Let us start with evaluating whether it is worth your effort to get a Texas real estate license. What is in it for aspiring real estate professionals? The analysis should cover two aspects. One, how does it affect you personally to kickstart a career in this field and two, does the Texas real estate market give adequate returns to make getting a license quite lucrative?
The answer to the first point is there is a lot to gain in getting a Texas real estate license. You are your own boss and set your work schedules, thereby making sure of a perfect work-life balance, something that is hard to come by nowadays. Even though you might have to work on weekends or holidays if clients request showings, it is not very often that you will come up against this scenario.
Further, you are assured of a six-figure income with hard work and dedication and a couple of years of experience. Real estate agents earn about 3% commission on every transaction sale price. Even if a property is sold at $300,000 at a minimum, you earn $9,000, and that is only one deal!
On the housing market front, most of the top cities in Texas like Dallas and San Antonio are going through a boom in sales. This is fueled by a marginal fall in mortgage interest rates and a rise in inventory in the market.
Considering all these factors, it is the right time to get a Texas real estate license to launch your career as an agent.
Now, why should you need a license first to deal in real estate? It is because this is the rule as set down by the Texas Real Estate Commission (TREC). It is the body that supervises the real estate sector in the State, setting the curriculum for the licensing exam and issuing licenses.
As per the rule, any person who wants to buy, sell, lease, or rent real estate in Texas on behalf of third parties against commission must have a real estate license to professionally carry on this activity.
We will now go through the steps to get a Texas real estate license.
Step 1
Though this step is not entirely a part of the process, you must fulfill these requirements to apply for a license. Ensure that you are at least 18 years old and a citizen of the USA. Legally-admitted migrants can also apply for a Texas real estate license provided they have been sanctioned working rights in the country. As minimum educational needs, you must have a high school diploma or a GED.
Step 2
Once these preliminary criteria have been met, get down to going through the 180 hours of pre-licensing coursework consisting of 6 modules of 30 hours each. They are as follows.
- Principles of Real Estate 1&2 (2 x 30hours)
- Law of Contracts (30 hours)
- Promulgated Contract Forms (30 hours)
- Law of Agency (30 hours)
- Real Estate Finance (30 hours)
The purpose of the pre-licensing coursework is to give you a thorough knowledge of various aspects of the real estate sector so that you can offer optimized services to your clients in the future.
Select a course provider after careful evaluation of the study packages and what they offer. Courses from RealEstateU are not only the lowest priced in this niche but are also of the highest quality as they offer study guides and mock tests in their course bundles.
Mock tests have questions that replicate the format and style of questions in the actual licensing exam and hence your confidence to do well and pass the licensing exam on the first try gets a boost.
Any provider that you select must be on the TREC-approved list. This is essential as any other pre-licensing course will not be considered as having fulfilled the required 180 hours of study to appear for the licensing exam.
Additionally, you must choose between an online course or a physical classroom-based one. Though it depends on your preferred learning style, online courses bring many benefits to the table. You can fix when to study and from where once you download the course materials onto any Internet-enabled device. You do not have to upset your daily routine to study to get a Texas real estate license.
Step 3
After completing the pre-licensing coursework, submit your fingerprints electronically to the Texas Department of Public Safety to be passed on to the FBI. This process is to check for any past criminal records and is done because real estate agents must have high standards of moral integrity and honesty. Fingerprint verification is one way of doing so. Get a “Fitness Certificate” for future records.
Step 4
Apply for a Texas real estate license on the TREC website. Upload proof of completing the 180-hour pre-licensing coursework and the fingerprint Fitness Determination Certificate. At this stage, also schedule a licensing exam at a center at your convenience.
Step 5
On the appointed date and time, appear for the licensing exam. The exam is held online at a physically designated center. The Texas licensing exam is conducted by third-party testing service PearsonVue.
The real estate licensing exam 4 hours duration and you must score at least a 70% grade to pass the test. Since the exam is held online, the result in pass/fail format is announced soon after completion of the test.
You have three chances to pass the test by paying the required application fee every time.
Step 6
Visit the TREC portal and apply for a Texas real estate license after paying the license fees. An inactive license will be issued to you.
Step 7
Find a licensed real estate broker in Texas to sponsor you.
TREC will now activate your license to become a Texas real estate agent.
