Understanding the Texas Real Estate Market for Agents and Business Owners

By Ciprian Morariu Published: July 31, 2024

Understanding the Texas Real Estate Market for Agents and Business Owners

Ready to kickstart your real estate career and achieve financial freedom? 

One of the country’s fastest-growing real estate markets, Texas offers numerous growth opportunities for aspiring and experienced real estate professionals. 

Thanks to the thriving economy, strong employment prospects, rising investments, and a diverse culture, Texas is emerging as a popular migration destination for working professionals, homebuyers, and real estate investors.

In recent years, housing prices have increased significantly, and more buyers are lapping up the opportunity to purchase and rent real estate in Texas. 

There are numerous popular real estate markets and hotspots such as Austin, San Antonio, Fort Worth, and New Braunfels which have emerged as one of the country’s most popular cities for living and work. 

So, what does this mean for real estate agents and business owners in Texas?

Now is a good time to enter the market and reap the benefits of the numerous opportunities in Texas real estate. 

A career in real estate offers the flexibility to work on your schedule and the opportunity to earn well. It can help you earn a six-figure income while enjoying the freedom to be your boss. 

However, to achieve this dream and become successful in the real estate industry, it takes education, skills, and experience.

All you need to start working in Texas’ real estate market is a state-approved license. 

With a real estate license in Texas, you will be legally able to engage in the sale, purchase, renting, or appraisal of commercial, residential, or industry real estate properties.

Earning a real estate license might seem like a daunting task at first, but if you are aware of the steps involved and the mandatory requirements, it can be a lot simpler. 

In this article, we are going to give you a detailed look into how to enter the Texas real estate market as an agent and plan your career to start your own business in the future. 

We have covered all the important topics and aspects related to starting a real estate career in Texas to help you get started with confidence and clarity. 

The Texas Real Estate Market

As the country’s second most populous state, Texas’ real estate market is truly fascinating. 

One of the largest states in the country, Texas is truly a diverse real estate market. 

Cities like San Antonio, Fort Worth, Frisco, Georgetown, New Braunfels, and Leander are growing the fastest. 

Due to Texas being a huge state in terms of available land, the real estate market is highly diverse and varied, making it an attractive lure for real estate investors and buyers. 

The sheer size of Texas’ land area gives it an advantage for property buyers and sellers. 

According to data from property listing website Zillow, the average price for a mid-size Texas home increased by ~160% in value over the last five years. 

Texas’ real market landscape has offerings for all kinds of homebuyers and investors, irrespective of their budget, needs, and preferences.  

Since the last few years, Texas has rapidly emerged as one of the most popular states for homebuyers seeking demographic, socio-economic, and cultural diversity.

The job market is strong, the economy is stable, the taxes are low and the overall cost of living is reasonable, making it a popular hub for skilled workers and migrants. 

Choosing a career in Texas Real Estate

Do you like to help people buy and sell properties? Maybe you want to work for yourself in the future and start a real estate business of your own in the future. 

A career in real estate offers numerous paths and opportunities. The industry has expanded a lot and now offers numerous career selections to choose from. 

The industry continues to attract first-time as well as experienced professionals who want to switch careers for higher earning potential and better work-life balance. 

Since the last five years, there has been a significant increase in the number of applications for a real estate license. 

From Austin and San Antonio to Dallas-Fort Worth and Houston-Woodlands, Texas’ real estate landscape is booming with opportunities for real estate agents, brokers, and realtors.  

Despite the huge potential for growth in the Texas real estate market, there are not enough real estate professionals to cater to the demand. 

If you are ready to choose a career in Texas real estate, now is a good time. 

To make a successful career in a highly competitive field like real estate, you must first understand the Texas licensing requirements and fulfill them. 

Irrespective of whether you want to work as a real estate salesperson or start your brokerage firm, getting a license is the first and foremost step. 

If you have been wondering about how do I get a real estate license in Texas, then keep on reading as we uncover the exact requirements and outline all the steps involved in the licensing process. 

Understanding the Texas Real Estate Licensing Requirements

Whether you want to become a real estate salesperson or start your real estate agency, you must meet the Texas Real Estate Commission (TREC) guidelines. 

First and foremost are the statutory eligibility requirements which are:  

  • You must be a U.S. citizen or a lawfully admitted alien
  • You must be 18 years of age or older
  • You must be a legal resident of the state of Texas

Next comes the educational requirements to obtain your Texas real estate license

According to the TREC, all applicants must meet the state’s minimum educational qualifications to be eligible for a license which are: 

  • You must complete high school education or have a GED equivalent
  • You must complete 180 hours of pre-licensing education from a state-approved education provider

Note that it is not mandatory to hold a bachelor's degree to become a licensed real estate professional. However, completing pre-licensing education is a mandatory step. 

If you are new to the industry, you must learn that you can enroll in a Texas real estate license course online to complete your pre-licensing coursework. 

The coursework consists of fundamental topics of real estate including the state and federal laws, contracts, deeds, finance, and other principles of real estate. 

Thanks to online classes, you can acquire all the knowledge and skills required for starting a real estate career while fulfilling the state’s mandatory requirements.

Generally, it takes between a few weeks to complete the entire coursework as students are only allowed to take one course at a time. 

After you have completed the qualifying education, the next step is to take the Texas real estate licensing exam and clear it successfully. 

Passing the Texas Licensing Exam

The Texas law requires all applicants to score at least 75 percent or above on the final test to pass the exam. 

Many applicants find passing the Texas state licensing exam difficult and challenging to clear in their first attempt. 

The exam consists of 120 multiple-choice questions covering both state and national-specific portions. 

Since your licensing depends on your success in the exam, it is important to invest time, effort, and attention towards your exam preparation. 

One of the best ways to improve your odds of success is to enroll in pre-licensing courses that offer exam prep resources for students. 

There are numerous real estate schools and courses in Texas from where you can get access to useful resources such as mock tests, sample questions, previous year exam papers, doubt-clearing sessions, and guided lectures. 

Many real estate prep courses provide on-demand lessons and many other value-added benefits to students. 

Completing a Texas real estate practice exam will help you understand the type of questions and the common topics you will face in the final test. 

Practice exams will help you gauge your level of preparation and identify your strengths and weaknesses. 

Plus, practice tests will also give you an overview of managing your time better on the day of the final exam. 

Since you will have a limited number of hours to complete the exam, you must learn how to manage it better.