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A Michigan residential lease agreement is a legally binding contract between a landlord and a tenant that outlines the terms and conditions of renting a property. These agreements typically cover a fixed period, often lasting one year.

Required Disclosures

Michigan law mandates several disclosures that must be included in residential lease agreements:

  1. Landlord Name and Address: The lease must include the name and address of the landlord or authorized agent, facilitating effective communication regarding legal notices.

  2. Domestic Violence Protection: The lease must inform tenants of their right to terminate the lease if they have a reasonable apprehension of present danger due to domestic violence, sexual assault, or stalking. The required language is:

    “A tenant who has a reasonable apprehension of present danger to him or her or his or her child from domestic violence, sexual assault, or stalking may have special statutory rights to seek a release of rental obligation under MCL 554.601b.”

  3. Inventory Checklist: Landlords are required to provide tenants with an inventory checklist before move-in and upon move-out. This checklist allows tenants to document the condition of the property and must include a statement advising tenants to return it within seven days of obtaining possession.

  4. Lead-Based Paint Disclosure: For properties built before 1978, landlords must provide a lead-based paint disclosure and an Environmental Protection Agency (EPA) pamphlet about the dangers of lead paint.

  5. Truth in Renting Act: The lease must include a statement regarding the rights and obligations of parties to rental agreements, as follows:

    “NOTICE: Michigan law establishes rights and obligations for parties to rental agreements. This agreement is required to comply with the Truth in Renting Act. If you have a question about the interpretation or legality of a provision of this agreement, you may want to seek assistance from a lawyer or other qualified person.”

  6. Security Deposit Receipt: Landlords must provide a receipt for the security deposit, which includes a notice that the tenant must notify the landlord in writing within four days after moving of a forwarding address to receive an itemized list of damages.

Security Deposit Laws

  • Maximum Amount: The maximum security deposit that a landlord can charge is one and a half months’ rent.
  • Returning: Any unused portion of the security deposit must be returned to the tenant within 30 days after move-out. If deductions are made, an itemized list must be provided.
  • Interest: There is no requirement for landlords to collect or distribute interest on security deposits.
  • Bank Account: Security deposits must be held in a regulated financial institution.

Rent Payment Laws

  • Grace Period: There is no grace period mandated by Michigan law; rent is due on the specified due date.
  • Maximum Late Fee: There is no statutory limit on late fees.
  • NSF Fee: A landlord may charge a $25 fee for a bounced check if paid within seven days, or a $35 fee if paid within 30 days.

Landlord’s Right of Entry

Michigan law does not specify how much notice a landlord must give before entering a rental property. However, it is generally recommended to provide at least 24 hours’ notice.

Breaking a Lease

  • Non-Payment of Rent: Tenants who fail to pay rent may be served a notice to quit, giving them seven days to pay or vacate.
  • Non-Compliance: A landlord may terminate a tenancy for non-compliance with the lease agreement by providing 30 days’ notice, unless the non-compliance results in a health hazard or serious damage, in which case a seven-day notice may be issued.

Lease Termination

  • Month-to-Month Tenancy: Either party can terminate a month-to-month lease with one month’s notice.
  • Unclaimed Property: Michigan law does not specify how to handle a tenant’s unclaimed property after abandonment or lease termination.

FAQs

In Michigan, required disclosures in a residential lease agreement include the landlord’s name and address, a notice regarding domestic violence rights, an inventory checklist, a lead-based paint disclosure for properties built before 1978, a security deposit notice, and compliance with the Truth in Renting Act. These disclosures ensure tenants are informed of their rights and the condition of the property.

In Michigan, a landlord can charge a maximum security deposit of one and a half months’ rent. This deposit must be returned to the tenant within 30 days after the lease ends, along with an itemized list of any deductions for damages.

Tenants in Michigan have the right to terminate their lease without penalty if they have a reasonable apprehension of danger due to domestic violence, sexual assault, or stalking. This right must be clearly stated in the lease agreement, as per MCL 554.601b.

No, Michigan law does not require a grace period for rent payments. Rent is due on the date specified in the lease agreement, and landlords can charge late fees immediately if rent is not paid on time.

Landlords must provide a lead-based paint disclosure to tenants if the property was built before 1978. This includes an EPA-approved pamphlet about the dangers of lead-based paint and any additional records regarding lead hazards in the unit.

A landlord in Michigan must provide a receipt for the security deposit and keep it in a regulated financial institution. They are required to return any unused portion of the deposit within 30 days after the tenant vacates, along with an itemized list of any deductions.

Yes, a lease can automatically renew in Michigan. After the initial term, it typically converts to a month-to-month rental agreement unless otherwise specified in the lease.

If a tenant fails to pay rent in Michigan, the landlord can serve a notice to quit, giving the tenant seven days to pay the overdue rent or vacate the premises. If the tenant does not comply, the landlord may proceed with eviction.