Part 107 License vs Drone Registration: What Real Estate Drone Pilots Must Know in 2025

Many new real estate drone pilots think registering their drone is all they need to do. They couldn’t be more wrong. Missing the critical step of obtaining your Part 107 License can land you in serious trouble—not to mention, it could cost you your business.

If you’re serious about using drones for real estate, understanding the difference between these two requirements isn’t optional. Each one serves a unique purpose that keeps your operations legit and your clients confident in your skills.

I’ve worked with hundreds of drone pilots and business owners who were just starting out, and this was their number one question: “What’s the difference? I’m confused” Once you’ve got this down, everything else becomes easier.

In this article, we’ll break down exactly what the Part 107 License is, why it’s different from drone registration, and how each one impacts your ability to work legally in the real estate industry.

If you want to avoid legal pitfalls, check out The Legal Risks of Real Estate Drone Photography.

What Is a Part 107 License?

A Part 107 License is a certification issued by the FAA that allows individuals to operate drones commercially in the United States. It’s specifically required for anyone using a drone for business purposes, such as real estate photography or videography. 

To earn this license, you must pass a knowledge test covering topics like airspace rules and drone safety.

The FAA’s Part 107 exam consists of 60 multiple-choice questions, covering topics like airspace classification, weather effects, and drone performance. To pass, you need to score at least 70%, which means correctly answering 42 out of 60 questions. You’ll have two hours to complete the test.

Many find the exam challenging, especially those without an aviation background. However, with proper preparation, it’s certainly manageable. Pilot Institute offers a comprehensive Part 107 Commercial Drone License Course, featuring over 13 hours of instructional videos, more than 300 sample questions, and unlimited practice tests. Their course is designed to help you pass the exam confidently.

Investing in a quality study program can significantly increase your chances of passing the Part 107 exam on your first attempt. Pilot Institute’s course is priced at approximately $249, which includes lifetime access to all materials and updates.

Considering the potential earnings from commercial drone operations, this is a worthwhile investment in your professional development.

What Is Drone Registration?

Now, let’s talk about drone registration. While the Part 107 License focuses on you, registration is all about the drone itself. The FAA requires you to register any drone that weighs over 0.55 pounds—and spoiler alert, most drones used for real estate fall into this category.

The process is pretty straightforward. You’ll need to provide details like the drone’s make and model, pay a small fee (currently $5 per drone), and label your drone with the registration number. It’s a quick step, but skipping it can lead to fines or even confiscation of your equipment.

Here’s where it gets interesting. hobbyist and commercial registrations are different. If you’re using your drone for fun, a simple registration works. But for real estate work and additional commercial work, you’ll need to register under Part 107. This shows the FAA that your drone is being used for business purposes.

Drone registration lasts for three years, which means you won’t need to worry about renewing too often. It’s a small effort that ensures your drone is officially documented and ready for work.

Key Differences Between Part 107 License vs Drone Registration

                                                                                                                                                                                                     

Aspect	Part 107 License	Drone Registration
Purpose	Certifies the pilot for commercial drone operations.	Documents the drone with the FAA.
Cost	Approximately $175 for the test fee.	$5 per drone for three years.
Timeline	Weeks, depending on preparation time.	Minutes to complete online.
Legal Focus	Validates the pilot’s knowledge and skills.	Ensures the drone meets FAA regulations.
Penalties for Non-Compliance	Fines up to $32,666 per unauthorized flight.	Fines or potential confiscation of equipment.

Why Both Are Essential for Commerical Drone Pilots

Skipping these requirements can put your business at serious risk. Fines and lawsuits aren’t just theoretical—they happen more often than you might think. Clients also expect drone pilots to follow FAA regulations, and failing to meet these expectations can damage your reputation.

Having both a Part 107 License and drone registration gives you credibility in a crowded market. Clients see these as signs of professionalism and responsibility, which can make the difference between landing a big contract or losing it.

Without proper licensing and registration, securing insurance or contracts becomes almost impossible. Most insurers won’t even consider your application without proof of compliance. And if something goes wrong during a shoot, you could end up paying out of pocket for damages.

There have been real-life consequences for pilots who skipped these steps. One real estate photographer lost a key contract after their lack of certification came to light. These mistakes are avoidable, and the stakes are simply too high to ignore.

