Real Estate Agent and Broker
The California Real Estate Sales Exam
By
Apr 13, 2012, 15:37

Now you need to pass the salesperson exam. However, becoming a licensed sales person in California requires more than simply passing the exam. There are many other steps you must complete (before and after the exam) in order to arrive at your ultimate goal – receiving your real estate salesperson license.

Who Needs to Take the California Real Estate Salesperson Exam?

Each month, thousands of people take the California Real Estate Salesperson Exam. If you plan to sell, solicit, buy, negotiate, lease, assist, or represent anyone other than yourself in a real estate transaction, you need a valid California Real Estate Salesperson License. Real estate salespeople must be employed by brokers who are licensed by the California Department of Real Estate (DRE).

You must take the exam if:

· You are applying for an original license

· Your previous California salesperson license has been expired for at least two years

OR

· Your suspended conditional license ahs expired due to noncompletion of required courses

The State of California does not have reciprocity with any other state, meaning California does not honor out-of-state real estate licenses.

Note: You may obtain your salesperson license without being employed by a licensed broker; however, you may not legally perform licensed transactions during that time.

Eligibility Requirements

You may apply for your examination and license application at the same time, if you wish. The Department of Real Estate (DRE) requires that all examines and licensees meet the following minimum requirements:

· Age – The DRE places no age restrictions on those who wish to take the exam; however, you must be at least 18 years old to apply for a salesperson’s license.

· Legal Presence – You must be a citizen of the United States or a lawfully admitted alien. You do not need to be a California resident to have a California Salesperson License.

· Honesty – You must be completely honest and truthful. Failure to include complete and accurate information may be grounds for denial of an application. Convictions of felony or morally questionable crimes may also be cause for denial and must be included on your application.

If you have internet access, the DRE prefers that you consult their user-friendly website for information: www.dre.ca.gov

Education Requirements

The Department of Real Estate may no longer issue a conditional license. Effective October 1, 2007, in order to apply for a real estate salesperson license, you must complete three college-level real estate courses. The DRE requires that applicants provide evidence (i.e. official transcripts) of the successful completion of these courses. These three semester-unit or quarter-equivalent courses include Real Estate Principles, Real Estate Practices, and one of the following courses:

· Real Estate Appraisal
· Property Management
· Real Estate Finance
· Real Estate Economics
· Legal Aspects of Real Estate
· Real Estate Office Administration
· General Accounting
· Business Law
· Escrows
· Mortgage Loan Brokering and Lending
· Computer Applications in Real Estate
· Common Interest Developments

All three of the required courses must be completed through accredited colleges or universities, or through DRE-approved private course sponsors. Fortunately, many colleges and universities in California have recognized the demand for these courses. Approved courses are offered at most community colleges, University of California campuses, and California State University campuses.

All questions regarding courses taken at foreign institutions, private vocational real estate schools outside of California, or correspondence schools, should be directed to the DRE Examination Office.

Exemptions

1. If you are a member of the California State Bar Association, you may qualify for a waiver from the above education requirements. Law school graduates who are not yet members of the California State Bar Association must complete college-level courses in real estate appraisal and real estate finance.
2. If you have completed the eight required college-level courses needed for the broker exam, you may also be exempt.

Applying for the Exam

You may download the California Salesperson Examination Application (Form RE 400A) from the DRE website, phone the DRE and ask that a copy be mailed to you, or apply through eLicensing. Fill out the application completely and honestly or you may experience long delays, or worse – rejection. You will have the opportunity to request a schedule date; however, the DRE cannot guarantee your request. The schedule of upcoming exam dates is available on the DRE website. The DRE schedules exams for the first available date on or after the date you requested. So, it is generally a good idea to be prepared for the exam before submitting your application, or at least select a date that is far enough in advance to allow you adequate time to study.

Exams are given in the following cities and their surrounding areas:

· Fresno
· Los Angeles (Costa Mesa, San Bernardino)
· Oakland (San Jose)
· Sacramento
· San Diego

Today, the DRE expedites the processing of licenses and applications through their interactive eLicensing online system. This requires that applicants create a username and password before they can sign in. the eLicensing site is easy to use and paperless. It accepts credit and debit cards.

Through this site you can:

· Apply for your salesperson examination
· Schedule your exam site
· Reschedule your exam date
· Apply to retake your exam
· View your exam records
· View your exam results
· Check your scheduled exam date, time, and location
· Change your exam mailing address
· See if your license has been issued

Exams are generally given at many different locations within each city. Exam locations and dates vary due to changes in demand, availability, and other factors. The DRE will schedule your exam in the city you request, but will not accept any requests for a specific test site within that city. Along with your completed exam application, include:
· Official transcripts for your three completed real estate course
· A check or money order payable to the Department of Real Estate in the amount of $25 (see procedures for credit card payments below). Never mail cash.
· A letter describing your disability and request at this time, if you require special accommodations for a disability
· A Consent to Service of Process (Form RE 234, available online), if you are an out-of-state applicant

Mail your completed application and accompanying materials to:

Department of Real Estate
Examination Section
P.O. Box 187001
Sacramento, CA 95818-7001

Any changes to your application (e.g., a name change, a new address) must be submitted to the DRE in writing. Allow six to seven weeks to receive your Examination Schedule Notice – this will inform you of your scheduled exam date, time, and location. You can also obtain this information online by using the eLicensing online system. If you have no scheduled date, call the DRE’s interactive voice response system. You will need to present your Examination Schedule Notice when you arrive at the exam site.

