Free Michigan Real Estate Practice Exam Questions (June 2025) 115+

Michigan Real Estate Exam

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Using a trust typically has advantages and disadvantages. One of the main advantages of Land Trusts are:

2 / 115

Which of the following best describes real property?

3 / 115

What is the difference between void and voidable contracts? Choose the best answer.

4 / 115

Which act amended the comprehensive environmental response, compensation, and liability act (also known as CERCLA)?

5 / 115

Richard is renting property from Becky. Richard is on a month to month lease agreement. This past month he did not pay his rent. Richard's interest would be classified as:

6 / 115

The owner of a secluded area adjacent to the ocean noticed that people from the local town walked along the shore in front of his property. The owner learned that the local citizens had been walking along this beach for half a century. The owner went to court to try to stop people from walking along the water's edge in front of his property. The owner is likely to be:

7 / 115

Typically a warranty deed contains how many covenants?

8 / 115

The lender in a traditional mortgage loan transaction is known as what?

9 / 115

Which type of lien is a claim imposed against a property without the consent of its owner?

10 / 115

If a Michigan real estate salesperson is fired by their broker, the broker has how many days to deliver the salesperson's wall license to the Department?

11 / 115

The type of easement that is a right-of-way for a utility company's power lines is what?

12 / 115

One individual or married couple in business alone (The most common form of business structure):

13 / 115

What form of legal land description consists of principal meridian lines that cover most states in the US, running north to south and baselines running east to west?

14 / 115

Usually, the appraiser is hired by the:

15 / 115

A double net lease is a rental agreement where:

16 / 115

What is Ginnie Mae’s primary responsibility?

17 / 115

As a listing agent, what obligations do you owe to an unrepresented buyer?

18 / 115

Researching recently sold homes in the area and homes that haven't been sold in the area and comparing their prices. Is an example of

19 / 115

A broker's listing on a house expired. The next day it was listed with another broker and offered in the MLS. A week later, a third licensee called the first broker and asked for the key to show the home. The broker should inform the caller that:

20 / 115

What best describes the type of agency typical in property management - in which an agent has limited power?

21 / 115

What is the law regulating the licensing of occupations in Michigan known as?

22 / 115

Brokerages and real estate agents across America connect using a

23 / 115

Who must comply with Michigan Fair Housing law?

24 / 115

What is the illegal action or practice of lending money at unreasonably high rates of interest?

25 / 115

A property owner acquired the ownership of land that was deposited by a river running through his property by what?

26 / 115

Which of the following is an economic characteristic of real estate?

27 / 115

What hazardous substance is an odorless, colorless gas that can cause death within hours of inhalation?

28 / 115

Under a lease for a commercial property, a tenant agrees to pay $3,000 per month plus 4% of the gross monthly sales. This type of lease is called a:

29 / 115

Any loss in the value of a property over time from any cause.

30 / 115

Traditionally real estate agents are paid through a fee paid for performing a transaction, called a

31 / 115

A salesperson working for Trinity Real Estate LLC has moved to Lotus Realty. What happens to the listings the salesperson took at Trinity Real Estate LLC?

32 / 115

What of the following is required by the Americans with Disabilities Act(ADA)?

33 / 115

What is the agency responsible for the enforcement of the Fair Housing Act?

34 / 115

A tenant rented an apartment, signing a 16-month lease. After the lease expired, the tenant paid 1 month's rent and got a receipt. What kind of type of lease does the tenant have?

35 / 115

A seller is asked whether any known plumbing defects exist on her property. She replies that to the best of her knowledge there are no plumbing defects. However, unknown to her the pipes are corroded and due for replacement. Is the seller in violation of her disclosure responsibilities?

36 / 115

An individual owned three acres of land. When she sold one acre to her friend, she reserved for herself and family an appurtenant easement over the friend's land for ingress and egress. The friend's land is what?

37 / 115

Which of the following best describes the term "encroachment?"

38 / 115

Which of the following would NOT be covered under a builder's new home warranty?

39 / 115

Johnny is purchasing a house and does not want to purchase all of the furniture that is being left behind. He signs the contract on Tuesday, and on Thursday changes his mind about the furniture. He calls his agent, and they add the furniture to the contract. What is this an example of?

40 / 115

A legal process in which a lender attempts to recover the balance of a loan from a borrower who has stopped making payments to the lender by forcing the sale of the asset:

41 / 115

Who administers the Michigan real estate state licensing exam?

42 / 115

To whom does an agent always owe their fiduciary responsibility?

43 / 115

Upon payment and delivery of the deed, the seller should also deliver what? Can be quite complex or quite simple—depending on the type of real estate transaction.

44 / 115

Justin takes out a mortgage loan that requires monthly payments of $650.50 for 25 years and a final payment of $30,000. What type of loan is this?

45 / 115

Real property can be converted to personal property by

46 / 115

A senior housing development may refuse to rent to families if what?

47 / 115

Which of the following is NOT a main element of a valid real estate contract?

48 / 115

Assuming there are no extra fees, and the broker is representing the buyer and the seller, what was the final sales price of a property if the commission rate was 5.5% and the broker received $11,000.

