Michigan License Law Practice Test

Which method of marketing a property is prohibited in Michigan?

1. Open houses

2. Advertising in newspapers

3. Selling chances

4. Listing on online platforms

The correct answer is: Selling chances

Selling chances is prohibited in Michigan due to regulations surrounding gambling and the way property transactions are structured. This method typically involves the sale of lottery-style tickets or chances to win a property, which can be classified as a lottery or gambling scheme. The Michigan Legislature has strict laws governing gambling activities, which do not allow for real estate transactions to be marketed or sold in this manner. In contrast, open houses, advertising in newspapers, and listing on online platforms are all accepted marketing practices for properties in Michigan. These methods facilitate legitimate sales processes and comply with the regulations that govern real estate transactions in the state. Thus, the prohibition of selling chances underscores the importance of following legal marketing practices within the real estate industry.