You are not limited in the number of times you may take the exam; however, you must complete it within two years of filing an application to the test. A reexamination fee of $25 applies each time. If you have not successfully completed the exam within the given period, you will have to repeat both the application and exam process.

Credit card payments are not accepted by phone for first-time exam scheduling. You may pay by credit card via fax or mail. Download a credit card payment form from the DRE website or call the Examinations Office to request one by phone. You may also pay by using the eLicensing online system.

Exam Content

You will have three hours and fifteen minutes to complete your examination. The exam is multiple choice, and your answers will be submitted on a Scantron answer sheet.

The law requires that examinees demonstrate adequate reading and writing skills in the English language and the ability to perform basic real estate math computations. Furthermore, examinees must have proficient knowledge of real estate principles; the responsibilities and obligations of licensed salespersons; and the legal provisions, effects, and consequences of real estate transactions.

The exam covers seven major real estate subject areas:

1. Property Ownership and Land Use Controls and Regulations (approximately 18% of exam)
· Classes of Property
· Property Characteristics
· Encumbrances
· Types of Ownership
· Description of Property
· Government Rights in Land
· Public Controls
· Environmental Hazards and Regulations
· Private Controls
· Water Rights
· Special Categories of Land

Calculators

The calculator you bring to the exam must be a pocket-sized, silent, battery-operated, electronic calculator with no printing capability or alphabetic keyboard. It is a good idea to bring a calculator that you are already familiar with using and make sure you have extra batteries.

Also, you will not be expected to figure out these problems entirely in your head. You will be provided with scratch paper at the exam, and you are allowed to bring a calculator with you. Remember to take each problem step by step, reading it carefully and using your scratch paper to set u the problem before you start punching in numbers.

Exam Day

Try to get good night’s sleep the night before the exam, and allow plenty of time in the morning to get to your exam location, especially if you are unfamiliar with the area. Allow plenty of time to get there early (at least 30 minutes before your exam) in order to sign in, present your identification and Examination Schedule Notice, and get yourself settled.

You must bring:

1. A valid picture ID (such as a driver’s license or passport) and your Examination Schedule Notice
2. A calculator

You will be provided with:

1. a Scantron answer sheet
2. a #2 pencil
3. scratch paper

There will be a designated area for placing cell phones and pagers (which must be turned off), purses, bags, books, food, and other prohibited items. You may not bring your children or anyone else with you into the exam room. You may keep bottled water at your desk.

Using a Scantron

At one time or another during high school, college, or your real estate courses, you have probably taken a multiple-choice test on a Scantron answer sheet. If not, don’t worry. Instructions on how to use a Scantron sheet will be described to you at the exam.

Exam Results

All examinees must correctly answer 70% or more of the questions to pass the exam. You will be notified of your exact score and number of questions you answer correctly only if you do not pass the exam. Your results will be mailed to you on Examination Result Notice within approximately five working days following your exam.

Results are not available through the eLicensing online system, or by touchtone phone on the interactive voice response system after five business days.

When you pas s your exam, you will be notified by mail and receive an Application for Salesperson License. You will also be sent the appropriate fingerprinting forms or cards. Upon passing the exam you will not be given your score or the number of questions that you answered correctly. If you do not receive a passing score, you will be given the opportunity to apply for reexamination. Remember, you can take the exam as many times as needed within the tow-year time frame after your original application was processed. If you do not pass, you will be notified of your exact score and the number of questions you answered correctly.

To apply for reexamination, submit your Examination Result Notice along with $25 for the reexamination fee to the DRE Examination Office. Credit card payments are accepted by fax, mail, or phone. You may also reapply through the eLicensing online system.

Applying for the California Salesperson License

Once you have passed your salesperson exam, you can apply for your license – and you only have one year to do so. Your license application will be mailed to you automatically with your exam results. As with your exam application, you must complete the License application completely and honestly. You will need to submit it with the following:

· proof of legal presence in the United States (such as a birth certificate or resident alien card)
· a properly completed State Public Benefits Statement (Form RE 205)
· fingerprints
· appropriate fees

License Application Fees

As per Section 10215 of the Business and Professions code, the real estate salesperson license fee shall not exceed $245. It is currently set at $120 for a four-year license.

Fingerprinting

The DRE requires that all licensees submit fingerprints. The fee is $56. California residents are to submit fingerprints via the California Department of Justice’s (DOI) Live Scan Program. You will be mailed a Live Scan Service Request Form (RE 237) with your license application and must follow these procedures:

1. Find a Live Scan service provider on the DOI’s website. A list of Live Scan providers will also be available at the exam site.
2. Have a current photo ID.
3. Pay the $56 fee directly toe the Live Scan provider.
4. After having your fingerprints scanned by a Live Scan provider, complete Part 3 of your Live Scan Service Request Form and submit it along with your license application to the DRE.

Out-of-state applicants must submit two official sets of ink fingerprints on the FBI Application Fingerprint Card, which is mailed to you with your license application.


1. Take both FBI Applicant Fingerprint Cards to a local law enforcement agency to have your ink fingerprints taken.
2. Make check or money order payable to the DRE (not the local law enforcement agency administering your prints) for $56
3. Submit both fingerprint cards along with your license application and check or money order to the DRE

Note to all applicants. If you are past due on child support payments, you may have restrictions or extra fees assigned to your license. See the special section on the DRE website for Child Support Obligors.