Complete Guide to Renewing Your Real Estate License in Pennsylvania
Maintaining your license is a critical part as a real estate professional in ensuring a thriving career in the long run.
As a licensee, you have spent considerable time, effort, and cost in acquiring your Pennsylvania real estate license.
Keeping your license up to date will ensure your efforts do not go in vain and that you continue to legally help clients in real estate transactions.
All real estate license holders in Pennsylvania must mandatorily renew their licenses every two years.
Maintaining its active status is paramount to remain compliant with state and federal laws. It is one of the most important aspects of being a successful real estate professional.
If you are a real estate agent or a broker working in Pennsylvania and want to know how to renew a real estate license, we are here to help.
In this complete guide to license renewal in PA, we will walk you through all the steps required for license renewal.
Whether it is going to be your first time renewing a real estate license or not, this guide will cover all the aspects of managing your license.
From continuing education courses to fees and renewal deadlines, you will get clarity on renewing your real estate license in Pennsylvania.
Initial Introduction to Real Estate License Renewal in Pennsylvania
Overview of Real Estate License Renewal
License renewal is a significant and crucial process in the professional journey of a real estate professional.
Irrespective of whether you have a salesperson, broker, loan officer or any other license, it is a must to renew a real estate license to maintain its active status.
As per the state and federal laws, every active professional is required to update and renew their license as per the most recent renewal guidelines, rules, and regulations.
Renewing a real estate license is a simple, step-by-step process that requires completion of a specific set of actions.
Like most states, a real estate license in Pennsylvania is considered valid for two years from the date of its issuance. The Pennsylvania Real Estate Commission (PREC) is the state’s authority for license renewal.
To participate or partake in any activity involving the sale, purchase, or lease of real estate, one must have an active, up-to-date license.
While the process of license renewal is simple, it requires one to be attentive and ensure timely actions.
One must fulfill specific requirements related to certifications, education, and registrations for real estate license renewal.
Failure to renew a real estate license on time leads to delays, fines, penalties, and in some cases, lawsuits and suspension of licenses.
Importance of Renewing Your Real Estate License
Individuals who hold an active real estate license are required by the law to renew their licenses as per the requirements established by the Pennsylvania Real Estate Commission (PREC).
There are many important reasons why you should renew your real estate license in Pennsylvania before the due date. Let’s take a look at some of them below:
1. Staying Compliant:
License renewal is important as it helps you stay current and compliant with the state and federal laws.
Having an updated license means you are adhering to the rules and guidelines of the Department of Real Estate in Pennsylvania.
By being compliant, you will ensure that your license is per the latest laws and best practices in the real estate industry.
2. Agency Relationships:
Renewing your license on a timely basis ensures that your relationship with the state’s real estate agency is positive.
Having an up-to-date license means you are in good standing with the Pennsylvania Real Estate Commission.
Completing the license renewal process on time reaffirms that you understand, adhere and withstand the standards and best practices of the agency’s laws and guidelines.
3. Real Estate Transactions:
Updating your real estate license in Pennsylvania is a must if you want to be a part of a real estate transaction.
Whether you are helping clients buy or sell real estate, a valid and updated license is imperative to partake in a financial transaction.
To ensure that a real estate deal meets the laws and standards set by the state and federal agencies, you must have an updated license as an agent, broker, or realtor.
In addition to the above, there are additional benefits of renewing your real estate license promptly.
Now that we have discussed the importance of the renewal process, let us dive deeper into the process to renew a real estate license in Pennsylvania.
Understanding Pennsylvania Real Estate License Renewal Requirements
Continuing Education Requirements
Among the factors for Pennsylvania real estate license renewal requirements, fulfilling continuing education (CE) norms is the most important.
The Pennsylvania Real Estate Commission (PREC) has mandated that every license holder should go through 14 hours of CE to renew their licenses the first time.
For the first-time license renewal cycle, the continuing education coursework should cover the two required courses:
- General Module (7 hours)
- Residential Module or Commercial Module (7 hours)
For license holders who have previously renewed their Pennsylvania real estate license, the subsequent continuing education requirements are different.
