If you live in California, you know it’s expensive. Living costs in the state remain high, with housing, food, and other necessities eating up your take-home pay. You need a career that pays well and provides you with steady work.
You might get into the real estate profession for that reason. You can make real money from commissions selling real estate. When you get your license, you can join an existing real estate company and work for it, or else you can start your own.
You need that real estate license, though, and you must keep it current. Let’s talk about why you must renew that license.
You Need that License to Legally Sell Homes
Mortgage broker renewal requirements seldom change. If you know them, you know what’s coming when your license comes up for renewal each year.
Your license lets you sell homes in California with no issues. If you have a home on the market and you’re the listing agent, you must have your license ready as you go through the selling process.
Without that license, you might find someone who wants the home, but you can’t sell it to them. If you try selling the house with an expired license, you can get in trouble with the state. They can take away your license, and you might pay a fine as well. Keeping that license up to date means you can keep selling homes and making money without hassles.

How to Renew Your California Real Estate License
You need licenses in many professions. When you’re in real estate for a while, you’ll learn all about what you must do to renew that license and keep it current.
You must take an eight-hour class each year as part of your ongoing training as a realtor. The California Department of Real Estate is the entity with which you must renew the license.
Various schools offer the eight-hour annual class you must take. You can look at different ones to locate one near you. You can find one that charges a reasonable amount and has some solid feedback online.
The eight-hour class lets you get a license endorsement. You need that to keep your license current. You’ll usually go through the process near the year’s end. As November and December approach, pick a time to do the eight-hour class.
Who Pays the Renewal Fee?
If you have your own realty company, you must pay the license renewal fee yourself. If you work for a realty company, though, they might pay for the class and license renewal fee instead.
Your boss will understand you need a current license to keep working for them. That’s how you make the company money, as well as money for yourself. Realty companies don’t usually mind paying for the eight-hour class and license renewal. It’s a negligible cost when you think about how much profit you’ll make for the company through selling homes.
What if You Don’t Pay the License Renewal Fee on Time?
If you don’t pay the real estate license renewal fee on time, you can complete a renewal process during a designated reinstatement period. You should avoid this, though. It’s annoying, and it costs more when you renew the license this way.
Also, you can’t sell homes with a temporarily inactive license. Regulators can forbid your license renewal if they have a valid reason. You should avoid this possibility by planning ahead and renewing the license as required.
If you do not renew your license, and you also let the time elapse during which you’d reinstate it, you must go through the entire testing and licensing process to reenter the California real estate selling profession. You can always take some time off and try doing something else. If you get back into real estate selling, though, you’ll go through the entire licensing process again from start to finish.
Why Do You Need that License?
The license doesn’t just let you sell homes in California. It tells your customers that you know the laws surrounding real estate and the terminology as well. When they see that license, they know you’re trustworthy. You have gone through the requisite training, and you know how to avoid any legal entanglements as the individual or family buys their new home.
That license makes you legit. You can show it when someone from the state asks for it or when you meet a new client looking for a home.