The licensing process may seem a little overwhelming at first, but we are here to walk you through it, step by step. If you decide to become a real estate agent in New Jersey, you’ll have almost unlimited earning potential and the opportunity to build your very own business.
The New Jersey real estate commission (NJREC) is under the New Jersey Department of Banking and Insurance (NJDOBI) and they have some basic requirements you have to meet in order to secure your real estate license and become a real estate agent in New Jersey:
To be eligible to become a licensed broker in New Jersey, you must:
Overall the process for becoming a real estate agent in New Jersey is fairly simple. It’s also an incredible opportunity to build a lifelong business of your very own.
The time it takes to get your license will vary from person to person. New Jersey has relatively simple steps to follow. The most time-consuming part of the process will be completing the 75 hours of pre-licensing education. Here is what an average timeline looks like in the state of New Jersey:
While this timeline may seem a little daunting, there are a few ways to expedite things. First, taking an online course is the way to go. Instead of attending scheduled in-person classes a few times each week, , you can learn online at your own pace. We would also recommend interviewing brokerages while you are waiting for the New Jersey DOBI to process your application, so you are ready to hang your license with a broker as soon as the application is approved. All in all, it’s definitely possible to become a real estate agent in New Jersey in six (6) weeks or less.
To get your New Jersey real estate license and become a real estate agent, you’ll have to attend a school that’s approved by the NJDOBI. There are quite a few 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 online real estate schools in New Jersey, make sure that they offer additional support for exam prep and sample exams for practice. Some offer weekend cram courses or exam prep courses to ensure sure that you pass the real estate broker exam on the first try.
In New Jersey, you must affiliate with a real estate brokerage in order to activate your real estate license. This is often referred to as the “sponsoring broker.” Picking the right brokerage to work with can be critical to your success as a newly licensed agent.
We would recommend shopping for the best broker once you’ve completed the pre-licensing course and are waiting to take your course or state exam. There are a few ways to do this:
When researching and meeting with different brokerages, keep in mind that many are independently owned franchises. So one Berkshire Hathaway or RE/MAX 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?
PRO TIP: Don’t be afraid to ask the brokerage LOTS of questions. Remember that you are interviewing them (not the other way around) to see if they are a good fit for your new business.
There are several required fees when working to become a real estate agent in New Jersey:
Getting licensed is just the beginning! There are several other expenses to consider when you become a real estate agent in New Jersey. After all, you are building a brand new business and there are always costs associated, whether you are opening a restaurant, gift shop, or launching your real estate empire.
Here are some of the most common expenses:
If you add up the costs to get your license and the costs to officially become an agent in New Jersey, you will likely need to spend a total of $1,700 to $2,500 to launch your new real estate career.
Learn more about costs to become a real estate agent in New Jersey:
The New Jersey salesperson exam consists of 110 questions. All are multiple-choice, and you’ll have 4 hours to complete the exam.
It’s not uncommon for people not to pass the exam on the first try. If you fail the exam, you must wait 24 hours before scheduling your next attempt. You have an unlimited number of opportunities to take the state exam within a one-year period. The cost is $38 for each attempt.
You have to answer at least 77 of the 110 questions correctly to receive a minimum passing score of 70%.
To become a real estate broker in NJ, you must have a minimum of three years of active licensed real estate experience, and that sales experience must be obtained in New Jersey. You’ll also need to complete a 90-hour real estate broker course, as well as two 30-hour courses on Agency/Ethics and Office Management and related topics. That’s a total of 150 hours of real estate broker courses.
After completing all three courses, you’ll need to submit the school certificate and an Experience Report with your NJ Broker Applicant form. If approved, you will be invited to sit for the state broker’s exam.
According to ZipRecruiter, as of April 2022, the average US monthly pay is $6,908 (about $82K annually). The average earnings for a part-time real estate agent in New Jersey is $58,000. Trenton, Atlantic City, and Clifton are the highest paying cities in New Jersey for real estate agents.
No matter where you are located in the Garden State, you’ll have almost unlimited earning potential if you are dedicated, work hard, and treat it like a business.
Kerry Lucasse and the Building Better Agents team talk with hundreds of newly licensed real estate agents each year. Most have no idea how challenging the first year or two can be and how much you need to learn to be successful. This business is not as easy as it looks on TV! Real estate can be a rewarding and profitable business if you are a self-starter who is 110% committed to being successful and you have the support of a great mentor and brokerage.