You must also complete 14 hours of continuing education which should include the following mandatory courses:
- Real Estate Ethics
- Property Management
- Real Estate Finance
- Consumer Rights Protection and Disclosures
In addition to the above, for second and subsequent time license renewals, you must also choose from the following elective courses:
- Marketing and Advertising
- Fair Housing
- Diversity and Ethics
You can choose to complete your continuing education requirements by enrolling in a real estate college or through a self-paced online course provider.
However, it is important to note that you should only select a PREC-approved and accredited college or education provider.
Deadlines and Fees for License Renewal
In the state of Pennsylvania, every licensee is required to update their real estate license by or before two years from the original date of issuing of the license.
The costs for license renewal vary depending on the type of license you hold.
For example - if you hold an active salesperson license in Pennsylvania, it would cost you $96 to renew your license.
For a broker’s license, it will cost $96 in license renewal costs.
If you have not renewed your real estate license within two years, you can pay a late reactivation fee along with the required education and background verification certificates.
However, if your license has been inactive for more than five years, you will no longer be allowed to renew it.
Instead, you will have to start your licensing journey from scratch and retake the Pennsylvania real estate licensing exam to get your license.
Step-by-step Procedure on How to Renew Real Estate License in Pennsylvania
Accessing Pennsylvania’s Online Licensing System
If you are ready to renew your real estate license in Pennsylvania, here’s how you can access the online licensing system.
Firstly, you need to visit the official website of the Pennsylvania Department of State (DOS) and log in to your account.
On the left of the page, you should see a ‘My Account’ section where you need to click on ‘Login’ and enter your credentials.
Next, you need to scroll down and look for the ‘Professional Details’ section. Click the ‘Request’ button on the left side of the page.
Then, you should see a ‘Reactivate’ button on your screen. Click on the ‘Reactivate’ button and you will see a page where you will be asked to submit details about your license.
After you have completed the online form and entered all the required details, you can click on the ‘Send Broker’ button on the right side of the page.
Once your submission has been received and your broker has approved the same, you will receive a notification.
Post which, you need to re-login into the PALS (Pennsylvania Licensing System) website and scroll over to find the ‘Review’ button. Click on the ‘Review’ button and upload all the
required documents.
You will then be prompted to pay the online license renewal fee which you can pay via any credit card.
Note that the Pennsylvania Real Estate Commission (PREC) sends official reminders for license renewal to all active licensees.
You should keep an eye out for at least two to three months before your license issue date.
Completing Continuing Education Courses
Completing the mandatory continuing education courses is one of the most important Pennsylvania real estate license renewal requirements you should be aware of.
As per the PREC, every active license holder must complete 14 hours of post-licensing education or continuing education to reactivate their license.
These courses are required to keep you equipped with the latest rules, regulations, and guidelines in the industry. It is mandatory for both Pennsylvania salespersons as well as brokers’ license renewal.
Staying updated with the latest industry changes and updates is a must for all real estate professionals.
You must complete continuing education from a PREC-approved education provider, whether online or offline.
Submitting Necessary Documents and Fees
Getting your license renewed before its expiration date requires submission of specific documents and paperwork.
Firstly, you need to log in to the PALS website and access your account. Then, you will be asked to fill in the required information and submit proof of completion of 14 hours of continuing education.
You will have to fill out and submit a license renewal form and answer a set of legal questions under Article 12-A.
You can submit the renewal application online and pay the license renewal fee of $96 for a salesperson or a broker’s license.
Waiting for Approval and Receiving Your Renewed License
Once you have successfully submitted the license renewal application and attached the required documents, your application will go under review.
Firstly, your broker will review your license renewal application.
Post approval from your broker, you will have to re-login to the PALS website and submit your application for review to the Department of State.
Post completing this step, you should wait for a few days to weeks to get a confirmation of successful license renewal.
Options for Pennsylvania Real Estate License Renewal After Expiration
Consequences of Letting Your License Expire
The consequences of not renewing your license on time can be severe for licensees.
Not only will you lose compliance with state and federal laws, but you will also be required to pay late fees and penalties for missing the renewal deadline.