Upon passing BOTH halves of the Michigan Residential Builders License, you may apply for your Michigan Builders License. The total additional costs for your initial license and fees is $105.00. This includes a one-time $15 application fee, a one-time $50 Construction Lien Recovery Fund fee, and $40 for the first annual license fee.
The Michigan real estate examinations are administered by PSI Services, LLC (PSI). The Real Estate Broker and Salesperson Candidate Information Bulletins (CIB) have been posted to PSI's website at www.psiexams.com. Follow the prompts to select 'Michigan' as the state and the type of exam. The CIB details examination registration procedures and exam content.
Effective December 1, 2007, prior to taking the exam, salesperson candidates will be required to apply for their license on-line atwww.michigan.gov/iCOLA. This system (iCOLA) will allow applicants who have completed the application process on-line, and have had a broker verify their employment relationship, to receive their license immediately upon passing the licensing examination.
This system requires brokers to go on-line to verify that an applicant is approved for employment by their office (this would be the same as signing the bottom of a salesperson's paper application in the past). Brokers must register atwww.michigan.gov/iCOLA.
The new system will work as follows:
The requirements to obtain a salesperson license remain the same: a 40-hour fundamentals class, passing the exam, possessing good moral character and a valid employing broker. If you have passed the salesperson exam prior to 12/1/07, you will not be able to apply for licensure via iCOLA, please use the application given to you at the exam site.
The license and exam application processes for brokers and associate brokers remain unchanged at this time, but it is anticipated that they too will be automated in the future.
We encourage ALL brokers to immediately access iCOLA to create a permanent user ID and password to verify new salesperson relationships as the need arises. If you have questions about creating your user name and password on iCOLA, please call (517) 373-7353 to reach the real estate unit.
A Residential Builder is a person engaged in the construction of a residential structure or a combination residential and commercial structure who, for a fixed sum, price, fee, percentage, valuable consideration, or other compensation, other than wages for personal labor only, undertakes with another or offers to undertake or purports to have the capacity to undertake with another for the erection, construction, replacement, repair, alteration, or an addition to, subtraction from, improvement, wrecking of, or demolition of, a residential structure or combination residential and commercial structure; a person who manufactures, assembles, constructs, deals in, or distributes a residential or combination residential and commercial structure which is prefabricated, preassembled, precut, packaged, or shell housing; or a person who erects a residential structure or combination residential and commercial structure except for the person's own use and occupancy on the person's property.
A Maintenance & Alteration (M&A) Contractor is licensed to perform only specific trades and services and may accept contracts only in the trade(s) or craft(s) for which he or she is licensed. The M & A Contractor's wall license and pocket card identifies the trades for which the M&A Contractor is licensed. The pocket card contains a letter code that represents the trade or trades in which that M & A Contractor is licensed. The M&A trades and their equivalent letter codes are: Carpentry (A); Concrete (B); Excavation (D); Insulation Work (G); Masonry (I); Painting & Decorating (J); Siding (K); Roofing (M); Screen & Storm Sash (N); Gutters (O); Tile & Marble (P); House Wrecking (R); Swimming Pools (S); and Basement Waterproofing (T).
Beginning June 1, 2008, an applicant for an initial Residential Builder or Maintenance & Alteration Contractor license must successfully complete 60 hours of approved prelicensure education prior to taking the examination or submitting a license application to the Department unless he or she is exempt from the prelicensure course of study per MCL 339.2404b as outlined below:
(a) If an individual who holds a residential builder or a residential maintenance and alteration contractor license, or an individual who held a license as a qualifying officer of a licensed residential builder or residential maintenance and alteration contractor, on June 1, 2008 is renewing a license, he or she is exempt from the requirement of successfully completing the required prelicensure courses.
(b) If an individual is applying for a license or relicensure as a residential builder or residential maintenance and alteration contractor, he or she is exempt from the requirement of successfully completing prelicensure courses if all of the following are met:
(i) His or her application is submitted September 16, 2014 through March 16, 2016.
