Guide · Updated 2026-10-30

Michigan residential builder exam: how to pass

Practice for the Michigan residential builder exam with original questions on licensing law, contracts, liens, project management, and the residential code and trade practices PSI lists.

The format

160 questions (50 Business & Law)
240 minutes
116 to pass (of 160)
Closed book no references
Exam fee: $117 for the Business & Law + Practice/Trade combination (PSI).

Test-day rules

Computer-based at PSI test centers, after LARA approves your application and you finish the 60-hour prelicensure course.
Closed book: no reference materials are allowed.
Passing candidates see only PASS; failing candidates get a diagnostic report.

What’s on it

PSI publishes how many questions come from each content area. Our mocks use the same mix:

Topic	PSI questions	In our mock	Bank
Business & Law: Licensing and regulation (Article 24, PA 230) Licensing Prelicensure Entities Reporting Complaints Violations Lawsuits Penalties Board Contracts Permits	13	13	22
Business & Law: Business organization and marketing Business types Marketing	4	4	7
Business & Law: Estimating for residential contracts Estimating	1	1	3
Business & Law: Contracts and home solicitation Contract elements Contract types Change orders Addenda Breach Damages Home solicitation Warranties	7	7	12
Business & Law: Project management and administration Scheduling Payments Subcontractors Quality Inspections Logistics Customer service Submittals	6	6	10
Business & Law: Accounting and finance Statements Ratios Profit Payroll Taxes Cash flow Accounting methods Receivables	6	6	10
Business & Law: Insurance, bonds, and liens Insurance Bonds Liens	11	11	18
Business & Law: Personnel Labor law Recordkeeping Benefits	2	2	4
Site engineering Surveying Plot plans Wells and septic Elevations Flood plains Wetlands	5	5	8
Plans, specifications, and estimating Scales Plan types Symbols Takeoff Permits Green building Construction techniques Specifications Dimensions	14	14	22
Excavation and sitework MISS DIG Trenching Soils Erosion control Hazardous materials Grading Dewatering	9	9	14
Footings and foundation walls Footings Anchoring Foundation walls Moisture Drainage Wood foundations Slabs	11	11	17
Concrete Testing Strength Mix design Admixtures Volume Flatwork Finishing Curing	7	7	11
Carpentry Notching and boring Plates Bearing Loads Fireblocking Draftstopping Stairs Guards Decks Roof framing Trusses	16	16	25
Masonry Veneer Flashing Fireplaces Chimneys Mortar Cold weather Joints Lintels Reinforcement	9	9	14
Roofing Underlayment Ice barrier Drip edge Fastening Reroofing Estimating Valleys Flashing Gutters	7	7	11
Insulation Vapor retarders Foam plastic Batts R-value Blown-in Air sealing Sound	5	5	8
Ventilation Attic Crawl space Bathroom	2	2	4
Windows, doors, and skylights Egress Safety glazing Installation Energy	5	5	8
Siding installation Vinyl Water barrier Clearances Fiber cement Starter	3	3	5
Interior and exterior finishes Drywall Tile Painting Flooring Trim Barrier free Cabinets	5	5	8
Specialties (smoke alarms, pools) Smoke alarms Pools	2	2	4
Safety and MIOSHA Fall protection Ladders Scaffolds Hazard communication Reporting Electrical PPE Hazardous materials Waste Traffic Hoisting First aid Training	10	10	16

A study plan

Learn Article 24 of the Occupational Code: licensing, the 3-day cancellation and written contract rules, and what LARA can discipline.
Know Michigan’s construction lien deadlines (notice of furnishing, claim of lien, sworn statements).
Study the business topics PSI counts most: contracts, project management, accounting and taxes, and labor law.
For Practice/Trade, focus on the biggest areas PSI lists: carpentry and framing, plans and specifications, footings and foundations, and safety.
Time yourself. The exam is closed book, so you need to recall rules without looking them up.

Try 10 free Residential Builder questions Residential Builder practice page

Sources: PSI Candidate Information Bulletin 552 (builder and M&A) · LARA prelicensure requirements · MCL 339.2401 and following (Article 24). Checked October 30, 2026. Rules and fees change, so confirm with LARA and PSI.

FAQ

How many questions are on the Michigan residential builder exam?

PSI’s bulletin lists 160 questions (50 Business & Law plus 110 Practice/Trade) in 240 minutes, with 116 correct needed to pass.

Is the builder exam open book?

No. PSI says the residential builder exam is closed book, so no reference materials are allowed.

Do I need a course before the exam?

Yes. LARA requires 60 hours of prelicensure education for residential builder and maintenance & alteration applicants.

What does it cost?

PSI lists $117 for the Business & Law and Practice/Trade combination, first try or retest.

MI Trade Prep is an independent study tool, not affiliated with LARA or PSI.