How to become a California real estate agent professional in five simple steps

By Ciprian Morariu Published: January 29, 2025

How to become a California real estate agent professional in five simple steps

California boasts of some of the world’s hottest real estate markets and offers a diverse landscape. 

San Francisco, Bakersfield, San Diego, and Los Angeles are some of the prominent real estate hotspots that are always in high demand from homebuyers and inventors. 

Be it residential or commercial real estate, the demand is showing no signs of slowing down as evidenced by the rising valuations and growing population. 

A career in California real estate offers a fertile opportunity landscape to aspiring as well as experienced real estate professionals. 

As a real estate agent, you will get the opportunity to meet clients, interact with them, and represent them in a real estate deal. 

Whether you want to start a profitable side gig or build a thriving, professional career, California’s real estate market will give you the perfect launchpad for your goals. 

Did you know that the top real estate professionals in CA can make around $150K to $180K annually while enjoying a flexible work-life balance and the freedom to work for themselves? 

Becoming a real estate agent is the first step towards working in a dynamic and fulfilling industry and achieving your professional goals. 

Real estate is highly sought after by anyone who wants to achieve financial independence and professional autonomy.

A career in California real estate is a professional goal shared by thousands of individuals and if you are ready to embark on an exciting career journey, now is the time. 

The best part is that you do not need to spend years starting a career - it takes a few months to reach a stage where you can start working with clients. 

Whether you want to work with a real estate agency or as an independent agent, working in real estate requires a valid state-approved professional license. 

We have put together this in-depth article to give you a detailed step-by-step look into how to obtain a California real estate license and start your career. 

Let’s start with the basics first and understand the role and responsibilities of a real estate agent so you can prepare yourself for the job. 

What does a Real Estate Agent do

Real estate agents are professionals who work at the intersection of sales, customer service, administration, and marketing. 

You can choose to work in residential, commercial, luxury, or a specific niche in California’s real estate market. 

By standard definition, a real estate agent is someone who works as a representative for buyers and sellers and helps them achieve their goals. 

The goal of a real estate agent is to serve as a single point of contact for their clients and help clients navigate through the various stages of a real estate transaction. 

The core responsibility of real estate agents is to represent the best interests of their clients in a real estate deal and help clients get the best value for their money. 

As a real estate agent, you will be managing multiple duties and juggling many tasks at work, including but not limited to the following: 

  • Responding to prospects and following up with leads via text, phone calls, or emails
  • Meeting prospects and clients to understand their requirements and needs
  • Helping sellers list and showcase their property to attract potential buyers
  • Helping buyers find suitable properties and investment opportunities
  • Educating clients about California real estate laws and consumer rights
  • Providing detailed and accurate information about a property, valuation, and features
  • Providing guidance to clients through various stages of a real estate transaction
  • Negotiating on behalf of clients to get the best value for their money
  • Collaborating with property appraisers, brokers, home inspectors, and mortgage officers to facilitate a transaction
  • Working with clients to prepare real estate contracts and agreements
  • Representing clients in a real estate transaction while maintaining compliance
  • Maintaining the database of client interactions, transactions, and deals 
  • Researching about markets and latest trends and industry developments
  • Advertising properties for sale or purchase via listings and classifieds

Now that you have discussed what a day in the life of a real estate agent looks like, the next step is to learn how you will make money in this profession. 

How do real estate agents make money?

Primarily, real estate agents get paid commissions in exchange for their services and expertise. 

Whether you are a buyer or a seller’s agent, as soon as you close a deal, you will earn a commission or a small percentage of earnings.

Generally, the commission is split equally between the seller's agent and the buyer’s agent equally. The amount of commission you will earn depends on three key factors: 

  • The value of the property sold in a transaction
  • The agreed commission rate between a client and an agent

In California, the average commission rate is around 5 percent which means if you help a 

a client sells a single-family home worth $500,000; you will earn around $15K in commission. 

However, your final take-home earnings will depend on how much is the commission split between a real estate agent and their broker. 

Note that your earnings greatly depend on how good of a salesperson and negotiator you can be, since the commission amount is negotiable. 

To earn commissions and make a living working with clients, you must obtain a real estate license in CA, and now is the time to get started. 

