1.2 Louisiana License Requirements

Becoming a Louisiana salesperson follows a defined sequence set by LREC, and the exam likes exact numbers, so commit each figure to memory.

1. Age, Citizenship, and Character

• Be at least 18 years of age.
• Be a U.S. citizen or a lawfully admitted alien.
• Hold a high school diploma or equivalent (GED/HiSET).
• Demonstrate honesty, trustworthiness, integrity, and good moral character.
• Disclose all criminal history. LREC reviews convictions for suitability; offenses involving fraud, theft, forgery, or dishonesty are the most likely to bar licensure or trigger a hearing. A prior conviction is not automatically disqualifying, but concealing it on the application is itself grounds for denial.

2. Pre-License Education (90 Hours)

Applicants complete 90 hours of pre-license education from an LREC-certified school. Louisiana carves out a mandatory 30-hour Louisiana-specific block that cannot be substituted by out-of-state coursework, reciprocity, or a college degree.

Most schools deliver the 90 hours as classroom, livestream, or self-paced online courses; each ends with a school exam the student must pass to receive a certificate of completion. The certificate is what unlocks PSI exam eligibility.

Exam note: Louisiana requires more pre-license hours (90) than many states (often 60-75), and the non-substitutable 30-hour Louisiana-law portion is the part most likely to feed state-portion questions. Treat any guide describing the 90 hours only as "45 Principles + 45 Practice" as outdated; the binding rule is the protected 30-hour Louisiana block.

3. The Licensing Examination (PSI)

Louisiana's license exam is delivered by PSI at test centers and online with remote proctoring. It has two separately scored portions taken in one appointment.

Pass-one-fail-one

If you pass one portion but fail the other, you generally retake only the failed portion within your eligibility window. You must pass both to qualify for a license. Results are reported immediately at the test center.

Correction tested often: The state-portion cut score is 40/55, not 39 - roughly 73%, slightly higher than the flat 70% on the national portion. Total seat time is about three hours, not four. The fee is $85, not $75.

4. Background Check (Fingerprints)

Applicants submit fingerprints for a state and FBI criminal-history review through LREC's approved vendor. Online processing costs roughly $49 (mailed checks cost more). The results feed LREC's character review described above.

5. Errors-and-Omissions (E&O) Insurance

Louisiana mandates E&O insurance for all active licensees under R.S. 37:1430 et seq. You may enroll in the LREC group policy (administered by RISC, underwritten by a CNA company) or submit proof of equivalent independent coverage with at least the state-required limits. Inactive licensees are exempt while inactive. No active license issues or renews without E&O on file - this is a frequent exam point because most states do not mandate E&O.

6. Sponsoring Broker

A salesperson's license stays inactive until affiliated with a sponsoring broker, who activates and supervises it. Salespersons cannot operate independently, hold escrow funds, advertise in their own name, or be paid directly by the public - all compensation flows through the sponsoring broker.

Typical Fees (confirm current amounts on lrec.gov)

Reciprocity and the Broker Path

Louisiana has no blanket reciprocity that waives the exam. An out-of-state licensee generally must still meet Louisiana standards, but LREC may grant education credit for comparable coursework completed elsewhere - except for the protected 30-hour Louisiana-law block, which every applicant must take in-state. Out-of-state applicants typically must still pass at least the state portion of the exam.

Moving up to broker

A salesperson who wants to become a broker must show active licensed experience (commonly measured over recent years) plus additional broker-level education beyond the original 90 hours, then pass the broker exam. The broker exam keeps the 80-question national portion and uses a larger state portion than the salesperson test.

Exam framing: Only a broker may operate a brokerage, hold a trust account, and sponsor salespersons. A salesperson always works under a sponsoring broker's license and supervision.

Post-License Education (First Renewal)

Louisiana adds a requirement many states do not: a newly licensed salesperson must complete a 45-hour post-license education course during the first license term, on top of the 90 pre-license hours and ongoing continuing education. Failing to complete post-license education on time can prevent the first renewal even if the licensee has paid fees and carries E&O. Plan it early in the first year rather than at renewal crunch time.

Exam framing: the 90 / 45 / CE ladder is distinctly Louisiana. A common distractor states only the 90 hours and omits the 45-hour post-license course; the binding rule is that a first-term salesperson is not fully clear until the post-license course is done. Remember too that the 30-hour Louisiana-law block cannot be waived by any out-of-state education, degree, or reciprocity claim, and that an out-of-state applicant generally must still sit at least the state portion of the PSI exam.