A New Jersey real estate license, issued by the New Jersey Real Estate Commission (NJREC), is a mandatory credential for individuals compensated for assisting others in real estate transactions like buying, selling, or leasing property. The path to licensure involves specific educational and examination requirements designed to ensure a professional standard of practice.
Types of Real Estate Licenses in New Jersey
New Jersey offers distinct license types, each with a specific role. The Salesperson license is the entry-level credential, allowing an individual to perform real estate activities under the supervision of a licensed broker. A Salesperson cannot operate independently.
The Broker license represents a higher level of authority, enabling a licensee to operate an independent real estate business and employ other salespersons. To qualify, an individual must have at least three years of full-time experience as a licensed salesperson.1Justia. New Jersey Revised Statutes Section 45:15-9 (2024) – Real Estate Licenses A Broker-Salesperson holds a broker’s license but chooses to work under the supervision of another broker. A Referral Agent license permits an individual only to refer clients to their employing broker.
Eligibility and Pre-Licensing Education Requirements
Prospective licensees must first meet foundational eligibility criteria. An applicant must be at least 18 years old and possess a high school diploma or its equivalent. As mandated by N.J.S.A. 45:15-9, all applicants must demonstrate good moral character, which is assessed through screening questions and a background check.
The next step is completing the required pre-licensing education. For a salesperson license, this involves a 75-hour course at a school licensed by the NJREC. This curriculum covers New Jersey real estate laws, contracts, agency relationships, and property valuation. Upon finishing the coursework, the student must pass a school-administered final exam before they can proceed to the state licensing exam.
Gathering Information and Preparing Your License Application
After passing your course exam, you must gather several items for your application. The official application form requires your personal information, Social Security number, and answers to screening questions regarding any criminal convictions or past disciplinary actions.
A criminal history background check is mandatory and involves getting fingerprinted through the state-approved vendor, IdentoGO. Your school will provide instructions and a specific code needed to schedule this appointment. You should also prepare for the state exam, administered by PSI Services LLC, by reviewing the Candidate Information Bulletin. Be prepared for several fees, including:
- Course tuition
- The fingerprinting and criminal background check fee of approximately $66.05
- A state examination fee of $38
- The initial license fee of $160
The Application Submission and State Examination Process
Once the 75-hour course is passed, your pre-licensing school will submit the completed application package to the exam administrator, PSI. This submission confirms your eligibility to sit for the state licensing examination. You must apply for the exam within one year of completing your pre-licensing course.
After PSI confirms your eligibility, you can schedule your state exam on their website by selecting a testing center, date, and time. On the day of the exam, you must bring two forms of valid, government-issued identification. Immediately after completing the computerized exam, you will receive an unofficial score report.
Post-Examination Steps and License Activation
Upon passing the exam, the next step for a salesperson is to secure sponsorship from a licensed New Jersey real estate broker. Your license cannot be activated and you cannot legally practice real estate until you are affiliated with a brokerage.
Once you have found a sponsoring broker, they will complete their portion of the licensing paperwork with the NJREC to formally affiliate you with their firm. The final step involves submitting the completed application, your passing score slip, and the license issuance fee to the Commission. After the NJREC processes the documentation and fee, your license will be issued and sent to your broker’s office.
Maintaining Your New Jersey Real Estate License
Obtaining your license is the first milestone, but maintaining it requires ongoing diligence. New Jersey real estate licenses operate on a biennial renewal cycle, with all licenses expiring on June 30th of every odd-numbered year. To successfully renew, licensees must complete 12 hours of continuing education (CE) during each two-year period.
Per N.J.A.C. 11:5-12.4, of the 12 required hours, at least six must be in designated core topics from an NJREC-approved provider. These hours must include:
- A minimum of two hours in ethics
- One hour in fair housing and the New Jersey Law Against Discrimination
- One hour in agency law
In addition to completing the education requirement, you must pay a renewal fee to the state. Failing to complete these steps before the deadline will result in your license expiring, which would legally prohibit you from practicing real estate.2Justia. New Jersey Revised Statutes Section 45:15-1 (2024) – License Required