If you’re already a licensed real estate agent in Alabama, or actively working in another state, and you’re ready to move up, getting your broker license is a logical next step. It unlocks more independence, income potential, and control over your business.
But before you take the leap, it’s worth asking: What exactly are the Alabama broker requirements? What qualifies you? How does the process work, and what hurdles should you anticipate?
This guide breaks down everything you need to know to go from agent to broker in Alabama, step by step. Let’s get into the details and help you decide if it is the moment you finally take charge of your real estate career.
Who Needs a Broker License in Alabama?
Brokers have the authority to work independently, open their own firms, and supervise other agents. Salespersons, on the other hand, must work under a broker’s supervision and cannot operate autonomously.
So, who typically makes the leap? Agents who want to increase their earnings, build a team, or take full ownership of their business often pursue a broker license.
Some are entrepreneurs ready to start their own boutique brokerage. Others are team leads looking to formally manage newer agents. And for many seasoned salespeople, becoming a broker is a natural next step in their professional evolution.
Whether your motivation is more income, more freedom, or a chance to lead, the broker license opens that door. But the process is structured, and every step matters.
Step-by-Step: How to Get Your Broker License in Alabama
1. Meet the Basic Eligibility Requirements
Before you can enroll in coursework or schedule an exam, you’ll need to meet Alabama’s baseline qualifications:
- Be at least 19 years old
- Be a U.S. citizen or lawful permanent resident
- Hold a high school diploma or GED
- Have no felonies or offenses involving moral turpitude
- Have no real estate license revocations in any state within the past 2 years
These criteria are non-negotiable and apply to both resident and non-resident applicants.
2. Have the Required Experience
Alabama wants to see that you’ve been actively involved in real estate. To qualify for a broker license, you must have held an active real estate license for at least 24 of the last 36 months.
Yes, experience from another state counts, as long as you can document your active status during that time. If your license lapsed or was inactive, you may need to wait or reactivate before applying.
3. Complete the 60-Hour Pre-License Course
Next comes education. You’re required to take a 60-hour, state-approved broker pre-license course. The course covers:
- Real estate law (state and national)
- Ethics and agency
- Brokerage operations
- Contracts and finance
- Office supervision and trust accounting
Most applicants choose online, self-paced courses for flexibility, though in-person and live Zoom options exist. Just make sure the provider is approved by the Alabama Real Estate Commission (AREC), this is the only way to qualify for the exam.
4. Pass the Proctored Final Exam
Before you can register for the state exam, you’ll need to pass the course’s proctored final. Key facts:
- You must score 70% or better
- You’re only allowed two attempts
- Exams are proctored either online or in person
Failing both attempts means you’ll need to retake the 60-hour course from the beginning, so prep wisely.
5. Pass the Alabama + National Broker Exam
Once you pass the course final, you’re eligible for the official broker exam administered by Pearson VUE:
- You’ll take two sections: national and Alabama-specific
- Cost is $73 total
- You must test within 6 months of completing your course
- Once you pass, you must apply for your license within 90 days, or your results expire
We often hear from future brokers worried the exam is “way harder” than the salesperson version. It is more advanced, especially in areas like supervising agents and handling trust funds.
But with focused prep and a solid course, it’s absolutely passable.
6. Submit Background Check + Fingerprints
Whether you’re a first-time Alabama applicant or applying via reciprocity, you must complete a state and federal fingerprint-based background check using an AREC-approved vendor. This step ensures public trust, and it can delay your application if not submitted early, so don’t wait.
7. Submit Your Application + Pay Fees
Once you pass the exam and your background check clears, you’re ready to apply. Here’s what you’ll need:
- $150 license fee
- $30 education fee
- $30 recovery fund fee (may be waived if you’ve paid this already as a salesperson)
- Non-residents must submit a Consent to Jurisdiction form and proof of legal residency
Applications are submitted through the AREC or Pearson VUE portal. We recommend submitting everything digitally to avoid processing delays.
What About Reciprocal Broker Licenses?
Already licensed in another state? You may not need to start from scratch. Alabama offers a reciprocal broker license pathway if:
- You hold an active license in your home state
- You complete a 6-hour Alabama license law course
- You pass the Alabama-specific portion of the broker exam
This route skips the full 60-hour education and national exam, saving time and money.
