A real estate license in California costs between $1,100 and $ 1,950+. We understand this is a significant chunk of change. However, when you learn that the average income of a real estate salesperson in California is $200,000, you may not think that the costs of getting licensed sound out of line.
Keep reading, and we’ll tell you the benefits of holding a real estate license, the breakdown of costs, and why you should begin the licensing process.
Key Takeaways: How Much is Real Estate License in California?
- Understand the Total Cost: Getting a real estate license in California typically costs between $1,100 and $1,950, including education, application fees, fingerprinting, and memberships.
- Pre-Licensing Education Is Required: You must complete 135 hours of approved coursework, which generally costs between $200 and $800, depending on the package.
- Additional Fees: Expect to pay $450 for application and exam fees, $49 for fingerprinting, and $100–$250 for exam prep if not included in your course.
- Memberships Are a Recurring Expense: After licensure, you’ll likely pay $300–$700 annually for access to REALTOR® associations and MLS tools.
- The Investment Is Often Worth It: California’s high home values and commission potential can help new agents recoup their licensing costs quickly, even with just a few sales.
Benefits of Holding a Real Estate License in California
Earning your California real estate license opens the door to a wide range of career opportunities in one of the most dynamic housing markets in the country. With a license, you’re legally authorized to represent buyers, sellers, landlords, and tenants in real estate transactions across the state. This includes everything from helping first-time homebuyers to managing investment properties.
One of the biggest perks of becoming a licensed real estate agent in California is the flexibility it offers. You can set your own schedule, choose your clients, and work independently or under a brokerage. You also have the freedom to specialize in a niche that fits your interests, such as luxury estates, commercial real estate, beachfront condos, new developments, or vacation rentals.
Your license can also serve as a stepping stone to other roles in the industry. Many licensed agents choose to work as leasing agents or real estate wholesalers, while others expand into property management. With just a few years of active experience, you can qualify to take broker pre-licensing courses and advance your career even further by becoming a real estate broker, which gives you more earning potential and the ability to manage your own brokerage or hire other agents.
In California’s competitive real estate landscape, holding a license not only increases your credibility but also gives you access to the region’s Multiple Listing Services (MLS), valuable industry tools, and networking opportunities that can help you grow your business.
There’s a lot of money to be made in California real estate. Salespeople typically negotiate their commissions based on the sale price of a property. Since the average price of a home in the Golden State is $786,107 (Zillow, July 2025), you won’t have to oversee very many transactions to make a good living – even if you work part time.
Costs to Get a California Real Estate License
Getting your real estate license in California involves more than just coursework and an exam. Below is a breakdown of the typical expenses you should expect when budgeting for your new career.
Pre-Licensing Education: $200–$500
Before you can take the California real estate licensing exam, you must complete 135 hours of approved pre-licensing education. These hours are not college credits—they’re state-required courses specifically designed to prepare you for the licensing process.
You can complete your coursework through a self-paced online program or via livestream classes with set schedules. Self-paced options are typically the most affordable and can be completed in under two months. Livestream courses may take longer, but they offer live instruction and more structure, which some students prefer.
When looking at the real estate license class cost, take a close look at what’s included. While basic packages are inexpensive, more comprehensive options may come with printed textbooks, instructor support, and premium exam prep tools to help you succeed.
FAQ: What’s the cheapest way to get a real estate license? The most cost-effective way to obtain a license in California is to purchase an online pre-licensing package that includes exam prep.
License Application Fee: $450
After finishing your coursework, you’ll apply for both the licensing exam and your real estate license using Form RE 435 – Salesperson Examination Application. This application covers both your exam scheduling and licensing processing. The nonrefundable fee is $450, paid directly to the California Department of Real Estate (DRE).
It’s worth noting that licensees must pay $100 each time they take the licensing exam. Passing the first time you take it saves time and money.
Fingerprinting & Background Check: $49
All real estate license applicants are required to undergo a background check, which includes fingerprinting. You’ll need to submit one set of fingerprints along with a fingerprint processing fee.
- California Residents: You’ll get fingerprinted through a Live Scan service provider and pay the $49 fee directly at the time of service.
- Out-of-State Applicants: You must mail your fingerprint card, a $49 processing fee, and your license application to the DRE.
