Kentucky Real Estate License Requirements & Costs in 2022

Kentucky Real Estate License Requirements

Looking to get your real estate license in Kentucky? You’ve come to the right place! In this blog post, we’ll provide an overview of Kentucky’s real estate license requirements for 2022 and the associated costs.

We’ll also share some tips on how to save money during the Kentucky real estate licensing process and how to pass the real estate exam.

Whether you’re just starting or are an experienced agent looking to relocate, this post will help you get started on the right foot.

Choose a specific topic in our table of contents below or keep reading the Kentucky Real estate license requirements step by step.

Obtaining your Kentucky Real Estate License is the first step toward becoming a Kentucky real estate agent. A large portion of this process can now be completed almost entirely online. However, you must still take your license exam in person.

To become a Kentucky real estate agent, you must first meet the following requirements and complete the following steps to pass the Kentucky Sales Associates Exam.

Kentucky Real Estate License Prerequisite Requirements

Before we get started with the 6 steps needed to get your Kansas real estate license, there are a few minimum prerequisite requirements you will need to meet.

  1. You must be a citizen of the United States or a lawfully admitted alien.
  2. You must be 18 years of age or older.
  3. You need, at minimum, a high school diploma or equivalency certificate (GED).

If you intend to work in states other than Kentucky, you must know Kentucky’s real estate license reciprocity and portability laws.

Kentucky and Ohio have reciprocity agreements, and if you have held an Ohio license for at least a year, you can obtain your Kentucky real estate license by completing 40 hours of reciprocal license law education, submitting fingerprints, and taking the reciprocal license exam.

In terms of portability, Kentucky is also a turf state. A turf state prohibits out-of-state agents or brokers from conducting any business in their state, either in person or remotely.

The only way to work with clients in a turf state is to refer them to a turf state licensee. See the real estate license reciprocity and portability guide to learn more about real estate license portability in Kentucky.

Kentucky Real Estate License Requirements

Now let’s get to the exciting part with an outline of the 6 steps you’ll need to complete so that you can become a licensed real estate agent in Kentucky!

Step 1: Complete a Kentucky 96 hour Real Estate Pre-Licensing Course

The pre-licensing course can be taken in person or online at an accredited real estate school in Kentucky to fulfill your 96 hours of pre-licensing education requirements.

The following topics will be covered in the KREC-approved classes:

  • Ownership of KentuckyProperty
  • Land Use Regulations
  • Valuation and Market Analysis
  • Financing
  • General Principles of Agency
  • Kentucky Property Disclosures
  • Kentucky Leasing and Property Management
  • Transfer of Title in Kentucky
  • Kentucky Requirements for a Real Estate License

You can use six academic credit hours in real estate courses from an accredited college or university.

We recommend The CE Shop for Kentucky real estate pre-licensing.

How Much Does The Kentucky Real Estate Pre-Licensing Course Cost?

The cost ranges from $349 to $679 depending on your pre-licensing school choice and the course package.

Step 2: Get Your Background Check and Fingerprinting

After completing the prelicensing education requirements, the next step is to complete your fingerprinting and background check. Before you become a licensed real estate agent in Kentucky, the Kentucky Real Estate Commission requires all applicants to undergo a background check.

Go to your nearest Kentucky law enforcement agency and have your fingerprints taken. It is advised that you get your fingerprints taken at a police station or sheriff’s office. For fingerprinting, the Kentucky State Police charge a fee of $10.

You can now request/order an FBI report after taking your fingerprints. All national criminal history checks are valid for 90 days from issuance. Get your national criminal history check in two ways:

  1. Through the FBI, it costs $18 and takes about a week to process (results will be mailed to you).
  2. Through Kentucky State Police, which costs $33.35 and has a processing time of 1-2 weeks on average (the report is mailed to KREC).

The background check process will begin once you have completed and returned your fingerprints.

To ensure your eligibility, the Kentucky Real Estate Commission will review any findings in your background report, and they may contact you during this process to obtain additional information.

