How To Become a Real Estate Agent in Alabama

Graphic of Alabama Real Estate Employment, showing statistics on employment rate, agents employed, and wages in a city buildings background.

Obtaining an Alabama real estate license requires meeting educational, examination, and application requirements enforced by the Alabama Real Estate Commission (AREC).1

This comprehensive guide will walk through the essential steps and conditions for becoming a licensed real estate salesperson in Alabama.

Getting a Real Estate License in Alabama

Here is a quick rundown of the key steps to earn an Alabama real estate license:

  1. Meet legal requirements like being at least 19 years old and having a high school diploma or GED
  2. Complete 60 hours of AREC-approved pre-licensing real estate courses
  3. Pass the Alabama real estate license exam with a minimum score of 70%
  4. Pass the required criminal history background check
  5. Submit a completed license application, fees, and documentation to AREC within 90 days of passing the exam
  6. Agree to sponsorship by an active Alabama real estate broker (for salesperson license)
  7. Complete 30 hours of post-licensing education (for salesperson license)
  8. Renew license biennially and fulfill continuing education requirements

Meeting all legal, educational, and examination requirements demonstrates to Alabama Realty Commission your competence to transact real estate ethically and legally. Below are the specifics on fulfilling each of these steps to become an authorized real estate professional in Alabama:

Basic Criteria To Qualify for Real Estate Professional License

To qualify for an Alabama real estate license, certain prerequisites must be met in order to demonstrate that applicants are qualified to conduct real estate transactions ethically and legally. The Alabama Real Estate Commission sets minimum standards for new licensees in the state.2

Here are the essential conditions needed to begin pursuing licensure as a salesperson or broker:

  • Be at least 19 years old
  • Be a legal resident of the United States
  • Hold a high school diploma or GED equivalent
  • Show proof of bona fide residency in any U.S. state
  • Maintain residency in Alabama and submit consent forms if out-of-state
  • Not had a real estate license denied/revoked within the past two years
  • Not have any recent felony convictions or crimes involving moral turpitude

Applicants must provide documentation confirming they meet the baseline qualifications. AREC requires valid IDs as proof of age/residency.

You also need to submit education documentation and criminal/license background reports. Those with potentially disqualifying records may request an Advisory Opinion on the probability of approval before pursuing licensing.

Age and Basic Education Requirements

An applicant for an Alabama real estate license must be at least 19 years old and must document this with a legible copy of both sides of one of the following:2

  • A valid driver’s license
  • A U.S. passport
  • A birth certificate
  • Any other documentation acceptable to AREC

This age minimum helps ensure that incoming agents have reached a level of maturity and life experience needed to effectively advise clients.

Applicants must also provide proof of bona fide U.S. citizenship,2 permanent resident alien, or legal presence in the United States by providing a legible copy of both sides of one of the following:

  • A valid driver’s license
  • Any visa issued by the United States
  • Birth certificate issued by any state
  • Permanent Resident Card (green card)
  • Any other documentation acceptable to AREC

Applicants must also provide an Alabama driver’s license, recent utility bill, or other paperwork verifying that they have established residency within the state of Alabama.

Applicants residing outside Alabama must provide proof of residency in their state of domicile using a legible copy of both sides of one of the following:

  • A valid driver’s license
  • Car tag receipt
  • Deed to home
  • Voter’s registration card
  • Lease agreement
  • Property tax bill

If you are NOT a resident of Alabama, you must also complete the Consent to Jurisdiction Form.3

A screenshot of a document titled Consent to Jurisdiction for Non Residents from the Alabama Real Estate Commission, outlining the consent form and agreement that must be signed by nonresident applicants for real estate licensure in Alabama.
(Image: Alabama Real Estate Commission3)

The Alabama Real Estate Commission (AREC) also requires proof you have completed high school, earned a GED, or an equivalent level of education.2 that are essential for completing the real estate curriculum.

To document proof of high school graduation, applicants must attach a copy of one of the following:

  • High school diploma
  • College transcript or diploma
  • GED certificate
  • Teaching certificate
  • DD-214 indicating verification of high school completion
  • HiSet or a TASC certificate

Holding a diploma or its equivalency provides evidence of fundamental skills like reading comprehension.

