Michigan Real Estate Exam Guide: The Salesperson Exam, Explained

PassProfessor’s Michigan program. The 19,859-question Michigan practice bank is built to PSI’s current content outline, and enrollment is open. Use this guide to plan your path to the exam.

The Michigan salesperson exam, in one paragraph

The Michigan real estate salesperson examination is the licensing exam for Michigan’s real estate salesperson license, administered by PSI Services LLC under contract with the Michigan Department of Licensing and Regulatory Affairs (LARA). It is a single computer-based exam of 115 questions in 180 minutes: 80 questions on national real estate principles and practices and 35 on Michigan state laws and rules. PSI’s Examination Summary Table lists the passing standard as 80 of 115 points, a passing percentage of 70. Before you may sit it, Michigan law requires at least 40 clock hours of approved prelicensure education, and you must apply to the state through MiPLUS and be authorized by the Department before PSI will schedule you.

Who can take the Michigan salesperson exam?

Michigan’s salesperson license is governed by Article 25 of the Occupational Code (1980 PA 299), administered by LARA’s Bureau of Professional Licensing with the Board of Real Estate Brokers and Salespersons. The requirements that stand in front of the exam are:

  • Complete 40 hours of approved prelicensure education first. MCL 339.2504 provides that before an applicant is permitted to take the salesperson examination, the applicant must show proof of at least 40 clock hours of approved prelicensure classroom courses in principles of real estate, including at least 4 clock hours of instruction on civil rights law and equal opportunity in housing. The 40 hours must be completed within the 36-month period preceding the date of application — let them age past that window and they no longer count.
  • Apply to the state through MiPLUS. Paper applications are no longer accepted. Salesperson candidates apply on Michigan’s MiPLUS system (www.michigan.gov/miplus); the Department — not PSI, and not the candidate — determines eligibility for a license, and the Department electronically submits your authorization to test to PSI. Only then do you schedule with PSI.
  • Have an employing broker lined up. A salesperson practices under a licensed real estate broker, and the Occupational Code provides that an application for a salesperson’s license shall be signed by the real estate broker that will employ the applicant. A salesperson’s license is issued only to an individual — never to a company or other business entity.
  • Be prepared to show good moral character. Before issuing a license, the Department may require and procure satisfactory proof of an applicant’s business experience, competence, and good moral character. Answer the application’s disclosure questions fully and honestly; the Department, not the exam, is the judge of that file.

One structural point candidates often get backwards: in Michigan the state application comes before the exam, not after it. The sequence is course → MiPLUS application → Department authorization → PSI scheduling → exam → license.

The exam, piece by piece

The exam is one sitting and one combined result, built from PSI’s Michigan content outline (Candidate Information Bulletin, updated 7/6/2026). It has two content parts, but PSI’s summary table publishes a single passing standard for the whole 115-question exam — the bulletin does not set a separate pass mark for each part.

National portion — Real Estate Principles and Practices (80 questions)

PSI publishes the national outline as percentage weights for the salesperson exam:

SectionWeightWhat it covers
I. Property Ownership10%Real vs. personal property; land characteristics and legal descriptions (metes and bounds, lot and block, government survey); encumbrances; forms of ownership
II. Land Use Controls5%Government rights (taxation, eminent domain, escheat); government controls (zoning, building codes, environmental); private controls (deed restrictions, CC&Rs, HOA rules)
III. Valuation8%Appraisals and when a licensed or certified appraiser is required; the sales comparison, cost, and income approaches; CMA, BPO, and AVM
IV. Financing10%Loan concepts (points, LTV, PMI, PITI); loan types (conventional, FHA, VA, USDA, ARM, land contract, reverse, construction); RESPA, TILA/Regulation Z, TRID, ECOA
V. Contracts19%General contract law; purchase and lease contracts, contingencies, counteroffers; the closing process
VI. Agency13%Agency and non-agency relationships; agent duties to principals and to customers; agency disclosures; special processes (foreclosure, short sale, probate)
VII. Property Disclosures7%Seller disclosure requirements; property conditions warranting inspection or survey; environmental and government disclosures; material facts and defects
VIII. Property Management3%Property manager duties; fair housing and ADA in management; landlord and tenant rights and obligations
IX. Transfer of Title6%Deeds; title insurance and searches; marketable and insurable title; the closing process and special transfers
X. Practice of Real Estate12%Fair housing law and prohibited conduct; antitrust, Do-Not-Call, advertising and social media rules; licensee duties and responsibilities
XI. Real Estate Calculations7%Transaction calculations (seller’s net, buyer funds, prorations, transfer fees, PITI estimates); equity, capitalization rate, LTV, discount points

