STARTUP COSTS
How Much Money Do You Need to Start a Real Estate Agent Business
Starting a real estate business requires upfront investment. Here is a complete breakdown of licensing, marketing, and monthly costs for new agents in Saskatchewan.
One of the most common questions from aspiring agents is how much money they need to get started. Unlike a typical job, real estate requires upfront investment before you earn your first commission. The good news is the total is manageable, and the right brokerage can reduce many of these costs. Here is what you need to budget for.
At A Glance
Cost Breakdown At A Glance
Licensing: $3,500 - $4,000
UBC Sauder licensing courses (Phase 1 and Phase 2) cost approximately $3,500 to $4,000 total. This includes course materials, access to online modules, and the final exam. Some students spend additional on prep courses or tutoring.
Exam & Registration: ~$600
The Saskatchewan Real Estate Commission (SREC) exam registration fee is around $600. This covers the cost of sitting for the licensing exam and your initial registration as a salesperson.
E&O Insurance: $450 - $500/Year
Errors and omissions insurance is mandatory for all licensed real estate agents in Saskatchewan. Annual premiums typically range from $450 to $500. Your brokerage may have a preferred provider.
Board & MLS Fees: $500 - $1,500/Year
Membership in the Saskatchewan REALTORS Association (SRA) and the local real estate board gives you access to the MLS system. Annual fees range from $500 to $1,500 depending on your board and any additional services you choose.
How It Works
Additional Startup & Monthly Expenses
Beyond licensing, you will need to budget for:
Business cards and marketing materials: $200 – $500. Professionally printed cards, flyers, and signage for open houses.
Website and domain: $100 – $300/year. A professional website is essential. Some brokerages provide one as part of their package.
CRM software: $50 – $150/month. A customer relationship management system helps you track leads and follow-ups. Some brokerages include this.
Transportation: $200 – $500/month. You will drive to showings, open houses, and meetings. Factor in gas, insurance, and maintenance.
Phone and internet: $100 – $200/month. A reliable phone and data plan is non-negotiable for client communication.
Continuing education: $200 – $500/year. Annual CPD courses are mandatory to maintain your license.
Business cards and marketing materials: $200 – $500. Professionally printed cards, flyers, and signage for open houses.
Website and domain: $100 – $300/year. A professional website is essential. Some brokerages provide one as part of their package.
CRM software: $50 – $150/month. A customer relationship management system helps you track leads and follow-ups. Some brokerages include this.
Transportation: $200 – $500/month. You will drive to showings, open houses, and meetings. Factor in gas, insurance, and maintenance.
Phone and internet: $100 – $200/month. A reliable phone and data plan is non-negotiable for client communication.
Continuing education: $200 – $500/year. Annual CPD courses are mandatory to maintain your license.
What Affects Your Income
Total First-Year Investment
Here is what a realistic first-year budget looks like for a new Saskatchewan real estate agent:
Licensing courses (one-time): $3,500 – $4,000.
Exam and registration (one-time): ~$600.
E&O insurance (annual): $450 – $500.
Board and MLS fees (annual): $500 – $1,500.
Marketing and supplies (one-time): $200 – $500.
Monthly expenses (12 months): $5,000 – $10,000. This includes CRM, phone, transportation, and other recurring costs.
Total first-year cost: $10,000 – $15,000. Most of this is front-loaded. After the first year, ongoing costs drop to roughly $500 – $1,500 per month.
Many brokerages, including CENTURY 21 Fusion, offer resources and tools that reduce your upfront costs. Always ask what is included when comparing brokerages.
Licensing courses (one-time): $3,500 – $4,000.
Exam and registration (one-time): ~$600.
E&O insurance (annual): $450 – $500.
Board and MLS fees (annual): $500 – $1,500.
Marketing and supplies (one-time): $200 – $500.
Monthly expenses (12 months): $5,000 – $10,000. This includes CRM, phone, transportation, and other recurring costs.
Total first-year cost: $10,000 – $15,000. Most of this is front-loaded. After the first year, ongoing costs drop to roughly $500 – $1,500 per month.
Many brokerages, including CENTURY 21 Fusion, offer resources and tools that reduce your upfront costs. Always ask what is included when comparing brokerages.
By Career Stage
How to Reduce Your Startup Costs
Choose a brokerage with included tools. Some brokerages provide CRM, website, marketing materials, and desk space as part of their commission split. This can save you thousands in your first year.
Budget for no income for 3-6 months. Most agents don’t close their first deal for 2-4 months after getting licensed. Have savings to cover your living expenses during this period.
Start with a lean marketing budget. Focus on free strategies first: social media, networking, sphere-of-influence outreach. Scale up your paid marketing as commissions come in.
Ask about mentorship programs. A good mentor can help you avoid costly mistakes and close your first deal faster, which means a faster return on your investment.
Track every expense for tax purposes. Almost everything you spend on your real estate business is tax deductible. Keep receipts and work with an accountant.
Budget for no income for 3-6 months. Most agents don’t close their first deal for 2-4 months after getting licensed. Have savings to cover your living expenses during this period.
Start with a lean marketing budget. Focus on free strategies first: social media, networking, sphere-of-influence outreach. Scale up your paid marketing as commissions come in.
Ask about mentorship programs. A good mentor can help you avoid costly mistakes and close your first deal faster, which means a faster return on your investment.
Track every expense for tax purposes. Almost everything you spend on your real estate business is tax deductible. Keep receipts and work with an accountant.
Why The Right
How CENTURY 21 Fusion Keeps Your Startup Costs Low
Starting a real estate business is an investment, but the right brokerage can make it more affordable. At CENTURY 21 Fusion in Saskatchewan, new agents get:
One-on-one mentorship and ongoing coaching to help you close deals faster
A complete marketing and technology package, reducing your upfront costs
Lead programs and a proven client management system
Dedicated admin, conveyancing and listing support so you focus on selling
The backing of the world’s most recognized real estate brand
Not sure if you can afford to start? Come to our monthly Career Cafe and hear directly from our REALTORS about how they managed their first-year costs.
One-on-one mentorship and ongoing coaching to help you close deals faster
A complete marketing and technology package, reducing your upfront costs
Lead programs and a proven client management system
Dedicated admin, conveyancing and listing support so you focus on selling
The backing of the world’s most recognized real estate brand
Not sure if you can afford to start? Come to our monthly Career Cafe and hear directly from our REALTORS about how they managed their first-year costs.
Cost Questions
Frequently Asked Questions About Startup Costs
What is the minimum amount I need to start as a real estate agent?
The absolute minimum is approximately $5,000 – $7,000 to cover licensing, exam fees, and basic supplies. A realistic budget that includes 3 months of expenses is closer to $10,000 – $15,000.
Can I finance my real estate license?
Some training providers offer payment plans for licensing courses. A few brokerages may also offer deferred commission splits or advances. Ask during your brokerage interviews.
Are startup costs tax deductible?
Yes. Licensing, education, marketing, transportation, and most business expenses are tax deductible in Canada. Keep all receipts and consult an accountant who works with real estate agents.
How long until I make my first commission?
Most agents close their first deal within 2-4 months of getting licensed. With strong mentorship and lead programs, some agents close within their first month. Plan for at least 3 months of living expenses.
Do I need a car to be a real estate agent?
A reliable vehicle is essential for showings, open houses, and client meetings. You don’t need a luxury car, but you do need reliable transportation. Factor this into your budget.
Ready to Start Your Real Estate Career?
Tell us a little about yourself and our team will reach out. We will answer your questions about startup costs, brokerage support, and how to get started on the right foot.