Create a residential lease agreement that meets all the requirements necessary in Michigan State. Start today with the help of step-by-step instructions and our contract generator.
Last Update October 8th, 2021
What is a Lease in Michigan
A lease agreement is a legally binding contract between a landlord and a tenant. This is written to conform to state laws where the property is located. In Michigan these allow both parties to comply with a series of set terms for a specified number of months or years.
A lease agreement should contain the following details:
How long the tenant may legally reside in the property
How much rent should be paid
Information about the security deposits necessary
When rental installments are due
Any additional costs that must be serviced by the tenant
The rules regarding the proper use of the property
Situations that constitute a lease violation eviction procedures
Types of Michigan Lease Agreements
There are many types of Michigan lease agreement forms that can be used to manage and legally bind many different types of rental situations. They allow landlords to rent out various types of property they might have and for tenants to find the best kind of tenancy for their needs.
The most common types of lease agreements in Michigan include:
Standard residential lease agreements: Under a standard lease agreement both the landlord and tenant commit to a fixed set of terms that last for a series of months or years.
Option to purchase (Rent-to-own) lease agreements: Lease agreements with rent-to-own options are designed for tenants that wish to buy the property they are renting. This requires them to pay a sum of money each month, in addition to rent, to cover the costs of the principal.
Month-to-month rental agreements: Month-to-month lease agreements will often have similar basic terms to standard residential lease contracts. However, they differ as they can be renewed or ended on a month-by-month basis. Their terms may also be flexibly altered each month.
Commercial lease agreements: Commercial leases are provided by landlords of retail property to tenants that intend to use the real estate to run a business.
Room rental (Roommate) agreements: In rental properties with shared living areas a room rental agreement can be used to rent a singular bedroom.
Sublease Agreement: A Michigan sublease agreement allows tenants to reassign or ‘sublease’ the property to another individual. This requires the property landlord’s permission and must be specifically allowed in the original lease.
Michigan Lease Addendums and Disclosures
Michigan lease agreements must contain a few disclosures and addendums when they are completed and signed. This is to properly inform the tenant of any health risks or potential issues with the property or details about how the property is managed that they must be aware of.
These essential addendums include the following:
Domestic violence victims notice: Landlords in Michigan must provide a statement in the contract or a written note to their tenant(s) that says: "NOTICE: 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."
Inventory checklist: An inventory checklist that also states the condition of the property must be returned to the landlord within 7 days of moving in when a security deposit is required.
Lead paint disclosure: If the rental unit is in a building constructed before 1978, the landlord or their agent must disclose whether lead paint can be found on the property and must provide safety information for any located on the premises.
Notice information: The lease agreement must include a section or an addendum that discloses the contact information of the landlord or that of their chosen agent.
Truth in Lending act: All rental contracts in Michigan must include a disclosure statement written in a 12 point font and that is at least ⅛ inch in height. It must state: "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."
Security deposit receipt: A section must be added advising the tenant on how the security deposit will be collected and stored. A short disclosure text must also be included. This must be written in bold font that is at least size 12 and is 4 points larger than the other text on the page. It must say: "NOTICE: You must notify your landlord in writing within 4 days after you move of a forwarding address where you can be reached and where you will receive mail; otherwise your landlord shall be relieved of sending you an itemized list of damages and the penalties adherent to that failure."
Michigan Lease Agreement Laws
An MI lease agreement must be written and signed within the laws of Michigan state, otherwise, it will be legally contestable and can be declared invalid and block either party from recourse if a violation is committed. These will police how you start and end the contract and control what procedures you can reasonably ask a tenant to follow.
The most important laws to consider in Michigan when you are renting a property include:
Security deposits: Michigan landlords may charge no more than one and a half months’ rent if the property is a non-rent control unit. This must be returned to the tenant within 30 days of vacating the property and returning the keys. Landlords must also give advance notice of any deductions.
Landlord’s right to enter: There are no laws in Michigan for how much notice a landlord should give before visiting the property. However, it is recommended to give at least some prior notice (around 24 hours) to tenants before arriving to make repairs or inspect damage.
FAQs About Michigan Lease Agreement
It is important to carefully prepare a Michigan lease agreement to suit the needs of the landlord and tenant exactly. To help demystify the process a little simply review our FAQs below to learn more about the specificities of rental contracts in Michigan.
How to Get a Lease Agreement in Michigan?
It is possible to create a Michigan lease agreement completely online. Using our residential lease agreement maker you can tailor your document for your specific needs and take advantage of professional templates and expert tips.
How to Write a MI Lease Termination Letter?
If either the landlord or tenant for any reason needs to terminate a Michigan lease agreement early, they must provide the correct amount of notice (usually 30 days) in a written MI lease termination letter.
This letter needs to contain the following information:
The name of the landlord and the tenant
The date the letter has been written and signed
The name and address of the property in question
Information explaining why the tenancy needs to be terminated early
The reason the lease is being broken
The date that the resident will vacate the property
Acknowledgment of any penalties that will be incurred
Signature of the signing party
Lease Agreement or Rental Agreement?
There is a key difference between a Michigan lease agreement and a Michigan rental agreement, which is the length of duration that they each cover.
Lease agreements are normally longer-term arrangements that can last several months or even years, in which their terms remain fixed. Rental agreements on the other hand are shorter-term in nature but are more flexible and may be changed on a weekly or monthly basis.