Michigan-specific portion — Michigan State Laws and Rules (35 questions)

PSI publishes this portion as exact item counts:

AreaQuestionsWhat it covers
Duties and Powers of the Department and the State Board of Real Estate3The Department’s and Board’s general powers; investigations, conferences, hearings, and exemptions; penalties
Licensing Requirements5Activities requiring a license and exemptions; types of licenses; eligibility; renewal including continuing education; transfer or change of license
Statutory Requirements Governing the Activities of Licensees10Advertising; commissions and fees; disclosure and conflicts of interest; handling of contracts, documents, and listings; handling of monies and trust accounts; record keeping; inducements; stigmatized property; closing responsibilities
Contractual Relationships5Michigan agency relationships — transaction coordinator, designated agency, dual agency; agency disclosures; broker/salesperson relationships; service provision agreements
Additional State Topics12The Land Division Act (private road disclosure); Michigan fair housing (Elliott-Larsen Civil Rights Act, Persons with Disabilities Civil Rights Act); the Landlord Tenant Relationships Act and Truth in Renting Act; state transfer tax; the Michigan Condominium Act; MSHDA; the Uniform State Antitrust Act; the Michigan Right to Farm Act; land contract law changes under Dodd-Frank
Total Michigan portion35

Three structural facts that shape how you should prepare:

  1. Contracts is the exam’s center of gravity. At 19% of the national outline it is worth roughly 15 national questions — more than Property Management, Land Use Controls, and Transfer of Title combined. Agency (13%) and Practice of Real Estate (12%) follow.
  2. Michigan law is 35 of 115 questions — 30% of the exam. It is also the most concrete material tested: which form, which deadline, which dollar rule, under which Michigan act. Candidates who prepare from a national textbook alone walk in underprepared for nearly a third of the test.
  3. Additional State Topics is the single biggest Michigan area. At 12 of the 35 Michigan questions, it outweighs the other Michigan areas — and it is a survey of named Michigan statutes, which rewards direct, statute-by-statute study.

Experimental questions. On top of the 115, PSI’s bulletin says a small number of experimental items — one to ten, generally approximately 10% of the number of questions — may be administered during the examination. They are not scored, but they do count against your examination time, and you cannot tell them apart from scored questions. Treat every question as if it counts.

The passing standard, explained

PSI’s Examination Summary Table gives the salesperson standard in two forms, and this guide reports both exactly as published:

  • Passing raw score: 80 (of 115 points — salesperson questions are worth 1 point each)
  • Passing percentage: 70

Two consequences follow from how PSI reports results:

  • If you pass, you will never see a number. PSI states that candidates passing the examination receive only a score indication of PASS; passing numeric scores are not available. There is no “I passed with an 85” — there is PASS, and then there is your license application.
  • If you do not pass, you get a map. Candidates who do not pass receive an individual score for each of the major sections in the examination outline, expressly so they can use that information when studying for the re-examination. A failing score report is diagnostic information, and PSI also offers a re-scoring verification of a failing score on written request.