If you’re a military spouse, you may also qualify for a temporary 180-day license while you complete remaining requirements. Alabama has made this process faster to support active-duty families.
What Is a Licensure Requirement for an Alabama Broker?
If you’re preparing for the broker exam, or simply planning ahead, it’s smart to get clear on what Alabama actually requires to maintain broker status.
Here’s a breakdown of some of the most commonly tested and misunderstood requirements:
- U.S. residency is not required, but you must be legally present in the U.S. to qualify for licensure. Proof of status is part of the application.
- You must maintain a physical office in Alabama or affiliate with a licensed brokerage that does.
- Your broker license is valid for two years and always expires on September 30 of even-numbered years. To stay active, you must renew and complete continuing education before that deadline.
It’s also worth noting: while Alabama doesn’t require brokers to join the REALTOR® association, some MLS boards do.
Continuing Education & License Renewal
Getting your Alabama broker license is a big achievement, but staying compliant is just as important. Every two years, you’ll need to complete 15 hours of continuing education (CE) to keep your license active.
Here’s the breakdown:
- 3 hours: Risk Management – Initial Contact to Accepted Offer
- 3 hours: Mandatory Broker CE Course
- 9 hours: Elective CE courses of your choice
Courses must be AREC-approved and completed before September 30 of every even-numbered year. Miss the deadline and your license status can shift to inactive, meaning you can’t legally transact until reinstated.
What Worries New Brokers in Alabama?
The path to a broker license can feel overwhelming, especially when the process seems murky. Here’s how to handle a few common concerns:
“I’m confused by conflicting course info online.”
Realty Hub’s Tip→ Visit AREC’s official course search tool to confirm which providers are state-approved. Don’t rely on general education sites that aren’t on the approved list.
“I need live Zoom classes, not self-paced.”
Realty Hub’s Tip → While most providers market self-paced formats, some offer live webinars, though they’re rarely advertised. Your best bet? Contact providers directly and ask about their schedule options.
“What if my past license was inactive?”
Realty Hub’s Tip → Alabama requires 24 months of active licensure within the past 36 months. If you held an inactive license, you’ll need documentation from your previous state proving any qualifying active periods.
“Will this delay my career?”
Realty Hub’s Tip→ Not with the right support. Realty Hub can onboard licensed brokers in just one business day. Once you’re licensed, you can upload your documents and start closing immediately, no downtime, no bottlenecks.
Tips & Tricks to Succeed as a Broker in Alabama
Choose a Flat-Fee Brokerage
Once you’re licensed, how you structure your business directly affects your income. Traditional brokerages often skim 20–30% off the top through commission splits, franchise fees, and admin costs.
With Realty Hub, you keep 100% of your commission, no hidden cuts, no surprises. Just $100 per year and $100 per transaction. That’s it.
Go Virtual for Lower Overhead
Forget rent, desks, and overpriced office tools. Realty Hub is a virtual brokerage designed to support remote work without compromising compliance or professionalism.
Whether you work from home, a coworking space, or on the go, you’re fully equipped.
Stay Compliant with Smart Tools
We keep compliance simple:
- Upload and store all deal documents online
- Access broker support when needed
- E&O insurance is included with every transaction
Realty Hub’s digital-first infrastructure helps brokers stay efficient without feeling boxed in.
Keep Your License Active, Even If You’re Part-Time
Planning to sell occasionally? Do referral deals? That’s allowed. We don’t penalize low-volume brokers or push quotas.
As long as you meet CE deadlines and maintain basic compliance, your license stays active, and your income potential remains wide open.
Helpful Resource -> Can you be a part-time real estate agent in Alabama?
Why Smart Brokers Choose Realty Hub
There’s a reason more and more experienced brokers are choosing Realty Hub:
- Keep 100% of your commission, no splits, no hidden charges
- No sales quotas or mandatory meetings
- Compliance tools and E&O coverage included
- Flat fees that save thousands over traditional brokerage models
- Onboard in 1 business day and start closing deals immediately
Whether you’re building a brokerage, working part-time, or expanding into a second state, Realty Hub gives you the infrastructure to work independently, with support when you actually need it.
If you’re serious about maximizing your broker license, start with a structure that puts you first.
👉 Join Realty Hub today. Let’s build something better, together.