Broker and Real Estate Agent: Iowa Licensing Guide

To obtain an Iowa real estate salesperson license, you must be at least 18 years old and complete 96 hours of pre-licensing education from an approved provider: a 60-hour pre-license course (online or live) plus three 12-hour live-instruction courses (Buying Practices, Listing Practices, and Developing Professionalism and Ethical Practices). All courses must be less than one year old when the commission receives your application. You must pass both the national and state portions of the PSI exam ($95), undergo a national criminal history background check, obtain errors and omissions insurance, secure a sponsoring broker to sign your application, and submit the $125 license application electronically through the "My Iowa PLB" portal. The application must be submitted no later than the last business day of the sixth month following the exam pass date.

The Iowa real estate licensing process typically takes several months from start to finish. The national criminal background check takes 5 to 6 weeks once the Iowa Real Estate Commission receives completed materials, with practitioner sources reporting 8 to 10 weeks for the full process including fingerprinting. The 60-hour pre-license course can be completed in several weeks in person or up to 6 months online, and the three additional 12-hour live courses may be taken after the exam. After passing the exam, applicants must submit the license application no later than the last business day of the sixth month following the exam pass date.

Iowa requires 96 hours of pre-licensing education for a salesperson license: a 60-hour pre-license course in real estate principles and practices, available as live instruction or online self-paced learning, plus three 12-hour courses that must be taken as live instruction. The three live-only courses are Buying Practices, Listing Practices, and Developing Professionalism and Ethical Practices. All courses must be completed within the 12 months before the commission receives your application, and the 60-hour course must be completed before you can sit for the licensing exam.

Yes, the 60-hour pre-license course may be taken through live instruction or online learning hours from a Commission-approved provider. The three additional 12-hour courses (Buying Practices, Listing Practices, and Developing Professionalism and Ethical Practices) require live instruction, which Iowa defines as a traditional classroom setting or electronic delivery with real-time visual and audio contact, so Zoom and similar platforms qualify. Online self-paced courses must be completed within 6 months of purchase, and extensions are not granted.

The Iowa Real Estate Commission publishes a list of approved courses, providers, and instructors on the DIAL website, and all schools, courses, and instructors must receive advance commission approval. The 60-hour pre-license course is available in live classroom, live video (Zoom), or online self-paced formats from approved providers. The three 12-hour courses (Buying Practices, Listing Practices, and Developing Professionalism and Ethical Practices) must be taken as live instruction, which includes in-person or real-time electronic delivery with visual and audio contact between instructor and student.

The PSI Licensing Information Bulletin, effective February 8, 2024, provides the official exam content outline for both portions of the Iowa salesperson exam. The national portion covers property ownership, land use controls, valuation, financing, contracts, agency, property disclosures, property management, transfer of title, and the practice of real estate, with contracts carrying the highest weighting at 19%. The state portion covers Iowa licensing requirements, trust accounts, contracts, agency, property disclosures, and the Iowa Civil Rights Act of 1965. PSI also offers practice exams that simulate the test-day format with topic-level score reporting. Candidates must achieve 70% on each portion to pass.

PSI, Iowa's contracted exam administrator, offers practice exams through its website that simulate the test-day experience with 100 questions covering the national portion only. The practice test is timed, single-attempt, and includes a detailed score report analyzing performance in each topic area, with a 365-day access period. The PSI Licensing Information Bulletin, available on the Iowa DIAL website, also provides the full exam content outline for both the national and state portions, listing topic areas and their weightings to guide study. Candidates may take practice exams an unlimited number of times, paying each time.

PSI, the official exam administrator for Iowa, offers online practice exams that can be taken an unlimited number of times, but candidates must pay for each attempt. Some third-party education providers offer free sample practice questions covering national exam topics, though these are not state-specific. PSI's practice exams are available through its test-taker website.

A real estate salesperson (the term Iowa uses for an agent) must work under a licensed broker and cannot conduct business independently. A broker has additional education and experience requirements, can work independently, hire agents, and supervise salespersons. In Iowa, a broker must have 24 months of active salesperson experience and complete 60 hours of broker pre-license education, while a salesperson must complete 96 hours of pre-licensing education and obtain a sponsoring broker's signature on the license application.

The fixed state-controlled costs include a $95 exam fee paid to PSI, a $125 salesperson license application fee, and a $51 criminal background check fee. Pre-licensing education consists of 96 hours total (a 60-hour pre-license course plus three 12-hour live courses), with costs varying by approved provider and course format. Errors and omissions insurance is also required before practicing, with premiums varying by coverage level. All applications must be submitted electronically through the "My Iowa PLB" portal.

Iowa has reciprocity agreements with seven states: Arkansas, Georgia, Louisiana, Massachusetts, Minnesota, Mississippi, and North Dakota. Reciprocity applicants must be a resident of one of these states, have received their original license from that state, and assign their Iowa license to the same real estate company that holds their out-of-state license. Applicants must also pass a criminal background check, provide a certificate of license history from their state licensing agency, and show proof of E&O insurance in Iowa. No exam is required for reciprocity applicants from these states. Licensees from states without reciprocity agreements may qualify under Rule 5.3, which requires taking the Iowa portion of the licensing exam without additional education.

To become a REALTOR®, you must first hold an active Iowa real estate license and be sponsored by a broker who is a member of a local association of REALTORS®. You then join one of Iowa's 17 regional associations, which includes membership in the Iowa Association of REALTORS® (IAR) and the National Association of REALTORS® (NAR). NAR dues for 2027 are $156 per member, plus a $45 Consumer Advertising Campaign assessment, totaling $201 in national dues, with additional entrance fees and annual dues charged by the local and state associations. New members must complete NAR's Code of Ethics training, which is available at no cost.

A real estate agent helps clients buy, sell, or rent properties and must work under a licensed broker. A REALTOR® is a licensed real estate professional who is also a member of the National Association of REALTORS® (NAR) and must follow its Code of Ethics. All REALTORS® are licensed agents or brokers, but not all agents or brokers join NAR. NAR had approximately 1.4 million members as of its 2025 Member Profile.