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The Louisiana Real Estate Commission was originally created as the State Board of Real Estate by Act 236 of the 1920 Louisiana Legislature. The purpose of the Board was defined by law to "regulate the mode and manner of conducting the affairs and business of real estate."

In 1972, legislative amendments brought major changes to the requirements for licensing. One of the most important additions to the law was the examination requirement, which made it necessary for each applicant to pass a comprehensive written examination prior to becoming licensed as a broker or salesperson. Other important additions include the first education requirement for salespersons and brokers and a required sworn statement from each applicant attesting that the applicant agreed to abide by the provisions of the federal Fair Housing Act of 1968.

During its long history, many positive changes have been enacted that govern the business practices of real estate licensees and that serve to strengthen and reinforce the existing law.