Michigan Residential Lease Agreement

Important Information for Michigan Landlords

Michigan Rental Law Highlights

Security Deposits (MCL § 554.602-554.616)

• Maximum Amount: 1.5 times monthly rent (MCL § 554.602)
• Return Timeline: 30 days after tenant vacates
• Itemized Statement: Required with reasons for any deductions (MCL § 554.609)
• Move-In Checklist: Required within 7 days; tenant has 7 days to object (MCL § 554.608)
• Interest Not Required: No statutory requirement to pay interest
• Holding Account: Must be held in regulated financial institution in Michigan
• Forwarding Address: Tenant must provide in writing to receive deposit
• Damages for Violation: Double damages plus attorney fees if wrongfully withheld (MCL § 554.612)

Rent and Rent Increases (MCL § 554.134)

• Grace Period: No statutory grace period required
• Late Fees: Must be reasonable; typically stated in lease
• NSF Fees: Limited to $25 or actual costs, whichever is less (MCL § 600.2952)
• Rent Increase Notice: No statutory requirement for month-to-month, but 30 days is standard
• Fixed Term: Cannot increase rent during lease term unless specified
• No Rent Control: Michigan does not have rent control laws

Required Disclosures (MCL § 554.608, 554.634, 554.139)

• Lead paint disclosure (pre-1978 properties) – Federal requirement
• Move-in checklist within 7 days (MCL § 554.608)
• Truth in Renting Act summary (for multifamily buildings with 5+ units) (MCL § 554.634)
• Landlord’s name and address or authorized agent (MCL § 554.608)
• Bedbug disclosure (must notify if known infestation in past 5 years) (MCL § 554.139)
• Mold disclosure (if known issue)
• Smoke detector information

Eviction and Termination (MCL § 600.5701-600.5759)

• 7-Day Notice: For nonpayment of rent (MCL § 600.5716)
• 30-Day Notice: For lease violations or to terminate month-to-month
• 24-Hour Notice: For health/safety violations or drug activity (MCL § 600.5714)
• Court Process Required: Must file Summary Proceedings (eviction) in district court
• No Self-Help: Lockouts and utility shutoffs are illegal (MCL § 600.2918)
• Redemption Period: 10 days after judgment for eviction

Landlord Obligations (MCL § 554.139)

• Habitability: Must maintain premises in fit and habitable condition
• Essential Services: Heat, water, hot water must be functional
• Compliance: Must comply with applicable building and housing codes
• Structural Integrity: Maintain in safe and weathertight condition
• Smoke Detectors: Required in all dwelling units
• Carbon Monoxide Detectors: Required in dwellings with fuel-burning appliances
• Common Areas: Keep clean and in good repair
• Repairs: Must make necessary repairs within reasonable time

Entry Requirements (MCL § 554.139)

• Notice Required: Reasonable notice (typically 24 hours, but not statutorily specified)
• Reasonable Times: Entry during reasonable hours only
• Emergency Exception: May enter without notice in emergency
• Permitted Purposes: Inspection, repairs, showing to buyers/tenants
• Court Order: May enter pursuant to court order

Tenant Rights and Protections

• Quiet Enjoyment: Right to peaceful possession without interference
• Privacy Rights: Right to reasonable notice before entry
• Repair Remedies: May repair and deduct or terminate lease for serious violations
• Retaliation: Landlord cannot retaliate for complaints (MCL § 600.5720)
• Security Deposit Protection: Double damages plus attorney fees for wrongful withholding
• Truth in Renting: Rights summary for buildings with 5+ units (MCL § 554.634)
• Military Service: SCRA protections for active duty members

Michigan-Specific Considerations

Security Deposit Limits and Return (MCL § 554.602-554.616)

• Maximum 1.5 times monthly rent
• Must be held in regulated Michigan financial institution
• 30-day return requirement with itemized statement
• Move-in checklist required within 7 days of occupancy
• Tenant has 7 days to object to checklist
• Double damages plus attorney fees for bad faith withholding
• Tenant must provide forwarding address in writing