If you have a history of criminal offenses or judgments against you, you may be ineligible for a real estate license in Kentucky.

Step 3: Take and Pass the Kentucky Real Estate License Exam

After you’ve finished your Kentucky pre-licensing education and fingerprinting it’s exam time!

You will be required to get a 75% score or higher to have a passing grade on the Kentucky real estate exam.

What’s The Pass Rate For The Kentucky Real Estate Exam?

The average pass rate for the national portion of the real estate exam is 65%, while the state portion pass rate is just 50%.

That’s a pretty low pass rate but choosing the right Kentucky real estate pre-licensing school can certainly help you prepare for the exam.

For example, students who took their Kentucky real estate pre-licensing course through The CE Shop had an 82% pass rate on the national portion and a 61% pass rate on the state exam. That’s an impressive increase from the average.

Kentucky Real Estate Exam Pass Rates

Considering the price rate for the Kentucky real estate exam is quite poor, we would recommend that you take a real estate exam prep course.

Kansas Real Estate Exam Prep Courses

PrepAgent Kansas Exam Prep
Real Estate Exam Scholar
Real Estate Express Exam Master Kansas

There is no set time limit for taking the exam after finishing your courses, so you are encouraged to take it if you need extra study time.

The Kentucky real estate license exam is computer-based, so you will receive your results as soon as you finish. When you pass or fail the exam, you will be notified.

If you fail, you will be given a diagnostic report outlining your weaknesses and strong areas. Depending on what portion of the Kentucky real estate exam you failed, you can reschedule it within 24 hours and retake it as many times as you need within four months. If you go more than four months without passing both parts, you will have to retake the entire exam.

What’s the Format Format of the Kentucky Real Estate Exam?

1). Multiple choice options.
2). Test Length. 130 questions: 80 questions with a national focus and 50 state-specific questions.
3). Time Limit: 240 minutes

What Items To Bring To The Items to Bring to the Exam

  • Two (2) forms of valid identification with signatures are required:
  • One ID must ideally be a government-issued photo ID (passport or driver’s license).
  • Your signature and legal name must be on the second piece of identification.

How To Schedule Your Kentucky Real Estate Licensing Exam?

PSI, a national provider of state licensing exams, administers the Kentucky real estate exam. To begin scheduling, you must first create an account on the PSI Kentucky website, granting you access to the scheduling portal.

You will be given a copy of the Kentucky Candidate Information Bulletin for additional testing information.

The Kentucky real estate exam fee is $100, which can be paid directly on the website with a credit or debit card.

How Hard Is The Kentucky Real Estate Exam?

When taking the Kentucky Real Estate Salesperson Exam you will need a 75% passing score. This test is usually difficult, but if you choose a good pre-licensing school, study hard, and take an exam prep course, you should be able to pass it on your first try.

You can register to take your exam on the PSI Kentucky Real Estate page. Other useful resources are available in the Candidate Handbook and Content Outline.

Step 4: Choose a Kentucky Real Estate Broker to Work For

To keep your Kentucky real estate license active, you must find a sponsoring brokerage to affiliate your license with. Lucky there are many in Kentucky to choose from.

Step 5: Purchase Errors and Omissions Insurance.

All active Kentucky agents are required to have errors and omissions insurance (E&O), which protects real estate businesses from mistakes made while providing professional services. E&O can be obtained from the KREC or a private company.
KREC collaborates closely with Rice Insurance Services Company, LLC to provide affordable options, but please check with your principal broker to confirm their firm’s coverage requirements. More information is available on the KREC website.

Step 6: Fill Out an Application for a Kentucky Real Estate License

Once you’ve decided on a brokerage with which to affiliate your license, the final step is to submit your real estate application.

After passing the exam, you must apply for your license within 60 days.

You will get a paper application from the testing center, which you must fill out and return to the KREC. You can also apply online; after passing the exam, you will receive an email from ppc.krec@ky.gov with a link to apply online.

