Iowa Real Estate Exam: Everything You Need to Know

To become a licensed real estate salesperson in Iowa, the first step you need to take is to pass the state licensing exam. As you can imagine, this exam requires a great deal of preparation, especially if you’re looking to pass it on your first try. 

In this article, we’ll cover everything you need to know about the Iowa real estate exam. Here’s a list of what you can expect to gain as you read on:  

• How to schedule the Iowa Real Estate Licensing exam 
• The requirements to register for the exam
• The cost of the exam
• Where you can take the exam 
• What is covered on the exam 
• The difficulty level of the exam 
• Best tips to pass the exam 

How to Schedule the Iowa Real Estate Licensing Exam

To schedule the Iowa real estate exam, all aspiring candidates must meet the following requirements: 

• You be at least 18 years old
• You must successfully complete the Commission-approved 60-hour pre-license course within 12 months of taking the salesperson examination.

If you meet the requirements above, you can go ahead to register for your exam. The fastest way to do this is by visiting the PSI website. If you’re a new user, after logging in, you’ll have to create an account. You’ll be asked to input your email address and your full name as it is written on your identification. You can also register through:

• Mail
• Telephone at (800) 733-9267
• Fax at (702) 932-2666

After registration, you can choose your desired date and test location to schedule your exam. 

Note that each exam registration expires after 90 days. Therefore, you must schedule and take the exam within 90 days from registration or you forfeit your registration fee. This fee is $95, which can be paid through credit card, money order, company check, or cashier’s check.

Where Do You Take the Iowa Real Estate License Exam?

Candidates for the Iowa real estate licensing exam are to take their exams at any of the designated PSI test centers located around the state. These locations include: 

• Council Bluffs
• West Des Moines
• Cedar Rapids/Iowa City Area

PSI also has examination centers in other states across the U.S. If you’d like to take your examination at any of these locations, fill out, and fax the Exam Accommodations Request Form found at the end of the Candidate Information Bulletin.

Can You Take the Exam Online?

No, you cannot take the Iowa real estate licensing exam online. Candidates for this exam will be required to go to PSI testing centers located in Iowa or other states around the U.S. to take the exam. 

What to Bring on the Day of Your Exam

On the day of your Iowa real estate exam, you are expected to bring the following.

Two forms of identification which bear your signature. One must be a VALID form of government-issued identification with your photograph, such as:

• Driver’s license
• State ID
• Passport
• Military ID which bears your

The second ID must have your signature and preprinted legal name. You must also present one of the following: 

• Your Pre License Education Completion Certificate (must be a paper copy)
• A letter of authorization from the Commission if you have been granted a waiver of the pre-license education 
• A letter of authorization from the Commission if you plan to apply under 193E—5.3(543B) or on the basis of previous experience
• A silent, battery-operated, non-programmable calculator that does not have a keyboard containing the alphabet

What is on the Iowa Real Estate Exam?

The Iowa real estate salesperson licensing exam is made up of two sections, namely: 

• The general portion, comprising questions based on national real estate principles and practice
• The Iowa state-specific portion, comprising questions based on Iowa real estate laws, rules and regulations 

National Portion 

Here are the topics you will come across in the national portion of the salesperson exam, with the percentage of questions you can expect per topic: 

• Property ownership: 8%
• Land use controls and regulations: 5%
• Valuation and market analysis: 7%
• Financing: 10%
• General principles of agency: 13%
• Property disclosure: 6%
• Contracts: 17%
• Leasing and property management: 3%
• Transfer of title: 8%
• Practice of real estate: 13%
• Real estate calculations: 10%

State Portion 

Here are the topics you will come across in the state portion, with the number of questions you can expect per topic:

• Licensing Requirements: 2 
• License Maintenance: 3 
• Disciplinary Actions – Suspension, Revocation and Voluntary Compliance: 4 
• Real Estate Education: 3 
• Trust Accounts: 3 
• Contracts: 7 
• Agency: 6
• Prop Disclosure Requirements: 5
• Iowa Civil Rights Act of 1965: 1
• Unlicensed Assistants: 2 
• Broker Responsibilities: 2 
• Property Management: 2

Will There Be Math on the Exam?

