How Much Does It Cost To Become a Real Estate Agent in CT
I want to get my real estate license. How do I do that and how much does it cost?
We get asked this question all the time. There is not a simple answer because it depends on where you live, who you hang your license with, additional study aids, and of course the hidden costs of driving to class, eating out, etc. We're focusing on the "hard" costs you cannot avoid in order to get your license and start practicing. Real estate agent startup costs are not negligible - you are preparing to enter a trade, not unlike training to be an electrician, a paralegal or a lawyer. (Of course, you'll learn in the Principles and Practices of Real Estate class is that you are NOT a lawyer and you have to avoid practicing law.) You will learn very little about how to be a real estate agent in class but you will learn some valuable information such as there are 43,560 feet in an acre and how to apply that information.
You are in business for yourself as a sole proprietor!
When you make the decision to become a real estate agent you have made the decision to start your own business. As a business owner, you have the obligation to run your real estate business like a business. This page is a BASIC example of the minimal costs it will take to become a real estate agent. These costs are estimates and will go up over time. We've decided to give you some links so you can do your own research since we probably will not continue to update this page unless we get asked to update it.
There is a calculator at the bottom of the page you can use to estimate the "startup" costs.
The Nuts and the Bolts
The CT Realtors site has most of the information you need to learn in order to get your real estate license in CT. https://www.ctrealtors.com/
Of course, the first thing you need to do is find a real estate school. There is a state site that lists the schools and boards that offer licensing courses. Most of the schools do not offer competent websites or information so you will be calling and emailing them to get schedules and costs. Try to get personal reviews and recommendations; the schools are NOT created equal! Just like in school, some teachers are better than others. https://www.elicense.ct.
- Once you have passed your 60-hour class and exams you have two years to find a broker with which to "hang" your license.
- When you identify a sponsoring broker and you have come to terms with the broker on the terms of your engagement you will then apply to the state.
- Most real estate brokers will require you to join a local board, the state board and the national association of realtors and the appropriate MLS.
- SmartMLS is billed twice per year in May and October. https://smartmls.com/join/
- The local board dues will vary. You will need to do your research as far as what board to join and which you feel offers you the most value for your money.
You can follow this link to find a list of all the boards in CT. You probably should join the board that is closest to you but your sponsoring broker can give you some advice.
As of 2019, the dues are as follows:
- CT state board (CTR) dues are $165/ year
- The National Association of Realtor (NAR) dues are $150/year.
- Local board dues vary from board to board but the CTR (state of CT) and NAR (National Association of Realtors) dues will be collected by the local board.
- Here is a sample of the local board dues as of 2019. These will likely increase over time.
- GHAR dues are $260/year with a $125 one time application fee.
- Litchfield board dues are $300/year and a $100 application fee.
Obtaining a license is not a "one and done" task. We renew our licenses every year. Renewal Fees as of this date:
- $285 (odd year)
- $293 (even year).
Keep in mind, since you will be working as an independent contractor, all marketing, signs, lockboxes, etc will be your responsibility to pay for. You will also need to budget for health insurance and remember to pay your estimated taxes on a quarterly basis.
In addition to the "required" fees outlined above, there will be fees for tools and platforms offered by different brokerages or that you find on your own. It’s important that you align yourself with a firm that will support your efforts and help to make you successful. Do your due diligence to make sure you feel you will have the support and tools you need to help you become successful!