How Can I Get My Real Estate License In Texas – An Essential Guide
How do I get a real estate license in Texas? This is a question that is uppermost in the minds of those looking for a successful and lucrative career in the Lone Star State.
This post is an essential guide that will answer all your queries about how to get my real estate license in Texas.
Before diving into further details about how do you get a real estate license in Texas, a few points should be cleared up. One is whether it is worth your time and effort to go after how do I get my real estate license in Texas, and the other is the functioning of the Texas Real Estate Commission (TREC).
Should you go through the process of how can I get my real estate license in Texas?
The answer from any angle that you might see it is a YES. Let us understand it from two aspects – earnings and lifestyle.
Earnings of a real estate agent in Texas
The sky is the limit so far as the earnings of real estate agents are concerned. Instead of salaries as in regular 9-to-6 jobs, they earn commissions for any real estate deal closed. It is 6% on the sale price of a property that is shared equally between the seller’s and the buyer’s agents. The amount of commission is not meager at all.
Consider the median home price in Texas, which is around $350,000. For any deal closed for this amount, the commission earned per agent is $10,500. This is just one transaction only; about 1 per month will take annual earnings past the six-figure mark. Hence, it pays to be a real estate agent in Texas.
A minor downside is that this income, unlike fixed salaries, does not roll in every month. However, with a booming real estate market in Texas, easing of mortgage rates, and increased inventories over last year’s levels, there is no shortage of homebuyers in Texas. This ensures a steady and regular flow of income for real estate agents.
Lifestyle benefits
Once you know how to get my real estate license in Texas and launch your career in this field, you are not tied to conventional work routines. You are your own boss, fix your schedules, and decide when and how much to work. This gives you ample opportunities to spend quality time with friends and family, a freedom that is rarely seen in other professions.
However, you should be prepared to spare time on weekends and holidays for client interaction. This is because clients might request showings or discussions at their convenient timings. Though this is not frequent, flexibility in this regard will fetch you more business and goodwill.
Functioning of The Texas Real Estate Commission (TREC)
The Texas Real Estate Commission (TREC) is the state agency that supervises the real estate sector in Texas. As you shall see in this post, it closely monitors every step in your journey how do I get a real estate license in Texas.
TREC is the body that issues and renews real estate licenses in Texas. It also sets the course curriculum and fixes the rules and regulations of the licensing exam. Any complaint by clients against real estate agents for any misdemeanor is referred to TREC. It then them takes disciplinary action as it deems fit.
TREC also mandates that persons wanting to deal in real estate in Texas must have a license to do so. If you want to sell, buy, lease, or rent real estate on behalf of third parties for a commission, a real estate license is required.
How Can I Get My Real Estate License In Texas
We will now go through the steps of how do I get a real estate license in Texas, along with tips on how to optimize the process.
Meeting Basic Requirements
Before starting on how do I get my real estate license in Texas, you must complete a few basic steps.
Ensure that you are at least 18 years old on the date that you apply for a license to TREC. You may, though, complete other formalities, such as going through the pre-licensing coursework before that, to get your license faster.
On the educational front, the minimum required to apply for a license is a high school diploma or its equivalent, such as a GED. A college degree or graduation is not required in your quest for how do I get a real estate license in Texas.
Finally, you must have a Social Security Number to apply for a license. Legally-admitted aliens can also apply for a real estate license in Texas, provided central agencies have granted them the right to work in the USA.
Completing Pre-licensing Coursework
The Texas pre-licensing course is 180 hours in duration and consists of two sections. One is the national section that covers topics common to all the states in the USA. The second is the state-specific part that exclusively focuses on the real estate rules and regulations applicable in Texas only. The licensing exam has questions from both parts, though not in any order or weightage.
Going through the pre-licensing course is mandated by TREC if you want to go through the process of how do I get a real estate license in Texas. The topics prepare you well for a successful career ahead, as they impart detailed knowledge about the intricacies of the real estate sector. This will help you offer excellent services to your clients in the future and add to your credibility in the industry.
Additionally, any real estate deal involves massive amounts of money and detailed contracts, which are very complex. Making any errors can land you in financial and legal trouble and ruin your career. Having a thorough grip of the industry through pre-licensing study materials will help avoid all these dire possibilities and make for a successful career.
The pre-licensing coursework of 180 hours is divided into 6 modules of 30 hours each. They are as follows.
