1.2 Massachusetts License Requirements

Key Takeaways

  • Salesperson applicants must be at least 18, complete a 40-hour Board-approved pre-license course, and submit three character endorsements through eLIPSE
  • The licensing exam is administered by PSI: 120 questions total (80 national, 40 state) with a 4-hour time limit
  • Passing requires 70% on EACH portion separately: 56 of 80 on national AND 28 of 40 on state
  • Broker applicants need 3 years of active salesperson experience at 25+ hours per week, 40 more education hours, and a notarized $5,000 surety bond
  • License terms run two years and renewal requires 12 hours of continuing education
Last updated: June 2026

Salesperson Eligibility

Massachusetts has one of the lightest education burdens in the country, but every box still gets tested.

RequirementDetail
AgeAt least 18 years old
Education40 hours, Board-approved school
EndorsementsThree character endorsements (non-relatives, non-classmates)
ExamPass national AND state portions
ApplicationFiled via eLIPSE portal

The 40-Hour Course

The pre-license curriculum is set by 254 CMR and blends national principles with Massachusetts law. Board rules require a meaningful share of real-time, two-way instruction even in online sections (commonly cited at roughly 21 hours of live instruction).

ComponentTypical Coverage
License law and 254 CMRBoard authority, conduct standards
Law of agencyDisclosure, mandatory consumer relationship form
Contracts and propertyOffers, P&S agreements, deeds, title
Fair housingFederal plus Chapter 151B state protections
Financing and mathMortgages, proration, commission math

Trap: Choices listing 60, 75, or 90 hours are wrong for Massachusetts. The salesperson pre-license requirement is exactly 40 hours.

The PSI Examination

The exam is delivered by PSI (Psychological Services Inc.). Since June 2025 candidates apply to test through the state eLIPSE portal before scheduling with PSI.

DetailSpecification
VendorPSI
National questions80
State questions40
Total questions120
Time limit4 hours
Passing score70% on EACH portion
National pass mark56 of 80
State pass mark28 of 40

Worked example: A candidate scores 60/80 national (75%) but 26/40 state (65%). Overall that is 86/120 (about 72%), which looks passing, but it is a FAIL because the state portion is below 70%. The two scores never average; each must independently clear 70%.

Fees and Money

Fees changed with eLIPSE, so verify current amounts on the PSI bulletin before testing.

ItemApproximate Amount
Exam fee (PSI)~$54-$85
Salesperson licensePro-rated by birth month (~$103-$150)
RenewalSet by Board, paid each 2-year cycle

The license fee being pro-rated to your birth month is a uniquely Massachusetts twist; the first license can cost less than a full term because it aligns you to the staggered renewal calendar.

Broker Upgrade Requirements

A salesperson cannot jump straight to broker. The path adds experience, education, an exam, and a bond.

RequirementDetail
Experience3 years active as a salesperson, 25+ hours/week, under a MA broker
RecencyExperience must be no more than 2 years old at exam time
Education40 additional approved hours (80 total)
Surety bondNotarized $5,000 surety bond required at licensure
Exam120 questions (80 national, 40 state), 70% each portion

Trap: The $5,000 surety bond applies to brokers, not salespersons. Watch for a question that attaches the bond to a new salesperson, that is wrong.

Application Steps (Salesperson)

  1. Complete the 40-hour Board-approved course and pass its final.
  2. Gather three character endorsements from non-relatives, non-classmates.
  3. Apply to test through eLIPSE and schedule with PSI.
  4. Pass both portions (70% national, 70% state).
  5. Pay the pro-rated license fee on-site when you pass.
  6. Affiliate with a sponsoring broker to activate practice.

Renewal at a Glance

ItemRule
Term2 years
Continuing education12 hours per cycle
PortaleLIPSE

Exam-Day Logistics and Retakes

The PSI exam is computer-based and delivered at PSI test centers or by approved remote proctoring. Bring two forms of valid ID matching your application name. The clock is a single 4-hour block covering both portions; manage time so the easier 40-question state section is not rushed at the end.

LogisticDetail
FormatComputer-based, multiple choice
IDTwo valid IDs, names must match
ResultPass/fail given on-site after testing
License pickupPay pro-rated fee on-site when you pass

If You Fail One Portion

Massachusetts scores the two portions independently, which has a practical upside: in many sittings a candidate who passes one portion and fails the other may need to retake only the failed portion within the allowed window, rather than the whole exam. Always confirm the current retake rule in the PSI bulletin, because policies and waiting periods change.

Worked example: A candidate passes national 58/80 but fails state 25/40. They keep the national pass and re-sit only the state portion, paying the exam fee again for that attempt.

Common Requirement Traps

  • "75 hours" education: that is a different state. Massachusetts salesperson is 40 hours.
  • "Average the two scores": never; each portion needs 70% on its own.
  • Salesperson surety bond: there is none; the $5,000 bond is broker-only.
  • Broker with 2 years' experience: insufficient; brokers need 3 years at 25+ hours/week, and the experience must be recent (no more than 2 years old at exam time).
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Massachusetts Salesperson Licensing Process
Test Your Knowledge

A Massachusetts candidate answers 64 of 80 national questions correctly but only 27 of 40 state questions. What is the result?

A
B
C
D
Test Your Knowledge

Which requirement applies to a Massachusetts BROKER applicant but NOT a salesperson applicant?

A
B
C
D