1.4 License Maintenance and Renewal

License Term and Continuing Education

Michigan real estate licenses operate on a fixed 3-year cycle. To renew, a licensee must complete 18 clock hours of continuing education during that cycle and file through MiPLUS.

The CE Math — Annual, Not Just Triennial

Michigan does not simply require "18 hours by the end"; it imposes annual minimums that, summed over three years, reach 18:

So each year you owe at least 2 hours of legal + 1 hour of fair housing, with the remainder as electives, until you reach 18 across the cycle. A licensee who packs all 18 hours into the final month but skipped the annual legal/fair-housing minimums in years 1 and 2 is non-compliant — a frequent exam trap.

Worked example: Over a cycle, James completes 6 elective hours in year 1 (but no legal or fair-housing), 6 in year 2, and 6 in year 3. He hit 18 total hours but missed the required 2 legal + 1 fair-housing each year, so his CE does not satisfy renewal.

The Renewal Process

1. Complete all CE (18 hours with annual legal/fair-housing minimums) before the expiration date.
2. Log in to MiPLUS and open the renewal application.
3. Attest to CE completion (keep certificates; LARA audits).
4. Pay the renewal fee — $78 for a salesperson, by Visa, Mastercard, Amex, or Discover.
5. Receive the renewed 3-year license.

CE is reported by approved providers, but the licensee remains responsible for meeting the totals and surviving an audit.

Late Renewal and Expiration

Michigan provides a 60-day late-renewal window after expiration. Renewing in that window costs the normal fee plus a $20 penalty. Once the late window closes, the license is fully expired and the person may have to reapply — potentially including re-education or re-examination depending on how long it has lapsed. You may not list, show, negotiate, or earn commissions on new work while the license is expired, even one day past expiration.

License Status, Change Notices, and Reciprocity

Status Types

An inactive license is still real — the holder must keep completing CE to renew it — but no licensed activity is allowed until the licensee affiliates with an employing broker and LARA certifies it.

30-Day Change Notices

Licensees must notify LARA within 30 days of a change to:

• Home (residential) address
• Business address
• Employing broker (employment change)
• Legal name

Failing to report is itself a violation that can draw discipline.

Reciprocity

Michigan offers only limited reciprocity. Out-of-state licensees generally apply through LARA/MiPLUS, must satisfy Michigan's requirements, and typically must pass at least the Michigan state portion of the exam; LARA may credit qualifying out-of-state education and experience case-by-case. There is no automatic transfer of a license from another state.

Exam Tip: Tie the numbers together — 3-year cycle, 18 CE hours, 2 legal + 1 fair housing per year, $78 salesperson renewal, 60-day late window with a $20 fee, 30-day change notice. These exact figures are high-yield on the state portion.

Reactivation, Audits, and First-Cycle Rules

Reactivating an Inactive License

To move from inactive to active, the licensee must (1) be current on renewal and CE, and (2) have an employing broker certify the affiliation through MiPLUS. Only after LARA posts the affiliation may the licensee resume listing, showing, or negotiating. An inactive license that is never renewed will still lapse on its normal schedule — inactivity does not pause the 3-year clock.

CE Audits

Michigan accepts a CE attestation at renewal but audits a sample of licensees afterward. If selected, you must produce completion certificates for all 18 hours, including the annual 2-hour legal and 1-hour fair-housing components. Inability to document compliance can result in renewal reversal, fines, and a compliance order. Keep certificates for the full cycle plus a margin — do not discard them at renewal.

First Renewal Nuance

A licensee whose initial license period is shorter than a full three years still renews onto the standard 3-year cycle going forward; CE expectations are prorated to the hours assigned for that first partial period by LARA. When in doubt, the MiPLUS renewal screen states the exact CE owed.

Worked example: A salesperson moves and changes brokers in the same week. They owe LARA two 30-day notices' worth of updates — the new address and the new employing broker — both reportable within 30 days through MiPLUS. Reporting one but not the other is still a violation.