Licensing & state law

How to become a real estate agent in Alabama

To get an Alabama real estate salesperson license you complete 60 hours of state-approved pre-license education, pass the PSI-administered exam, clear a background check and affiliate with a sponsoring broker. The Alabama Real Estate Commission (AREC) sets the rules and issues the license.

What are the requirements for a Alabama real estate license?

Alabama requires 60 hours of approved pre-license education, a passing score on the PSI salesperson exam, a background check and sponsorship by a licensed broker. The table lists each requirement, the published fees WealthyBud could source and the regulator.

Alabama real estate license facts
RequirementAlabama
Pre-license education60 hours
Exam administratorPSI
License / application feen/a
Exam feen/a
RegulatorAlabama Real Estate Commission (AREC)
Payroll-employed agents (BLS)1,580
Agent median pay (BLS May 2025)$60,890

What are the steps to get licensed in Alabama?

Getting licensed in Alabama takes six steps: meet eligibility, finish 60 hours of pre-license education, pass the PSI exam, clear a background check, affiliate with a sponsoring broker, then apply and activate with the Alabama Real Estate Commission (AREC).

1/ 6

Meet the basic eligibility

Be at least 18 and hold a high-school diploma or equivalent; the Alabama Real Estate Commission (AREC) lists any residency or other conditions.

2/ 6

Complete 60 hours of pre-license education

Alabama requires 60 hours from a state-approved real estate school, in a classroom or online.

3/ 6

Pass the Alabama salesperson exam

The exam is administered by PSI and covers national real estate principles plus Alabama law.

4/ 6

Clear the background check

Submit fingerprints or a criminal-history check as required by the Alabama Real Estate Commission (AREC).

5/ 6

Affiliate with a sponsoring broker

A new Alabama salesperson must work under a licensed broker before practicing.

6/ 6

Apply and activate the license

File the application and pay the license fee to the Alabama Real Estate Commission (AREC), then activate under your broker.

How much does an Alabama real estate license cost?

Alabama's published costs in WealthyBud's sources are: license fee: n/a (not published in our sources); exam fee: n/a. Pre-license course tuition is set by each school and is not regulated, so it is not listed. Confirm every fee with the Alabama Real Estate Commission (AREC) before applying.

How much do licensed agents earn in Alabama?

Payroll-employed real estate sales agents in Alabama earned a median of $60,890 in May 2025 (BLS); the bottom 10% earned under $24,750. See the full Alabama agent salary breakdown.

What are Alabama’s housing markets like for new agents?

WealthyBud tracks 24 Alabama housing markets. Their median listing prices have a midpoint of $294,325 as of September 2026, from $103,425 in Selma to $526,000 in Alexander City; 13 of 24 are below last year's asking price.

Largest tracked Alabama housing markets by active listings — September 2026
MarketMedian list priceYoYDays on marketActive listings
Birmingham, AL$289,950-3.3%614,779
Huntsville, AL$364,900-3.0%793,178
Daphne, AL$499,000-0.2%872,838
Montgomery, AL$275,575-4.0%671,388
Mobile, AL$259,950-1.9%661,353

All tracked markets: Alabama housing market hub.

Alabama real estate license FAQ

How many hours of education do you need for a real estate license in Alabama?
Alabama requires 60 hours of state-approved pre-license education before the salesperson exam, according to WealthyBud's compilation of Alabama Real Estate Commission (AREC) requirements.
How much does an Alabama real estate license cost?
Published fees in WealthyBud's sources: license fee: n/a (not published in our sources); exam fee: n/a. Course tuition varies by school. The Alabama Real Estate Commission (AREC) publishes the current fee schedule.
Who administers the Alabama real estate exam?
PSI administers the Alabama salesperson exam.
Do you need a college degree to get a real estate license in Alabama?
No. Alabama requires pre-license education and a passing exam score, not a college degree. You must generally be 18 with a high-school diploma or equivalent.
Who regulates real estate agents in Alabama?
The Alabama Real Estate Commission (AREC) licenses and regulates Alabama real estate salespersons and brokers and is the authoritative source for current rules.
Licensing rules and fees change. Always confirm current requirements with the Alabama Real Estate Commission (AREC) before enrolling.

Lena Voss Housing Market Editor

Lena Voss is a housing market editor who fact-checks WealthyBud's market and housing-policy coverage against primary government sources before publication. She focuses on keeping metro-level statistics current as new data releases land.

Editorial persona: WealthyBud bylines are editorial personas, not real individuals. Pages are produced by the WealthyBud research team from the public data cited on each page.