Michigan Real Estate License Requirements (2025)

Michigan Real Estate License Requirements (2025)

Michigan real estate licensing is overseen by the Michigan Department of Licensing and Regulatory Affairs (LARA) through the Michigan Board of Real Estate Brokers and Salespersons. Here are the complete requirements for a Michigan salesperson license.

Eligibility Requirements

To apply for a Michigan salesperson license, you must: - Be at least 18 years old - Have a high school diploma or GED - Be of good moral character - Not have certain criminal convictions (LARA reviews on a case-by-case basis)

Step 1: Pre-License Education — 40 Hours

Michigan requires 40 hours of pre-license education from an approved school. The course covers: - Real estate principles and practices - Michigan license law (MCL Chapter 339, Article 25) - Agency law - Contracts - Fair housing - Michigan Seller's Disclosure Act

Step 2: Pass the Michigan Real Estate Exam

Schedule through PSI. The exam: - 115 questions (80 national + 35 state) - 3 hours - 70% passing score (81 correct) - PSI testing centers throughout Michigan

Both sections must be passed independently.

Step 3: Apply for the License

After passing the exam: - Complete the LARA salesperson application - Pay the application fee - Submit a background check authorization - Provide a licensed Michigan broker's sponsorship signature (salesperson licenses require broker affiliation)

Step 4: Activate Your License

The license is inactive until your sponsoring broker files the affiliation confirmation with LARA. You cannot legally practice real estate in Michigan until the license is active.

License Renewal — Every 3 Years

Michigan licenses renew on a 3-year cycle — longer than most states' 2-year cycles. The exam will test this.

Continuing education: 18 hours per 3-year cycle, including: - 2 hours of legal updates each year (6 hours total over 3 years) - Additional CE in required topics

CE must be completed through LARA-approved providers.

Broker License Requirements

To upgrade to broker in Michigan: - Hold an active Michigan salesperson license for at least 3 years - Have full-time real estate experience - Complete broker pre-license education - Pass the Michigan broker exam

Key Statute Reference

Michigan real estate license law is in Michigan Compiled Laws (MCL) Chapter 339 (Occupational Code), Article 25. The exam expects you to know the MCL citation.

LARA vs. "Commission"

Michigan does not have a standalone "Real Estate Commission." Licensing authority is with LARA through the Michigan Board of Real Estate Brokers and Salespersons. The exam may test this distinction — the correct answer is LARA/Board, not a commission.

Practice Michigan Licensing Questions

[CARealestate.com/states/michigan](https://carealestate.com/states/michigan) has LARA rules and Michigan licensing practice questions. 5 free questions — no signup needed.