Michigan Lease Agreement

A Michigan lease agreement is a written contract between a landlord (or property manager) and a tenant that explains all the important rental terms—such as rent amount, due date, lease length, and maintenance responsibilities.

To be legally valid, the lease must follow Michigan’s Landlord and Tenant Relationships Act (MCL 554.601–554.616). This law protects both landlords and tenants by defining their rights and obligations.

Landlords and property managers in Michigan commonly use a few different types of leases:

• Fixed-Term Lease: Runs for a specific period (for example, 12 months). Rent and terms stay the same until the lease ends.
• Month-to-Month Rental Agreement: Automatically renews every month until either party gives at least 30 days’ written notice to terminate or modify the lease (MCL 554.134).
• Sublease Agreement: Allows an existing tenant to rent out the property to another person (a “subtenant”) — but only with the landlord’s written approval.
• Commercial Lease: Used for business properties such as offices or storefronts (governed by separate commercial leasing laws).

To make a Michigan lease agreement legally compliant, be sure to include the following details:

• Tenant and Landlord Names: Full legal names of everyone involved.
• Property Address: Full legal address and unit details.
• Lease Term: Start and end dates, along with renewal or termination terms.
• Rent Details: Monthly rent amount, due date, payment methods, and late fee policies.
• Security Deposit Terms:
  • The security deposit cannot exceed one and a half months’ rent (MCL 554.602).
  • The landlord must provide the tenant with the name and address of the financial institution holding the deposit.
  • The deposit must be returned within 30 days after move-out with an itemized list of deductions (MCL 554.602).
• Michigan Required Disclosures:
  • Lead-based paint (for properties built before 1978)
• Signatures: Both landlord and tenant must sign and date the lease.

The main difference is the duration, flexibility, and legal obligations under Michigan law:

• Lease Agreement: Usually covers a fixed term (for example, one year). Rent and terms cannot change until the lease ends unless both parties agree in writing.
• Rental Agreement (Month-to-Month): Runs month-to-month and renews automatically. Either party may end it with 30 days’ written notice, and landlords may adjust terms for the next month with proper notice (MCL 554.134).

No, under Michigan’s Landlord and Tenant Relationships Act (MCL 554.601–554.616), a landlord cannot increase rent during a fixed-term lease unless the lease specifically allows it.

For month-to-month leases, landlords may raise rent or change other terms, but must give the tenant at least 30 days’ written notice before the next rental period begins (MCL 554.134).

If a tenant ends their lease early in Michigan, they may still be financially responsible for paying rent until the lease term ends or until the landlord finds a new tenant.

Under Michigan’s Landlord and Tenant Relationships Act (MCL 554.601–554.616), landlords must make reasonable efforts to re-rent the property to reduce financial loss — this is called “mitigating damages.”

In Michigan, lease renewal or termination depends on the type of tenancy:

Fixed-Term Lease:

• Ends automatically on the stated end date unless both parties agree to renew.
• Renewals should always be done in writing through a new lease or a signed addendum.
• Early termination is only allowed by mutual agreement or a legal reason (MCL 554.601b).

Month-to-Month Lease:

• Automatically renews each month until someone provides proper notice.
• Either the landlord or tenant can terminate with 30 days’ written notice before the next rental period begins (MCL 554.134).

Yes, a Michigan lease agreement can be modified after signing, but only if both the landlord and tenant agree in writing.

• Any changes must be added as a written lease addendum.
• The addendum must clearly describe the modified terms (e.g., rent changes, pet policy updates, additional occupants).
• Both parties must sign and date the addendum for it to be legally binding.
• All changes must comply with Michigan’s Landlord and Tenant Relationships Act (MCL 554.601–554.616).