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A Minnesota residential lease agreement is a legally binding contract between a landlord and a tenant, typically covering a fixed period, such as one year. This agreement outlines the terms of the tenancy, including rent obligations, property conditions, and the responsibilities of both parties.

Rental Application

A rental application is utilized by landlords to evaluate whether a prospective tenant can meet rent obligations and adhere to property rules.

Required Disclosures

Minnesota law mandates several disclosures in residential lease agreements:

  1. Covenant of Landlord and Tenant Not to Allow Unlawful Activities: The lease must include a clause stating that neither party will permit illegal activities on the property, including:

    • Controlled substances
    • Prostitution-related activities
    • Unlawful firearm use
    • Stolen property
    • Manufacturing or distribution of controlled substances in violation of Chapter 152.

  2. Financial Distress: Landlords must inform tenants if the property is undergoing foreclosure. Leases in such cases cannot exceed two months.

  3. Landlord/Manager Information: The lease must disclose the name and contact information of the landlord or property manager responsible for the rental.

  4. Lead-Based Paint Disclosure: For properties built before 1978, landlords must inform tenants about potential lead-based paint hazards and provide an EPA pamphlet.

  5. Outstanding Inspection Orders: Landlords must disclose any failed or significant inspection orders related to the property.

  6. Disclosure of Fees: The total rent and any mandatory fees must be clearly stated as “Total Monthly Rent” on the first page of the lease.

  7. Option for Move-in Inspection: If a security deposit is collected, tenants must be given the option to conduct a move-in inspection within 14 days of moving in.

  8. Service or Support Animals: Landlords cannot impose additional fees for service or support animals.

  9. Shared-Meter Buildings: In cases where utilities are submetered, bills must be based on actual readings.

Security Deposit Laws

  • Maximum Amount: There is no limit on the amount a landlord can charge for a security deposit.
  • Returning: Security deposits or partial deposits must be returned within three weeks after the lease ends, with any deductions itemized in writing.

Rent Payment Laws

  • Grace Period: There is no statutory grace period for rent payments.
  • Maximum Late Fee: Late fees cannot exceed 8% of the rent.
  • NSF Fee: There is no specific fee for bounced checks, but such fees must be clearly outlined in the lease.

Types of Minnesota Lease Agreements

  1. Standard Residential Lease Agreement: A fixed-term lease for a specified duration.
  2. Lease with Option to Purchase: Allows tenants to buy the property they are renting.
  3. Month-to-Month Rental Agreement: Flexible leases that can be renewed or terminated monthly.
  4. Commercial Lease Agreement: For retail or business purposes.
  5. Room Rental Agreement: For renting individual rooms in shared properties.
  6. Sublease Agreement: Allows tenants to rent out the property to another individual with the landlord’s permission.

Terminating a Lease

  • Month-to-Month Tenancy: Requires at least one month’s notice for termination.
  • Unclaimed Property: Landlords may claim belongings left by tenants 28 days after notice.

Landlord Right of Entry

Landlords must provide 24 hours’ notice before entering the property, except in emergencies.

Property Repairs

Landlords are responsible for maintaining the property and must address necessary repairs within 14 days of receiving written notice from tenants.

FAQs

In Minnesota, required disclosures in a residential lease agreement include the covenant not to allow unlawful activities, financial distress notification, landlord/manager information, lead-based paint disclosure for properties built before 1978, outstanding inspection orders, total monthly payment disclosure, option for move-in inspection, service or support animals policy, and shared-meter utility billing information.

Minnesota law does not establish a maximum amount for security deposits. However, landlords must return the security deposit, or any portion of it, within three weeks of the lease termination, along with a written statement detailing any deductions made.

Yes, in Minnesota, late fees may not exceed 8% of the overdue rent amount. Additionally, the lease must clearly outline the late fee structure and any grace periods, although there is no statutory grace period for rent payments.

If a landlord fails to provide required disclosures in Minnesota, they may face legal consequences, including potential fines or penalties. Additionally, many lease provisions may become unenforceable without the legally required disclosures, which could lead to disputes with tenants.

Yes, a lease agreement in Minnesota can automatically renew. Typically, once the initial term of the lease ends, it transitions to a month-to-month rental agreement unless otherwise specified in the lease.

In Minnesota, if a security deposit is collected, the landlord must offer the tenant the option to conduct a move-in inspection within 14 days of the move-in date. This inspection helps document the property’s condition and can prevent disputes over security deposit deductions when the tenant moves out.

No, lease agreements in Minnesota do not need to be notarized to be legally binding. However, having a written and signed lease is crucial for enforceability, especially for leases longer than one year.

A Minnesota residential lease agreement should include the property address, tenant and landlord information, lease term, rent amount and due dates, security deposit details, rules regarding property use, and any additional fees or charges. It should also contain required disclosures as mandated by state law.