Yes, there will be math on the Iowa real estate licensing exam. These math questions will be found in the national portion and will be related to:

Basic math concepts, such as:

• Loan-to-value ratios
• Discount points
• Equity
• Down payment/amount to be financed
• Calculations for transactions, including: 
• Property tax calculations
• Prorations
• Commission and commission splits
• Seller’s proceeds of sale
• Buyer funds needed at closing
• Transfer fee/conveyance tax/revenue stamps
• PITI payments

Keep in mind that solving these math problems could be difficult and time-consuming. It is, therefore, best to save these questions for later while you continue to answer the other questions unless the answers are easy. This allows you to answer more questions and make the most of your allocated time. 

Is the Iowa Real Estate Exam Hard?

As can be expected of any professional certification exam, the Iowa real estate exam is hard and will only get harder for candidates who are not well prepared. This is why it is important to study hard and get all the help that you can before taking the exam. 

How Many Questions Are on the Iowa Real Estate Exam?

The Iowa real estate salesperson exam has a total of 120 multiple-choice questions. 80 of these questions fall under the national portion, while the remaining 40 fall under the state-specific portion. Candidates are given a total of 3 hours to complete the exam: 2 hours for the national section and 1 hour for the state section.  

Note that about 5-10 experimental questions may be added to a candidate's test. These questions are used to evaluate the quality of the exam and develop future licensing examinations. These questions will not be scored; neither will the time used to answer them count against the testing time.  

To pass this exam, you need to have gotten a minimum of 56 questions correct in the national section and 28 in the state section. Once you submit the exam, your score will be displayed on the screen alongside a pass or fail indication. 

If you pass, you’ll receive a license application form with your score report. If you fail, you’ll be required to retake the exam. 

What is the Passing Rate for the Real Estate Exam in Iowa?

The passing rate for the Iowa real estate exam ranges from 64% to 70%. Note that this passing rate may be affected over time due to changes in the content of the exam and its difficulty level. 

How Many Times Can You Take the Real Estate Exam?

You can take the Iowa real estate exam as many times as you need to pass it. If you fail only one section, you’ll be required to retake the entire examination, that is, both sections. 

You cannot schedule a re-examination on the same day after a failed exam. A candidate who tests unsuccessfully on a Monday can call the next day, Tuesday, and retest as soon as Wednesday, depending on space availability.

Note that every attempt to take this exam will cost you an exam fee of $95.

How to Pass the Iowa Real Estate Exam

Now, the real question you’re asking is “how do I pass the real estate exam?” The answer: proper studying and preparation. Here is what we recommend you do to make the most of studying: 

Create a Study Schedule 

Creating a study schedule will help you choose what you will study and when you will study it. The exam will cover everything you learned in your pre-licensing education, which is an overwhelming amount of information. By breaking this material down into daily, weekly, and monthly goals, you’ll quickly and easily create a schedule to abide by and follow while studying.

We recommend studying at least an hour or two nightly or every other night. The best study schedules have a high frequency of study sessions covering a little bit of material. This prevents burnout while keeping you motivated to study the next day.

Use Acronyms and Mnemonic Devices

Acronyms and mnemonic devices are memory aids that break down complex information into smaller and simpler chunks that are easier for the brain to process and remember. Acronyms are formed by taking the first letters of each word in a phrase and forming a word with it. A good example of a real estate acronym is CCIM, which stands for Certified Commercial Investment Member. 

Join a Study Group 

Joining a study group can significantly increase your chances of success in the exam by improving your learning process. It provides like-minded people to be accountable to, helping you be more intentional. Studying in a group can also boost your motivation to study and pass, born out of healthy competition.

Get Guided Help

One of the quickest and easiest ways to study for the exam is with our online exam prep package. There are simply no good study resources for the Iowa real estate exam. That’s why we created a prep package that meets the needs of students who need exam help.

This package is made to give you a plan, resources, and the motivation to study for and pass the Iowa real estate exam. The biggest problem students have while studying for the exam is that they don’t know what to study and they lack the tools (like exam questions or flashcards) to study for it.

This prep package is the solution. It comes with:

• 1,500 Iowa real estate exam practice questions
• Customizable practice state exams
• Vocabulary flashcards
• Video explanations
• E-book study guide

You can add real estate crash course videos. It's 8+ hours of video content that teaches you the concepts, vocabulary, historical events, and more. Led by our head instructor, Robert Rico, our crash course videos teaches you everything you need to know to pass on your first try.

Final Thoughts on the Real Estate Exam in Iowa 

The Iowa real estate exam is compulsory for all individuals who want to be licensed real estate salespersons in the state. Passing this exam requires careful preparation and a solid understanding of real estate concepts and practices. To increase your chances of succeeding on this exam, follow the tips provided above, as well as enroll in a reputable real estate school.