How to Get Your Part 107 License and Register Your Drone

Step-by-Step Guide to Part 107 Certification

1. Study the Material: Start by learning the FAA regulations and concepts you’ll need for the Part 107 knowledge test. Resources like Pilot Institute offer a comprehensive course ($249) with videos, quizzes, and unlimited practice exams to help you prepare.
2. Schedule the Test: Register for the Part 107 exam through an FAA-authorized Knowledge Testing Center. The fee is $175, and you’ll need to select a date and location that works for you.
3. Take the Exam: The test includes 60 multiple-choice questions, and you’ll need a score of 70% or higher to pass. It’s recommended to allocate at least a few weeks for preparation, depending on your familiarity with aviation topics.
4. Receive Your Certificate: Once you pass, you’ll be issued a temporary license via email. The official certificate will arrive in the mail shortly after.

Step-by-Step Guide to Drone Registration

1. Visit the FAA DroneZone Website: Go to the FAA’s online portal specifically designed for drone registration.
2. Create an Account: If you’re registering for the first time, you’ll need to set up an account with your contact details.
3. Register Your Drone: Provide information about your drone, including its make, model, and serial number. Select “Part 107” if you plan to use it for commercial purposes.
4. Pay the Fee: The registration fee is $5 per drone and is valid for three years.
5. Label Your Drone: Once registered, you’ll receive a unique registration number. Make sure to label your drone with this number, as required by FAA regulations.

Common Mistakes to Avoid

• Skipping Test Prep: Many new pilots underestimate the exam’s difficulty and go in unprepared. A quality prep course can save time and money by ensuring you pass on the first try.
• Using the Wrong Registration Type: Hobbyist registration won’t cut it for commercial drone work. Make sure you register under Part 107 if you plan to use your drone for real estate photography or any other paid work.
• Forgetting Renewal Dates: Both your license and registration have expiration dates. Keep track of when renewals are due to avoid interruptions in your work.

Total Cost Breakdown

If you’re using Pilot Institute for test preparation, your total investment will be $424. This includes $249 for the training course and $175 for the FAA knowledge test. Drone registration adds $5 per drone, so plan accordingly if you’re operating multiple drones.

Conclusion

If you’re aiming to make $100,000–$250,000 a year as a commercial drone pilot, these two steps are where it all begins. Securing your Part 107 License and registering your drone are essential not just for legality, but for building trust with clients and landing high-paying gigs.

Want to dive deeper into what it takes to succeed? Check out my comprehensive guide on real estate drone photography for strategies that can help you grow your drone business and maximize your earnings potential.

FAQ – Part 107 License vs Drone Registration

Do I need a Part 107 License to fly my drone commercially?

Yes, if you plan to use your drone for any commercial purposes—such as real estate photography, surveying, or inspections—you must obtain a Part 107 License from the FAA. This certification ensures you understand the regulations and safety procedures for operating drones in the national airspace.

Is drone registration required for both recreational and commercial use?

Yes, the FAA requires drone registration for both recreational and commercial use. For recreational flyers, drones weighing more than 0.55 pounds (250 grams) must be registered. 

For commercial operations under Part 107, all drones, regardless of weight, must be registered individually. Registration is straightforward and costs $5 per drone, valid for three years.

Any drone that is under 0.55 pounds and used for recreational use does not need to be registered.

What are the penalties for flying a drone commercially without a Part 107 License?

Operating a drone commercially without a Part 107 License can result in significant penalties, including fines of up to $32,000+ per unauthorized flight. 

Now, unregistered drones may be subject to further fines and potential confiscation. Compliance with FAA regulations is crucial to avoid legal and financial repercussions.

How do I prepare for the Part 107 knowledge test?

Preparing for the Part 107 knowledge test involves studying topics like airspace classification, weather effects, and drone performance. Many find enrolling in a comprehensive prep course beneficial. 

For example, Pilot Institute offers a course with over 13 hours of instructional videos, more than 300 sample questions, and unlimited practice tests to help you pass the exam confidently.

Can I fly my drone over people or at night with a Part 107 License?

Under standard Part 107 rules, flying over people or at night is prohibited without a waiver. However, recent updates allow for operations at night and over people under specific conditions without a waiver, provided you meet the updated requirements, such as completing updated training and equipping your drone with appropriate lighting for night operations.