How to Become a Real Estate Agent in Minnesota

Planning to start a career as a real estate agent? To get your real estate license, you will need to take classes at a real estate school, and satisfy all the requirements set forth by the Minnesota Department of Commerce.

Here's what you need to know to become a real estate agent in Minnesota:

1) Licensing Requirements

2) Duties of a Real Estate Agent

3) What is a REALTOR®?

4) Income Potential

5) Real Estate Schools

 

How to Become a Real Estate Agent in Minnesota

1) Real Estate Agent Licensing Requirements

In Minnesota,  real estate agents MUST be licensed by the Minnesota Department of Commerce.  To obtain your real estate license, you must:

  1. Satisfy the minimum requirements to apply for the real estate exam:
  1. Apply to take the State exam. 
  2. Pass the exam. 
  3. Pay the appropriate fees.
  4. Apply for Real Estate License.  Within 1 yr of taking the exam.  License is good for two years, expires Jun 30.

Newly licensed agents must work under the supervision of an employing (sponsoring) real estate broker. 

Most new agents start out by working for one of the large brokerages like Coldwell-Banker, Century-21, Remax, etc.

If you would like to have your own business and work for yourself, you must upgrade to a broker's license.

 

2) Duties of Real Estate Agents

A real estate agent's main job is to assist their clients in the process of buying and selling real estate.

Their list of duties include:

 

3) What is a REALTOR®?

A real estate agent becomes a REALTOR® when he or she pays an annual fee to be a member of the National Association of REALTORS® and subscribes to its Code of Ethics.

The agent generally joins through the local board or association.

For example, in Minneapolis, once you have obtained your real estate license, you may pay a fee to join the Minneapolis Area Association of REALTORS®.  This also makes you a member of the Minnesota Association of REALTORS®  and the National Association of REALTORS®.

All REALTORS® are real estate agents but not all real estate agents are REALTORS®.

 

4) Income Potential

Real estate agents are generally paid based on a percentage of the sales price. The seller will generally pay 4-6% of the sales price as the fee and that will be split 50/50 between the seller and buyer's broker.

For example, if the fee for a $100,000 house is 6%, the buyer's broker will be paid 3% or $3000 and the seller's broker will be paid 3% or $3000 as well.  

The agent is paid by his or her broker, according to their previously agreed-upon commission split

This is often 50/50 for beginning agents, so in that case the agent in our example would receive $1500. 

According to the National Association of REALTORS®, the Median Sales price for an existing single-family home in the Minneapolis - St. Paul area was $217,400 for the fourth quarter of 2004.

 

5) Real Estate Schools

Here are some real estate schools offering the pre-licensing courses for the state of Minnesota:

 

School Location Phone
ALEXANDRIA TECHNICAL COLLEGE 1601 JEFFERSON ST
ALEXANDRIA, MN 56308-0000
(320) 762-4404
CENTRAL LAKES COLLEGE 501 WEST COLLEGE DR
BRAINERD, MN 56401-0000
(218) 855-8139
CENTURY COLLEGE 3300 CENTURY AVE N
WHITE BEAR LAKE, MN 55110-0000
(651) 779-3341
DAKOTA COUNTY TECHNICAL COLLEGE 1300 - 145TH ST E
ROSEMOUNT, MN 55068-2999
(651) 423-8301
EDUCATIONAL SEMINARS FOR PRO INC PO BOX 86
ALEXANDRIA, MN 56308-0000
(888) 909-5665
FORD JENSEN SCHOOL PO BOX 86
WALKER, MN 56484-0086
(218) 224-2702
HENNEPIN TECHNICAL COLLEGE 1820 XENIUM LANE NO
PLYMOUTH, MN 55441-0000
(763) 559-3535
HENNEPIN TECHNICAL COLLEGE 9000 BROOKLYN BLVD
BROOKLYN PARK, MN 55445-0000
(952) 944-2222
HIBBING COMMUNITY AND TECHNICAL COLLEGE 1515 EAST 25TH ST
HIBBING, MN 55746-0000
(218) 262-6785
JAMES T SONCRANT 3226 HWY 10 EAST
MOORHEAD, MN 56560-0000
(218) 233-5331
LAKE SUPERIOR COLLEGE 2101 TRINITY RD
DULUTH, MN 55811-0000
(218) 733-7600
MINNESOTA STATE COMMUNITY AND TECHNICAL COLLEGE 1414 COLLEGE WAY
FERGUS FALLS, MN 56537-0000
(218) 299-6576
NO HENNEPIN COMMUNITY COLLEGE 7411 - 85TH AVE N
BROOKLYN PARK, MN 55445-0000
(763) 424-0880
NORMANDALE COMMUNITY COLLEGE 9700 FRANCE AVE S
BLOOMINGTON, MN 55431-0000
(952) 832-6350
NORTHERN UNIVERSITY 8891 AIRPORT ROAD - D7
BLAINE, MN 55449-0000
(763) 783-9591
NORTHLAND COMMUNITY & TECHNICAL COLLEGE 2022 CENTRAL AVE. NE
EAST GRAND FORKS, MN 56721-0000
(218) 773-3441
PRO REAL ESTATE PROGRAMS INC 1500 -FIRST AVE NE, SUITE 111F
ROCHESTER, MN 55906-0000
(507) 285-5709
PROSOURCE EDUCATIONAL SERVICES 1295 BANDANA BLVD, SUITE 245
ST PAUL, MN 55108-0000
(651) 641-1000
REAL ESTATE SCHOOL 1603 BLACK OAKS PL N
PLYMOUTH, MN 55447-0000
(763) 258-5772
RIDGEWATER COMMUNITY TECH COLLEGE 2101 15TH AVE NW, PO BOX 1097
WILLMAR, MN 56201-1097
(320) 231-5177
RIVERLAND COMMUNITY & TECH COLLEGE 965 ALEXANDER DRIVE S W
OWATONNA, MN 55060-0000
(507) 455-5880
ST CLOUD STATE UNIVERSITY COLLEGE OF BUSINESS, 720 - 4TH AVE S
ST CLOUD, MN 56301-4498
(320) 308-4986
ST CLOUD TECHNICAL COLLEGE 1540 NORTHWAY DR
ST CLOUD, MN 56303-1240
(320) 654-5066
UNIVERSITY ST THOMAS/COLLEGE OF BUSINESS 1000 LA SALLE AVE, TMH 153
MINNEAPOLIS, MN 55403-2005
(651) 962-4289

 

Also check out information on how to become a real estate appraiser in Minnesota

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Read about other real estate careers in Minnesota:

 

 

 

 

 

 

 

 

 

 

 

 

 Read some of the best real estate books out there to prepare yourself for your new career: