On August 26, 2020, the Michigan Department of Licensing and Regulatory Affairs (LARA) launched a new online licensing system named MiPLUS.  All license transfers are now done online in the MiPLUS system.  We can find the MiPLUS website at www.mi.gov/MiPLUS.  You must log into your account on the MiPLUS website to transfer your salesperson license.

STEP 1:  Go to the MiPLUS website at www.mi.gov/MiPLUS and log into your account with your username and password (create an account if necessary).

STEP 2:  Click on "Licenses," which is located above the welcome message.

STEP 3:  Select "Modification" next to your license number.

STEP 4:  Select "Transfer or Employing Broker Notification" and click "Continue Application."

STEP 5:   Scroll down to "New Employing Broker Information" and enter your new employer's 10-digit license number.  Our Broker Number is 6505361018.  Our company name and information will auto-populate.  Click "Continue Application."

STEP 6:  Review your information to make sure that everything is accurate.  If you need to make a correction, click "Edit."  If everything looks good, clock on "Continue Application" to submit the request.

STEP 7:  You will now see a confirmation that your license transfer request was submitted successfully.

STEP 8:  Please contact us at info@123MichHolding.com to let us know that you initiated the transfer of your license to our brokerage. 

The Bureau of Professional Licensing (BPL) within the Michigan Department of Licensing and Regulatory Affairs (LARA) is moving to a new online licensing and regulatory database for health and occupational professions, called Michigan Professional Licensing User System (MiPLUS). This move will affect all Michigan real estate licenses, including salespersons and brokers.

To facilitate the migration of current licensing records into the new system, LARA will be unable to process license applications, license renewals, or changes to licenses between August 3, 2020 and August 25, 2020.

One critical item to note is that LARA recommends against creating or registering for a MiPLUS account until after August 25, 2020. Doing so will negatively impact your ability to interact with the system as it will require that you contact LARA’s office to correct your account.

If you have questions about the transition to the new MiPLUS system, you can check out LARA’s Frequently Asked Questions (FAQ) document here. If you have additional questions regarding the transition, you can contact LARA at (517) 241-0199 or email BPLHELP@michigan.gov.

All Michigan real estate licenses expire on October 31, 2018, and need to be on or before that date.  How much real estate continuing education do you need to renew you real estate license depends on how long you have held an “active” real estate license.
 
IF YOU:

• Renewed your license in 2015; or
  
• Were issued a new license between 7/1/2015 – 10/31/2016; or
• Were relicensed between 7/1/2015 – 10/31/2016

THEN YOU NEED:

• 6 hours (2 hours each year) of continuing education that involves law, rules and court cases regarding real estate.
• 12 hours of other continuing education (all or part of those can be additional “law” hours)
• For a total of 18 hours of continuing education prior to renewing your license in 2018.

 
IF YOU:

• Were issued a new license between 11/1/2016 – 10/31/2017; or
• Were relicensed between 11/1/2016 – 10/31/2017

THEN YOU NEED:

• 4 hours (2 hours each year) of continuing education that involves law, rules and court cases regarding real estate.
• 8 hours of other continuing education (all or part of those can be additional “law” hours)
• For a total of 12 hours of continuing education prior to renewing your license in 2018.

 
IF YOU:

• Were issued a new license between 11/1/2017 – 7/3/2018; or
• Were relicensed between 11/1/2017 – 7/3/2018

THEN YOU NEED:

• 2 hours of continuing education that involves law, rules and court cases regarding real estate.
• 4 hours of other continuing education (all or part of those can be additional “law” hours)
• For a total of 6 hours of continuing education prior to renewing your license in 2018.

Note:  If you hold an associate and/or individual broker license and you have held an active salesperson license between 7/1/2015 – 10/31/2016 you are required to complete the entire 18 hours of continuing education.
 
If you were relicensed and used any courses to fulfill the previous year’s continuing education requirements, those courses cannot be used again for the 2018 renewal.

1 Stop Con Ed LLC can help you with all of your Michigan real estate con ed needs to ensure that you are ready to renew your real estate license.  1 Stop ConEd LLC is a Michigan company and all of its courses fully and completely comply with LARA’s requirements for real estate continuing education course credit.  They are prepared by licensed Michigan attorneys, who are also licensed Michigan real estate brokers, to ensure adherence to LARA’s regulations.

An amendment to the Occupational Code changes the due date for real estate con ed from December 31 to October 31 of each year.  This is a significant change to timing, so make sure you complete your "legal update" courses before October 31.

Senate Bill 126, (now Public Act 56 of 2017) amends MCL 339.2504a of the Occupational Code, 1980 PA 299, by revising the continuing education requirements for licensed real estate professionals.  These requirements take effect on September 13, 2017.
 
Highlights of PA 56 of 2017 include the following:

• Two (2) hours of eligible continuing education courses involving statutes, rules, and court cases are required to be taken in each year of a license cycle.  As a result, the deadline to take the mandatory 2 hours of "legal update" continuing education has been moved up to October 31 (it's no longer December 31).
• Currently, a license cycle is 3 years and licensees must take 18 clock hours of continuing education hours per license cycle.
• If a licensee completes an education course to obtain a professional designation, the number of hours of that course will count towards the total number of hours of continuing education courses required in a license cycle.
• An applicant for license renewal must certify the number of hours of instruction included in the course, in addition to the prior requirement of providing a time statement from the continuing professional education program sponsor that states that the continuing professional education credits for the course were granted on a 50-minute hour.

The current license cycle runs November 1, 2015 to October 31, 2018. Each year of the license cycle starts on November 1 through October 31.

Electrical safety at home and at work is everyone’s responsibility is the life-saving message today offered jointly by the State Bureau of Construction Codes (BCC) and the Michigan Occupational Safety and Health Administration (MIOHSA) within the Michigan Department of Licensing and Regulatory Affairs (LARA). Don’t run the risk of an electrical fire, injury or electrocution. May is electrical safety month.  Here are some electrical safety tips for home, school and workplace:

• Never throw water on an electrical fire! Water conducts electricity. Electricity from the fire can shoot through the water and expose you to electrocution.
• Replace worn out electrical cords, switches and outlets.
• Minimize the use of extension cords. Don’t overload extension cords or plug them into one another. Use cords according to indoor/outdoor ratings.
• Install ground fault protection for outlets in the kitchen, bathrooms, garage, crawl spaces and unfinished basements, laundry and utility rooms, and outdoors.
• Don’t overload outlets with too many appliances.
• Charge mobile devices on a desk or countertop – never on a bed or chair that could overheat and catch on fire.
• Don’t overload electrical circuits. Surge protectors protect equipment, but they do not provide protection from the potential hazards of an overloaded circuit.

Electrical Safety Month is sponsored by the Electrical Safety Foundation International, a non-profit organization dedicated exclusively to promoting electrical safety.

Have you ever wondered who policies licensed real estate agents and brokers?  Sure there is an entire department for licensing and regulations, but is there a specific governing body dedicated only to real estate agents and brokers?  The answer is YES, the Michigan Board of Real  Estate Brokers and Salespersons.

The Michigan Board of Real Estate Brokers and Salespersons was created under Article 25 of Public Act 299 of 1980, as amended, to license and regulate the practice of real estate brokers and salespersons in Michigan. Article 25 defines a real estate broker as an individual or an entity, who with intent to collect or receive a fee, compensation, or valuable consideration, sells or offers for sale, buys or offers to buy, provides or offers to provide market analyses, lists or offers or attempts to list, or negotiates the purchase or sale or exchange or mortgage of real estate, or negotiates for the construction of a building on real estate; who leases or offers or rents or offers for rent real estate or the improvements on the real estate for others, as a whole or partial vocation; who engages in property management as a whole or partial vocation; who sells or offers for sale, buys or offers to buy, leases or offers to lease, or negotiates the purchase or sale or exchange of a business, business opportunity, or the goodwill of an existing business for others; or who, as owner or otherwise, engages in the sale of real estate as a principal vocation. The Board works with the Department to oversee the practice of real estate salespersons, associate real estate brokers, real estate brokers, and branch offices.
 
The Board consists of 9 members: 6 professional members, and 3 public members. Each member serves 4 year terms.

For more information, check out:
http://www.michigan.gov/snyder/0,1607,7-277-57738_57679_57726-250090--,00.html

TRID, also known as the TILA-RESPA Integrated Disclosure Rule, is set to be effective on October 1, 2015, and will apply to loan applications received after October 1.  But what is it and why is it important?  This is a simple, overview of this new rule, which will undoubtedly impact home buyers, agents, and loan originators.

Federal law has historically required lenders to provide two different disclosure forms to consumers applying for a mortgage.  Two different Federal agencies developed these forms separately, under two Federal statutes: the Truth in Lending Act (TILA) and the Real Estate Settlement Procedures Act of 1974 (RESPA).  The information contained in these two forms was found to overlap and often be inconsistent.  As a result, the forms were confusing, and consequently burdensome and difficult for lenders and settlement agents to explain.  With that, TRID was ultimately born.  The TRID rule is designed to provide a detailed explanation of how the forms should be filled out and used.  Here are the highlights:

1) The Good Faith Estimate (GFE) and the initial Truth-in-Lending Disclosure (initial TIL) have been combined into a new form, called the Loan Estimate.  Similar to those forms, the new Loan Estimate form is designed to provide disclosures that will be helpful to consumers in understanding the key features, costs, and risks of the mortgage loan for which they are applying.  It must be provided to consumers no later than the third business day after they submit a loan application.

2) The HUD-1 and final Truth-in-Lending disclosure (final TIL and together with the initial TIL, the Truth-in-Lending forms) have been combined into another new form, the Closing Disclosure, which is designed to provide disclosures that will be helpful to consumers in understanding all of the costs of the transaction.  This form must be provided to consumers at least three business days before consummation of the loan (stated another way, three days before closing).

Both the Loan Estimate and the Closing Disclosure employ clear language.  They are specifically designed to make it easier for consumers to locate key information, such as interest rate, monthly payments, and costs to close the loan.  These forms also provide more information to help consumers decide whether they can afford the loan and to facilitate comparison of the cost of different loan offers, including the cost of the loans over time.

This new rule applies to most closed-end consumer mortgages.  It does not apply to home equity lines of credit, reverse mortgages, or mortgages secured by a mobile home or by a dwelling that is not attached to real property.  The final rule also does not apply to loans made by persons who are not considered “creditors.”

There will be a steep learning curve surrounding TRID.  Many details will become apparent as loan applications are processed and closings take place.  Home buyers, agents, and loan originators will need to be aware of the changes and deadlines so that closings are not delayed.

For additional information and resources, check out:
http://www.consumerfinance.gov/regulatory-implementation/tila-respa/

Currently, under Michigan law, salespersons may prepare a market analysis for the sole purpose of aiding buyers and sellers in determining a potential sale or list price, or tenants and landlords to determine a potential rental rate. The salesperson may not charge a fee or other consideration for the analysis.  A broker or associate broker may charge a fee for a written market analysis, which must include the following, special verbiage in bold face print.  Failure to do so may result in penalties as set for in the Occupational Code:

“This is a market analysis, not an appraisal, and was prepared by a licensed real estate broker/associate broker, not a licensed appraiser.”

Maybe.  It all depends on the terms of the agreement you had with your old broker.  However, according to Michigan’s Administrative Rules that govern real estate salespersons and brokers, the answer is yes.  If an individual earned commissions or other income while licensed to a broker, it shall not be grounds for disciplinary action as a violation for the broker to pay such earned commissions or income to that individual, regardless of whether that individual is now licensed to another broker.  In fact, you can be paid even if you are no longer licensed. 

Always, always, always put agreements between you and your broker in writing.  There is no substitute for a clearly defined agreement that is in writing, especially when it comes to referrals and commission issues.  It’s the safest way to be sure that you will be paid for living up to your end of any agreement.

For more information, check out:
http://w3.lara.state.mi.us/orr/Files%5CAdminCode%5C1444_2014-112LR_AdminCode.pdf

Have you ever thought about becoming a Michigan licensed real estate salesperson?  It’s not as hard as you might think.  Here are 5 STEPS to become a licensed real estate agent in Michigan:

1)  COMPLETE YOUR REAL ESTATE FUNDAMENTALS (PRELICENSURE) COURSE
Be sure to take the 40 hour prelicensing course from a school that has been approved by the State of Michigan.  Here is a list of approved prelicensure course providers: http://www.michigan.gov/documents/lara/lts651_472943_7.pdf.  Once you complete that course, your school will submit your certificate of completion to the State of Michigan.  Always keep a copy of completion certificates for your records.  You must apply for your license within 36 months (three years) of completing your prelicensure course. 

2) APPLY FOR YOUR LICENSE
Log onto 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.

3)  OBTAIN AUTHORIZATION TO TAKE THE EXAM
Once your application has been approved, you will receive an email from the Department of Licensing and Regulatory Affairs (LARA) notifying you of your authorization to register for the exam.

4) REGISTER AND TAKE THE EXAM
The real estate salesperson exam is administered through Psychological Services, Inc. (PSI).  To schedule your exam, visit the PSI website at: https://candidate.psiexams.com/.

PSI specifically requires LARA’s pre-approval before you can sit for the exam. Salesperson candidates must first apply for licensure through the Michigan iCOLA website. (See Step 2 above.)

5) SECURE AN EMPLOYING BROKER
In order to practice as a real estate salesperson, you must be sponsored by a licensed Michigan Employing Broker. If you list your employing broker's 10-digit number when applying, please inform your employer that you have submitted your license application. Your employing broker should then access his or her iCOLA account and confirm sponsorship. You do not need to have a broker at the time you submit the license application; broker information may be supplied to the State of Michigan at a later time using the Employing Broker Notification form. Your license application will remain in a "pending" status until a broker’s sponsorship is confirmed, or for one year from the date of your application.

123 Mich Holding LLC is a Michigan broker that holds Michigan real estate salesperson licenses until you are ready to be an active agent.  That is, if you need a broker to hold (or sponsor) your new salesperson license, but you are not ready to actively engage in the practice of real estate, you can “park” your license with 123 Mich Holding LLC (www.123MichHolding.com).  With 123 Mich Holding LLC, your license will remain active with the State of Michigan, and you can transfer it to an active broker when you are ready.  In the meantime, you can also refer folks to active brokers (of your choice) and receive referral fee.  Checkout www.123MichHolding.com for details.