A person can't practice in the real estate industry without first acquiring a real estate license. In the United States of America, such real estate license is needed to practice in a particular state. A real estate license issued by one state is not applicable to another state because real estate laws vary. Real estate licensing protects the buyers of real estate property against incompetency and fraud caused by people who pretend to know the real estate business and the state's real estate laws. To acquire a real estate license, one must take an exam administered by the state.

A person must strive to get a real estate license because the license opens a lot of career advancement opportunities. A person gets promoted easily when he/she has already acquired his/her real estate license. The licensed real estate broker is promoted to managerial positions which will open opportunities for training and career development. Because of this managerial experience, a licensed real estate broker can even have better career opportunities outside of the real estate industry. Aside from fast promotion, a licensed real estate broker also has more earning potential. He/she enjoys higher salaries and commissions than any ordinary real estate agent.

A licensed real estate broker also acquires additional knowledge through the pre-licensing courses he/she took prior to taking the real estate license exam. That additional knowledge makes the real estate broker more knowledgeable. It gives him/her confidence in hi
s/her daily real estate transactions. Also, the license is a perfect tool to market oneself. Potential clients trust a licensed real estate broker than his/her unlicensed counterpart.

A licensed real estate broker is recognized by the real estate industry. He/she can be responsible for the operations of the real estate practice. He/she is often recognized as the "broker of record" in the brokerage firm.

A licensed real estate broker can have his/her own brokerage firm which gives him/her the best earning potential. Owning a real estate brokerage provides the best opportunities for growth. The licensed real estate broker can have independent contractors as agents. Employing independent contractors mean lower overhead expenses. Such savings from the overhead expenses can become part of the brokerage's profits. Together with the broker/owner's huge share of the agent's commissions, the profits can be very substantial.

Also, being a licensed real estate broker requires less training hours than the other courses of the other industries. It only takes a few months to take the real estate course, a course which prepares one to take the real estate license exam. Once one acquires a license, he/she can already practice in the industry and start earning income. The cost of education in the preparation for the real estate license exam is a lot cheaper than the cost of education in any other industry which requires a license before a person can practice in that industry. It is also convenient to study a real estate course because such course can be taken online, in a real classroom setting, or through correspondence.