To start your career, you should apply for a salesperson license in CA and as you progress and gain industry experience, you can complete additional education and apply for a broker’s license. 

Basic eligibility requirements for salesperson license in CA 

Real estate is a regulated industry that works on a pre-established set of licensing laws and guidelines. 

In California, it is the responsibility of the Department of Real Estate (DRE) to establish and enforce the state licensing laws and regulations for professionals and firms. 

To apply for a salesperson license, you must first prove your eligibility by meeting the minimum statutory licensing requirements which are: 

  • Be at least 18 years of age or older
  • Be a legal resident of the state of California 
  • Have a high school diploma in education or a GED equivalent
  • Meet the guidelines for honesty, integrity, and truthfulness

If you meet the eligibility requirements, the next step is to fulfill the education requirements for getting a real estate license in California. 

Pre-license education is a mandatory step to prepare for a career and every state has its own educational guidelines. 

In California, you must complete 135 hours of pre-licensing education from a state-approved education provider. 

The curriculum is divided into three courses - Real Estate Principles (45 hours) and Real Estate Practice (45 hours) and one elective course (45 hours) of your choice. 

Completing pre-license education is a mandatory requirement to qualify for a salesperson license and it will also give you an understanding of the state and federal laws. 

Here are some of the courses you will complete during your pre-licensing education credits: 

  • Principles of Real Estate
  • Real Estate Finance
  • Law of Agency
  • Law of Contracts
  • Promulgated Contract Forms

Another benefit of completing pre-license education is that the coursework will prepare you for the next step in your licensing journey which is the salesperson licensing exam in CA. 

Students have the flexibility to choose between a physical, classroom-based real estate college or enrolling in an online, virtual real estate pre-license course. 

Note that it is important to choose a DRE-approved education provider to ensure you are learning from certified instructors and an updated curriculum. 

Passing the CA salesperson license exam

Like many states, California also requires individuals to take the state licensing exam and pass it to obtain a license. 

In California, students are required to take the state licensing exam at a Pearson VUE center in Oakland, Fresno, and Los Angeles. 

You can schedule the exam as per your preferred day and date by submitting proof of completion of education to the DRE. 

The salesperson licensing test in CA consists of 150 multiple-choice questions and you will get 3 hours and 15 minutes to complete the test. 

To obtain your license, you must pass it by scoring at least 75 percent or above. If you are preparing for the exam, here are some actionable tips. 

Exam Preparation Tips for Students

Tip 1: Understand the exam structure

The key to acing any exam is to understand its structure and get a grasp of the format of the exam. 

It is important to learn about the commonly asked exam questions, main topics, and various languages supported in the exam. 

Tip 2: Take Practice Exams

Mock tests are a highly effective way to familiarize yourself with the type of questions, practicing using mock tests is a great way to understand the type of questions.

Practice tests also give students an honest assessment of their level of preparation and help them understand their strengths and weaknesses. 

Tip 3: Create a study schedule: 

Since you will be completing multiple courses and topics, it is important to get better at managing your time effectively. 

Having a set learning schedule will give you the time and space to cover multiple topics and space your learning accordingly. 

Since passing the exam is essential to getting your CA real estate license, it is important to invest the time and effort in preparing for it. 

If you pass the salesperson license exam, you will be just a few steps away from getting your license. 

Clearing background verification and identity check

The California law requires that every student must meet the minimum standards of good moral conduct to work with clients. 

To ensure this, the DRE in California has made it mandatory for every individual to submit an electronic scan of their fingerprints for federal criminal history and background verification. 

You can visit any of the state-approved live scan vendors in CA to get a copy of your fingerprints taken. 

You can submit the same to the department along with your salesperson license application and licensing fee. 

Once your application is reviewed and your clearance is completed, you will receive your salesperson license within a few weeks.  

Finding employer sponsorship

After receiving your license, it is time to activate it to start working with clients. 

California law requires every newly licensed professional to work under the supervision of a state-licensed broker or brokerage firm. 

To activate your salesperson license, you must find a sponsoring broker and submit your employer sponsorship details to the California DRE for approval. 

Note that you should choose a brokerage after consideration and evaluation - since your career will be impacted by your employer, it is important to make an informed decision.