49 / 115

What type of court handles the analysis and transfer of real estate or general estate assets of a deceased person (without a will)?

50 / 115

What is the government issued plan to guide the long-term physical development of a particular area?

51 / 115

In the appraisal of a building constructed in the 1930s, the cost approach would be the least accurate method because of difficulties in

52 / 115

The majority of homes before _______ used lead paint.

53 / 115

Which of the following statements about water rights is true? Choose the best answer.

54 / 115

Generally speaking, what happens when the supply of available houses in an area increases significantly?

55 / 115

How many hours of continuing education are required for real estate license renewal in Michigan?

56 / 115

Which of the following legal concepts requires real estate listings to be in writing?

57 / 115

When calculating the amount of real estate taxes owed, calculations are based on what type of value?

58 / 115

A tenant rented an apartment, signing a 12-month lease. After the lease expired, the tenant paid 1 month's rent and got a receipt. What kind of leasehold does the tenant have?

59 / 115

Fees that the buyer pays to close the deal are called:

60 / 115

The EPA requires real estate professionals to give purchasers and tenants of residential dwelling a pamphlet about Lead-Based paint if the dwelling was built before when?

61 / 115

In real estate, alienation is best described as:

62 / 115

Steve (a real estate agent of five years) was at his local coffee shop with some agents from other offices. The subject of commissions came up, and agents began to compare their commission rates. What should Steve do?

63 / 115

A real estate agent advertised a home for $250,000. When a Chinese couple asked the agent for the price of the house. The agent told them the seller wanted $260,000 instead. Under the federal Fair Housing Act of 1968, such a statement is

64 / 115

Unlike apartments, which are leased by their tenants, condominium units are owned outright. A condominium is often shortened to

65 / 115

What is the difference between commingling and conversion in real estate?

66 / 115

Enacted in 1974, which of the following is a regulation that aims to give all legal individuals an equal opportunity to apply for loans?

67 / 115

Which of the following is an example of Economic Obsolescence?

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When you buy real property, you gain several different kinds of rights. One of which are rights called "surface rights." What are surface rights?

69 / 115

A legal way to dissolve the relationship when the parties don't voluntarily agree to its termination is called

70 / 115

Generally speaking, what is the most common type of contingency?

71 / 115

Aaron can't get to his property from a public road without crossing over his neighbor Ron's property. In this situation, Aaron needs a/an:

72 / 115

Which of the following can be achieved by dividing the price of the property by the rent that is produced?

73 / 115

Which of the following is an example of Real Property?

74 / 115

What is it called when parties have fully performed the terms of a contract?

75 / 115

What best describes an agent hired to perform a specific duty?

76 / 115

The fact that land has a number of important uses is the basis for what essential element of value?

77 / 115

A parcel of land that is subject to an easement is best described as:

78 / 115

A property owner enters into a listing agreement with an agent. Another agent obtains a buyer for the house, and the first agent does not receive a commission. The listing agreement between the first agent and the property owner was probably

79 / 115

An elderly man in a nursing home, has no family and is suffering from Alzheimer’s. Because of his Alzheimers, he doesn’t remember much. Eventually, he passes away in his sleep. There is no will for the man, and again he has no family. So what happens to the money left in his savings account and his old farm that has been left untouched since he entered the nursing home?

80 / 115

What is a written supplement or amendment to an existing will such as one affecting the transfer of real estate upon death?

81 / 115

Liquidated damage is most likely to be found in which of the following documents?

82 / 115

Amendments and addendum are essentially the same thing, correct? Choose the best answer.

83 / 115

Commingling is the opposite of what?

84 / 115

When contracting parties have signed a contract and both parties have done all they promised to do, it is called this:

85 / 115

Under agency law in Michigan, dual agency is

86 / 115

Which of the following statements is TRUE about trusts and trustees?

87 / 115

Which of the following best describes the prepayment penalty clause?

88 / 115

A buyer gave a broker a written offer to purchase property, which contained a 14-day acceptance clause along with a $3,000 deposit. On the seventh day, before acceptance by the seller, the buyer notified the broker that they were withdrawing their offer and asked for the return of the $3,000 deposit. Which of the following statements are true?

89 / 115

Under the Federal Fair Housing Law, which of the following is considered discriminatory advertising?

90 / 115

A mortgage loan that requires monthly payments of $400.00 for 15 years and a final payment of $20,000. Typically a loan structured like is called a

91 / 115

What is radioactive gas dispersed from natural decay of mineral in earth (odorless, colorless, tasteless)?

92 / 115

The ability to buy and sell is also known as what essential element of value?

93 / 115

Tony and Taylor are two unmarried individuals who own property with equal interests and a right to survivorship. Which of the following forms of ownership would Tony and Taylor most likely have?

94 / 115

During the listing agreement a commission of 6% is established. The house is sold for $250,000. What is the commission?

95 / 115

The period over which a property may be profitably utilized is called its:

96 / 115

What does the Federal Housing Administration do?

