How to Become a Real Estate Agent in Alabama

Earn your high school diploma. AREC only requires you to have either your high school diploma or a GED to become a licensed real estate agent in Alabama. If you are still in high school and are thinking of becoming a real estate agent, you should continue to work hard and complete your diploma. You might also ask your guidance counselor for advice about classes to take that may be helpful. You may wish to focus on business-related classes like accounting or marketing.^[4]

• If you have dropped out of high school without earning your diploma, you will need to earn a GED. You can find out more about earning a GED and taking classes at a local community college by viewing the website of the Alabama Community College System, at https://www.accs.cc/index.cfm/adult-education/ged/.

Earn an associate’s degree to get ahead. While a high school diploma or GED is the only education requirement for licensing, you will have a better chance landing a job as a real estate agent if you have an advanced degree. According to a recent report by the website OutstandingColleges.com, an associate’s degree in real estate is one of the three best degrees to pursue to become a real estate agent.^[5] The Alabama Community College System has a network of colleges throughout the state that offer programs in Business Management & Administration, Finance, and Marketing, Sales & Service, among others.

Consider earning a bachelor’s degree in real estate. If you wish to take your education beyond the community college level, you could attend a four-year college or university to earn a bachelor’s degree. Some schools even offer specialized programs in real estate, which focus on legal issues, marketing, zoning, tax, banking, and other related topics. As of 2016, the five top-ranked real estate degree programs in the United States are the following:^[6]

• University of Pennsylvania
• University of Wisconsin-Madison
• University of Georgia
• University of California-Berkeley
• New York University.

Enroll in relevant training classes. Even if you choose not to pursue a two- or four-year degree before setting out on your career, you can enhance your resume by getting some advanced training. Enroll in individual courses at your local community college, in subjects that are most relevant to the real estate field. These courses would include any or all of the following:^[7]

• Real estate and zoning law.
• Land use and planning.
• Ethics.
• Environmental issues.
• Sales and marketing.
• Mortgages and banking.

Understand the role of the broker. Many people interchange the terms “real estate broker” and “real estate agent,” but the two labels are very different. A broker is someone with advanced education and licensing status, who is eligible to work independently. An agent is someone who is employed by and works in conjunction with a broker. The broker is generally responsible for the actions of the agent.^[8]

• In Alabama, you must be associated with (i.e., employed by) a broker before you can be licensed. Your license will only be issued to your broker’s office, not to you individually. You will be allowed to work with the broker, but not in the capacity of a licensed agent, until you complete the licensing procedure.

Seek out a reputable broker. Research real estate brokers in your area. There are nationwide companies that may have offices in your area. There are also small, independent brokers as well. Bigger is not always better. You will want to find a broker that is recognized in your area and that has a positive reputation. Here are some questions to ask or investigate in selecting a broker:^[9]

• Determine whether you prefer to work as a buyer’s agent or a seller’s agent. Some broker’s focus on one side of the business or the other. If you have a preference, make sure it will be a fit.
• Research the company’s earnings and business history in your area. You can find information by contacting AREC and asking about a specific broker’s history.
• Find out what the broker can do to help you build contacts. If you are just starting out in the field, you will need help building a client list. If you come with your own clients, this may not be as necessary.
• Find out about the finances. If you join with a large, national broker, you may be responsible for paying commissions or franchise fees to maintain your association. This is not necessarily bad, but you should know the expectations before you begin.
• Learn about the working environment. Visit the office of any prospective brokers and try to talk with their agents. Find out how they enjoy the work environment. Ask about any issues that are important to you (work hours, office morale, sales requirements).

Make your best presentation to get hired. You will need to make yourself appear as desirable to the broker as possible. Emphasize any experience you have in the field, as well as whatever education you have. Other qualities that make a strong real estate agent would include familiarity with the local community, a strong outgoing personality, and an eagerness to work hard. Selling real estate can be an uncertain profession that is really based on the level of effort that you are willing to put into it.^[10]

Complete a 60-hour prelicense course. In addition to meeting all the eligibility and education requirements, every applicant for a real estate salesperson license in Alabama must complete a 60-hour prelicense course. Numerous schools, colleges and private agencies offer pre licensing courses, both online and in classroom study programs. You will want to find a program that is convenient to you and that is also certified by the Alabama Real Estate Commission. If you have questions about a program, ask for their certification number and contact AREC to verify.