Truth in Renting Act (MCL § 554.634)

• Applies to multifamily buildings with 5 or more units
• Must provide summary of tenant rights and remedies
• Summary must be in English and other languages if applicable
• Available from Michigan Attorney General’s office
• Failure to provide can affect eviction proceedings

Move-In Checklist Requirement (MCL § 554.608)

• Landlord must provide written checklist within 7 days
• Must itemize condition of premises and existing damage
• Tenant has 7 days to review and note disagreements
• Critical for security deposit disputes
• Take photos and document thoroughly

Bedbug Disclosure (MCL § 554.139)

• Must disclose if known bedbug infestation in past 5 years
• Must disclose treatment history
• Applies to rental units in multi-unit buildings
• Tenant must notify landlord promptly of infestations
• Landlord must take action to remediate

NSF Fee Limitation (MCL § 600.2952)

• Maximum $25 or actual costs, whichever is less
• Cannot charge excessive returned check fees
• Different from late fees (which must be reasonable)
• Specific Michigan limitation on NSF charges

Eviction Notice Periods (MCL § 600.5714, 600.5716)

• 7 days for nonpayment of rent
• 30 days for lease violations (with opportunity to cure)
• 24 hours for health/safety violations or illegal drug activity
• No notice required if tenant remains after lease expiration with demands
• Must use proper notice forms and procedures

Smoke and Carbon Monoxide Detector Requirements

• Smoke detectors required in all dwelling units
• Carbon monoxide detectors required if fuel-burning appliances or attached garage
• Landlord responsible for installation and ensuring functionality at move-in
• Tenant responsible for battery replacement and reporting defects
• Specific placement requirements per building codes

Fair Housing Requirements

Best Practices for Michigan Landlords

• Use comprehensive written leases for all tenancies
• Provide move-in checklist within 7 days (required by law)
• Conduct thorough move-in and move-out inspections with photos
• Limit security deposits to 1.5 times monthly rent
• Hold deposits in regulated Michigan financial institution
• Return deposits within 30 days with itemization if deducting
• Provide Truth in Renting summary for buildings with 5+ units
• Disclose bedbug history if known infestation in past 5 years
• Give reasonable notice (24 hours) before entering property
• Keep detailed records of all transactions and communications
• Respond promptly to repair requests
• Maintain property to comply with housing codes
• Install and maintain smoke and CO detectors
• Never use self-help eviction methods
• Follow proper court procedures for evictions (Summary Proceedings)
• Limit NSF fees to $25 or actual costs
• Consider landlord insurance with loss of rent coverage

Winter Weather Considerations (Important in Michigan)

• Heating Systems: Must maintain functional heat during cold Michigan winters
• Snow Removal: Clearly specify responsibility (critical for safety and liability)
• Ice Dams: Address roof maintenance and proper insulation
• Frozen Pipes: Ensure adequate insulation and heating in walls
• Emergency Access: Keep walkways and exits clear
• Temperature Requirements: Maintain habitable temperatures
• Great Lakes Effect Snow: Properties near lakes may need extra provisions

Detroit and Urban Area Considerations

• Blight Ordinances: Additional property maintenance requirements in some cities
• Certificate of Compliance: May be required in some municipalities
• Rental Registration: Some cities require landlord registration
• Lead Paint: Prevalent in older housing stock; proper disclosure critical
• Property Taxes: Ensure current before renting in Detroit and similar areas

Resources

• Michigan Compiled Laws (MCL) – Chapter 554 (Landlord and Tenant Relationships)
• Michigan State Bar – Real Property Section
• Michigan Attorney General – Consumer Protection Division
• Legal Services of South Central Michigan
• Local housing authorities and rental inspection departments
• District courts (for Summary Proceedings/evictions)
• Michigan Apartment Association
• Truth in Renting Act summary (available from Attorney General)