Are you interested in a career as a real estate broker in Alabama? It’s a rewarding journey with plenty of opportunities. Whether you’re an experienced agent or new to real estate, in this blog Boundary Title will guide you on how to become a broker in Alabama. We’ll cover the steps and requirements to start this exciting career.
How To Become a Real Estate Broker in Alabama
If you’re interested in establishing your career as a real estate broker in Alabama, here’s a brief overview of the steps you need to cover. Let’s dive right in!
A Step By Step Guide to Become a Real Estate Broker in Alabama
The requirements to become a registered real estate broker vary from one state to another, even if you already hold the license in another state. Here’s a quick outline of how the process goes for the state of Alabama.
Step 1: Meet the Basic Requirements for Application
Before applying for a real estate broker license in Alabama, you need to meet some essential prerequisites. These include:
- Hold an active real estate agent/salesperson license from any other US state for the past two years or 36 months before applying (Reciprocal Broker License holders only require 6 months)
- Being at least 19 years old or older
- Being a US citizen, permanent resident, or having a legal presence in the country, and showing genuine proof of residency in any US state
- Earning a high school diploma or its GED equivalent
- Not have been a convicted felon or any moral turpitude crime
- Not have your real estate broker license revoked or rejected in any US state in the last two years
Step 2: Register and Pass a State-Approved Pre-Licensing Course
If you’re eligible for application, you should enroll in the Pre-License education course that is approved by the State of Alabama.
You need to register and complete 60 hours of the course, which covers various necessary real estate career topics, such as:
- Real estate law and ethics in the state
- Authorities and organization that governs real estate in Alabama
- Essential knowledge about financing, contracts, and other activities included in the job
After completing the course, you’ll need to schedule and pass the course’s final 100-question exam, which is supervised by a proctor. The passing grade in Alabama is set at 70% and you get only two attempts to pass the exam.
Step 3: Pass the Real Estate Licensing Exam
After passing the pre-licensing exam, you must take the Real Estate Broker Licensing Exam within 6 months.
If you’re applying for the first time, you need to pass both the National and Alabama parts of the exam at a grade of 70% or higher.
However, if you hold a real estate license in another state, you only need to take the Alabama section. The exam fees are typically around $73.
Step 4: Apply for the State License
After receiving your exam results, you need to submit them to the Alabama Real Estate Commission (AREC) within 3 months of the examination date.
Along with the application, you’ll also need to pay the necessary license fees of $150.
If you don’t have an Alabama real estate license, you’ll also need to pay the Research and Education fee in addition to the Recovery fund fee, which costs $30 each.
Step 5: Complete Federal and State Background Checks
Besides your application and fee payment, you’ll also need to complete a background check with a fingerprint through a Criminal History Release Form.
This check is done on both Federal and State levels, so you’ll need to complete it whether you’re applying for a first-time Alabama license or a reciprocal one.
The check is performed by a state-approved third-party entity, so the required fees may vary from one place to another, but they’re typically not pricey.
All the forms required to complete this step are available on the Alabama Real Estate Commission website.
Do Real Estate Brokers in Alabama Need a Post-Licensing Course?
After finalizing your application, you’ll receive a permanent license and won’t need to take any post-licensing courses. On the other hand, real estate salespersons will need to complete the mandatory post-license training course required by the Alabama Commission. For an active licensee, you must complete the course within 6 months of licensure (or 12 months for inactive licensees). The course must cover 30 clock hours with a maximum of 9 hours per day, and typically costs around $180 to $200, depending on the third-party provider.
Wrapping Up
There you have it! A concise guide on how to become a real estate broker in Alabama, complete with the necessary prerequisites and exams you need to undertake. As you embark on this journey, remember that Boundary Title is here to support you every step of the way. From title services to smooth property transactions, we’ve got you covered. Contact us today, and let’s make your real estate dreams a reality!