You can get fingerprinted after submitting your exam application or after passing the exam. However, please note that the fingerprinting fee is nonrefundable, even if you don’t pass the exam.
Exam Prep: $100–$250
To boost your chances of passing the state exam on the first try, you should invest in a dedicated exam prep course. Some real estate schools include exam prep in their course packages, while others sell it separately.
If your pre-licensing provider doesn’t offer exam prep, you can expect to pay an additional $100 to $250 for quality prep materials, including practice tests, review sessions, and study guides.
Membership Fees: $300–$700
Once you’re licensed, you’ll likely need to join local, state, and national professional organizations. These memberships give you access to the region’s Multiple Listing Services (MLS), valuable networking tools, and other discounts and benefits.
Typical membership-related costs may include:
- Local Association of REALTORS® fees
- California Association of REALTORS® (CAR) dues
- National Association of REALTORS® (NAR) annual membership
- MLS access fees
Costs vary depending on your region and association, but you can expect to pay $300 to $700 annually. Be sure to ask your sponsoring broker for an estimate of your startup costs so you’re financially prepared.
Total Estimated Cost to Get Licensed in California: $1,100–$1,950+
Your total cost will depend on the education provider you choose, whether you purchase exam prep separately, and the fees required by your local REALTOR® board. While the upfront investment can feel steep, many agents quickly recoup their costs after closing their first deal.
Managing the Costs
Obtaining your California real estate license entails several upfront expenses, including pre-licensing education, fingerprinting, exam fees, and professional membership dues. While the total cost of a real estate license in California typically ranges from $1,100 to $1,950, smart budgeting and careful planning can help keep your expenses manageable.
Pro Tip: Some students opt for the least expensive real estate education package to save money. However, a quality education provider (with excellent test-prep materials) can help you pass the licensing exam the first time you take it. Save money and time by investing in a real estate school that includes a Pass or Don’t Pay Guarantee.
Here are a few tips to save money:
- Choose the Right Education Package: Some schools, like Allied Schools, bundle exam prep, textbooks, and support into their courses, potentially saving you money long term.
- Look for Guarantees: Allied Schools offers a Pass or Don’t Pay Guarantee, which alleviates some of the financial stress of getting licensed.
- Study!: Each time you take the test, you’re out $100. Save money on the licensing process by passing the test the first time you take it.
- Ask Your Future Brokerage about Startup Costs: Understanding what you’ll owe for MLS access, association dues, and marketing tools can help you avoid surprises.
- Plan for Ongoing Costs: Beyond getting licensed, remember that continuing education and annual membership fees are part of maintaining your career.
When approached thoughtfully, the licensing process is a manageable investment, especially when paired with a clear business plan for your real estate career.
Is It Worth It?
For many professionals, getting a California real estate license is not just worth it—it’s life-changing. With low barriers to entry compared to other career paths, the real estate industry offers high income potential, entrepreneurial freedom, and the ability to create your own schedule.
Whether you’re seeking a full-time career, a side hustle, or a flexible second act, real estate provides a way to build a business that fits your goals. In a high-demand market like California, opportunities abound, from helping first-time homebuyers to representing luxury listings or managing investment properties.
The upfront cost is small compared to the long-term earning potential, making this one of the most accessible and rewarding career moves you can make.
Learn more about your area’s housing market by requesting a download of the most recent hot housing report.
Get Started with Allied Schools
If you’re ready to take the first step toward a successful real estate career, Allied Schools is here to help.
- Fully approved courses that meet all California licensing requirements
- Excellent reviews from thousands of satisfied students
- Instructors with real-world experience
- Study on your schedule with flexible livestream or at-your-own-pace learning options
- Student support to keep you on track every step of the way
- Pass or Don’t Pay Guarantee means you have little to lose!
Join over 350,000 professionals who began their real estate journey with Allied Schools. Enroll today and start building your California real estate career with confidence.
Disclaimer: This guide is for general informational purposes only, based on an August 2024 survey of Allied Schools alumni and publicly available industry sources. While Allied Schools strives for accuracy, we make no guarantees regarding the completeness, reliability, or applicability of the information. Earnings and outcomes vary widely based on factors like location, experience, and market conditions and should not be considered guarantees. This guide does not constitute professional advice. Users should consult additional sources for personalized guidance.