Because the passing line is published as a raw count on a fixed-length exam — not a scaled score that moves between forms — the practical study target is straightforward: on full-length practice exams, aim to be answering comfortably more than 80 of 115 correctly, with no single outline area dragging the total down. A strong Contracts performance cannot be assumed to rescue an unprepared Michigan portion in your study plan, even though the exam produces one combined result — the Michigan third of the test is too large to treat as a rounding error.

Fees and registration, step by step

PaymentAmountPaid toWhen
Examination fee$79PSI Services LLCWhen you register/schedule
License applicationState fee set in MiPLUS (separate from the exam fee)State of Michigan, via MiPLUSWith your salesperson application, before scheduling

PSI is explicit on the exam fee’s terms: registration and examination fees are not refundable, fees expire after one year of registering, and your fee is forfeited if you do not test within one year of the date PSI receives it.

The sequence, in order:

  1. Finish the 40-hour prelicensure course with a Department-approved provider, including the 4 hours of civil rights law and equal opportunity in housing, and keep your completion proof — you will need to show it, and the hours must fall within the 36 months before you apply.
  2. Apply through MiPLUS. Go to www.michigan.gov/miplus, reach the Real Estate section, and submit the salesperson application. Paper applications are no longer accepted. Your application is signed by the employing broker who will employ you, so have that broker’s information ready.
  3. Wait for the Department’s authorization. The Department determines eligibility and electronically submits your authorization to test to PSI. Only the State of Michigan may determine your eligibility for a license — PSI cannot override a missing authorization.
  4. Schedule with PSI. Register online at PSI’s Michigan page (https://test-takers.psiexams.com/mire) or by telephone at (855) 579-4635, choose a test center or remote proctoring, and pay the $79 examination fee. If space is available at your chosen site, you may schedule an examination as late as one day before your chosen date (up to 7:00 p.m. ET) — but book earlier than that; you want the date, not the leftover slot. The name on your PSI account must match your government-issued ID exactly.
  5. Take the exam. Arrive at least 30 minutes early if you are testing at a center. You receive your result as described in the passing-standard section above, and you may print your score report from your online account.
  6. Complete the licensing steps promptly. Your passing score is valid for 1 year from the date of the examination under MCL 339.2505 — finish everything the Department requires inside that year.

Changing an appointment. You may cancel and reschedule without forfeiting your fee if your cancellation notice is received 2 days before the scheduled examination date (for a Monday appointment, notice must arrive the previous Saturday). Cancel or reschedule on PSI’s website or by speaking with a PSI customer service representative — a voicemail or email message is not an acceptable form of cancellation. If an examination site closes for severe weather or another emergency, PSI will reschedule you at no additional charge.

Retakes and score validity

  • Re-examination. If you do not pass, there is a re-examination in your future and PSI designs your score report for it: your per-section scores show exactly which major outline areas cost you the attempt. A second attempt with the same preparation usually produces the same result — rebuild the plan around the weak sections first.
  • Cost of a retake. Each new registration carries the $79 examination fee, and the same one-year fee-expiry rule applies to it. Budget for the fee per attempt, not per license.
  • Score verification. If you believe a failing score is wrong, you may write to PSI to request that the examination be re-scored for verification. The bulletin is equally clear about the limits: re-scoring will not review the content or accuracy of specific items, and it will not investigate comments you entered during the exam.
  • Score validity. A passing score is valid for 1 year from the date of the examination (MCL 339.2505(6)). Let that year lapse without completing licensure and the passing result no longer carries you — plan your application steps so the exam is the middle of the process, not the end of it.
  • Comments during the exam. PSI provides a Comments link on the test question screen. Comments are analyzed by PSI’s examination development staff; if a discrepancy is found, PSI and the Department may re-evaluate candidates’ results. It is the only review of examination content available to candidates — use it in the moment, calmly, and keep answering questions.

