MIMichigan

Real estate exam prep

At a glance

The exam, in numbers.

Questions: 115 multiple-choice (80 national + 35 state)
Time: 180 minutes (3 hours)
Passing score: 70% combined (single pass score across both sections)
Pre-license education: 40 hours, LARA-approved (lowest in the United States)
License type: Real Estate Salesperson (entry-level; brokers take a separate exam)
Administered by: PSI Services LLC on behalf of LARA, Bureau of Professional Licensing
Format: computer-based testing at PSI centers across Michigan, plus an online proctored option
Exam fee: $76 per attempt, paid to PSI at scheduling
Retake wait: none; reschedule with PSI as soon as a slot is available
Score validity: a passed section stays valid for 12 months while you retake the other
Result: issued at the testing center

Michigan real estate exam: format, score, what to expect in 2026

Michigan requires 40 hours of pre-license coursework to sit for the salesperson exam. Forty. The same number of hours someone might watch of a streaming series in a long weekend. It's the lowest pre-license requirement in the United States by a wide margin, and the legislature has kept it there through multiple regulatory reviews on the theory that the exam itself is the gate, not the seat-time. The consequence: Michigan candidates often arrive at the exam with less foundational coursework than candidates in any other state, and the exam reflects this with a passing standard that doesn't compensate. Pass percentages on the Michigan exam are not unusually generous despite the short course.

The exam is administered by PSI Services LLC on behalf of the Michigan Department of Licensing and Regulatory Affairs (LARA), Bureau of Professional Licensing. The format is 115 multiple-choice questions over 180 minutes, scored as 80 national items + 35 state items. The passing standard is 70%, and Michigan scores the national and state sections together (a single combined pass score, unlike the dual-section structure used in many other PSI states).

This guide walks through the LARA-supervised content areas, how to study despite the short course, and what exam day looks like at a PSI center.

Written by

Chris Reese

May 8, 2026

§ 01 What's tested

Michigan runs the exam in two sections that combine into a single pass score, with the national portion (80 items) covering general real estate principles and the state portion (35 items) covering Michigan-specific licensing law and regulations. The state portion is one of the smaller in the country at 35 items, reflecting the legislature's compact approach to the credentialing framework.

National portion (80 scored items)

The national portion follows PSI's standard national real estate outline. Topic areas: real property characteristics, ownership and title, value and appraisal, contracts and agency, real estate practice, disclosures and environmental issues, financing and settlement, and math. Michigan candidates should know the state operates under a lien-theory model with mortgages as the standard instrument, and the Michigan Seller Disclosure Act layers on top of national disclosure content in many scenario questions.

State portion (35 scored items)

The state portion is anchored on MCL Article 25 of the Occupational Code (the statute governing real estate brokers and salespersons) and the rules promulgated by the Michigan Board of Real Estate Brokers and Salespersons. The major topic areas:

License Law and LARA regulation. MCL Article 25, the Bureau of Professional Licensing's enforcement role, the salesperson-broker affiliation rules, license issuance and renewal cycles, continuing education requirements, and the standards for license suspension and revocation.
Agency in Michigan. Michigan recognizes seller agency, buyer agency, and dual agency, with disclosure rules tied to the agency relationship. The exam tests the disclosure timing and the duties owed under each relationship in scenario form.
Michigan Seller Disclosure Act. MCL § 565.951 et seq. requires the seller to deliver a Seller's Disclosure Statement for most residential transfers (one-to-four family). The exam tests when delivery is required, what the statutory exemptions are (estate transfers, foreclosures, certain trustee transfers), and the buyer-rescission right tied to delivery timing.
Trust accounts and brokerage operations. Michigan's trust account compliance rules, escrow handling, advertising compliance, and the supervision relationship between broker and salesperson.
Truth in Renting Act and Michigan property management. MCL § 554.631 et seq. governs landlord-tenant relations in Michigan, with specific disclosure requirements for residential leases. The exam tests the basics for licensees who handle property management.
Michigan Civil Rights and fair housing. State protected classes that go beyond the federal Fair Housing Act, layered through the Elliott-Larsen Civil Rights Act (PA 453 of 1976).

Standout state-specific content

Two Michigan content areas almost always confuse candidates who studied from generic national materials:

The compact state portion under a single combined pass score. Michigan combines the national and state sections into one pass calculation (70% across the 115 scored items). Candidates who studied for a dual-section model (where each section must be passed independently) may misread the scoring. Failing the state-specific content alone won't sink the exam if the national side compensates, but both sections need consistent attention.
The Elliott-Larsen Civil Rights Act overlay. Michigan's state Fair Housing protections are statutorily distinct from the federal Fair Housing Act, with additional protected classes and broader application to certain transactions. The exam tests the state-specific overlay directly.

§ 03 How to study

Michigan's 40-hour pre-license course is short, which means it covers the content outline at a higher level of abstraction than longer-state pre-license courses. Candidates often arrive at the exam with vocabulary but not depth. The fix is volume on practice questions tied to both the national and state outlines, with extra reps on Michigan-specific content the short course can't drill thoroughly.

