How long does it take to get a South Dakota real estate license?

Plan on roughly 2 to 4 months. The 116-hour pre-licensing course is the long pole — full-time students can push through in about a month, while most people studying nights and weekends need 6-10 weeks. After that, the PSI exam, fingerprint processing, and Commission review of your application typically add a few more weeks.

How much does a South Dakota real estate license cost?

Expect roughly $1,450 to $2,100 all-in. The big line items: the 116-hour course (typically $900-$1,500 depending on the school), the $98 PSI exam fee, $43.25 for the DCI/FBI background check, the $225 application fee, and E&O insurance if you activate your license right away.

What score do I need to pass the South Dakota exam?

75%. The SD Real Estate Commission requires an exam score of 75% for the Broker Associate license, and you'll need to hit that mark on both the 90-question national section and the 52-question South Dakota state-law section of the PSI exam.

Do I need a broker before I apply in South Dakota?

You need one before your license can be issued as active. You can complete the course and pass the exam on your own, but the application asks who you'll be associating with, and active issuance requires a responsible broker plus proof of E&O insurance. If you're not ready to pick a brokerage, you can be issued on inactive status and activate later.

Can I get a South Dakota real estate license with a felony?

It's not an automatic no, but it's a real hurdle. Under SDCL 36-21A-33, the Commission may deny a license for a felony conviction, unpaid judgments, or misstatements on the application. Every applicant goes through a fingerprint-based DCI and FBI background check, so disclose everything up front — the Commission weighs each case individually, and concealment is worse than the conviction itself.

Why is South Dakota's entry-level license called 'Broker Associate' instead of 'salesperson'?

South Dakota skips the salesperson tier entirely for new licensees. Everyone entering the business completes the same 116-hour broker-level education and starts as a Broker Associate working under a responsible broker. The salesperson license still exists on the books, but it's reserved for reciprocal applicants who hold that license type in another state. After two years of active status (plus a 24-hour course), you can step up to Responsible Broker.

South Dakota · SD

How to get your South Dakota real estate license

Everything you need to earn a South Dakota salesperson license — from eligibility to your first sponsoring broker.

Requirements last verified July 8, 2026 by Matt Cochrell, licensed broker.

Quick answer · Verified July 8, 2026

How to get a South Dakota real estate license

Hours required: 116 hrs
Total cost: $1,450 – $2,100
Typical timeline: 8–16 weeks
Minimum age: 18+

Step 1

Confirm you're eligible for a South Dakota real estate license

You must be at least 18 years old and hold a high school diploma or GED to apply for a South Dakota real estate license. A criminal background check is required — most non-violent offenses are reviewed case-by-case.

Step 2

Complete 116 hours of pre-licensing education

Note: Here's the twist: South Dakota doesn't issue a 'salesperson' license to new applicants — everyone starts as a Broker Associate, and that requires a 116-hour Commission-approved pre-licensing course (confirmed on the SD Real Estate Commission's License Types page). That's one of the longest entry-level education requirements in the country. The salesperson license exists only for reciprocal applicants moving in from other states.

Confirm you're eligible: at least 18 years old and a U.S. citizen or South Dakota resident (SDCL ch. 36-21A).
Enroll in a Commission-approved 116-hour Broker Associate pre-licensing course — classroom, independent study, or approved distance education all count (approved provider list is on dlr.sd.gov/realestate).
Work through SD license law, agency, contracts, property management, finance, and federal real estate law — the course tracks directly to the exam outline.
Get your certificate of completion — you'll submit it with your license application, so keep the original handy.

Step 3

Pass the South Dakota real estate exam

South Dakota uses PSI to administer the licensing exam. You'll need a passing score of 75% on each section (SDREC requires an exam score of 75%). The exam fee is $98. Expect roughly 100 national questions and 40–50 state-specific questions. Format: Computer-based at PSI test centers (schedule at test-takers.psiexams.com/sdre); two multiple-choice sections — 90 national questions and 52 South Dakota state-law questions. Note: the state's fee schedule page still lists $294 for '3 portions,' but the current PSI candidate bulletin shows two sections at $98 per sitting — the simulation section was retired..

Step 4

Apply for your South Dakota license

Pass both sections of the PSI Broker Associate exam ($98 per sitting; the fee is due again for retakes and registration is valid 12 months).
Request DCI and FBI fingerprint cards from the SD Real Estate Commission, complete them (sign and date the back of each), and include a $43.25 check payable to DCI for the state/federal background check.
Submit the Broker Associate license application with the $225 application fee, your original exam score reports, and your 116-hour course certificate of completion.
Line up a responsible broker to associate with if you want an active license — active issuance also requires proof of errors & omissions (E&O) insurance.
Wait for Commission approval; the Commission can deny applications for felony convictions, unpaid judgments, or misstatements under SDCL 36-21A-33.
Once issued, plan for post-licensing: 60 hours total (two 30-hour blocks) across your first two active license periods before you shift to the standard 24-hour CE cycle.

Step 5

Find a sponsoring broker

Your South Dakota license stays inactive until a licensed broker sponsors you. Interview at least 2–3 brokerages, compare commission splits, training, and lead sources, and pick the one that fits your career goals — not just the highest split.

South Dakota real estate license cost breakdown

Here's a realistic estimate of everything you'll pay to earn your license. Course price is the largest variable — state fees are fixed.

Cost breakdown
Item	Amount
116-hour pre-licensing course	$1,100
PSI exam fee (per sitting)	$98
DCI/FBI fingerprint background check	$43.25
License application fee	$225
E&O insurance (approx. first year, active license)	$200
Estimated total	$1,666

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Frequently asked questions

Renewal: Every 2 years — $125 renewal fee; after your 60 post-license hours are done, active licensees complete 24 hours of CE (at least 12 in Required topics) per two-year cycle.

Moving your license?

See how South Dakota handles out-of-state licenses — full reciprocity, partial agreements, recognition, or start-over — and how every other state stacks up.

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