Why You Should Become a Real Estate Broker

Do you love helping people find their dream homes or business properties as a licensed real estate salesperson (or agent), but you’re looking for more opportunities for growth? It’s time you considered becoming a real estate broker.

What Is a Real Estate Broker?

A broker is a real estate salesperson who undergoes additional training and earns a real estate broker license. Like real estate agents, brokers help customers buy and sell property — but with added responsibility. Brokers also make sure all transactions are compliant with state and federal regulations.

Generally, there are three types of broker titles: associate, managing, and principal.

  • Associate brokers work under another broker and don’t supervise other real estate salespeople.
  • Managing brokers typically run the day-to-day operations in a real estate business, like hiring and training new salespeople.
  • Principal brokers supervise all salespeople working under them to make sure transactions follow state and federal real estate law.

Benefits of Becoming a Real Estate Broker

Real estate salespeople and brokers share many responsibilities, but brokers enjoy extra perks that make it a great upward career path for any real estate professional. Here are just a few benefits that come with earning your real estate broker license.

Business Ownership and Increased Earning Potential

Unlike real estate salespersons, brokers can work independently without splitting the commission. Brokers who decide to start their own real estate business can hire other real estate salespersons to work under them, and they earn partial commission on any sales their agents close.

Opportunity to Build New Skills

In the competitive real estate market, getting a broker license is only the first step in increasing your earning potential. To keep up with the competition and changing regulations, brokers are constantly learning new skills, from social media marketing to business and legal information that you can apply to other areas of your life.

Expanded Professional Network        

Because of brokers’ increased responsibilities, they often work with people from a wide variety of backgrounds. This can include real estate salespeople, buyers, bank officials, and other professionals. A larger professional network can also mean increased business opportunities!

How to Obtain a Michigan Real Estate Broker License

1. Meet State Requirements

In Michigan, real estate professionals must meet the following requirements before applying for a broker license:

  • Be at least 18 years old
  • Vouch for your “good moral character,” which includes confirming no history of convictions for embezzlement or misappropriation of funds
  • Have at least three years of full-time real estate business experience
  • Maintain a Michigan business address

2. Complete Pre-License Education

Broker applicants in Michigan must complete 90 hours of pre-license education including nine hours of civil rights law and equal opportunity in housing. Save time and money on this process with our complete Michigan Broker Pre-Licensure Package. It includes all 90 hours of required course material presented as online video lectures, so you can complete your education at your own pace. Plus, the complete package includes a practice exam!

3. Pass the Real Estate Broker License Exam

All broker applicants must pass the real estate broker exam administered by PSI Services, LLC. Our 400-question practice exam covers all topics on the exam to help ensure you pass on your first try!

Get Your Michigan Real Estate Broker License

Whether you want to become your own boss, build a robust network of like-minded professionals, or increase your earning potential, obtaining a Michigan real estate broker license will only add value to your real estate career.

View all of our online broker course options to get started.

Step-by-Step Guide to Getting a Broker License

Michigan is one of the only real estate markets expected to grow in 2019. If you’re ready to upgrade your salesperson license, here is everything you need to know.

How do I get a Michigan real estate broker license?

  1. Complete 90 hours of approved real estate coursework within 36 months of application, unless licensed continuously.
    All potential brokers in Michigan must complete an approved 90 Hour course. Real Estate Training Institute offers this course online in HD video so you can fit it into your busy schedule. The onscreen instructor, Gwyn Besner is available to answer any questions you have while taking the course.
    Note: if you have been a practicing attorney for 5 or more years you only need to take 30hrs to become a licensed broker.
  2. Submit your real estate license application. Go to www.michigan.gov/icola to apply for a license. Upon accessing iCOLA, you will be asked to create an account, pay your license fee, and submit your license application electronically.
    Note: You must have at least 3 years’ full-time experience as a real estate salesperson, or equivalent experience before applying as a broker (Rule 205).
  3. Register with PSI and pay the $76 exam fee.
    To schedule your exam date, call PSI at 1-800-733-9267. Use the 24/7 Automated Registration System or speak with a representative between 7:30 A.M. to 8:00 P.M. ET. You will be informed immediately after the exam whether you passed or not. PSI will import your exam data into your iCOLA record within 48 hours of successful completion of the exam.

Where is the Michigan real estate broker exam offered?

  • Gaylord
  • Grand Rapids
  • Holt
  • Marquette
  • Southfield

What are the initial real estate licensing fees in Michigan?

Michigan operates on three-year cycles so initial licensing fees decrease each year. 2018 is the last year of a licensing cycle to fees are as follows:
Brokers & Associate Brokers: $71
Branch Office: $30

Who do I contact at the state level about getting a Michigan real estate license?

Contact Information

Licensing and Regulatory Affairs
Board of Real Estate Brokers & Salespersons
Website:  http://www.michigan.gov/realestate
Phone:  517-241-9288

Licensing References

Michigan Real Estate – Frequently Asked Questions
Michigan Real Estate Brokers and Salespersons — Occupational Code

Licensing Resources

Should You Get A Real Estate License?

Step-by-Step Guide to Becoming a Real Estate Salesperson

Why You Should Upgrade to A Broker License