The following forms must be submitted with your Kentucky real estate application:
• Certificate of completion of the pre-license sales associate course.
• A copy of your high school diploma, GED, or college transcript is required.
• Proof of insurance coverage for errors and omissions.

Suppose you have previously or currently held a real estate agent license in another jurisdiction. In that case, you must submit a license history certification for each state where you have previously or currently hold a license.

Kentucky licensing fees are $130 for an active license and $120 for an inactive license. 

Payment for the paper application can be made by check or money order.
Payment for the online application can be made using a credit or debit card or an electronic check (ACH)

Individuals with a criminal record are not automatically disqualified from obtaining a Kentucky real estate license. The KREC evaluates applications on a case-by-case basis to determine whether to grant a license, with a particular focus on whether the applicant’s crime is directly related to the occupation of a real estate agent. AFTER INVESTIGATING THE CRIME, the KREC will either order the candidate to appear for a hearing or approve the application.

What’s the Total Cost to Get a Kentucky Real Estate License?

The following are the costs for obtaining your Kentucky real estate salesperson license:

  1. The 96-hour Kentucky Pre-licensing Course Costs About $249 (this cost varies based on school).
  2. The Kentucky State Exam Costs $100.
  3. The Fee for Fingerprinting is $69.25*
  4. Kentucky E&O Insurance Costs About $116**
  5. The Kentucky Real Estate Licensing Application Costs $130.

Based on these calculations, the total Kentucky real estate licensing cost is about $664.25.

These fees are spread out throughout the licensing process rather than being paid all at once.

*This fingerprint fee combines the FBI report and the Kentucky state police fees.

**The $116 fee is for the Kentucky Real Estate Commission’s group E&O program, with the option to add basic limited liability insurance. There may also be a municipal surcharge depending on where you live.


Getting Your Kentucky Real Estate License FAQs

Are attorneys exempt from the requirements for a Kentucky real estate license?

Attorneys, like all other applicants, must meet the same requirements.

However, if the attorney completed six credit hours in law school in Contracts I, Property I, Property II, and other real estate-specific courses, these hours may be used to fulfill the education requirements for the sales associate license.

Is it possible to obtain a Kentucky real estate license if I did not complete high school?

No, you will require an education equivalent to a high school diploma or GED.

A copy of a college degree or transcript showing completion of at least 28 credit hours from a college or university will also be accepted. You must take more steps if you graduate from high school outside of the United States.

Where can I take the Kentucky real estate exam?

PSI can schedule your Kentucky real estate exam by calling 833.892.5441 or visiting their website.

Can a convicted felon obtain a Kentucky real estate license?

In Kentucky, felons can obtain a real estate license; however, the candidate’s criminal record must be reviewed and approved by the Kentucky Real Estate Commission before beginning classes.

What are the requirements for Post-Licensing and Continuing Education for agents?

Within two years of initial licensure, new sales licensees must complete 48 hours of Post-Licensing training.

Additional Post-Licensing questions can be found here. All other agents must complete six hours of Continuing Education.

What courses do I need to get a Kentucky real estate license?

Real estate principles, real estate appraisal, brokerage management, real estate finance, real estate law, real estate marketing, property management, real estate investment, home inspection, commercial real estate, construction and blueprints, real estate auction, land planning and zoning, urban planning, and advanced appraisal topics are all required for Kentucky students.

Is there real estate license reciprocity between Kentucky and other states?

The only reciprocity agreement Kentucky has is with the state of Ohio. To qualify for licensure, active Ohio agents must affiliate their license with a Kentucky Principal Broker and complete a reciprocal course and Post-Licensing requirements.

To expedite the application process, agents should learn as much as they can about reciprocity between Ohio and Kentucky. Personalized reciprocity questions can also be directed to the Kentucky Real Estate Commission.

Final Take Away

Getting a real estate license in Kentucky is not an easy task. However, armed with the step-by-step guidelines we have shared above, there is no reason why you should not start practicing a lucrative real estate career in Kentucky!

View the real estate licensing requirements for a different state or learn about the best online real estate schools in Kentucky.

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