Michigan Real Estate Exam Topics: Full Breakdown

Michigan Real Estate Exam Topics

The Michigan salesperson exam is 115 questions — 80 national and 35 state. Here is the complete topic breakdown based on PSI's published content outline.

National Section (80 Questions)

1. Property Ownership (~8%) — Estates in land, types of ownership, encumbrances, easements, air and water rights.

2. Land Use Controls and Regulations (~5%) — Zoning, eminent domain, deed restrictions, environmental regulations.

3. Valuation and Market Analysis (~7%) — Three approaches to value, market value definition, CMA preparation.

4. Financing (~10%) — Loan types (conventional, FHA, VA), RESPA, TILA, qualifying ratios, foreclosure methods.

5. General Principles of Agency (~13%) — Fiduciary duties, agency types, buyer agency, dual agency, disclosure obligations.

6. Property Disclosures (~6%) — Seller disclosure, lead paint, environmental hazards, stigmatized property.

7. Contracts (~17%) — Validity elements, listing agreement types, purchase agreements, contingencies, option contracts, breach.

8. Transfer of Title (~8%) — Deed types, title insurance, closing procedures, recording.

9. Practice of Real Estate (~13%) — License law, advertising, antitrust, ethics overview.

10. Real Estate Calculations (~10%) — Commission splits, proration, property tax, GRM, loan math.

State Section (35 Questions)

LARA and Board Structure — Michigan Department of Licensing and Regulatory Affairs; Michigan Board of Real Estate Brokers and Salespersons (9 members); licensing authority and discipline.

Michigan License Law — MCL Chapter 339, Article 25; 40-hour pre-license requirement; 3-year renewal cycle; 18 CE hours per cycle including 2 hours legal updates annually.

Michigan Seller's Disclosure Act — Required for residential 1–4 unit sales; timing of disclosure; what must be disclosed; buyer's right to rescind after receiving disclosure.

Michigan Agency Law — Written buyer's agent agreement required for buyer representation; agency disclosure at first contact; dual agency with written consent; designated agency.

Michigan Transfer Tax — State rate: $3.75 per $500; county rate: $0.55 per $500; combined approximately $4.30 per $500; who pays and exemptions.

Riparian Rights — Property owners bordering water bodies have specific rights; Great Lakes riparian issues; distinction between riparian rights and littoral rights (ocean/tidal water).

Michigan Foreclosure — Michigan is a mortgage state; right of redemption typically 6 months post-sale; judicial and non-judicial foreclosure methods.

Michigan Deed Types — Warranty deed as standard; quitclaim deed for clearing title; land contract (installment sale) common in Michigan.

Michigan Fair Housing — Federal 7 classes plus Michigan additions: sexual orientation, gender identity, marital status.

Michigan Environmental — Radon, lead paint, CERCLA/Superfund sites; Michigan Environmental Protection Act (MEPA) basics.

Study Priority

Focus most time on: 1. Contracts (17% of national) 2. Agency (13% of national + state rules) 3. Michigan Seller's Disclosure Act 4. Michigan Transfer Tax calculation 5. Riparian rights (Michigan-specific, heavily tested)

Practice by Topic

[CARealestate.com/states/michigan](https://carealestate.com/states/michigan) has topic-specific Michigan practice questions for every tested area. 5 free questions — no signup needed.