- Principles of Real Estate 1 (30 hours)
- Principles of Real Estate 2 (30hours)
- Law of Contracts (30 hours)
- Promulgated Contract Forms (30 hours)
- Law of Agency (30 hours)
- Real Estate Finance (30 hours)
There is no fixed time to complete the 180-hour coursework, and you can do so at your own pace. However, the sooner you go through the topics, the quicker you can sit for the licensing exam and become a real estate agent in Texas. Typically, the fastest you can go through the coursework is 2 months, and at your own pace, it should not take more than 6 months.
The cost of the pre-licensing courses differs between providers. The most affordable online course is by RealEstateU. Their base package starts at $249, and the advanced bundle with mock tests, practice questions, and e-textbooks is available for $377 only. The low price is not an indicator of the effectiveness of the study materials, as they are designed by top real estate professionals and are of the highest quality.
Comparatively, classroom-based physical courses are costlier, starting from $600 and going up to $1200.
Tips to select a top course provider
Even though you will be spoilt for choice while selecting a course provider, it is essential that you choose one after a lot of careful research. It might make all the difference between passing the licensing test on the first try and failing.
Here are some points to keep in mind when selecting a top course on your way to how do I get a real estate license in Texas.
- To start with, always choose a course provider that is approved by the TREC. It is a guarantee of high-quality study materials. Moreover, only TREC-approved courses count towards fulfilling the 180-hour study norms to appear for the licensing exam. Investing time and money in any unapproved course will disqualify you from appearing for the licensing test. Visit the TREC portal to check the list of approved course providers before buying one.
- Next, choose a study package that has mock tests and practice questions. These questions replicate the form and structure of what you will receive in the main licensing exam. Hence, you will get the required boost to face the exam with confidence.
Practicing with mock tests will also help you estimate how well-prepared you are for the licensing exam. Even though these packages cost more than the basic ones, it is worth the investment with their multiple benefits.
- Finally, you must choose between a classroom-based course and an online one. The choice depends on your preferred learning style and your comfort zone, but it makes sense to know about their merits in comparison.
In physical real estate schools, you spend a lot of time and money commuting to classes. The physical real estate courses are costlier than online ones. On the other hand, online courses can be downloaded onto any Internet-enabled device and studied from any location and at any time. In high-end packages, face-to-face interaction digitally with instructors is also possible.
Consider these tips while deciding the coursework to buy on the way to how can I get my real estate license in Texas.
Submitting fingerprints for verification
Having a clean past without any criminal record or felony is an essential part of the process of how do I get a real estate license in Texas. This is because real estate agents deal with huge amounts of funds in any real estate transactions, and only a taint-free past will gain the trust of clients and establish the credibility of the agent. TREC reserves the right to stall the path to how to get my real estate license in Texas in the case of an adverse fingerprint clearance report.
Fingerprint verification is the best way to check for any past criminal records. The process is fairly simple. Get an ID number from the TREC portal and submit it on the IndentoGO website. IndentoGO is the approved live fingerprint scan provider of TREC. You will get a date to submit fingerprints physically at a designated IndentoGO center. The fingerprint collected will now be sent to TREC, which will, in turn, submit it to federal agencies for verification and clearance.
Schedule a licensing exam
Visit the Pearson VUE website and schedule a licensing exam. Pearson VUE is a third-party proctor that conducts licensing exams for various sectors and is approved by TREC. They conduct the exams at various centers. You must visit one of your choices to appear for the licensing test, even though, per se, the exam is held online.
Pass the licensing exam
On the date fixed on the Pearson VUE website, visit the selected center to appear for the licensing test. The exam consists of 110 questions in multiple-choice format to be completed in 240 minutes. The passing grade for the exam is 75%.
Since the exam is held online, the results in pass/fail grades are announced soon after the end of the exam. The official results are sent via email within 2 to 3 weeks.
Apply for a real estate license in Texas
After all the above five steps are completed, visit the TREC portal and apply for a real estate license. Upload proof of compliance with TREC requirements for a license. Submit documents of completing the pre-licensing course and the fingerprint clearance certificate. Depending on the number of applications pending with TREC, a provisional and inactive license will be issued to you within 2 weeks.
Find a licensed broker for sponsorship
The final step to how can I get a real estate license in Texas is to find a licensed broker to sponsor you. This step is mandated by TREC for newly licensed real estate agents, as they can learn the practical aspects of their trade from an experienced broker first-hand. Inform TREC of your employment status to get your license activated to start your practice as a real estate agent.
Follow these steps and get an answer to your question: How do I get a real estate license in Texas?