Broker and real estate agent: Pennsylvania Real Estate Broker License Guide

Pennsylvania's path to a real estate broker license requires a licensed salesperson to be at least 21 years old, complete 240 hours of professional real estate education, document 3 years of experience with 200 points under the Commission's point system, and pass both portions of the broker exam. A broker and a REALTOR® are not the same: a broker holds an advanced state license, while a REALTOR® is a dues-paying member of the National Association of REALTORS®. The Pennsylvania State Real Estate Commission regulates broker licensure, and the broker path demands significantly more education and experience than the salesperson license.

How Pennsylvania defines brokers, agents, and real estate agents

Pennsylvania's real estate licensing framework includes two license tiers and a voluntary professional designation. The broker license represents the advanced tier, with education and experience requirements that exceed those for the salesperson license.

Pennsylvania issues four types of broker licenses, each suited to a different business structure:

An Associate Broker has met all broker requirements but works under another broker rather than operating independently. The other three license types allow the holder to own and operate a brokerage.

Pennsylvania broker license requirements

Broker candidates must be at least 21 years old, hold a high school diploma or equivalent, complete 240 hours of professional real estate education, document 3 years of experience as a licensed salesperson with 200 experience points, and pass both portions of the broker examination. The Pennsylvania State Real Estate Commission^[1] sets these requirements under the Real Estate Licensing and Registration Act.

Candidates must first hold a Pennsylvania salesperson license and practice for 3 years before applying for broker licensure. The Commission does not require a college degree; a high school diploma or equivalent satisfies the education prerequisite. A Juris Doctor degree, a bachelor's degree in real estate, or a bachelor's degree with coursework equivalent to a real estate major meets the full education requirement.

Documenting salesperson experience and the 200-point system

Broker candidates must accumulate at least 200 points under the Commission's experience point system, which assigns point values to specific types of real estate transactions completed during the candidate's 3 years as a licensed salesperson, per the PA Department of State^[2]. The Commission reviews an experience chart submitted through PALS to confirm the threshold is met.

The point system values each activity as follows:

A closed sale earns 5 points regardless of whether the property is residential or commercial. An exclusive listing that resulted in a sale also earns 5 points, while an unsold exclusive listing earns 1 point. Commercial leases are worth 5 points, while residential leases are worth 1 point, per the Pennsylvania Department of State^[3]. Full-time property management assistance earns 6 points per month, with no other points allowed during that month.

Out-of-state salespersons must submit a Certificate of License History from each state where they held a license. Broker education courses can be taken at any time, even before meeting the experience requirements, so many candidates begin coursework while still accumulating points, according to the REALTORS® Association of Metropolitan Pittsburgh^[4].

Completing broker pre-licensing education

Broker pre-licensing education in Pennsylvania consists of mandatory, core, and elective courses from Commission-approved providers. All coursework must be finished within a 10-year window measured from the passing date of both examination portions, per the PA Department of State^[2].

The Commission has approved the following broker pre-licensing courses, listed on the PA Real Estate Commission education page^[5]:

Two courses are mandatory: Real Estate Law (2 credits) and Real Estate Brokerage and Office Management (2 credits). Candidates must complete at least 6 of the remaining 12 credits in 3 or more approved broker courses, with the final 6 credits as electives. No more than 4 credits may be earned in any single area of study, per the Bucks County Association of REALTORS®^[6].

Candidates holding a law degree or a relevant undergraduate degree may satisfy the education obligation in full, per the PA Real Estate Commission^[1]. Out-of-state brokers may receive 2 credits for each year of active practice as a licensed broker in another state during the decade preceding the exam application, per the PA Department of State^[2].

Applying for broker exam eligibility

Broker candidates must receive Commission approval before registering for the exam, the opposite of the salesperson flow where candidates schedule the exam first and apply for the license after passing. Candidates submit an application through the PALS portal^[2] at www.pals.pa.gov, pay the $40 examination fee plus the application fee, and provide educational transcripts, experience charts, and other documentation.

A separate Pearson VUE scheduling fee of $49 per portion, or $49 for both portions taken on the same day, is paid when registering for the exam, per the PA Department of State^[7].

The application requires a Criminal History Records Check (CHRC) from every state where the applicant has lived, worked, or studied during the past 5 years. CHRC reports must be dated within 180 days of the application submission date, per the PA Department of State^[2]. Broker Corporations, LLCs, Partnerships, and Sole Proprietors must pass an inspection before license issuance.

The Pennsylvania broker exam

Pearson VUE administers the Pennsylvania broker exam, having replaced PSI effective April 1, 2023, per the Pennsylvania Department of State^[7]. The exam covers both national and Pennsylvania-specific real estate topics.

Once the Commission approves the application, candidates register for the exam through Pearson VUE^[8] or by calling 855-746-8175. Examinations are offered daily, with testing facilities listed in the Candidate Handbook, per the PA Real Estate Commission^[9].

Broker license types and fees

Pennsylvania issues four broker license types, each with different initial and renewal fees based on the business structure the broker chooses. After passing the exam, candidates apply for the specific license type that matches their intended practice, per the PA Real Estate Commission^[1].

The license is sent to the broker's main office 7-10 business days after the date of issue, per the PA Department of State^[2].

Out-of-state broker applicants

Pennsylvania has reciprocity agreements with Arkansas, Georgia, Louisiana, Maryland, and Massachusetts, allowing holders of current out-of-state broker licenses to apply for a Pennsylvania broker license with reduced requirements, per the PA Department of State^[2]. The Commission no longer issues new reciprocal licenses based on a New York broker license. Act 41 also allows endorsement of licensees from states with substantially equivalent requirements.

An applicant actively licensed as a broker in another state within the last 5 years takes only the Pennsylvania portion of the examination. Out-of-state brokers may also receive 2 credits for each year of active broker practice in another state during the 10 years preceding the application, and a certification documenting the equivalent of the full education requirement may qualify for a complete education exemption.

After you are licensed

Pennsylvania broker licenses require 14 hours of Commission-approved continuing education every 2 years and renewal through PALS^[10] by May 31 of each even-numbered year, with no grace period. Brokers who let their license lapse for 5 years or more must retake the licensing exam before reactivation. CE is not required for the initial license.

The U.S. Bureau of Labor Statistics^[11] reports a median annual wage of $72,280 for real estate brokers as of May 2024, compared with $56,320 for sales agents. Brokers held about 111,300 jobs nationally in 2024, with 54% self-employed.

To begin the process, verify your experience points, enroll in broker pre-licensing courses from a Commission-approved provider, and submit your exam eligibility application through PALS.