South Dakota Real Estate License Requirements

You’ve got everything you need to know about getting your South Dakota real estate license right here. We’ll cover licensing requirements, exam details, fees, and the documents you need for both brokers associates and brokers.

What you need to get your real estate license in South Dakota

Broker Associates:

• Be at least 18 years of age.
• Be a citizen of the United States or a resident of South Dakota.
• No less than one hundred sixteen classroom hours of a course of study approved by the commission.
• Complete and pass the real estate examination.
• Submit a fully completed license application form provided by the South Dakota Real Estate Commission within 60 days of successfully passing the final portion of the exam.
• Request a set of DCI and FBI fingerprint cards from the Commission office. Once completed, submit the fingerprint cards along with your application and a check for $43.25, payable to DCI (in addition to the licensing fee), to the Real Estate Commission.
• Include a broker´s letter to activate your license with your application (this can be sent later if you wish, but your license will remain inactive).
• Contact the Rice Insurance Services Center to sign up for the group policy covering errors and omissions insurance.

Brokers:

• Be at least 18 years of age.
• Be a citizen of the United States or a resident of South Dakota.
• No less than one hundred sixteen classroom hours of a course of study approved by the commission.
• Complete and pass the real estate examination (multiple choice and simulation).
• Submit a fully completed license application form provided by the South Dakota Real Estate Commission within 60 days of successfully passing the final portion of the exam.
• Provide proof of full-time work under an active principal broker for a minimum of 2 years.
• Request a set of DCI and FBI fingerprint cards from the Commission office. Once completed, submit the fingerprint cards along with your application and a check for $43.25, payable to DCI (in addition to the licensing fee), to the Real Estate Commission.
• Include a broker´s letter to activate your license with your application (this can be sent later if you wish, but your license will remain inactive).
• Contact the Rice Insurance Services Center to sign up for the group policy covering errors and omissions insurance.

What is the passing score for the South Dakota real estate license exam?

The multiple-choice exam consists of 100 national questions and 57 state-specific questions.

The simulation portion consists of 11 simulation problems. Nine of these problems will be used to compute your score. The other two problems are not scored and are being pretested for future examinations.

The minimum passing score for the multiple-choice sections is determined using the Angoff method. In this process, subject-matter experts evaluate the difficulty of each exam question based on what a “minimally competent practitioner” (MCP) is expected to know. These evaluations are then averaged to establish the passing score, which reflects the knowledge level anticipated for an MCP.

The passing score for the simulation exam is determined through a process similar to the method used for multiple-choice sections. During the development of each problem, content experts assessed the sections and established a Minimum Passing Level (MPL) based on the scoring weights assigned to each option. This MPL reflects the performance expected of a “minimally competent practitioner” (MCP). The overall exam includes an Information Gathering (IG) MPL and a Decision Making (DM) MPL, which are the combined MPLs of all IG and DM sections within the test.

What is the time limit for the South Dakota real estate exam?

The time limit for the broker associate exam is 4 hours in total, comprising 2.5 hours for the national portion and 1.5 hours for the state portion.

The time limit for the multiple-choice portion of the broker exam is 4 hours, and for the simulation portion, it is 3 hours.

What to bring for the state of South Dakota real estate license exam?

Two forms of identification. The primary form must be government-issued and current and include your name, signature, and photograph (driver’s license with photograph; state identification card with photograph; passport; military identification card with photograph). Temporary identification is not accepted. Additionally, you must sign a roster to confirm your identity.

The secondary ID must include your name and signature for verification, such as a signed credit card, social security card, or employment/student ID card. If your registration name differs from your ID, you must provide legal proof of the name change, such as a marriage license, divorce decree, or court order.

What is the format of the exam?

The exam, which consists of multiple-choice questions, is taken on a computer.

What is the exam content?

National portion of the multiple-choice exam:

• Property Ownership (8 items)
• Land Use Controls and Regulations (5 items)
• Valuation and Market Analysis (7 items)
• Financing (10 items)
• General Principles of Agency (13 items)
• Property Disclosures (6 items)
• Contracts (17 items)
• Leasing and Property Management (3 items)
• Transfer of Title (8 items)
• Practice of Real Estate (13 items)
• Real Estate Calculations (10 items)

The state-specific portion of the multiple-choice exam:

• Duties and Powers of the Real Estate Commission (4 items)
• Licensing Requirements (6 items)
• Statutory Requirements Governing the Activities of Licensees (42 items)

Broker simulation examination:

• Primary Issues:
  • Agency Relationships and Property Representations.
  • Fair Housing and Other Governmental Regulations.
  • Handling Money.
  • Training and Supervision of Licensees.
    Includes one primary issue that differs across examination forms
• Section Topics:
  • Agency.
  • Contracts.
  • Freehold and Leasehold.
  • Property Management.
  • Finance.
  • Government Regulations and Private.
  • Restrictions.
  • Description and Measurement.
  • Valuation.
  • Conveyance.
  • Calculations.
  • Ethical Behavior (must be incorporated in at least four problems).
• Property Types:
  • Residential.
  • Commercial.
  • Property Management.
    Includes two property types that differ across examination forms.

Sources

• South Dakota Real Estate Commission Information Bulletin
• South Dakota Real Estate Commission