97 / 115

Philip has a contract with his neighbor Jessica for lawn service. Philip can no longer mow the lawn due to an ankle injury. Paul, Jessica's other neighbor, agrees to carry out the terms of Philips contract. In order to do this, Jessica must substitute Philip's name with Pauls on the contract. What is this an example of?

98 / 115

Josh agrees to represent Susan in the sale of her home. The listing contract states that Josh will receive a fee of $15,000 from Susan at closing, regardless of the sales price. Is this a legal and a valid form of compensation?

99 / 115

Which of the following two real estate contract clauses protect the lenders in some way, usually by asking for some form of payment(insurance)?

100 / 115

Acceleration is a term associated with which type of document?

101 / 115

It is the _____ duty to explain the purchase agreement and to not mislead any parties.

102 / 115

The increase of value with the passage of time is best described as:

103 / 115

A lender's refusal to lend money to potential homeowners attempting to purchase property located in predominantly minority neighborhoods is

104 / 115

A contract agreed to and signed under duress is what?

105 / 115

How long are terms for members of the Michigan Board of Real Estate Brokers and Salespersons?

106 / 115

Typically a trust is a _____ -party relationship.

107 / 115

Which of the following are the main participants in real estate markets?

108 / 115

Who dictates trust accounts and when to deposit earnest money or other trust funds?

109 / 115

If a seller rejects a written offer made by a buyer, changes the terms of the offer, and has the new offer delivered to the buyer, it is considered what?

110 / 115

Often required for mortgages, property insurance for a home is commonly called:

111 / 115

What is an item on a property that is installed by the tenant, and is related to the tenant's business classified as?

112 / 115

When real estate agents alert the members of a neighborhood that it is "changing" and that they should sell their property. This is an example of what?

113 / 115

Which of the following statements is NOT true about radon?

114 / 115

An unlicensed employee or unlicensed personal assistant may NOT do the following?

115 / 115

Which of the following best describes a blind offer?

Your score is

Hello, welcome to our Michigan Real Estate Practice Exam.

In Michigan, there are 115 questions on the exam. Many states have a national portion and a state portion, but Michigan has one section combining both for a total of 115 questions. 

The two most effective study tools for the state exam are practice exams and learning the state-specific license laws. 

Our state-specific practice exam is a fantastic tool to help you grasp your state's real estate topics. It works just like the national practice exam and is updated annually. Usually, using the state practice exam is enough for students to grasp the concepts. However, if you want more, the single most important resource out there is the laws they base the questions on. 

If you haven't looked at your state's Real Estate Statutes or Regulations, it's strongly recommended.

The test makers take snippets of laws applicable to your state and use them for the questions. We use the actual state laws to create our questions, which is why some of the questions may look familiar to you. Some websites and prep providers do not, and that's the secret. You need to know your state's laws. 

Furthermore, It would be best if you read through your laws at least once, and that's the greatest advice we can give you. Trust us, we know it can be very time-consuming, but reading through each one of these will provide you with precisely the information you need to pass. 

Best of luck, reach out if you need anything,

Real Estate License Wizard Team

Michigan Real Estate Statutes and Regulations

Here is our list of recommended Real Estate Statutes and Regulations you need to know:

NOTE: State websites update semi-frequently, and sometimes their website URLs change. If any of the links posted below do not work, please reach out, and we will update the links promptly. Thank you.


Michigan Real Estate Exam FAQs

Have a question about the real estate exam? Find the answers to all your real estate license questions here:

What are Michigan’s Real Estate License Requirements?

Real estate license requirements vary from state to state. Here are Michigan’s requirements:

  • Must be 18 years or older.
  • Must complete a background check.
  • Must complete required state approved pre-licensing courses (40 credit hours).
  • Estimated cost of total fees and license: $125-$175

How Hard is the Michigan Real Estate Exam?

The real estate exam is a rigorous and challenging test that weeds out those who are not committed to being skilled agents. To pass the exam in Michigan, you’ll need to get a score of at least 70%. With a total of 115 questions, that means the score to pass is 80.

How Many Questions Can You Miss on the Michigan Real Estate Exam?

In Michigan, you can miss 35 questions and still pass the real estate exam.

How Many Times Can You Take the Michigan Real Estate Exam?

There are no limits to the number of times you can take your real estate exam. Anyone who fails the Michigan state exam may immediately pay and reschedule the exam. There are no restrictions.


What Is on the Michigan Real Estate Exam?

The 115 multiple-choice questions on the salesperson examination cover a variety of topics that are relevant to Michigan real estate license law. Here are what topics you are expected to know:

Michigan General Exam Topics:

  1. Property Ownership
  2. Land Use Controls and Regulations
  3. Valuation and Market Analysis
  4. Financing
  5. General Principles of Agency
  6. Property Disclosures
  7. Contracts
  8. Leasing and Property Management
  9. Transfer of Title
  10. Practice of Real Estate

Michigan State Exam Topics:

  1. Michigan State License Law
  2. Michigan Real Estate Occupational Code
  3. Michigan Board of Real Estate Brokers and Salespersons
  4. Michigan Real Estate Prohibited Practices
  5. Michigan Agency and License Disclosures

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