licensing exam. To obtain an Alabama real estate license by reciprocity, you need to meet the following requirements:
- Have a real estate license in another state by examination.
- Complete a six-hour course in Alabama real estate law.
- Take and pass the corresponding Alabama license law exam of the licensing examination.
- Submit an official “Certificate of Licensure” form (license history) issued within 120 days of the reciprocal license application.
How Much Does a New Real Estate Agent Make in Alabama?
In Alabama, the average salary for a real estate agent is $41,451 per year. However, the salary can vary based on the agent’s education, experience and additional skills.
How Many People Pass Alabama Real Estate Exam?
The Alabama real estate licensing exam consists of 140 questions, including 100 national questions and 40 state-specific questions. To pass the exam, a candidate must achieve a scaled score of 70% on the national and 28% on the state sections. The passing rate for the Alabama Real Estate Exam is 70%. Determining the exact number of people who pass the Alabama real estate exam is difficult. However, as of 2023, only 72% of agents pass the licensing exam on the first try.
How Many Math Questions Are on the Alabama Real Estate Exam?
The Alabama real estate exam consists of 140 questions, with 100 questions on the national portion and 40 on the state-specific. The number of math questions on the exam varies from state to state. On average, you can expect anywhere between 5 to 20 math questions on the exam.
It’s essential to be prepared for math questions on the exam, as they will likely cover various topics relevant to real estate. You can find real estate math questions and cheat sheets online to help you prepare.
What Is the Hardest State to Get a Real Estate License In?
Texas is widely considered the hardest state to get a real estate license due to its 180-hour required pre-licensing course, which is the longest in the country. Texas real estate agents must complete 18 hours of continuing education every two years. Colorado is another state with challenging requirements for obtaining a real estate license. Aspiring agents must undergo 160 hours of training, two exams, a background check, and fingerprinting. In contrast, most other states require less than 100 hours of education, with the 40-hour requirement being the most common.
Other states with difficult real estate exams include New York, and Florida, Michigan. The exams are designed to be difficult to pass, ensuring that only qualified agents become licensed.
How Do I Study for My Real Estate License in Alabama?
Tips on studying to get an Alabama real estate license:
- Focus on your real estate exam prep material. The real estate license exam’s scope can be overwhelming. However, using exam prep study aids assists you in focusing on the material you need to pass.
- Try taking practice tests to identify your flaws and improve on them. Also, to practice question phrasing, switch up your practice tests. Furthermore, math formulas are essential because the exam will have sections.
- Focusing your studies on the areas that you need help with will make it much less overwhelming.
- Utilize a real estate exam course. Another great way to stay accountable is by investing in your success. By putting up some of your own money, you’ll feel obligated to stay on course and study day after day. By using a real estate exam prep course, you’ll be in good hands to pass your real estate exam.
- Create a test-taking strategy. Budget your time and manage your energy well throughout the experience using a test-taking strategy. First, scan through the entire exam and get a sense of how many questions there are. Then, move through and answer the easy questions first. Mark the more challenging ones and come back to them later. And make sure to read through each question thoroughly and carefully!
- Use practice questions from an exam prep course. Memorizing the information is great, but applying what you’ve learned by writing practice exams is infinitely more helpful. Using practice exams will give you a better sense of the types of questions on the test and a better sense of how the test is structured.
- Get a study partner (and practice explaining the concepts). Ask your partner, family, or friends to help you practice various study techniques. Use flashcards, mnemonic devices, and memorization tools, but don’t stop there. Practice explaining the concepts to your study partner so that you master them completely.
By following these tips, you will be well on your way to passing the Real Estate Exam with flying colors. Remember to stay focused, stay motivated, and stay confident!
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