Need of a License: A real estate salesperson must be licensed by the state of Colorado to represent clients in the sale or purchase of real estate that is located in Colorado.
Who Grants a License: Licenses are granted by the Division of Regulatory Agencies : Colorado Division of Real Estate (“CREC”).
Qualifications to receive a License: All licensees in Colorado are considered brokers. A candidate must complete 168 clock-hours (or fewer) of study at a nationally accredited college or a school approved by the Colorado Department of Private and Occupational Schools (search schools here). Additionally, the candidate must pass a school-administered final exam, and pass a state exam. All candidates must be at least 18 years of age, submit a full set of fingerprints, and pass a background check. Errors and omissions insurance is required on every activated license. For more information about licensing requirements, see Initial Licensing Information on the CREC website.
Applying for the Exams: Candidates should apply to take the state exam through the PSI website scheduling page. For more information, see the State of Colorado Real Estate Candidate Information Bulletin.
Test Content: The Colorado state real estate licensing exam is comprised of two separate tests, the national test and the state-specific test. Both portions are comprised of multiple choice questions with four answer choices provided for each question. Test takers are allotted two hours to complete the national test, and one hour and 50 minutes to complete the state-specific test. The exam is presented in a computer-based format, but accommodations for paper-based tests and/or oral testing can be provided with special arrangements.
The national test consists of 80 questions. Test takers must correctly answer 60 questions to pass. This test measures the candidate's knowledge of general real estate concepts, including the following subject areas:
Property Ownership
Land Use Controls and Regulations
Valuation and Market Analysis
Financing
Laws of Agency
Mandated Disclosures
Contracts
Transfer of Title
Practice of Real Estate
Specialty Areas (such as property management, common interests, subdivisions, commercial, etc.)
The state-specific test consists of 74 questions. Test takers must correctly answer 53 questions to pass. This state-specific test measures the candidate's knowledge of the state-specific concepts, including the following subject areas:
Duties and Powers of the Real Estate Commission
Licensing Requirements
Requirements Governing the Activities of Licensees
Additional Topics
Colorado Forms and Contracts
Record Keeping and Trust Accounts
Closing and Settlement
Brokerage Relationships
How to Apply for the License: The license application is issued by the testing company upon passing both portions of the licensing exam. Candidates must provide CREC with the following documents: (1) completed application and application fee; (2) original Colorado state real estate licensing exam score report(s); (3) certificate issued by an CREC-approved school for completion of the 168-hour salesperson pre-licensure curriculum; (4) proof or attestation that fingerprints have been submitted to the Colorado Bureau of Investigations for the background check. All of the required documents must be submitted to the Colorado Division of Real Estate offices in Denver within 1 year of passing the exam. A packet of all of the required forms can be downloaded from the Colorado Division of Real Estate website, here.
Fees: The Colorado Division of Real Estate charges a license application fee, which is subject to change, but all fees are itemized on the application checklist.
Who administers the test: The CREC and PSI.
License Renewal Requirements: An Colorado real estate licensee must take 24 credit hours of continuing education (either online or in the classroom) from a CREC-approved provider every three years. Further information is provided on the CREC website, here.
Applicable Regulations: Real estate licensees in Colorado are regulated under Title 12, Article 61, and the Colorado Code of Regulations, Chapter 725, Section 1.
