Why this matters: The DRE’s Real Estate Bulletin keeps licensees informed on behavior contra to real estate rules of conduct, changes in requisite licensing education and new DRE e-services.
It’s that time again! The Fall/Winter 2024 edition of the California Department of Real Estate (DRE) Bulletin looks back on the past year’s accomplishments, licensing trends, new exams and more.
Changes for brokers and agents
Consumer protection education for licensees is emphasized by DRE Commissioner Chika Sunquist to begin the bulletin. Recent license renewal changes include a bias and fair housing update to the content included in 45-hour CE requirements.
All applicants for a salesperson or broker license need to complete a post-2023 revised pre-license course in Real Estate Practice that includes:
- 2 hours of implicit bias training; and
- 3 hours of fair housing with an interactive participatory component.
A broker, directly or via their agent, assisting a buyer as the buyer agent to purchase any type of property must now enter into a written buyer representation agreements (BRA) with the buyer effective 2025, as enacted by California Civil Code §1670.50.
The consumer protection provided by the buyer representation rule addresses common misbehavior of brokers, such as failure to negotiate real estate fees with buyers and engaging in price fixing by fee splitting with a seller agent.
Related article:
Brokerage Reminder: The DRE wants to give brokers the benefit of the doubt
Necessary enforcement
For the fiscal year July 1, 2023 through June 30, 2024, the DRE reviewed 5,342 complaints from consumers and licensees.
The Enforcement Division investigates written complaints against licensees, subdividers and unlicensed individuals. Initially a DRE investigator considers the complaint for violations of law. When disciplinary action is necessary, the complaint is forwarded to the DRE’s Legal Division.
Last fiscal year, the DRE had:
- 1,131 cases recommended for disciplinary action;
- 139 licenses suspended;
- 268 licenses revoked; and
- 44% of investigations completed in less than six months.
The DRE is becoming more vocal about licensee compliance with rules of conduct to organically protect consumers. The DRE’s Consumer Recovery Account Fund paid a total of $727,359 during the 2023-2024 fiscal year for losses inflicted on consumers by licensees.
New publications from the DRE are resources available online with up-to-date legal information: the 2025 California Real Estate Law Book and California Landlord/Tenant Guide.
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Licensing statistics
While the number of newly licensed salespersons and brokers is trending down the DRE is administering more exams compared to the prior fiscal year. In the 2023-2024 fiscal year, the DRE issued new licenses to:
- 21,604 salespersons; and
- 3,465 brokers.
The rate of license renewals by existing brokers and salespersons on expiration remained consistent with the prior fiscal year at:
- 76% of salespersons renewing; and
- 91% of brokers renewing.
This DRE license population at the end of 2024 stands at:
- 309,985 salespersons;
- 95,740 individual brokers;
- 25,067 corporate.
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Declining trends
Given the broader view of licensing trends, the current ratio of active agents to brokers is out of step with an optimal agent-to-broker ratio. Historically, a stable market has approximately 1.5 active agents for every active broker.
Despite the recent decline in newly licensed salespersons the number of active sales agents steadily rose since the 2014 low of 171,100.
The agent-to-broker ratio in 2025 is above 2.5 active agents per active broker despite the last three years of consistently declining property sales volume.
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Testing the DRE test questions
Since 2023, the DRE has been evaluating and collaborating with third-party testing provider PSI Service LLC to update real estate license exams for both salespersons and brokers.
The DRE is about to enter the fourth and final phase of development. After collaborating with subject-matter experts and evaluating thousands of new questions, the implementation of new exams is expected this year.
Updated exam questions were necessitated by the leak of exam content and the consumer protection oversight to ensure buyer representation training in renewal and licensing courses.
Editor’s note — Looking to earn or renew a California DRE license? firsttuesday is a DRE-approved course provider of both statutory licensing courses and 45-hour continuing education.
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A push for e-services
With 91% of DRE applications submitted online, the DRE updated electronic services for applicants and licensees through 2025.
For the 2023-2024 fiscal year, the DRE reported:
- 547,496 eLicensing transactions; and
- 18,500 emails through their information center.
The digital lives of the DRE and licensed real estate professionals merged with the October 2023 launch of the DRE online messaging portal. The DRE eLicensing system provides 24/7 access for application, exam and licensing services. Questions may also be directed to “@sk DRE Licensing.”
Embracing the updates
With demand for online services rapidly growing, firsttuesday’s digital education promotes licensee best practices and the most up-to-date writings and presentation expected by students taking real estate courses.
For 2024 DRE course changes, firsttuesday became the first correspondence school to obtain DRE-approval on the new overriding Real Estate Practice course now required to apply for either a salesperson or broker license. To remain at the forefront of real estate education, firsttuesday provides fully-acted videos, all-encompassing e-books, audio glossaries, interactive games and more.
Now available to prospective agents for enrollment, Real Estate Principles: Video™ pushes the digital legacy, offering an enhanced video library of educational content that entertains as you listen and learn.
Additionally, the Buyer Representation Bonus Training™ is the ultimate boost to the working knowledge of licensees necessitated by 2025 California legislation— and available as a free service to firsttuesday students.
Not a firsttuesday student yet? Enroll in our Become an Agent, Become a Broker and Continuing Education courses at www.firsttuesday.us!