Pre-Licensing Course Hours Required (Can I Take Free Real Estate Classes Online?)

Once the Alabama Real Estate Commission verifies you meet baseline requirements, completing pre-licensing education is the next key step. AREC mandates 60 hours of approved real estate courses to qualify for the salesperson licensing exam.4

Courses are offered through AREC-approved providers, which include community colleges, vocational schools, and private real estate education companies in classroom or online formats. While online courses allow for more flexibility, some prefer an in-person classroom environment.

Review costs, formats, pass rates, and other factors when selecting your pre-licensing program. Just ensure the provider and specific courses are approved by the AREC.

Whichever pre-licensing program you select must cover topics defined by AREC, including:

  • Alabama real estate license law and practices
  • Ethics and professional conduct
  • Real estate contracts and transactions
  • Various ownership structures and title transfer
  • Land usage regulations in the state
  • Property valuation and appraisals
  • Real estate financing options
  • Federal laws governing housing and transactions
  • Agency relationships and duties
  • Risk management
  • Trust/escrow accounts
  • Fair housing

These topics provide the foundational knowledge of real estate principles and state-specific laws needed to pass the licensing exam.

Reciprocal Salesperson Requirements

Applicants seeking a reciprocal salesperson license in Alabama must complete 6 hours of Commission-approved Reciprocal Salesperson Prelicense course covering Alabama License Law.4

Applicants are required to take the Reciprocal Salesperson’s examination on Alabama License Law within 6 months of completing the course and pass with a minimum score of 70%.

Can I Take Free Real Estate Classes Online?

While you can find a huge selection of free real estate content online, free courses do NOT count towards Alabama’s pre-licensing education requirements. Only approved courses completed through AREC-authorized schools meet the mandatory criteria.

AREC does not support or endorse specific real estate pre-licensing providers. However, looking for accredited institutions or programs licensed by the Alabama Community College System can help ensure quality education.

Reviews from past students also give insight into instructors, materials, and exam preparation.

Finishing the 60-hour pre-licensing curriculum verifies that applicants have developed a solid foundation to apply real estate concepts and facilitate transactions on a client’s behalf.

Students must pass their pre-licensing provider’s final exam with a minimum 70% score to get approval to take the state exam. This coursework and exam must be completed within 1 year.

Pre-Licensing Cost for Real Estate School

Pre-licensing costs vary depending on the provider, delivery format, and extras like exam prep materials. In general, expect to invest $200 to $500+ on your required education.

Here is an overview of pricing ranges for different program options in Alabama:

  • Online courses: $200 – $350
  • In-classroom courses: $250 – $500+
  • Exam prep add-ons: $50 – $200

Factors that influence pre-licensing costs include:

  • Delivery format: Online vs. in-classroom
  • Provider chosen: Pricing varies
  • Extras like exam prep, retakes, etc.

Online courses allow more budget-friendly options with fewer overhead expenses while premier schools with extensive instructor support charge higher rates. Be sure to balance your budget with factors like format, curriculum, and pass rates when selecting your pre-licensing program.

It is also important to note that scholarships and financial aid may be available through certain accredited real estate programs to help offset the tuition costs.

Evaluate several AREC-approved providers to balance costs with convenience, quality instruction, pass rates, and other preferences. Focus on selecting an education that fully prepares you for the licensing exam.

Real Estate Background Check Requirements (Fingerprint Locations)

All applicants must complete a fingerprint-based federal and state criminal background check through Fieldprint,2,5 the Commission’s authorized processing contractor. This is mandated by Alabama Code 34-27-32.

License issuance will not proceed until the Commission has received and reviewed the criminal history record information from Fieldprint along with the license application. The results are only available to the Commission for 30 days, so applicants should submit fingerprints the same day they submit their license application.

Fingerprint Scanning and Processing Procedures

Applicants must follow Fieldprint’s instructions for fingerprint scanning and processing.2 The Commission only accepts fingerprints processed through Fieldprint specifically for pursuing an Alabama real estate license.

