Are you ready to get into real estate in Tennessee? Whether you want to help people find their dream homes or build a successful career in property sales, becoming a licensed real estate agent in Tennessee is a goal you can reach.
This guide will show you the steps to start your new career with confidence.
Step 1: Meet the Eligibility Requirements
Before you get started, let’s ensure you meet the basic qualifications to become a real estate agent in Tennessee. First, you must be at least 18 years old and hold a high school diploma or an equivalent.
In addition to these basic criteria, you’ll need to have legal status as a U.S. citizen or a qualified resident alien. This is important because real estate transactions involve significant legal and financial responsibilities.
Lastly, you must have a clean record when it comes to real estate or timeshare licenses. No refusals, revocations, or suspensions on your record.
Take a moment to ensure your documents are up-to-date. Double-check your high school diploma, identification, and any legal status documents. It’s always better to handle potential issues upfront rather than face delays later.
Step 2: Complete Pre-Licensing Education
The next step on your journey is education. Tennessee requires aspiring real estate agents to complete 90 hours of pre-licensing education. These hours are divided into two courses: a 60-hour basic principles of real estate course and a 30-hour course for new affiliates.
The 60-hour course lays the groundwork, covering essential topics like property ownership, real estate law, appraisals, and contracts. This is where you’ll build a solid foundation of knowledge. The 30-hour course focuses on practical skills like marketing and managing clients. This will help you get started quickly once you start your job.
When choosing a school, make sure the Tennessee Real Estate Commission approves it. Many institutions offer both in-person and online options to fit your schedule.
Save 30% on your real estate courses today! Take advantage of this limited-time offer for discounted pre-licensing education and kickstart your career.
Step 3: Schedule and Pass the Licensing Exam
Once you’ve completed your pre-licensing education, it’s time to put your knowledge to the test. The licensing exam is managed by the PSI Testing Center, so you’ll need to schedule your exam through their platform. Make sure your education completion is verified before registering.
The exam consists of two sections: a National section with 80 questions and a State section with 40 questions. To pass, you need to score at least 70% on both sections. This means you need to answer 56 correct answers for the National section and 28 correct answers for the State section.
Take advantage of practice exams to familiarize yourself with the question format. On the day of your exam, bring proper identification, stay calm, and trust your preparation.
Step 4: Complete a Background Check
Before you can officially apply for your license, you’ll need to complete a background check. This involves fingerprinting at an IdentoGO location, which costs approximately $35. The state of Tennessee takes this step to ensure all real estate professionals maintain the highest level of integrity.
Scheduling your fingerprinting appointment early can save you time and prevent unnecessary delays. Once your background check is complete, keep a copy of your receipt for your records—it’s always a good idea to have proof of completion.
If you’ve ever had any legal issues, consult with a professional to ensure they won’t affect your eligibility.
Step 5: Obtain Errors and Omissions (E&O) Insurance
Real estate transactions can be complex, and sometimes legal claims arise. That’s where Errors and Omissions (E&O) Insurance comes in. It’s required in Tennessee to protect you against potential legal claims resulting from errors, omissions, or negligence in your work.
You’ll need to secure an E&O policy before applying for your license. Many providers offer plans tailored for real estate professionals, so compare coverage options and prices.
Step 6: Find a Sponsoring Broker
To activate your real estate license in Tennessee, you’ll need to be sponsored by a licensed broker. Think of this step as finding a mentor who will guide you as you start your career. Choosing the right broker is crucial, as they can influence your success through training, support, and opportunities.
When evaluating brokers, consider their reputation, commission structure, and the type of training they offer. Some brokers provide excellent resources for new agents, while others may focus more on experienced professionals.
Schedule interviews with multiple brokers to find the best fit. Don’t be afraid to ask about mentorship programs and opportunities for growth.
Step 7: Submit Your License Application
With your E&O insurance secured and a sponsoring broker lined up, it’s time to submit your application. Applications are submitted online through the Tennessee Department of Commerce & Insurance platform. The application fee is approximately $91, and you’ll need to provide proof of completing all the prior steps.
Double-check your application to ensure everything is accurate and complete. Missing information or errors can delay the process, so it’s worth the extra time to review.
Keep digital and physical copies of all your documents, including your application and payment receipt, for future reference.
Step 8: Application Review and Final Steps
After submitting your application, the Tennessee Real Estate Commission will review it within ten business days. Once approved, your license will be issued, and you’ll officially be a licensed real estate agent in Tennessee!
While waiting for your license, use this time productively. Network with other real estate professionals, prepare your marketing materials and familiarize yourself with Tennessee’s real estate regulations. Starting strong in your new career sets the stage for long-term success.
Join local real estate associations and attend industry events to build your professional network from day one.
Ready For Your New Career?
Becoming a licensed real estate agent in Tennessee is a rewarding journey that can open doors to a fulfilling career. By following these steps—meeting eligibility requirements, completing your education, passing the licensing exam, and securing your sponsoring broker—you’re setting yourself up for success in the dynamic world of real estate.
Now that you know what it takes, it’s time to take action. Start with the first step and keep moving forward. Soon enough, you’ll be helping clients find their dream homes and achieving your professional goals.
FAQ
What are the basic requirements to become a real estate agent in Tennessee?
To become a real estate agent in Tennessee, you need to meet a few essential requirements. You must be at least 18 years old and have a high school diploma or an equivalent qualification. Additionally, you must be a U.S. citizen or a qualified resident alien. Your record should also be free of any refusals, suspensions, or revocations of real estate or timeshare licenses.
How long does it take to complete the pre-licensing education?
The pre-licensing education in Tennessee requires a total of 90 hours, which are divided into two courses. The 60-hour basic principles of real estate course provides a strong foundation in topics like property ownership, appraisals, and contracts. The 30-hour course for new affiliates focuses on practical skills like client management and marketing.
What should I know about the Tennessee real estate licensing exam?
The Tennessee licensing exam is divided into two sections: the National section with 80 questions and the State section with 40 questions. To pass, you need a minimum score of 70% in each section, which means correctly answering 56 questions in the National section and 28 in the State section.
Why is a background check necessary, and how much does it cost?
A background check is required in Tennessee to ensure that all real estate professionals maintain high ethical and legal standards. This involves fingerprinting, which can be done at an IdentoGO location for approximately $35.
What is Errors and Omissions (E&O) Insurance, and why do I need it?
Errors and Omissions Insurance is a mandatory requirement for real estate agents in Tennessee. It provides protection against legal claims arising from errors, omissions, or negligence in your work. Securing an E&O policy before submitting your license application ensures you comply with state regulations and have coverage in case of potential issues.
How do I choose the right sponsoring broker?
Finding a sponsoring broker is a critical step because it’s required to activate your real estate license. A sponsoring broker acts as a mentor and provides support, training, and guidance as you begin your career.