Test day

  • Arrive at least 30 minutes early at a test center, to allow time for sign-in and identification verification. If you arrive late, you may not be admitted and you will forfeit your examination registration fee. Missing your appointment, arriving after the start time, or failing to present proper identification all forfeit the fee.
  • Bring the required identification. You must bring one form of valid (non-expired), signature-bearing, photo identification — for example a state-issued driver’s license or identification card, a U.S. passport, U.S. military ID, U.S. alien registration card, or Canadian government-issued ID. The name must match the name you registered under.
  • The exam is closed book. Reference materials are not allowed in the examination center, and PSI’s security procedures list prohibited items including electronic devices of any type, hats and bulky outerwear (other than religious apparel), and personal items from backpacks and wallets to food and drinks. At a test center you will be given an LCD writing tablet at check-in for notes, which must be returned at check-out. Proctors may inspect pockets, sleeves, and eyeglass frames — expect it, and leave everything prohibited in your vehicle or the secure storage provided.
  • Know the format before you sit down. One question appears on screen at a time, with minutes remaining displayed and updated as you answer. You may return to questions and change answers while time remains. An introductory tutorial of up to 15 minutes is provided before the exam and does not count against your 180 minutes — use it.
  • Remote proctoring is a different discipline. If you test remotely: launch within 30 minutes of your booked time, and know that not starting within 15 minutes after your booked time forfeits your fee or eligibility; breaks are not allowed during remote-proctored exams; your space must be clear, quiet, and free of other people; and scratch paper is not permitted. Run PSI’s compatibility check (audio/video, webcam, system) well before test day.
  • Pace for more than 115. With experimental items mixed in, your on-screen total may run to roughly 125 questions in the same 180 minutes — about a minute and a half per question. Flag-and-return discipline matters: a hard question costs the same minute whether you answer it now or after the ones you know.

How to study for this exam

The outline is the syllabus — PSI publishes exactly what the exam covers, area by area, and the weights above are shares of the test, not suggestions. A plan built on that structure:

  1. Start with the Michigan portion. Thirty-five questions — 30% of the exam — come from Michigan law, and they reward direct study of concrete material: the Department’s and Board’s powers, licensing requirements, trust-account and record-keeping rules, designated and dual agency, and the named statutes in Additional State Topics (the Land Division Act, the Elliott-Larsen Civil Rights Act, the Seller’s Disclosure Act, transfer tax, the Condominium Act, the Right to Farm Act). This is the highest-yield study block on the exam and the one national materials underweight.
  2. Give Contracts its 19%. It is the largest single national section — worth more than the three smallest national sections combined. Learn it as a system: formation, validity, enforceability, performance, breach, and then the purchase and lease contracts built on those principles.
  3. Treat Agency and Contractual Relationships as two exams in one subject. Agency in Michigan is tested twice — once in the national outline (13%) and again as Michigan’s own agency framework (designated agency, dual agency, transaction coordinators, service provision agreements). Study the national rules and the Michigan variations side by side, and keep straight which set a question is asking about.
  4. Learn terms inside questions, not off a glossary. The outline tests vocabulary — ownership forms, loan types, valuation approaches — through scenarios. Definitions learned in context survive exam-day pressure; definitions memorized off a list leak.
  5. Practice at full length, against the clock. 115 questions in 180 minutes, plus unscored experimental items, is a pacing skill separate from knowledge. Full practice exams built at the real weights build both; short quizzes build only one.
  6. Drill your per-area results, not your feelings. After each full practice exam, look at the breakdown by outline area. The area that keeps appearing in your misses is your next study block — the same logic PSI’s own failing score report uses, applied before the real attempt instead of after it.
  7. Schedule when your simulations say so — consistently comfortable full-exam practice scores above the 80-of-115 line, with the Michigan areas no longer your weakest block — and remember the sequencing: MiPLUS application and Department authorization come before PSI will let you book.

This program’s Michigan practice bank (19,859 questions, including 5,288 on Michigan laws and rules) is built area-by-area on this same outline. The Michigan Real Estate Exam Prep program page shows the full coverage table and enrollment.