• AREC’s website provides information about certified programs and their passing rates on the certification exam.

Take the Real Estate Licensing Exam. After completing your prelicense course, you must pass the Real Estate Licensing Exam within six months.^[11] The exam is offered by computer at AMP (Applied Measurement Professionals) locations throughout the state. Exams are administered by appointment only, Monday through Friday at 9:00 a.m. and 1:30 p.m. The fee for the exam is $73.00, payable by credit card, cashier’s check or money order.^[12]

• To make an appointment and register for the exam, visit the website www.goamp.com and select the link “Candidates.” From there, follow the instructions to select a testing date and time.
• You may also register by telephone by calling 800-345-6559.
• If you prefer, you can download a test registration form at www.goamp.com. Complete the form and mail it in as directed.
• If you need to take the test outside of Alabama, contact the Alabama Real Estate Commission at (334) 242-5544 for authorization and more information.

Complete the license application. The only way to obtain a real estate license application is to pass the licensing exam. An application will be provided to you with your passing score report. To complete the application form itself, you will need the following information:^[13]

• Your name and basic contact information.
• Proof of U.S. citizenship, which may be a driver’s license or non-driver ID card, a U.S. birth certificate, a permanent resident card, a valid U.S. issued visa, or other legal document.
• Answer questions about any prior real estate licenses you may have held, in Alabama or elsewhere.
• Answer questions about any criminal record you may have.
• Signature, under oath, verifying that all the information in the application is true.

Gather additional required documents. In addition to the completed application form, you must provide certain additional documents. These documents are required to prove your eligibility to serve as a licensed real estate agent. The materials you must provide are the following:^[14]

• Application to Review Alabama Criminal History Information. You can get a copy of this form at www.arec.alabama.gov.
• A classifiable copy of your own fingerprints taken by an authorized law enforcement agency. To get this, you can visit any police department or sheriff’s office and explain that you need your fingerprints for a license application. There may be a small fee for this service. You will be given a card for the fingerprints when you complete the licensing exam.^[15]
• Proof of age. This may be shown with a copy of a birth certificate, passport or driver’s license.
• Proof of high school graduation or equivalent.
• Proof of citizenship or legal presence in the United States. This may be shown with any of the following:
  • Driver’s license or non-driver identification issued by any state of the United States;
  • Birth certificate issued by any state in the United States;
  • Permanent Resident Card; commonly known as a “green card”;
  • Any visa issued by the United States;
  • Any other documentation issued by the United States indicating legal presence in the United States.
• Proof of residency in your state of domicile. This may be shown with any of the following:
  • Driver’s license;
  • Car tag receipt;
  • Deed to home;
  • Lease agreement on a home or residential apartment;
  • Property tax bill; or
  • Voter’s registration card.
• Non-residents of Alabama must also supply the Consent to Jurisdiction Form, which is available online at https://arec.alabama.gov/arec/docs/forms/general/consent-to-jurisdiction-nonresident.pdf.
• Certification of licensure issued within the last 120 days. This only applies if you hold or have held a real estate license in another state within the last 3 years. You will need to get a certification from that state’s licensing board.

Submit the required fee. For a real estate salesperson license, the fee is $235.00 and must be paid by check made payable to the Alabama Real Estate Commission. Be sure to sign your check or it will be refused and your application will be delayed.^[16]

Submit your application on time. You must complete the application and submit it, with all of the fees and required documentation, within 90 days after your examination date. If you do not submit the complete application within that time, your exam score is considered void, and you will be required to take the exam again.^[17] Send your complete application package, including the cover page of the application form, to the Alabama Real Estate Commission, 1201 Carmichael Way, Montgomery, Alabama 36106.^[18]

• You should make a photocopy of your complete application package before mailing it.
• If you have questions about the application, you can contact the AREC at (334) 242-5544.

Await receipt of your license. If your application package is complete and your application is approved, a copy of your license will be mailed to your broker’s office. Until you receive your license, you may not engage in real estate business.^[19]