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How to Start a Real Estate Business in Arizona: ADRE Salesperson and Broker Licences, Course Hours and Fees

How to Start a Real Estate Business in Arizona: ADRE Salesperson and Broker Licences, Course Hours and Fees

If you plan to sell or broker real estate in Arizona, you need a license from the Arizona Department of Real Estate (ADRE). The Arizona real estate license process follows a fixed sequence: classroom hours, a state exam, an application with fingerprint clearance, and a fee schedule that differs for salespeople, brokers and brokerage entities. This guide covers the real estate license AZ applicants need, in the order you will encounter each step, using the hours and fees as of October 2026. It also covers the separate steps if you want to form a company to run a brokerage.

This article is informational only and is not legal or tax advice. Licensing rules and fees change, so confirm every figure with ADRE at azre.gov before you enroll or pay. Talk with a qualified Arizona attorney or CPA before you choose an entity structure or make tax decisions.

What you need before you start

Gather these items before you enroll so you do not stall partway through the process:

  • Proof that you are at least 18 years old, and a government-issued photo ID.
  • A budget with three parts: course tuition (set by each provider), the ADRE exam and license fees, and entity filing fees if you are forming a company.
  • A plan for fingerprint clearance. It is checked as part of the application, and ADRE sets the current steps, so confirm them on the agency site before you schedule anything.
  • A calendar that can absorb 90 hours of prelicense coursework, plus time for exam preparation.
  • For a brokerage entity only: a name that meets Arizona rules, Articles of Organization (Form L010), and a statutory agent willing to sign the Statutory Agent Acceptance form (M002).

Choose the license you actually need

Arizona has two individual licenses. A salesperson works under a licensed broker and cannot run an independent office. A broker can operate on their own, but must meet a longer experience and education requirement. A brokerage entity, such as an LLC or corporation, is licensed as a firm and must name a designated broker. If you want to work for an existing brokerage, start with the salesperson license. If you want to open your own office, plan for the broker track and the entity steps described below. The arizona real estate broker license path takes longer, so decide early.

Step 1: Confirm you meet the basic eligibility rules

You must be 18 or older. The application also includes fingerprint clearance, which ADRE checks as part of its review. If you already hold a real estate license in another state, Arizona may recognize it under license recognition in ARS 32-4302. That route is available to people who have been licensed for at least one year elsewhere and have a clean record. Because the paperwork differs from a standard application, confirm the current recognition steps with ADRE before you assume you can skip coursework.

Step 2: Complete the 90-hour salesperson prelicense course

The salesperson path requires 90 classroom hours of prelicense education under ARS 32-2124. Of those hours, 27 must be an Arizona-specific course required under ARS 32-2124(B) and A.A.C. R4-28-401. Many providers sell the full 90 hours as one package, but check the course outline before you pay. Look for the 27-hour Arizona component by name, and confirm the provider is approved by ADRE.

You will also see a 6-hour contract writing course marketed to new salespeople. It is an ADRE-recognized course that providers sell, but it is not the same as the 27-hour Arizona course. Check with ADRE to confirm whether it is required for you and when it must be completed.

Keep the certificate of completion for every course. ADRE will want proof, and a missing certificate can delay your application.

Step 3: Pass the ADRE salesperson exam

After coursework, apply for the exam. The exam application and the exam itself cost $75 combined. Schedule your test only after you have your course completion documents in hand, and follow the testing instructions ADRE provides. Use the practice exams your provider offers and focus on Arizona-specific material, since candidates often lose points there. Do not assume exam format or pass rates from another state. Check the current exam details on azre.gov.

Step 4: Apply for the salesperson license and pay the license fee

After you pass, submit the original license application. The license fee is $50 plus a $10 Recovery Fund fee, for a total of $60. Added to the $75 exam charge, ADRE fees on the salesperson path come to $135 before course costs. ADRE charges less than the statutory fee ceilings in ARS 32-2132, so budget from ADRE's current fee schedule at azre.gov/all-adre-resources/fees, not from the statute.

Before you list or show property, you need a broker to supervise your work. Line up that relationship early, because a salesperson cannot practice independently.

Step 5: Decide whether to pursue the broker license

The arizona real estate broker license requires three years of active licensed experience within the prior five years, plus a 90-hour broker course under ARS 32-2124. Experience counts only while your license was active, so gaps or lapses can affect whether you qualify. Keep records of your licensing history, including the dates your license was active and the brokers you worked under.

The broker exam costs $125 and the broker license costs $145. Brokers carry supervisory responsibilities that salespeople do not, so treat the upgrade as a business decision as much as a credential. Confirm the experience documentation with ADRE before you enroll in the broker course.

Step 6: Form an entity if you will run a brokerage

A brokerage entity license has no ADRE fee, but the company must name a designated broker under ARS 32-2125. If you form an LLC, the Arizona Corporation Commission handles the filing through the Arizona Business Center. Articles of Organization (Form L010) carry a $50 filing fee. Expedited review adds $35, for $85 total. Accelerated service is added on top of the filing fee: $100 for next-day service (received by 5pm), $200 for same-day service (received by 10am), and $400 for two-hour service (available 8am to 3pm). Accelerated service guarantees examination within the stated window, not approval. Per the Corporations Division processing times sheet posted December 29, 2025, regular processing runs about 9 to 11 business days and expedited about 2 to 4 business days. Check the current sheet before you set an opening date.

