FreeRealEstateExamPrep
Updated October 2026

Michigan Real Estate Practice Exam

A free practice test for the Michigan salesperson exam, for the weeks before your test date, with an explanation on every answer. Score yourself against Michigan's real 70% pass line before you book.

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Property disclosures

A Michigan seller delivers the required disclosure to the buyer's agent. What is the statutory delivery effect?

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This practice exam is a study aid, not the real exam. Our questions are written by us to match the published content outline. They are not actual exam questions, no score here predicts a pass, and this site is not affiliated with, endorsed by, or sponsored by PSI, Pearson VUE, ARELLO, any state real estate commission, or any government agency. Your state commission and your candidate handbook are the only authoritative sources.

Michigan real estate exam at a glance

Michigan real estate salesperson exam at a glance
National questions80 scoredsource
State-law questions35 scoredsource
Passing score70%source
Time limit3 hourssource
Exam fee$79.00 per attemptsource
Test providerPSIsource
Pre-licence education40 hourssource

Figures verified against official sources on . Exam fees and rules change. Check the linked source before you book.

10 sample questions, with answers explained

Every question above with its correct answer and the reasoning behind it. Read the explanations for the ones you answered correctly too. A lucky guess and knowing the rule look identical on a score report. These are sample questions from our larger bank.

  1. 1. A Michigan seller delivers the required disclosure to the buyer's agent. What is the statutory delivery effect?

    • AIt is considered delivery to the buyercorrect
    • BIt is never delivery until recorded
    • CIt is delivery only if the seller also mails 3 copies
    • DIt becomes a property warranty

    Why: Under MCL 565.954(1), a disclosure statement given to the buyer's agent is considered given to the buyer. The buyer's authorized agent is a recognized recipient under the delivery provision.

    Property disclosures

  2. 2. Under designated agency agreements, salesperson Ana represents a seller and salesperson Ben, in the same Michigan firm, represents a buyer of that home. Who is considered a disclosed consensual dual agent in the transaction?

    • AThe broker and all supervisory brokerscorrect
    • BBen only, because his client came second
    • CNo one, since no dual agency can arise
    • DAna and Ben both

    Why: MCL 339.2517(8) says two affiliated designated agents "may each represent a different party in the same transaction and shall not be considered dual agents." Under section 2517(7), "the broker and all supervisory brokers are considered disclosed consensual dual agents for that real estate transaction," and Ana and Ben must tell their clients that the broker represents both sides before an offer is made or presented.

    Agency

  3. 3. After closing, a Michigan buyer argues that the Seller's Disclosure Statement was a warranty of the home's condition. What does the statutory form say?

    • AIt is a warranty given by the listing broker
    • BIt is a warranty for one year after closing
    • CIt is a warranty only of items the seller marked "yes"
    • DIt is not a warrantycorrect

    Why: The statutory form in MCL 565.957 states that it is not a warranty and not part of the contract. It records the seller's disclosures; it does not guarantee condition, so the time-limited and broker warranty options are inventions.

    Property disclosures

  4. 4. For Michigan's agency definitions, does buyer include a person acquiring a leasehold interest?

    • AOnly if the lease lasts 99 years
    • BOnly if the tenant later buys the building
    • CYes, the definition includes a tenant or lessee of a legal or equitable interestcorrect
    • DNo, buyer always means only a fee-simple purchaser

    Why: Under MCL 339.2517(11)(b), "buyer" includes a purchaser, tenant, or lessee of any legal or equitable interest in real estate. The statutory definition is broader than an everyday cash-sale-only use of buyer.

    Agency

  5. 5. A Michigan home was the site of a well-publicized death years ago, with no physical effect on the property. Under the rule on Michigan's exam outline, what disclosure duty applies to this stigma?

    • AIt must appear in every listing advertisement
    • BIt must be disclosed only if it occurred within 3 years
    • CNo disclosure duty attaches to stigmatized propertycorrect
    • DThe seller must report it on the Seller's Disclosure Statement

    Why: Michigan's state outline states the rule directly: "No disclosure duty attaches to stigmatized property." A stigma is not a physical condition of the property. The time-limited option is a distractor with no basis in the Michigan rule.

    Property disclosures

  6. 6. Lena passes the Michigan salesperson exam and asks LARA to issue her license in "escrow" until she chooses a broker. What happens?

    • ALARA issues the license in escrow for up to 3 years
    • BLARA issues an inactive license she can activate later
    • CNo license issues until her chosen employing broker approvescorrect
    • DLARA issues the license and holds it at the Board office

    Why: LARA states that "Michigan does not offer an 'escrow' option for real estate licensees" and that "After the selected employing broker approves your request, your license will be issued." Kentucky offers an inactive status formerly called escrow, which is the trap here; Michigan makes the broker a condition of issuance.

    Practice of real estate

  7. 7. A Michigan seller signs a limited service agreement with a listing broker. Which item may the seller waive?

    • AThe agent's compliance with state and federal law
    • BAssistance in negotiating offers and counterofferscorrect
    • CThe agent's loyalty to the seller's interest
    • DThe agent's duty of confidentiality

    Why: The MCL 339.2517 form states: "Only those services set forth in paragraph (2)(b), (c), and (d) above may be waived by the execution of a limited service agreement." Those are accepting and presenting offers, assisting with offers and negotiations, and assisting after a purchase agreement. Loyalty, confidentiality and legal compliance are minimum duties under any service provision agreement, and the waiver goes on a separate Limited Service Agreement form.

    Contracts

  8. 8. Jordan has finished his Michigan prelicensure course and wants to sit the PSI salesperson exam. What must he do first?

    • ARequest a preliminary determination of character
    • BBook the PSI exam and apply in MiPLUS after passing
    • CHave his employing broker file his exam application
    • DApply in MiPLUS and upload his 40-hour course certificatecorrect

    Why: Michigan is an apply-first state: "you must first submit your real estate salesperson online application in MiPLUS and upload a copy of your 40-hour ... certificate of completion before you can be made eligible." Broker sponsorship comes after the exam, before issuance. A preliminary determination is optional, not a step every applicant takes.

    Practice of real estate

  9. 9. A Michigan seller hands the Seller's Disclosure Statement to the buyer in person only after both have signed the purchase agreement. Within how many hours after delivery may the buyer terminate by written notice?

    • A24
    • B48
    • C72correct
    • D120

    Why: MCL 565.954(3)(a) allows termination "Not later than 72 hours after delivery of the disclosure statement to the prospective transferee, if the disclosure statement was delivered to the prospective transferee in person." The buyer terminates by written notice to the seller or the seller's agent. The 120-hour period applies only when the late statement goes by registered mail.

    Contracts

  10. 10. A Michigan salesperson leaves the broker. What license-return timing does Michigan law reference for the broker?

    • AOnly after the salesperson pays unrelated debts
    • BOnly at the broker's retirement
    • CWithin 2 years after the next renewal
    • DWithin 5 days as required by section 2507correct

    Why: Under MCL 339.2512(1)(f), a Michigan broker must return a salesperson's license within 5 days as MCL 339.2507 requires. The statutory return duty is not a device for holding the departing salesperson's license hostage.

    Practice of real estate