How to Become a Real Estate Agent in Los Angeles, California

As the national real estate frenzy continues, many individuals are re-evaluating their career paths and considering real estate for their next job. 

Los Angeles is constantly ranked among one of the hottest housing markets and continues to be a top city for real estate agents. 

If you’re considering becoming a real estate agent in Los Angeles, read on to learn how to start the process.

5 Steps to Becoming a Real Estate Agent in Los Angeles

Becoming a real estate agent in Los Angeles is a fairly straightforward process that involves five key steps.

Enroll in a Real Estate School

California requires all real estate applicants to attend an accredited real estate school and complete 135 hours of pre-licensing coursework. 

These educational institutions have been accredited by the state of California and are approved to teach the coursework required for your licensure. 

You can review all accredited schools on the California Department of Real Estate website.

Pass the 3 Required Courses

This features three fundamental classes:

• Real Estate Principles (45 hours) - In this course, you’ll have a comprehensive introduction to the real estate business and what is involved with being an agent. You’ll also learn about how to interact with escrow and title companies. 
• Real Estate Practice (45 hours) - This course is a high-level overview that covers how to build and grow a successful real estate business. From taxation to the appropriate property disclosures, you’ll learn about the key aspects involved in the day-to-day real estate industry.
• One elective class (45 hours) -  There are a variety of course options that a student could pick as their elective, but it’s encouraged that students take the Real Estate Finance class, as it’s often heavily featured on the final exam. If you opt to take a different course, classes are offered in property management, appraisal, real estate economics, office administration, and real estate law. 

Apply for the Real Estate Exam

Once you’ve completed your coursework, you’ll be able to apply for the California real estate exam. To do that, you’ll have to send in an application with:

• A valid photo ID
• Completed live scan form
• Payment for the state exam fees
• Certificate of course completion
• Completed DRE forms
  

You can submit your application online, in the mail, or by faxing it to the DRE. Once submitted, it can take up to 6 weeks for your application to be approved. 

You can view their current processing times on their website here. Once approved, you’ll receive a notification that you’re eligible to schedule your exam. 

Pass the Exam

Once you’ve gotten approval on your application from the Department of Real Estate, you’ll be able to schedule your exam. 

There is a designated testing facility in the Los Angeles area that you’ll have to schedule your exam with, as walk-in testing is not allowed. 

You’ll have 3 hours to complete your salesperson exam and can opt to take it on paper or on a computer. 

The exam is broken down into the following categories:

• Practice of Real Estate and Disclosures
• Laws of Agency and Fiduciary Duty
• Property Ownership and Land Use Controls and Regulation
• Contracts
• Financing
• Transfer of Property

In order to pass the exam, you must get 70% of the questions right. That means out of 150 questions, 105 must be correct to get a passing score. 

With a 50% passing rate, the California real estate exam is considered difficult and rigorous. If you don’t pass your exam on the first try, you’ll be able to retake the test another time.

Sign with a Brokerage

If you pass, the DRE will mail and email you a copy of your official real estate license. From there, you’ll have to find a brokerage that wants to sponsor you. 

It’s important to find a brokerage that fits your needs and supports your business goals as you start your real estate career in Los Angeles. 

This can involve reaching out to various brokerages, interviewing with brokers, and connecting with other agents who are looking to grow their team. 

Sometimes your real estate school can also help connect you with brokerages who are looking to add new agents.

Once a brokerage sponsors you, you can start selling and working with clients!

How Competitive is the Los Angeles Real Estate Market?

As with many major metro areas right now, the Los Angeles real estate market is incredibly competitive. Los Angeles is home to thousands of agents and is one of the most populated cities in the country. 

In 2024, home sales increased 19.4% in Los Angeles county. This is great news for people entering the industry, but it could incentive more people to get their license.

Real Estate Agent Salaries in Los Angeles

Real estate agents in Los Angeles typically work on commission, so incomes vary widely. According to the U.S. Bureau of Labor Statistics, the median annual salary (income) for real estate sales agents in the Los Angeles-Long Beach-Anaheim metro area is about $57,180​.

This means half of agents earn less than that, and half earn more. Key salary data for LA agents (2023 BLS estimates):

• Median annual wage: ~$57,000 (approximately $27–28 per hour.)​
• Average (mean) wage: ~$62,760 per year, slightly higher than the median, indicating a few high-earners raise the average.
• Top 10% of agents: earn around $114,000+ per year (90th percentile). These are likely highly experienced agents with high sales volumes.
• Bottom 10%: earn about $37,000 or less annually (often new or part-time agents)

For context, California’s statewide average for real estate agents is similar (~$62k.)The National Association of Realtors (NAR) member surveys also show that newer agents often earn under $40k in gross income, while established top producers in luxury markets (like high-end areas of LA) can earn six or even seven figures.

Overall, Los Angeles agents benefit from high home prices (and thus higher commissions per sale), but competition is intense. Many agents supplement income with related work during slow periods. In summary, the typical Los Angeles agent earns in the mid five-figures annually, with significant potential upside for the most successful.

Median Home Prices in Los Angeles (2014–2024)

Los Angeles’s housing prices rose dramatically from 2014 to 2024. The median home price (the price at which half the homes sold for more, half for less) in the Los Angeles area nearly doubled over the decade.

According to the California Association of Realtors (C.A.R.) data, the median price for an existing single-family home in Los Angeles County was about $464,650 in 2014, and by 2024 it reached roughly $912,000. Below is a year-by-year breakdown of December median sale prices in Los Angeles:

Sources: California Assoc. of Realtors, Los Angeles Almanac.​ (Data represents the median price of single-family homes in Los Angeles County at year’s end.)

Home prices in Los Angeles saw steady growth from 2014–2019, surged in 2020–2021 (fueled by low interest rates and pandemic buying), and leveled off around 2022. By 2023–2024, the median price hovered near all-time highs (around $850k–$900k+).

Such high prices, coupled with rising interest rates in 2022–2023, contributed to a slower sales market – which in turn impacted real estate agent activity (fewer transactions meant tougher competition for agents).

Despite a slight dip in 2022, Los Angeles home values in 2024 are roughly 95% higher than in 2014, highlighting the strong long-term growth of the LA real estate market.

How Fast Can You Become a Real Estate Agent in Los Angeles?

Between the coursework, application, and exam, there are several time-consuming aspects to becoming a real estate agent. You should plan to spend 3-5 months from start to finish to get your real estate license. 

With 135 hours of classes and a processing time of around 6 weeks for the application, the time it takes can vary greatly based on your own schedule availability and the DRE’s times. 

Should You Become a Real Estate Agent in Los Angeles?

Becoming a real estate agent can be an incredibly rewarding and lucrative career for many. You’re helping guide clients through one of the biggest purchases in their life while working as your own boss. 

In real estate, every day is different than the last. If you enjoy working with people, like a flexible working environment and want to be in control of your own business, real estate could be a great career for you to consider.