A Michigan Rental Application is a useful document for landlords to do background checks on applicants and gather essential information about their rental history, employment, prior evictions, income, criminal background, and credit history.
Laws
- Application Fee – Non-refundable
- Fee Limits – No limits (no statute)
- Security Deposit – Tenants can be charged up to one and a half months’ rent
Application Fees
In Michigan, landlords aren’t restricted by law on how much they can charge for rental application fees. They may set any reasonable non-refundable amount to cover processing and background check costs. The application fee, with no maximum limit, remains non-refundable.
Fair Housing Protections
In real estate transactions, the law prohibits discrimination based on personal characteristics:
- No Refusing Transactions: It’s illegal to refuse a real estate transaction based on someone’s religion, race, color, national origin, age, sex, familial status, or marital status.
- Fair Treatment: All parties must be treated equally in terms of transaction terms, conditions, and the services provided.
- Open Offers: Everyone has the right to make and receive bona fide offers for real estate transactions without discrimination.
- Access to Information and Property: Properties must be accurately represented as available when they are, and all listings should be shared without bias. Discriminatory advertisements or applications are prohibited.
- Equal Opportunity in Brokerage and Appraisal: Discrimination in the appraisal or brokerage of real property is not allowed.
- Inclusive Professional Services: Access to, or participation in, multiple listing services, real estate broker organizations, and related services must be without discrimination.
Security Deposits
In Michigan, landlords and tenants must adhere to specific regulations regarding security deposits [1] :
- Amount Limit: Security deposits cannot exceed 1.5 times the monthly rent. This cap is set to keep deposits within a reasonable range. However, landlords with furnished properties can charge up to 3 months’ rent.
- Handling of Deposit: Funds must be placed in a financial institution or secured through a surety bond by a company licensed in Michigan, ensuring the deposit’s safety.
- Account Notification: Landlords have 14 days from receipt to inform tenants about where the deposit is held, along with details like the landlord’s name and address and where and how the deposit is stored.
- Return of Deposit: Deposits must be returned within 30 days of tenancy termination, given the tenant provides a forwarding address. If there are deductions for damages, an itemized list of those damages and the costs for repair must be shared with the tenant.
Pet Deposits
Landlords can also ask tenants to pay a pet deposit if applicable. The pet deposit is typically a one-time, refundable amount the tenant deposits to cover any damage the pet may cause to the property. It must be in a reasonable amount
Sample
