Michigan Laws and Regulations for Leasing and Tenancy

Michigan lists numerous properties offered for ownership or lease. Leasing a property is a great choice for many individuals incapable of buying their own homes. Property owners themselves can put their own sites for lease if they want. Nevertheless, it is important to take note of the legal technicalities surrounding leasing to ensure hassle-free agreement setup. Whether you are planning to be a lessor or a renter, you can take note of these guides to understand how leasing works in the state.

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Knowing Different Tenant Types

Legally speaking, the Michigan leasing ordinance defines different types of tenants who may occupy your property. Knowing these types will help you know the best way of offering your property for lease. A fixed-term tenant is someone occupying your dwelling unit for the amount of time indicated in the contract. Another type is periodic tenancy or at will tenancy, in which tenants will stay for an indefinite period of time like in the case of month-to-month tenancy.

Lease Agreement Provisions and Details

Similarly with other states, a lease can be agreed on orally or in written documents. Oral agreement is often acceptable for shorter duration, but for tenancy of more than a year, the Michigan ordinance states to have a written agreement in compliance with the Statute of Frauds. This will also serve as protection for both tenants and lessors.

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Provisions included in the agreement includes the name of both tenant and landlords, amount to be paid, dwelling place address, name and address of the bank institution where the deposit is held, and many more. It is vital to note down these details with a legal expert first, before writing the entire agreement to ensure you will not miss out any detail. Tenants as well must check these details to ensure they are aware and understand every provision.

Security Deposit

The security deposit will be held in a different financial institution and to be returned to the tenant once the term lapsed. Deposit serves as a guarantee that the tenant will pay the rent, utilities and other bills that come with renting the property. After a contract termination, the landlord will return the entire amount to the tenant unless the landlord needs to claim some amount of unpaid rent, utilities and damages to the property.

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The eviction process begins by providing the notice for the tenant to move out of the property. There are different reasons why a tenant may be evicted, but they are usually due to unpaid rent or breaching some parts of the agreement. After receiving the notice, both parties may be required to appear in court. If the landlord proved his or her case, the eviction will push through, allowing landlords to get back their properties. There’s a certain timeline to be followed for the eviction policy. If you are a tenant facing eviction, be sure to take note of the legal details with an attorney to aid in dealing with the legal proceedings.
Living in Michigan through leasing or earning through having a property rented means following state and local ordinances that come with it. Be familiar with these legal details with the help of an attorney to ensure you act according to the regulations.

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