| Rent Increase Facts | Answer |
| Reason Needed? | No |
| Maximum Amount | None |
| Required Notice | No Statute |
Does Michigan Have Rent Control Laws?
Michigan does not have rent control laws limiting the amount that landlords may ask for. State law prohibits local governments from establishing local rent control laws.
When Can a Landlord Raise Rent in Michigan?
Landlords in Michigan can raise the rent at any time, as long as they comply with the following:
- Give reasonable notice
- Aren’t raising rent for discriminatory or retaliatory reasons
- Wait until the end of the lease term (unless otherwise specified in the lease)
30 days before the end of a year-long lease, a landlord sends a notice that rent will increase by 4% if they choose to renew the lease.
When Can’t a Landlord Raise Rent in Michigan?
Landlords in Michigan may not raise the rent if:
- It is during the middle of a lease’s fixed term (unless stated otherwise in the lease agreement)
- The increase is applied in a way that discriminates against one of the protected classes specified in the Fair Housing Act
- It is done as retaliation against a protected tenant action, such as filing a complaint or requesting a repair
In Michigan, refusing a rent increase is a protected action. A judge will presume retaliation if a landlord attempts to evict a tenant for refusing a rent increase, within 90 days of that refusal.
How Often Can Rent Be Increased in Michigan?
Landlords in Michigan can increase the rent as often as they wish, as long as reasonable notice is provided each time.
How Much Notice is Needed to Raise Rent in Michigan?
Michigan law does not require a specific notice period before raising the rent, in most situations.
However, Michigan law still requires that landlords act fairly, by giving tenants reasonable notice when increasing rent. A one-month notice period required for the termination of a lease is typically used as reasonable notice for a rent increase.
Landlords may also include a provision in the lease agreement that allows rent increases during the lease term with at least 30 days’ notice, due to an increase in:
- Utility costs
- Property taxes
- Liability, fire, or worker compensation insurance premiums
How Much Can a Landlord Raise Rent in Michigan?
In Michigan, landlords can raise the rent by any amount. There is no legal limit or cap on the amount of a rent increase.
However, state law prevents landlords from charging rent that is “grossly in excess” of rent for similar properties.
Sources
- 1 Mich. Comp. Laws § 123.411
-
(1) As used in this section, “local governmental unit” means a political subdivision of this state including, but not limited to, a county, city, village, or township, if the political subdivision provides local government services for residents in a geographically limited area of this state as its primary purpose and has the power to act primarily on behalf of that area.
(2) Subject to subsections (3) and (4), a local governmental unit shall not enact, maintain, or enforce an ordinance or resolution that would have the effect of controlling the amount of rent charged for leasing private residential property.
(3) This section does not impair the right of any local governmental unit to manage and control residential property in which the local governmental unit has a property interest.
(4) This section does not limit the power of a local governmental unit to adopt an ordinance or resolution to implement a plan to use voluntary incentives and agreements to increase the supply of moderate- or low-cost private residential property available for lease.
Source Link - 2 Mich. Comp. Laws § 600.5720(2)
-
If a defendant who alleges a retaliatory termination of the tenancy shows that within 90 days before the commencement of summary proceedings the defendant attempted to secure or enforce rights against the plaintiff or to complain against the plaintiff, as provided in subsection (1)(a), (b), (c), or (e), by means of official action to or through a court or other governmental agency and the official action has not resulted in dismissal or denial of the attempt or complaint, a presumption in favor of the defense of retaliatory termination arises, unless the plaintiff establishes by a preponderance of the evidence that the termination of tenancy was not in retaliation for the acts. If the defendant’s alleged attempt to secure or enforce rights or to complain against the plaintiff occurred more than 90 days before the commencement of proceedings or was terminated adversely to the defendant, a presumption adverse to the defense of retaliatory termination arises and the defendant has the burden to establish the defense by a preponderance of the evidence.
Source Link - 3 Mich. Comp. Laws § 554.134(1)
-
Except as provided otherwise in this section, an estate at will or by sufferance may be terminated by either party by giving 1 month’s notice to the other party. If the rent reserved in a lease is payable at periods of less than 3 months, the time of notice is sufficient if it is equal to the interval between the times of payment. Notice is not void because it states a day for the termination of the tenancy that does not correspond to the conclusion or commencement of a rental period. The notice terminates the tenancy at the end of a period equal in length to the interval between times of payment.
Source Link - 4 Mich. Comp. Laws § 554.633(1)(l)
-
A rental agreement shall not include a provision that does 1 or more of the following:
…
(l) Provides that a lessor may alter a provision of the rental agreement after its commencement without the written consent of the tenant, or, in the case of a rental agreement between a consumer cooperative that provides housing and a member of the consumer cooperative, without the approval of the board of directors of the cooperative or other appropriate body elected by members who are also tenants of the cooperative, except that an agreement may provide for the following types of adjustments to be made upon written notice of not less than 30 days:
(i) Changes required by federal, state, or local law or rule or regulation.
(ii) Changes in rules relating to the property that are required to protect the physical health, safety, or peaceful enjoyment of tenants and guests.
(iii) Changes in the amount of rental payments to cover additional costs in operating the rental premises incurred by the lessor because of increases in ad valorem property taxes, charges for the electricity, heating fuel, water, or sanitary sewer services consumed at the property, or increases in premiums paid for liability, fire, or worker compensation insurance.
Source Link - 5 Mich. Comp. Laws § 445.903(z)
-
Unfair, unconscionable, or deceptive methods, acts, or practices in the conduct of trade or commerce are unlawful and are defined as follows:
…
(z) Charging the consumer a price that is grossly in excess of the price at which similar property or services are sold.
Source Link
- 6 MI Comp L § 554.633
-
A rental agreement shall not include a provision that does 1 or more of the following:
…
(m) Violates the Michigan consumer protection act, 1976 PA 331, MCL 445.901 to 445.922.
Source Link
