Key Takeaways
- Alabama requires 60 hours of pre-license education from an AREC-approved school with a maximum of 6 hours per day
- The exam has 140 questions (100 national + 40 state) administered by Pearson VUE with a 3.5-hour time limit
- Applicants have 6 months after completing education to pass the state exam
- New licensees must complete 30 hours of post-license education within the first 12 months
- Temporary license issued first; original license after completing post-license education
Alabama Real Estate Salesperson Exam Overview
Welcome to OpenExamPrep's FREE Alabama Real Estate Salesperson exam prep guide. This comprehensive resource covers Alabama-specific regulations, licensing requirements, and state real estate laws governed by the Alabama Real Estate Commission (AREC).
About the Alabama Real Estate Commission (AREC)
The Alabama Real Estate Commission (AREC) is the state agency responsible for licensing and regulating real estate professionals in Alabama. AREC enforces the Alabama Real Estate License Law and the Real Estate Consumers Agency and Disclosure Act (RECAD).
AREC Contact Information
| Resource | Information |
|---|---|
| Website | arec.alabama.gov |
| Phone | (334) 242-5544 |
| Fax | (334) 270-9118 |
| Address | 1201 Carmichael Way, Montgomery, AL 36106 |
| arec@arec.alabama.gov |
Alabama Licensing Requirements at a Glance
| Requirement | Details |
|---|---|
| Minimum Age | 19 years old |
| Education | High school diploma or equivalent |
| Citizenship | U.S. citizen or lawful permanent resident |
| Pre-License Hours | 60 hours |
| Max Hours Per Day | 6 hours |
| Exam Provider | Pearson VUE |
| Exam Questions | 140 total (100 national + 40 state) |
| Time Limit | 3.5 hours |
| Passing Score | Determined by AREC |
| Post-License Education | 30 hours within first 12 months |
Pre-License Education Requirements
Alabama requires 60 hours of pre-license education from an AREC-approved school before you can take the state licensing exam.
Course Requirements
| Requirement | Details |
|---|---|
| Total Hours | 60 clock hours |
| Maximum Per Day | 6 hours (minimum 11 days to complete) |
| Course Exam | Proctored final exam required |
| Passing Score | 70% or higher |
| Certificate Validity | 6 months to pass state exam |
Course Content
The 60-hour Alabama Pre-licensing course covers:
- Alabama real estate license law
- Real Estate Consumers Agency and Disclosure Act (RECAD)
- Property ownership and land use
- Contracts and agency relationships
- Real estate finance
- Property valuation
- Closing procedures
- Fair housing laws
- Ethics and professional conduct
Important: AREC requires your pre-licensing final exam to be proctored. You cannot receive credit for completing more than 6 hours in a single day.
The Alabama Real Estate Exam
The Alabama real estate salesperson exam is administered by Pearson VUE on behalf of the Alabama Real Estate Commission (effective January 1, 2023).
Exam Structure
| Component | Details |
|---|---|
| Total Questions | 140 multiple-choice |
| National Portion | 100 questions |
| State Portion | 40 questions |
| Time Limit | 3.5 hours |
| Format | Mixed (national and state questions combined) |
| Delivery | Computer-based at Pearson VUE centers |
Note: The national and state questions are mixed together and will NOT appear as separate sections. You answer all 140 questions within the 3.5-hour time limit.
Exam Topics - National Portion (100 Questions)
Based on 11 content areas:
- Property Ownership - Types of ownership, estates, interests
- Land Use Controls - Zoning, building codes, environmental regulations
- Valuation & Market Analysis - Appraisal methods, CMAs, pricing
- Financing - Mortgages, loan types, calculations, regulations
- Agency - Relationships, duties, disclosure requirements
- Contracts - Elements, types, contingencies, performance
- Practice of Real Estate - Licensing, ethics, fair housing
- Property Condition - Disclosures, inspections, environmental
- Transfer of Title - Deeds, title insurance, recording
- Closing - Settlement statements, prorations, costs
- Leases - Types, provisions, landlord-tenant law
Exam Topics - Alabama State Portion (40 Questions)
Alabama-specific topics include:
- Alabama Real Estate Commission structure and authority
- Alabama License Law requirements
- RECAD (Real Estate Consumers Agency and Disclosure Act)
- Alabama agency relationships and disclosures
- Alabama trust account regulations
- Property disclosure requirements
- Alabama contract provisions
- Disciplinary procedures and penalties
- Alabama Recovery Fund
Step-by-Step Licensing Process
Step 1: Meet Basic Requirements
Verify you meet Alabama's eligibility requirements:
- U.S. citizen or lawful permanent resident
- Bona fide resident of any U.S. state
- High school diploma or equivalent
- No felony convictions or crimes involving moral turpitude
- Able to read, write, and communicate in English
Step 2: Complete Pre-License Education
Complete 60 hours of approved education:
- Enroll in an AREC-approved school (online or classroom)
- Complete coursework (minimum 11 days due to 6 hr/day limit)
- Pass the proctored final exam (70% minimum)
- Receive your certificate of completion
- Note: Certificate valid for 6 months to take state exam
Step 3: Apply for the State Exam
Register with Pearson VUE:
- Visit www.pearsonvue.com
- Create an account
- Upload proof of education completion
- Pay the exam fee
- Schedule your exam date
Step 4: Pass the State Exam
On exam day:
- Arrive early at the Pearson VUE testing center
- Bring valid government-issued photo ID
- Complete the 140-question exam within 3.5 hours
- Receive immediate pass/fail results
- Keep your exam score report
Step 5: Find a Sponsoring Broker
Before applying for your license:
- Identify a licensed Alabama broker to sponsor you
- Complete any broker-required paperwork
- Don't wait - application due within 90 days of exam
Step 6: Apply for Temporary License
Apply within 90 days of passing your exam:
- Submit application to AREC
- Provide sponsoring broker information
- Pay required fees
- Receive Temporary Salesperson License
Warning: If you don't apply within 90 days of passing the exam, your exam results become null and void, and you must retake the exam.
