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Michigan Rental Lease Agreements | Laws

A Michigan lease agreement is a document signed by a landlord and a tenant that details the terms and conditions of renting an apartment, house, commercial space, or other types of real estate. An agreement ensures that both parties are aware of their respective responsibilities and rights, and serves as proof of this mutual understanding once all necessary signatures have been inscribed to the lease document. In addition to the lease term and cost of rent, an agreement will include provisions that delineate the potential causes for termination, the transfer of a security deposit, and the breakdown of utilities.

Rental Application – A rental application can be used by a landlord to screen all potential tenants in order to find the one best-suited to renting the property in question.


Agreements: By Type (7)

Commercial Lease Agreement – This is a lease agreement that enables a landlord to rent out commercial real estate to business owners.

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College Roommate Agreement – A college roommate agreement can be used to outline the rules of the household, the division of rent, and each renter’s individual responsibilities.

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Lease with Option to Purchase (Lease to Own) – A rental lease with an option to purchase provides the tenant with an opportunity to reside on the property and eventually purchase it should they abide by the terms and conditions of the agreement.

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Month to Month Lease Agreement – This agreement renews each month with the payment of rent. Either party can terminate the agreement with sufficient warning to the other party.

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Roommate Agreement – An agreement between two (2) or more individuals residing in the same residence that details the conditions of cohabitation.

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Standard (1-year) Lease Agreement – The most common residential lease, it lasts for a total of twelve (12) months with the option to renew after a year (in most circumstances).

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Sublease Agreement – The sublease agreement is between a tenant and a sublessor who has agreed to rent out a portion or the entirety of the property for a defined period of time (usually less than a year).

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Landlord-Tenant Laws


Domestic Violence Victims (MCL 554.601b.) – It must be written in the contract, posted on the property, or delivered to a tenant, a notice that states clearly that any tenant who believes they are in present danger may be released from their obligation to pay monthly rent.

Inventory Checklist (§ 554.608) – A landlord must provide a list at the beginning of the occupancy that details the condition of the property.

Truth in Lending Act (§ 554.634) – All lease agreements must contain a specific statement (listed in the linked statutes) that states that the agreement is required to comply with the Truth in Lending Act.

Security Deposit Receipt (§ 554.603) – A security deposit information letter must be provided to tenants at the beginning of tenancy when applicable.

Landlord’s Access

General Access – There are no statutes that define a notice period that a landlord must respect before entering the property.

Emergency Access – There are no laws that state that a landlord must give notice before entering the property in the case of an emergency.


Grace Period – There are no laws that provide a grace period for tenants with unpaid rent. The rent is presumed due on the date indicated in the lease agreement.

Maximum Fees ($) – There is no stated limit on the amount that a landlord may charge for a late fee.

Rent Increase Notice – There is no statute that provides a notice period for rent increase. However, the notice required for terminating the lease is equal to the length of the payment period (§ 554.134); it is usually the case that a landlord will not be able to increase the rent without a notice period equal to or greater than the payment period.

Security Deposits

Maximum Amount ($) (§ 554.602) – A landlord may not charge more than one and a half (1.5) months’ rent as a security deposit.

Returning to Tenant (§ 554.609) – The security deposit must be returned to the tenant within thirty (30) days of the lease termination date.

Interest Required? – The landlord is not required to collect or deliver to the tenant any interest accrued from the security deposit.

Separate Bank Account? (§ 554.604) – The funds do not need to be deposited into a separate bank account; however, the landlord must use a regulated financial institution.