South Dakota Real Estate Responsible Broker License requirements

Follow these steps in order. Deadlines and affiliation requirements can make a passed exam unusable if they are missed.

1. 1

   Hold two years of active salesperson or broker-associate time

   SDCL 36-21A-31. Inactive months do not count. Original South Dakota entry is broker associate; reciprocal salesperson time also counts because the statute names both titles.

2. 2

   Complete the 24-hour Responsible Broker course

   Commission-approved, beyond the associate level. Raised from 15 to 24 hours effective January 1, 2023. Conditional approval possible if finished within six months of approval.

3. 3

   File the $225 broker application; add $100 if you will qualify a firm

   E&O still required to activate. You become the responsible broker of record. Advertising and trust-fund duties follow the office, not your previous associate affiliation.

4. 4

   Renew by November 30: $125 / two years, 24 hours CE (12 required)

   Same CE map as associates once postlicense is done. Firm renews separately at $125. Late $20 per month.

Minimum age

18 years old

Identification

A Social Security number is required. An ITIN is not confirmed as a substitute.

Residency and identification

U.S. citizen or South Dakota resident on the license-types page. Two years active as a licensed salesperson or broker associate, or a combination (SDCL 36-21A-31). Nonresident broker is a separate application; SDCL 36-21A-54 covers reciprocal office-maintenance privileges. Brokers licensed prior to July 1, 1996 are exempt from the two-year-plus-24-hour upgrade requirements.

Qualifying education

The 116-hour associate course is entry, not the responsible-broker upgrade. SDCL 36-21A-31: twenty-four additional class hours beyond the broker associate level in a Commission-approved course (classroom, independent study, or distance education). 2022 HB 1153 raised that additional block from 15 hours to 24, effective January 1, 2023. Conditional approval is available if everything else is met and the 24 hours are finished within six months of approval. License-types table: 116-Hour Prelicensing Course + 24-Hour Responsible Broker Course.

Education or filing deadline

Conditional responsible-broker approval expires as to the 24-hour condition at six months if the hours are not furnished. The 60-day filing deadline for PSI scores applies only to original associate licensure, not to this upgrade.

Character review

Same denial grounds as the associate bulletin (NSF, felony or moral-turpitude misdemeanor, sister-agency discipline, misstatements, unpaid judgment).

Background process

The same DCI/FBI process applies if the current broker application requires new prints. Failure to cooperate is still grounds for denial.

Experience

Two years of active service as a licensed salesperson or broker associate, or a combination thereof (SDCL 36-21A-31). The statute still names salesperson because reciprocal and pre-1996 salesperson credentials exist; original South Dakota entry today is broker associate. Inactive time does not count as active service.

Broker affiliation

The responsible broker is the broker other associates work under and the person who represents a firm (SDCL 36-21A-38). Firm license is a separate $100 filing. Place of business for a responsible broker is the main office where the Commission may send official communication (SDCL 36-21A-52). A broker associate registers the responsible broker's office, not their own.

PSI, as named on the current broker application. The original associate exams are National 90/100pts at 75% and State 52 at 75% ($98 combo on the 10/1/2023 bulletin). SDCL 36-21A-34.1 path additionally requires the broker examination. · Fee: $98

Original associate retake rules apply only if you are taking or retaking PSI exams. The 24-hour Responsible Broker course is education, not a PSI retake. Conditional approval of the 24 hours is six months, not a retake window.

These are commission or testing-vendor amounts we can cite. School tuition and optional preparation products are private-market prices.

Broker application $225. Firm $100. Renewal broker $125 every two years; firm $125 every two years. Same E&O. PSI fees apply only if you are taking exams; the 24-hour course is tuition to an approved provider, not a PSI fee.

• !

  Calling the 116-hour associate credential a responsible-broker license

  Different statute, different application, different experience. Firm license is extra. A broker associate who opens a brokerage without the upgrade is unlicensed as a responsible broker.

• !

  Using a 15-hour broker-management certificate from before 2023

  2022 HB 1153 raised the additional hours from 15 to 24, effective January 1, 2023. A 15-hour course taken before the amendment does not meet the current requirement. Conditional approval is six months to finish 24, not a waiver down to 15.

• !

  Counting inactive months toward the two years

  SDCL 36-21A-31 says "served actively." Inactive, lapsed, or unassociated time is not active service as a salesperson or broker associate.

• !

  Skipping the firm license when you are the qualifying broker of an entity

  SDCL 36-21A-37 and 36-21A-38: the entity needs a firm license and a designated responsible broker. Individual broker $225 plus firm $100. Place of business is the main office, not your previous associate affiliation.

Nonresident broker application is a separate Commission PDF. SDCL 36-21A-54: brokers from full-reciprocity states need not keep a South Dakota office; brokers from states that do not grant full reciprocity must meet whatever that state requires of South Dakota licensees. Applicants currently licensed elsewhere must still be fingerprinted and carry E&O. A salesperson license from another state is not a South Dakota responsible-broker license.

South Dakota vs neighboring states

Hours are the pre-license total printed in each guide; states that count credits or named courses show “See guide.” Published state fees add the application, exam, initial-license, and fingerprint amounts the guide can cite — tuition is not included.

Is the 116-hour course the responsible-broker license?

No. It is the original broker-associate license (SDCL 36-21A-30.1). Responsible broker is two years active plus 24 additional class hours (SDCL 36-21A-31) and a separate $225 filing. Firm license is extra ($100).

Do I take a PSI exam again for responsible broker?

The license-types table still lists exam score of 75%. Standard associates already passed the broker-associate exams. SDCL 36-21A-34.1 path applicants must complete the broker examination requirements in addition to the 24-hour course. The 24-hour course itself is education, not a PSI product.

Can the Commission let me upgrade before I finish the 24 hours?

Yes, conditioned on finishing the 24 hours within six months of approval (SDCL 36-21A-31). The two years of active time cannot be conditioned away. Pre-July 1, 1996 brokers are exempt from the upgrade education and experience rules.

What does a responsible broker cost to renew?

Broker renewal $125 every two years, due November 30. Firm $125. 24 hours CE with 12 in required subjects. Late $20 per month. E&O still required to stay active.

Can a broker associate run a firm?

No. SDCL 36-21A-38: no license to a corporation, LLC, partnership, or association unless it designates a responsible broker. Firm application is $100. Place of business for the responsible broker is the main office (SDCL 36-21A-52).