Becoming a Realtor is an incredible opportunity for entrepreneurs, with nearly limitless growth possibilities. While the thought of going through the licensing process may feel a little daunting at first, we’re going to walk you through the entire process and help you become a real estate agent in Maryland.
The Maryland Real Estate Commission (MREC) requires that you be In order to become a licensed real estate agent in the state of Maryland, you must be at least 18 years old, be of good character and reputation, and complete the following steps:
The time it takes to get your license will vary from person to person. Maryland has relatively simple steps to follow. Following the outlined steps could take about 3 weeks for a candidate to receive their license. The most time-consuming part of the process will be completing the 60 hours of pre-licensing education. All in all, you could potentially get your license in the first month, but for most aspiring agents it will take 5 to 10 weeks. Here is what an average timeline looks like:
If you’re eager to get started, take the online pre-licensing course so you can learn at your own pace and schedule. We also recommend interviewing different brokers while you are finishing up your course, so you are ready to hang your license with a brokerage firm as soon you pass the state exam.
There are several fees involved when working to become a real estate agent in Maryland…
There are several other expenses to consider when becoming a real estate agent. Whether you’re building a new business and opening a gift shop, restaurant, or your real estate empire, keep in mind there are always start-up costs involved.
To follow are some of the most common costs you’ll incur:
If you add up the cost to get your license and the cost to officially become an agent, you will likely need to spend between $1600 and $2500 to launch your new real estate business.
Learn more about costs to become a real estate agent in Maryland:
To get your real estate license, you’ll have to attend a school that’s approved by the Maryland Real Estate Commission. There are at least a dozen approved real estate schools throughout the state. Some are online, others in person, and a few do a combination of the two.
Here are a few of the most popular:
When shopping for the best schools in Maryland, you’ll want to compare pricing, but there are a few other things you will need to consider:
In Maryland, you must affiliate with a real estate brokerage in order to apply for your real estate license and actively help people buy and/or sell property. The real estate commission often refers to the brokerage firm as the “sponsoring broker.” Doing your homework to select the right brokerage to work with can be critical to your success as a newly licensed agent.
When researching and meeting with different brokerages, keep in mind that many are independently owned franchises. So one Keller Williams or Sotheby’s office could be completely different from another that’s just 10 minutes away. The culture, training, support team, and sometimes even the fees and commission splits can vary from franchise to franchise.
While many newly licensed agents are looking for the best commission splits when shopping for brokers, we would highly recommend that you make that #2 or #3 on your list. The most important thing you should look for in a brokerage is how they support brand new real estate agents. Do they have a formal training program? Will you have at least 3 people you can reach out to if you have questions? Are they available outside traditional business hours? Do they have mentors – and what exactly will the mentors do to assist you?
If you ask other real estate agents, most will describe the Maryland real estate licensing exam as “not so easy.” There are 110 multiple choice questions, 80 on the National portion and 30 on the State portion. You’ll have 90 minutes to take the National and 30 minutes to take the State portion and pass with a minimum score of 70%. For more information about the state exam, download the PSI Candidate Information Bulletin.
Don’t worry! It’s not uncommon for people not to pass the exam on the first try. If you fail the exam, simply submit a new request to the PSI testing site. After that, you can schedule a new appointment to retake the examination. The fee is $61 per attempt and there is no limit to the number of times you can retake the exam.
In order to become a real estate broker in Maryland, you must have an active real estate salesperson license for at least (consecutive) three years before applying to become a broker. You will also have to complete a 135-hour Broker pre-licensing course is also required and pass the state broker examination.
Maryland Real Estate Commission requires that Sales Agents and Associate Brokers complete 15 hours of continuing education (CE) each renewal cycle. This includes three hours in Ethics, three hours in Legislative, and three hours in Agency courses.
Great question. It really just depends on how you’d like to use your license. If you just want to sell a few homes each year to friends and family, you’ll have to crunch the numbers to see if the cost of getting and maintaining your Maryland real estate license is worth it. As you can tell by the fees listed earlier, it is an investment. For example:
Let’s say you sell two Baltimore homes at $375,000 each. You’ll earn approximately $15,000 after broker splits. If you paid $3,200 in Board Dues, MLS fees, marketing brochures, broker monthly fees, business cards, etc, you would net $12,800 (before taxes).
If you plan to jump in and make a career in selling homes in Maryland, then absolutely! The real estate market is booming. It can be a challenge moving from a salaried position to a commission-based business, so it’s important to have at least six months of savings in the bank. If you don’t have that yet, then you may want to keep your current job for a short period of time until you lay the foundation for your new real estate business.