Step 7: Complete Post-License Education
To convert your temporary license to an original license:
| Requirement | Details |
|---|---|
| Hours Required | 30 hours |
| Deadline | Within 12 months of licensure |
| Active Status | Must complete within 6 months to maintain active status |
| Course Content | AREC-approved post-license curriculum |
Total Costs Summary
| Item | Cost |
|---|---|
| Pre-License Education | $250-500 |
| Exam Fee | ~$75 |
| License Application Fee | ~$150-200 |
| Post-License Education | $100-200 |
| TOTAL (Estimated) | $575-975 |
Important Timelines
| Milestone | Deadline |
|---|---|
| Pre-license education to exam | 6 months |
| Exam to license application | 90 days |
| Post-license for active status | 6 months |
| Post-license for original license | 12 months |
License Renewal
Alabama real estate licenses require ongoing maintenance:
Continuing Education
| Requirement | Details |
|---|---|
| CE Hours | 15 hours per renewal cycle |
| Renewal Period | Every 2 years |
| Must Include | AREC-approved topics |
| Risk Management | Required component |
Renewal Process
- Licenses renew biennially (every 2 years)
- Complete CE before expiration
- Renew online through AREC website
- Pay renewal fees
The Alabama Recovery Fund
The Alabama Real Estate Recovery Fund provides compensation to consumers harmed by licensee misconduct:
| Detail | Amount |
|---|---|
| Maximum per transaction | $50,000 |
| Maximum per licensee | $100,000 |
| Requirement | Court judgment required first |
RECAD: Real Estate Consumers Agency and Disclosure Act
One of the most tested topics on the Alabama exam is RECAD, which governs agency relationships:
Key RECAD Provisions
- Written disclosure required at first substantive contact
- Seller's agent - Represents seller's interests
- Buyer's agent - Represents buyer's interests
- Transaction broker - Facilitates without representing either party
- Dual agency - Requires written consent from all parties
- Designated agency - Broker designates different agents for each party
Exam Tip: Know the RECAD disclosure requirements cold. Questions about when and how to disclose agency relationships are common on the Alabama exam.
What This Guide Covers
This FREE study guide focuses on Alabama state-specific content:
Chapter 1: Alabama Real Estate Commission & Licensing
- AREC structure and authority
- Alabama License Law
- Licensing requirements and processes
- Disciplinary procedures
Chapter 2: RECAD & Agency Relationships
- Agency disclosure requirements
- Types of agency relationships
- Duties to clients and customers
- Dual agency and designated agency
Chapter 3: Alabama Contracts & Disclosures
- Contract requirements
- Seller disclosure obligations
- Alabama-specific provisions
- Escrow and closing procedures
Chapter 4: Trust Accounts & Property Law
- Trust account regulations
- Record-keeping requirements
- Alabama property considerations
- Recovery Fund provisions
Study Tips for Success
Recommended Study Plan
| Week | Focus | Hours |
|---|---|---|
| 1-2 | National concepts | 20-25 |
| 3-4 | Alabama state law & RECAD | 15-20 |
| 5 | Practice exams | 10-12 |
| 6 | Review & final prep | 8-10 |
Key Numbers to Memorize
| Topic | Number |
|---|---|
| Pre-license hours | 60 |
| Max hours per day | 6 |
| Course exam passing | 70% |
| Exam questions | 140 (100 + 40) |
| Exam time limit | 3.5 hours |
| Exam to application | 90 days |
| Post-license hours | 30 |
| Post-license deadline | 12 months |
| CE hours per cycle | 15 |
| Recovery Fund max per transaction | $50,000 |
Next Steps
Ready to begin? Here's your action plan:
- Verify eligibility - U.S. citizen/resident, HS diploma
- Enroll in 60-hour course - AREC-approved school
- Complete education - Minimum 11 days
- Pass proctored final - 70% minimum
- Register with Pearson VUE - Schedule exam
- Pass state exam - Within 6 months of education
- Find a broker - Within 90 days of exam
- Apply for license - Temporary license issued
- Complete post-license - 30 hours in first year
- Get original license - Start your career!
Real Estate SalespersonFree exam prep with practice questions & AI tutor
Let's get started with Chapter 1: Alabama Real Estate Commission & Licensing!
How many hours of pre-license education are required for an Alabama real estate salesperson license?
What is the maximum number of pre-license education hours that can be completed per day in Alabama?
Within how many days of passing the Alabama real estate exam must you apply for your license?
How many hours of post-license education must new Alabama licensees complete within their first year?
Which law governs agency relationships in Alabama real estate transactions?