Real Estate Agent Permit Requirements in Paterson, NJ

1. EIN (Employer Identification Number)

   Required if you have employees or operate as an LLC or corporation. Free from the IRS.

   Official government source

   Free·Immediate (online application)

   Free

   Immediate (online application)

1. New Jersey Division of Taxation — Sales Tax Certificate of Authority

   Required for all businesses selling taxable goods or services in New Jersey. New Jersey charges a 6.625% state sales tax. Most services are exempt; retail product sales and certain services are taxable. Register free online via the State of New Jersey Business Registration portal.

   Official government source

   Free·Immediate to 3 business days (online)

   Free

   Immediate to 3 business days (online)

2. New Jersey Real Estate Errors & Omissions (E&O) Insurance

   While not always legally required, most brokerages in New Jersey require agents to carry Errors and Omissions insurance. E&O coverage protects agents from claims arising from mistakes or negligence in real estate transactions.

   Official government source

   $300–$1,000/year·Immediate (once licensed)

   $300–$1,000/year

   Immediate (once licensed)

1. New Jersey Real Estate Commission — Salesperson or Broker License

   Real estate agents in New Jersey are licensed by the New Jersey Real Estate Commission (REC), a division of the Department of Banking and Insurance, under N.J.S.A. 45:15-1 et seq. Salesperson licensure requires a 75-hour Commission-approved pre-licensure course, available live-remote or in person, and passing the state examination administered by PSI Services. A salesperson license must be held with a sponsoring licensed broker to be active. Broker licensure requires additional Commission-approved pre-licensure education plus qualifying experience as a licensed salesperson. All licensees complete continuing education each renewal cycle.

   Official government source

   $160 for an initial salesperson license and $100 to renew; $270 for an initial broker or broker-salesperson license and $200 to renew; a branch office is $150 initially and $100 to renew (NJ REC fee schedule). PSI examination and fingerprinting fees are charged separately.·Complete the 75-hour course, pass the PSI examination, then apply through your sponsoring broker; the license is issued once the application and background check clear.

   $160 for an initial salesperson license and $100 to renew; $270 for an initial broker or broker-salesperson license and $200 to renew; a branch office is $150 initially and $100 to renew (NJ REC fee schedule). PSI examination and fingerprinting fees are charged separately.

   Complete the 75-hour course, pass the PSI examination, then apply through your sponsoring broker; the license is issued once the application and background check clear.

2. City of Paterson Health & Human Services — Mercantile License

   Paterson city ordinance requires businesses operating in the city to register and obtain a Mercantile License, administered by the Mercantile Licensing division of the Department of Health & Human Services. A mercantile inspector visits the business as part of the process, which the city describes as a consumer-protection function that also provides technical assistance to businesses. Note that Paterson has no 'Department of Business Administration' — the city's departments are Administration, Community Development, Economic Development, Finance, Health & Human Services, Legal, Municipal Court, Public Safety and Public Works. Businesses in regulated industries need additional permits from the relevant division, such as retail food licensing from the Division of Health or construction permits from UCC Construction/Buildings.

   Official government source

   Paterson does not publish a Mercantile License fee schedule online; the fee is set by city ordinance and varies with the type of business. Contact Mercantile Licensing through City Hall at 973-321-1600 for the amount that applies to you.·Paterson's permitting and licensing system is being moved online. Apply through Mercantile Licensing and allow time for the mercantile inspection before you open.

   Paterson does not publish a Mercantile License fee schedule online; the fee is set by city ordinance and varies with the type of business. Contact Mercantile Licensing through City Hall at 973-321-1600 for the amount that applies to you.

   Paterson's permitting and licensing system is being moved online. Apply through Mercantile Licensing and allow time for the mercantile inspection before you open.

Official Sources

• New Jersey Real Estate Commission — Salesperson or Broker License
• City of Paterson Department of Business Administration

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