Frequently asked questions

How many questions are on the Michigan real estate exam? 115 questions, per PSI’s Examination Summary Table: 80 on national real estate principles and practices and 35 on Michigan state laws and rules. PSI may add a small number of unscored experimental questions — one to ten — that count against your time but not your score.

What is the passing score for the Michigan real estate exam? PSI’s summary table lists a passing raw score of 80 out of 115 points and a passing percentage of 70. Passing candidates receive only a “PASS” indication — PSI does not release numeric scores to candidates who pass.

How much time do I get on the Michigan real estate exam? 180 minutes (3 hours) for the salesperson examination. The introductory tutorial before the exam — up to 15 minutes — does not count against that time.

Does Michigan require prelicensure education before the exam? Yes. MCL 339.2504 requires proof of at least 40 clock hours of approved prelicensure classroom courses in principles of real estate, including at least 4 hours on civil rights law and equal opportunity in housing, before an applicant is permitted to take the examination. The hours must be completed within the 36 months before the application.

How do I register for the Michigan real estate exam? In two stages. First apply to the state through MiPLUS (www.michigan.gov/miplus); the Department determines your eligibility and sends your authorization to PSI. Then register and schedule with PSI, online at its Michigan page or by phone at (855) 579-4635, and pay the $79 examination fee.

How much does the Michigan real estate exam cost? The examination fee is $79, paid to PSI when you register. It is nonrefundable, it applies per attempt, and it expires one year after registering — if you do not test within a year of PSI receiving the fee, the fee is forfeited. The state license application through MiPLUS is a separate state process with its own fee set in that system.

Do I need a broker before I get my Michigan salesperson license? Yes, in substance. A salesperson practices under an employing broker, Michigan law provides that a salesperson’s license application is signed by the broker that will employ the applicant, and the license is issued only to an individual. Line up your employing broker as part of the application process.

Can I take the Michigan real estate exam online? Yes — PSI offers the exam at test centers and by remote proctoring. Remote exams carry stricter protocols, including no breaks during the examination and a required compatibility check of your computer, webcam, and connection before test day.

What happens after I pass the Michigan exam? You complete the licensing steps with the Department promptly: under MCL 339.2505, a passing score is valid for 1 year from the date of the examination. Your score report can be printed from your PSI online account, and a passing report shows only “PASS.”

If I fail, how soon can I retake the Michigan exam? You register again with PSI and pay the $79 fee for the new attempt. Your score report from the failed attempt gives you an individual score for each major outline section — use it to rebuild your study plan around the sections that cost you, rather than repeating the same preparation.

How long is my Michigan exam score valid? One year from the date of the examination. That validity window is set by MCL 339.2505(6), and it is the clock your remaining licensing steps run against.

What identification do I need on test day? One form of valid, non-expired identification that bears your photo and signature — such as a state driver’s license or ID card, a U.S. passport, or U.S. military identification — and the name on it must match the name you registered under. Arrive at least 30 minutes early; late arrival can mean no admission and a forfeited fee.

Is the Michigan exam scored in separate portions? PSI publishes one combined passing standard for the 115-question salesperson exam — a raw score of 80, a passing percentage of 70 — rather than separate pass marks for the national and Michigan parts. Your preparation should still treat the two parts separately, because the Michigan portion is 30% of the questions and covers different material.

Does PassProfessor’s program satisfy the 40-hour course requirement? No. PassProfessor is exam preparation only: it provides no prelicensure education credit and is not a substitute for the Department-approved 40-hour course. Take the approved course for the requirement, and use exam preparation to convert that coursework into a passing exam performance.

Disclaimer

PassProfessor is an independent exam-preparation provider and is not affiliated with the Michigan Department of Licensing and Regulatory Affairs, the Michigan Bureau of Professional Licensing, PSI Services LLC, or any state agency or exam vendor. This guide is general information about the Michigan licensing exam, current as of October 2026; LARA and PSI publications govern if anything here differs from them.