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How to Become a Commercial Real Estate Agent in Pennsylvania

Published: 07-11-23 Category: Marketing

Specializes in providing actionable insights into the commercial real estate space for investors, brokers, lessors, and lessees. He covers quarterly market data reports, investment strategies, how-to guides, and top-down perspectives on market movements.

View of a bridge in Pennsylvania during the day.

Pennsylvania has a strong and diverse economy, with the sixth-largest GDP in the nation. Key industries in the state include healthcare, financial services, manufacturing, and life sciences—all industries that require significant real estate for offices, warehouses, labs, and more.

Pennsylvania's commercial real estate market has continued to recover from the post-pandemic area, with industrial vacancy rates dropping below 3% and rising commercial rents in major cities such as Pittsburgh and Philadelphia. As workers come back to the office, opportunities abound for new commercial real estate agents looking to get their footing.

Here, we'll cover the steps you need to take to get your real estate license and start working as a commercial real estate agent in Pennsylvania.

Steps to Becoming a Commercial Real Estate Agent in Pennsylvania

There are three basic eligibility requirements you need to meet to become a commercial real estate agent in Pennsylvania:

Be at least 18 years old or older;
Have a high school diploma or equivalent degree; and
Be a US citizen or lawful permanent resident.

Pennsylvania doesn't have separate qualifications for residential and commercial real estate, so having your real estate license allows you to work with both.

#1 – Complete 75 Hours of Pre-Licensing Coursework

The first thing you'll need to do is complete your real estate education. Pennsylvania requires aspiring real estate agents to complete 75 hours of pre-licensing coursework.

Real estate pre-licensing courses are split between two sections:

Real Estate Fundamentals: 30 hours; and
Real Estate Practice: 45 hours.

These courses cover various aspects of Pennsylvania real estate law, appraisal, finance, management, and professional ethics, among other topics. You must pass the pre-licensing final exam with at least a 75% to pass the course and move to the next step of the licensing process.

#2 – Take the Pennsylvania Real Estate License Exam

How to Become a Commercial Real Estate Agent in Pennsylvania

The Pennsylvania real estate license exam consists of 120 multiple-choice questions split between two sections: 80 questions covering national real estate and 40 questions covering state real estate.

Topics cover 14 sections, including:

Contracts;
Agency law;
Financing;
Ownership;
Disclosures;
Market analysis;
Land use regulations;
Property management;
And more.

You'll have 150 minutes to complete the national portion of the exam and 60 minutes for the state portion. To pass, you must score at least a 75% on both sections of the exam. You can retake the exam as many times as you want.

#3 – Find a Sponsoring Broker

Pennsylvania agents must find a real estate broker to sponsor them before they can get their license. A broker acts as a supervisor and mentor, so your choice of broker can have a significant effect on your career trajectory. You can find sponsor brokers through web searches or through referrals from colleagues.

You can also join a professional organization like the National Association of Realtors (NAR) to find a sponsor. NAR membership provides access to a national network of agents and brokers from a wide range of property specializations.

If you want to be a commercial real estate agent, you should find a sponsoring broker that specializes in your preferred property type. If you want to buy and sell industrial real estate, for example, it wouldn't make much sense to work with a broker that specializes only in office space.

#4 – Submit a Completed Real Estate Salesperson Application

The last step to becoming a Pennsylvania commercial real estate agent is submitting a license application. You can submit a real estate salesperson application online at the Pennsylvania Licensing System website or print and mail a physical copy.

Like most other states, you must get your fingerprint taken and submit to a background check as part of the application process. Having a felony on your record does not disqualify you from getting your real estate license. The Pennsylvania Real Estate Commission (PREC) decides all applications on a case-by-case basis.

Renewing Your Pennsylvania Commercial Real Estate License

All Pennsylvania real estate licenses expire on May 31st of even-numbered years, meaning you have to renew your license before that time comes.

License holders must complete 14 hours of continuing education (CE) credits: 7 hours of a general module and 7 hours of either a commercial or residential module.

License renewal applications must be completed online, and there is no grace period for renewals of expired licenses. You can renew your license for up to five years after it expires before you will have to resubmit an application.

Getting Your Pennsylvania Commercial Real Estate Broker License

Before applying to become an independent real estate broker in Pennsylvania, you must have at least three years of experience working as a real estate agent or equivalent experience.

Pennsylvania brokers have a large amount of education requirements: You must complete 16 credits, or 240 hours, of instruction from an approved course list.

Additionally, broker applicants must complete at least three courses from the list below:

Real estate investment;
Real estate sales;
Residential construction;
Residential property management;
Appraisal procedures;
Appraisal principles;
Property valuations; and
Real estate finance.

The broker license exam consists of 75 national-level questions and 40 state-level questions. You need to score at least a 60 on the national portion and a 30 on the state portion to pass. If you fail, you can retake the failed portion(s) after two days.

What Is the Average Salary for Commercial Real Estate Agents in Pennsylvania?

Based on data collected by Indeed, the average base salary for a commercial real estate agent in Pennsylvania is $86,597—about 12% lower than the national average salary for commercial real estate agents.

The highest-paid commercial real estate agents in Pennsylvania make $150,000 annually.

What's the Average Salary for Commercial Brokers in Pennsylvania?

According to data gathered by ZipRecruiter, the average salary for a commercial real estate broker in Pennsylvania is $128,592. The highest-paid brokers in Pennsylvania make over $290,000 annually. Pay ranges for brokers can vary widely, indicating a wide range of advancement opportunities for skilled brokers. ,

Pennsylvania Commercial Real Estate Agent Job Outlook

According to NAR membership reports, there are approximately 38,000 active real estate agents in Pennsylvania. The number of commercial real estate agents in Pennsylvania has shrunk by 0.75% over the past year, less than the 0.82% average decline across the country.

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