Non-resident applicants unable to find a local fingerprint site should contact the Commission’s Licensing Division for more information.

Applicants can challenge any portion of their Criminal History Record Information (CHRI) they believe is inaccurate by contacting the ALEA Records & Identification Division. Specific documentation must be provided to support the request.2

Applicants must register at Fieldprint’s website and submit their REG ID at the fingerprint site. A list of sites and hours is on Fieldprint’s website.2

The fingerprinting fee is $48.25, payable online or on-site. Proper ID is also required at the scanning site.

Once submitted, it takes 2 to 6 weeks to process the background check.

If there are issues with the fingerprint image quality, Fieldprint will contact the applicant to rescan prints once for free.

Once submitted, the collected fingerprints will be transmitted to the Alabama Law Enforcement Agency (ALEA) and FBI to search for any disqualifying criminal offenses. This information then gets forwarded to the AREC.

If anything of concern appears, applicants will be notified to provide clarification and any needed court documentation. Having a criminal history does not automatically disqualify a candidate, but it will require further review.

What if You Have a Criminal or License Discipline Record?

Those convicted of a felony must submit additional court documents concerning the conviction to expedite their application.

The Commission reviews an applicant’s background to ensure they are trustworthy, honest, and have no disqualifying felony or moral turpitude convictions. Those concerned about eligibility given their record can apply for a Determination of License Eligibility first.6

This involves submitting the Commission Pre-Registration form,7 the Application for Determination of Licensing Eligibility as well as fingerprints through Fieldprint’s website so that the Commission can review and provide a decision before the applicant proceeds to licensing education and exams.8

A screenshot of the Application for Determination of Licensing Eligibility form from the Alabama Real Estate Commission with instructions and fields for personal details.
(Image: Alabama Real Estate Commission8)

After reviewing the background check results and eligibility application, the Commission will contact the applicant regarding any necessary next steps like providing court documents or appearing before the Commission. The staff will assist applicants through this process.

Passing this background screening ensures incoming real estate agents meet the ethical standards to handle clients’ sensitive financial matters. It provides another layer of consumer protection.


References

1Alabama Real Estate Commission. (2023). The Commission. Alabama Real Estate Commission. Retrieved October 31, 2023, from <https://arec.alabama.gov/default.aspx?AspxAutoDetectCookieSupport=1>

2Alabama Real Estate Commission. (2023). License Application Instructions. Alabama Real Estate Commission. Retrieved October 31, 2023, from <https://arec.alabama.gov/pages/professionals/licensing/app_instructions.aspx>

3Alabama Real Estate Commission. (2013, February 1). CONSENT TO JURISDICTION FOR NONRESIDENTS. Alabama Real Estate Commission. Retrieved October 31, 2023, from <https://arec.alabama.gov/docs/forms/general/consent-to-jurisdiction-nonresident.pdf>

4Alabama Real Estate Commission. (2023). Course Requirements. Alabama Real Estate Commission. Retrieved October 31, 2023, from <https://arec.alabama.gov/pages/professionals/edu/course_requirements.aspx>

5Fieldprint, Inc. (2023). Alabama’s Largest Livescan Network. Fieldprint Homepage. Retrieved October 31, 2023, from <https://fieldprintalabama.com/individuals>

6Alabama Real Estate Commission. (2023). Are You Eligible for a Real Estate License-If You Have a Criminal or License Discipline Record? Alabama Real Estate Commission. Retrieved October 31, 2023, from <https://arec.alabama.gov/pages/professionals/licensing/eligibility_license.aspx>

7Alabama Real Estate Commission. (2023). Commission Pre-Registration. Alabama Real Estate Commission. Retrieved October 31, 2023, from <https://arec.alabama.gov/apps/preregistration>

8Alabama Real Estate Commission. (2023, March 8). Application For Determination Of Licensing Eligibility. Alabama Real Estate Commission. Retrieved October 31, 2023, from <https://arec.alabama.gov/docs/forms/general/determination_licensing_aug2015.pdf>