1.2 Maryland License Requirements

Salesperson License: The Standard Path

Maryland licenses three tiers — salesperson, associate broker, and broker. Most exam questions target the salesperson route, so anchor those numbers first.

Eligibility and education

A salesperson applicant must:

• Be at least 18 years old.
• Be of good character and reputation (MREC reviews criminal history; it is not an automatic bar).
• Complete 60 hours of pre-license education at an MREC-approved school, passing the school's final exam with at least 75%.
• Pass the PSI state licensing examination.
• Become affiliated with a sponsoring broker — a salesperson license cannot be issued or activated without one.

The 60-hour course covers Maryland and national topics: real estate law, ownership and estates, legal descriptions, agency, contracts, finance, appraisal, settlement procedures, fair housing, and ethics. It may be taken online or in person at a state-certified school.

The salesperson examination

Trap to avoid: an aggregate score does not pass you. A candidate who scores 78/80 national but only 20/30 state fails — each portion is graded independently at 70%. If you fail one part, many candidates may retake only the failed portion (confirm current PSI retake policy at scheduling). Roughly 60–70% of first-time candidates need a retake, so the two-portion rule matters.

Worked numbers

• National: 70% of 80 = 56. Miss 25 questions → 55 correct → fail.
• State: 70% of 30 = 21 (rounding 20.99 up). Miss 10 → 20 correct → fail.

Application and fees

Exam tip: The $20 Guaranty Fund contribution is bundled into the original application fee only — renewals do not repay it.

Associate Broker and Broker Licenses

An associate broker has met every broker requirement but chooses to work under another broker rather than run an office. The qualifications are identical to a broker; only the affiliation differs.

Broker qualifications

The experience rule is strict: the three years must be continuous and active with no lapse, no inactive status, and no suspension. A salesperson who let the license go inactive for six months breaks the chain and must rebuild three unbroken years.

Note: 135 hours equals roughly 9 semester credit hours. At least a portion must cover ethics and brokerage-relationship law. The broker course is broker-level supervision, trust-account, and management content — it does not merely repeat the 60-hour salesperson course.

Comparison at a glance

Waivers and reciprocity

Reciprocity lets an out-of-state licensee from a partner state obtain a Maryland license without repeating full pre-license education, but applicants typically must still pass the Maryland state (law) portion and meet character standards. Always confirm the current reciprocity list with MREC, because partner states change.

Common trap: A Maryland attorney is not automatically a broker. The attorney waiver removes the education and experience hurdles but not the licensing exam or the application itself.

Character Review and Criminal History

The "good character" standard is not a simple yes/no checkbox. MREC reviews criminal convictions individually, weighing the nature of the offense, how long ago it occurred, evidence of rehabilitation, and its relationship to honesty and real estate practice. A conviction does not automatically disqualify an applicant; convictions involving fraud, theft, forgery, or moral turpitude draw the most scrutiny. Applicants may be asked to supply court documents and a written explanation. Material falsification on the application itself is independent grounds for denial — lying about a record is often worse than the record.

Scheduling, Identification, and Retakes

Once the approved school reports completion, the candidate schedules with PSI online or by phone and pays the $44 fee per attempt. On exam day, bring two forms of identification, at least one government-issued photo ID, with names matching the registration. The exam is closed-book; a basic on-screen or non-programmable calculator is permitted for math items (loan, proration, commission, and area problems).

A candidate who fails may reschedule and pay a new fee. Because each portion stands alone at 70%, plan retake study around the specific portion failed rather than re-reviewing everything.

Activating the License

Passing the exam does not make you a practicing agent. The new salesperson must submit the license application within one year, name a sponsoring broker, and have that broker confirm the affiliation. Only when MREC issues the license and the broker association is on file may the salesperson legally perform brokerage acts for compensation.