Michigan Real Estate Broker License

How to become a real estate broker in Michigan

As a real estate agent in Michigan, you enjoy quite a bit of freedom. You can help with buying and selling transactions anywhere in the state and you usually get flexibility in your schedule, too. But agent status does come with a limitation. Specifically, you'll need a broker to oversee you.

If you want to set out on your own, you'll need a Michigan real estate broker license. That, of course, begs the question: how do you get a real estate broker license in Michigan? Let's take a look.

Michigan Real Estate Broker License Requirements

The first requirement to get a Michigan broker license is pretty straightforward: you need to be 18. But since that was required to get your real estate agent license, you probably already knew about that requirement — and met it.

Beyond that, there are a handful of other requirements you'll need to meet:

• Experience: You don't qualify for a Michigan broker license until you've had at least three full-time years of experience as a licensed real estate agent. If you just got your agent license, you'll have to wait a bit before you can apply for your broker license.
• Good moral character and minimal criminal history: These requirements apply to agent licenses, too, so you probably already met them, but it's still worth mentioning. The Michigan broker license application has specific questions about your ability to serve the public in a fair and honest manner, and you'll have to confirm that you've never been convicted of embezzlement.
• Pre-license education: To get your Michigan agent license, you needed pre-license education. A similar requirement applies to your broker license. Before you can qualify for a Michigan real estate broker license, you need to complete 90 hours of education. The good news? You can take Michigan broker license courses online at your own pace.
• Application: Just meeting these requirements isn't enough, of course. You also need to notify the state that you want your broker license and have met the prerequisites. Fortunately, the Michigan Department of Licensing and Regulatory Affairs (LARA) allows you to apply for your broker license in the online Michigan Professional Licensure User System (MiPLUS). They have a full step-by-step guide to walk you through the application process, too. You need to submit your application after you've completed your pre-license education but before you sit for the exam (more on that next).
• Exam: Once you submit your application, you'll be eligible to sit for the three-and-a-half-hour Michigan broker test. The test costs $79 and is administered by PSI. You can learn more about the exam on their website. They also issue an extensive candidate bulletin to help you prep for the test and know what to expect. That bulletin includes sample questions so you can practice before the exam itself. The test consists of 115 questions for 120 points. You only need 90 points, or a 75%, to pass.

Once LARA gets your passing score notification from PSI, they'll issue you your Michigan broker license.

Don't forget that you'll need to renew your broker license every three years. Completing regular continuing education is a requirement for renewal, so stay on top of it.

How long does it take to get a Michigan broker license?

At its most basic, getting a Michigan broker license takes at least three years because you need three years with a real estate agent license to be eligible for broker licensure.

But once you hit that three-year mark, getting your broker license shouldn't take too long. The biggest time consumer in the process is the 90 hours of qualifying education. If you take it online, though, you should be able to knock it out in a couple of weeks.

From there, nothing should take more than a handful of days. You should be able to complete your Michigan real estate broker application in an afternoon, and you'll then get your exam candidate ID in a few days, usually. Once you pass the exam, the turnaround time to get your license is pretty quick in most cases, too.

License reciprocity for MI brokers

While you might see information on the internet that Michigan broker licenses can function in other states, LARA specifically says they don't have reciprocity agreements for real estate licenses (see here and here). In other words, your broker license is only valid within state lines.

Still, though, that gives you a pretty big market to cover. And with a broker license, you won't need to rely on anyone else to oversee your work. Go forth, independent real estate professional.