Your LLC name must include the words limited liability company or limited company, or an abbreviation such as LLC or L.L.C. It cannot contain association, corporation or incorporated, or an abbreviation of those words. Names with banking or trust terms need prior written approval from the Arizona Department of Financial Institutions. Many real estate brands use the word trust, so clear that before you order signage.

An LLC needs a statutory agent. An individual agent must be a permanent, full-time Arizona resident with a permanent, full-time Arizona address. The agent can also be an entity authorized to transact business in Arizona, but an LLC cannot serve as its own statutory agent. The agent must keep a valid address on record at all times. A lapse can lead to administrative dissolution under ARS 29-3708. Changing the statutory agent or principal address costs $5 for an LLC.

An LLC must publish notice unless its statutory agent's county is Maricopa or Pima. Confirm the publication steps with the Corporation Commission before you file, since the requirement depends on where your agent is located.

LLCs in Arizona file no annual report, and the Commission confirms that no LLC annual report fee applies. For-profit corporations are different: they file an annual report each year at $45. Articles of Incorporation for a for-profit corporation cost $60 and are filed with a Certificate of Disclosure. Corporation filings also go through the Corporations Division.

If your company will do business under a name other than its legal name, that trade name is registered with the Arizona Secretary of State, not the Corporation Commission. Trade name registration is optional. Confirm the current fee on the Secretary of State trade name page. If you want to hold a name while you prepare filings, a name reservation lasts 120 days and costs $10 through the Arizona Business Center.

Step 7: Handle the local and tax registrations

Arizona has no general state business license. For most real estate work, the state filing to check is the Transaction Privilege Tax (TPT) license from the Arizona Department of Revenue, which costs $12 per location. Whether TPT applies to your specific activity is a question for the Department of Revenue and your CPA, so ask before you assume. Many Arizona cities require their own business license on top of state filings, and counties issue no general business license. Check the city where your office will sit.

If you also do construction or remodeling work, that is a separate matter. The Registrar of Contractors licenses contractors, and a real estate license does not cover that work. Arizona's individual income tax is a flat 2.5%, and an LLC's income passes through to its members, so a CPA can show how the tax applies to your structure.

Step 8: Plan for renewal and continuing education

Licenses renew every two years. Salesperson renewal costs $60 and broker renewal costs $120. Renewal requires 24 hours of continuing education under ARS 32-2130. Put the renewal date on your calendar the day your license is issued, and log CE hours as you complete them rather than in a rush before the deadline.

Arizona real estate license fees at a glance

ItemFee
Salesperson exam application and exam (combined)$75
Salesperson original license ($50) plus Recovery Fund ($10)$60
Broker exam$125
Broker license$145
Salesperson renewal (every 2 years)$60
Broker renewal (every 2 years)$120
Branch office$60
Entity brokerage licenseNo ADRE fee, but must name a designated broker

Course hours at a glance

PathRequired educationOther requirements
Salesperson90 hours of prelicense education, including the 27-hour Arizona-specific coursePass the ADRE exam and be 18 or older. Confirm with ADRE whether the 6-hour contract writing course applies.
Broker90-hour broker course under ARS 32-2124Three years of active licensed experience within the prior five years

Common mistakes to avoid

  • Buying a 90-hour package without confirming it includes the 27-hour Arizona course.
  • Skipping the contract writing question. Confirm with ADRE whether the 6-hour course applies before you enroll.
  • Forming an LLC with a banking or trust term in its name without Department of Financial Institutions approval.
  • Letting the statutory agent lapse, which can lead to administrative dissolution under ARS 29-3708.
  • Sending the wrong filing to the wrong office. Corporation and LLC documents go to the Corporation Commission, while trade names go to the Secretary of State.
  • Paying for accelerated service you do not need. The filing is the same either way, and only the review window changes.
  • Assuming an out-of-state license transfers automatically. Confirm license recognition under ARS 32-4302 with ADRE first.

What results to expect

Many new salespeople who prepare in advance may finish coursework and the exam within a few months, though your timeline will depend on course schedules, exam availability and ADRE processing. Careful preparation may mean a smoother application, but no license guarantees a particular outcome. Income in real estate depends on market conditions, your brokerage, your local network and your own effort, so treat the license as the entry point to a business rather than a promise of earnings.

Next steps

  1. Confirm current hours, fees and fingerprinting steps at azre.gov and on the ADRE fee page.
  2. Choose an ADRE-approved 90-hour course that includes the 27-hour Arizona component.
  3. Ask ADRE whether the 6-hour contract writing course applies to you, and when.
  4. Schedule the exam once your course certificates are in hand.
  5. If you are forming an entity, file through the Arizona Business Center and confirm the statutory agent and publication steps.
  6. If your activity is taxable, check whether you need a TPT license from the Arizona Department of Revenue, and check your city's business license rules.

Because licensing involves both real estate rules and business formation, consider a short consultation with a qualified Arizona attorney or CPA before you commit to an entity structure, a name or a tax registration.

Keep exploring: related Arizona guides