What works in Michigan is treating the 40-hour course as the introduction and the practice question bank as the actual study. Most who pass have worked through somewhere in the low thousands of practice questions before sitting, with concentrated reps on the Seller Disclosure Act, agency disclosure timing, and the Elliott-Larsen Civil Rights Act overlay.

Passd's Michigan question bank is organized by both national and state content areas, with per-area accuracy tracked so you know whether your weak spot is the Seller Disclosure Act, MCL Article 25 license law, agency timing, or finance before booking the exam. Your Passd Score updates as you answer and gives a single read on whether the test is in reach yet. Tier details are on the pricing page.

A few specific things help in Michigan:

Read the Michigan Seller's Disclosure Statement. LARA publishes the statutory form. Reading it once with attention to the timing rules and the rescission mechanics beats reading three different study guides.
Drill the Elliott-Larsen Civil Rights Act protected classes. State Fair Housing in Michigan is broader than federal. The exam tests the differences directly.
Decide between in-person and remote testing. PSI offers both in Michigan. Remote proctoring through PSI saves travel time but requires a quiet room with a webcam and a stable connection.

§ 04 What to expect on exam day

The Michigan salesperson exam is administered at PSI testing centers across Michigan and via PSI's online proctored option. You schedule directly through PSI after LARA has approved your pre-license course completion and authorized you to test.

On exam day:

Arrive at least 30 minutes before your scheduled in-person appointment, or log in to PSI's remote proctoring platform with the lead time PSI specifies.
Bring two forms of valid signature identification, one of them government-issued with photo (driver's license, state ID, passport, or military ID). Names must match the LARA application.
Personal items go in a locker at PSI centers. Phones, smart watches, study materials, food, and bound notes stay outside the testing room. The remote proctoring rules cover the same items in the testing space.
Calculators are permitted with restrictions: silent, battery-operated, non-printing, and without an alphabetic keypad.
The exam is closed-book.

Results print at the testing center after the exam (or display on screen for remote proctoring). The report shows pass or fail with the combined numeric score across both sections. Candidates who pass move into the licensure phase: LARA application, sponsoring broker arrangements, and the state-required fingerprinting. Candidates who fail can register for a retake, paying the per-attempt exam fee.

§ 05 Common mistakes

Michigan candidates who fail the exam tend to fail in a handful of specific ways:

Treating the 40-hour course as sufficient preparation. The pre-license course covers vocabulary; the exam tests applied judgment on scenario questions. Candidates who do not supplement with substantial practice question volume tend to underperform.
Studying for a dual-section model. Michigan combines the national and state sections into one pass calculation. Candidates who imported a "70% on each section" mental model from PSI states with split scoring (Pennsylvania, Tennessee, several others) misread how Michigan's exam is graded.
Underestimating the Seller Disclosure Act. MCL § 565.951 et seq. is tested directly, with scenario questions that turn on delivery timing and the rescission right. Studying it from a summary loses points.
Skimming the Elliott-Larsen Civil Rights Act. The state Fair Housing overlay adds protected classes beyond the federal list. Candidates who studied federal Fair Housing alone miss state-specific scenario questions.
Picking remote proctoring without a quiet room. PSI's remote option works well in a dedicated quiet space, less well in a shared apartment or office. Failing the environment check at log-in costs an appointment.
Showing up without an unexpired ID or with a name mismatch. PSI turns candidates away for ID problems. Names on the IDs must match the LARA application.

§ 02 Frequently asked questions

How many questions are on the Michigan real estate salesperson exam?

115 multiple-choice questions: 80 on the national portion and 35 on the Michigan state portion.

How is the exam scored?

70% combined across the 115 scored items. Michigan does not require independent pass scores per section; the national and state sections are summed into one pass calculation.

How long is the exam?

180 minutes (3 hours) total.

Is 40 hours of pre-license course really enough?

Forty hours is the statutory minimum. Whether it's enough depends on the candidate's prior real estate exposure and supplementary study. Most successful Michigan candidates supplement the course with substantial practice question volume.

Where do I take the exam?

At a PSI testing center in Michigan, or via PSI's remote online proctored option. PSI centers are located in major Michigan cities.

What pre-license education do I need before the exam?

40 hours of LARA-approved coursework, completed at an approved school before submitting the salesperson application.

Can I take the exam remotely?

Yes. LARA partners with PSI to offer remote online proctored exams in addition to in-person testing centers. Both options score identically.

What's the next step after passing?

You arrange sponsorship with a Michigan-licensed broker, complete LARA's fingerprint and background check requirements, and submit the salesperson license application through LARA's online system.

How much is the Michigan exam fee?

$76 per attempt, paid to PSI when you schedule. Each retake is the same amount.

How long must I wait between retakes?

There's no statutory waiting period in Michigan. You can reschedule with PSI as soon as a slot is available.

How long is my passing score valid?

A passed section stays valid for 12 months. If you pass national but fail state (or vice versa), you have 12 months to pass the failed section before you have to re-test everything.

Ready to see how prepared you are?

The Passd diagnostic is 20 questions across every major topic, and shows your Michigan-specific Passd Score plus which LARA content areas need work. Free, no credit card.

Start the Michigan diagnostic