Who Grants a License: Licenses are granted by the Tennessee Department of Commerce Real Estate Commission (“TREC”).
Qualifications to receive a License: A candidate must complete 90 clock hours of study at a TREC-approved real estate school (search schools here), pass a school-administered final exam, and pass a state exam. All candidates must submit a full set of fingerprints, and pass a background check. All candidates must be at least 18 years of age. For more information about qualifications, see the page titled License Requirements and Alternate Procedures, on the TREC website.
NOTE: 60 hours of the pre-licensing program must be completed before applying for the exam. The remaining 30 hours (course for new affiliates) must also be completed before a license can be issued. ALSO NOTE: Tennessee law does not license real estate salespersons. Entry level real estate licensees are considered affiliate brokers.
Applying for the Exams: Upon completion of the first 60 hours of the pre-licensing curriculum, the pre-licensing school electronically transmits the candidate's eligibility letter to PSI (the testing vendor). Upon confirmation of eligibility to take the examination, the candidate should apply to take the state exam through the PSI website scheduling page. For more information, see the Tennessee Real Estate Commission Candidate Information Bulletin.
Test Content: The Tennessee state real estate licensing exam is comprised of two separate portions, the national portion and the state-specific portion. Five to ten questions disbursed throughout both portions of the exam are considered "experimental" questions and are not scored. Both tests are comprised of multiple choice questions with four answer choices provided for each question. Test takers are allotted 160 minutes to complete the national portion, and 80 minutes to complete the state-specific portion. A passing score requires the test taker to correctly answer 56 (out of 80) questions on the national portion, and 28 (out of 40) questions on the state-specific portion. The test is presented in a computer-based format, but accommodations for a paper-based test and/or oral testing can be provided with special arrangements.
The national portion of the test consists of 80 questions, and tests 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
General principles of agency
Mandated disclosures
Contracts
Transfer of title
Practice of real estate
Real estate calculations
Subdivisions, including deed restrictions
Commercial, industrial and income property
The state-specific test consists of 40 questions, and tests the candidate's knowledge of the state-specific concepts, including the following subject areas:
Duties and Powers of Real Estate Commission
Licensing Requirements
Advertising and Marketing
Broker/Affiliate Relationships
Handling of Documents and Record Keeping
Handling of Trust/Escrow Funds
Other Improper Activities and Consumer Protection
Agency and Disclosure Issues
Timeshare
Property Management
Commercial/Industrial Real Estate
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 TREC with the following documents: (1) original Tennessee state real estate licensing exam score report(s); (2) certificate issued by a TREC-approved school for completion of the 90-hour pre-licensure curriculum; (3) full set of fingerprints; (4) criminal background check; and (5) other identification documents which are subject to change.
Fees: TREC charges a license application fee, which is subject to change, but will be listed on the licensing application that is generated upon passing the exam.
Who administers the test: TREC and PSI.
License Renewal Requirements – A Tennessee real estate licensee must take 16 credit hours of continuing education (either online or in the classroom) from a TREC-approved provider every two years.
Applicable Regulations: Real estate licensees in Tennessee Annotated Code, Title 62, Chapter 13, and the Rules of the Tennessee Real Estate Commission.
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