(ii) He or she held an individual license as a residential builder or residential maintenance and alteration contractor, or held a license as a qualifying officer of a licensed residential builder or residential maintenance and alteration contractor, at any time within the 9-year period preceding his or her application.
All prelicensure education courses must be approved by the Department. A list of approved prelicensure education courses is available on the Builders website at www.michigan.gov/builders under the 'Applicant Information' section. Courses are still being developed; therefore, please continue to visit the Builders website for updated information. The 60 hours of approved prelicensure courses must include at least six (6) hours in each subject below:
1) Business Management, Estimating, and Job Costing;
2) Design and Building Science;
3) Contracts, Liability, and Risk Management ;
4) Marketing and Sales;
5) Project Management and Scheduling;
6) The Michigan Residential Code;
7) MIOSHA Construction Safety Standards; and
8) The rest of the 18 hours may come from other topics on the approved course list.
After an applicant has completed the 60 hour prelicensure education requirement, he or she may apply online at www.michigan.gov/mylicense or obtain anIndividual Residential Builder and Maintenance & Alteration Contractor License Application on the Builders website at www.michigan.gov/builders, under 'Forms & Publications'. The license application must be completed and submitted with the application fee.
Once the Licensing Division receives an application, it will be reviewed to ensure that the applicant meets all licensing requirements. The requirements for licensure include: 1) 60 hours of approved prelicensure education courses; 2) be of good moral character; 3) submit any required documentation requested by the Department; and 4) pass the required examination.
An applicant must meet all requirements for licensure before receiving approval by the Department to take the examination that is required to obtain a Residential Builder or Maintenance & Alteration Contractor license. Once the applicant receives an authorization to test (ATT) letter, he or she may contact PSI Services LLC, the exam provider,
at 1-800-733-9267, or go to the website at www.psiexams.com, to register for the examination.
After the applicant passes both portions of the examination, a license will be issued as an Individual Residential Builder or Individual Maintenance & Alteration Contractor. The individual license will allow an individual to perform work as a sole proprietor, under their personal name or an assumed name from their County Clerk's Office. The individual license may NOT be used for a corporation, limited liability company or partnership. If you are conducting business as a corporation, limited liability company, or partnership, you must also apply for a second license which will be for the business entity. You may obtain a Corporation, Limited Liability Company, or Partnership Residential Builder and Maintenance & Alteration Contractor License Application on the Builders website at www.michigan.gov/builders, under 'Forms & Publications' or contact the Licensing Division at 517-373-8068.
A Salesperson is an employee or agent, other than a qualifying officer, of a licensed residential builder or residential maintenance and alteration contractor, who for a salary, wage, fee, percentage, commission, or other consideration, sells or attempts to sell, negotiates or attempts to negotiate, solicits for or attempts to solicit for, obtains or attempts to obtain a contract or commitment for, or furnishes or attempts or agrees to furnish, the goods and services of a residential builder or residential maintenance and alteration contractor, except a person working for a licensed residential builder or residential maintenance and alteration contractor who makes sales which are occasional and incidental to the person's principal employment.
Applicants must contact PSI Services LLC at 800-733-9267, or visit their website at www.psiexams.com, to register for the examination. Once an applicant has passed the Salesperson examination, the applicant may apply online at www.michigan.gov/mylicense . Or, may complete and submit the Salesperson License Application to the Licensing Division, along with the required application fee.
Applicants for the Residential Builder or Maintenance & Alteration Contractor Salesperson license must be of good moral character; must be employed by a licensed Residential Builder or Maintenance & Alteration Contractor, and successfully pass an examination.
A Branch Office is a separate office location for a licensed Residential Builder or Maintenance & Alteration Contractor. If a Residential Builder or M & A Contractor is operating out of more than one location, the second location must be licensed as a Branch Office.
A licensed Residential Builder or Maintenance & Alteration Contractor may obtain a Branch Office license application on our website at www.michigan.gov/builders, under Forms & Publications. The application must be completed and submitted to the Department, along with the application fee.
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