A Michigan sublease agreement gives a tenant the structure needed to bring a new party into the rental while keeping the original lease in place. This document guides a clear transition between tenants, keeps the subtenant aligned with existing terms, and supports legal and organized renting for property owners.
Does a tenant need a landlord’s permission to sublease in Michigan?
Michigan law does not outline specific rules for subletting, so the landlord should outline the terms within the rental contract. When the lease agreement requires landlord approval, the tenant must obtain that permission before they can sublease to a new tenant.
To cover subleasing in future leases, property owners can use a legally reviewed lease agreement builder to draft a compliant contract.
Information to Include in a Michigan Sublease
Landlords should approach a Michigan sublease the same way they handle a standard lease. The list below highlights the key information landlords should include within a Michigan sublease.
Names of landlord and sublessor: Include the full legal names of the landlord and the sublessor to clearly identify everyone involved in the sublease arrangement.
Rental unit address: List the complete address of the rental unit so the sublease covers the exact property and avoids any confusion.
Length of the sublease agreement: Note the start and end dates to show the precise period the subtenant plans to live in the rental.
Rent amount: Specify the monthly rent and the due date to set clear expectations and support consistent payments.
Division of utilities: Outline how the landlord and subtenant will divide utility responsibilities and attach a detailed landlord-tenant utility agreement when necessary.
Security deposit information: Set the security deposit amount, how the landlord will hold it, and reference the applicable security deposit laws in Michigan.
Maintenance protocols: Describe how the landlord and subtenant will manage repairs and general upkeep, and offer added guidance by linking to helpful resources on rental property maintenance.
Property policies: Outline the rules the subtenant must follow, including noise expectations, guest limits, and any property-specific restrictions that support a well-managed rental.
Early termination terms: Clarify the conditions under which either party may end the sublease early, and note any required notice or related fees.
Landlord’s right to entry: Explain when the landlord may enter the rental property and describe how the landlord will give advance notice before each visit.
Renter’s insurance: State any insurance requirements and encourage the subtenant to carry coverage that protects personal belongings and liability.
Landlord’s consent to sublease: Provide written confirmation that the landlord approves the sublease and agrees to the terms outlined in the agreement.
Subtenant obligation to comply with master lease: State that the subtenant agrees to follow all rules in the original lease and understands each responsibility tied to those terms.
Move-in condition checklist: Provide a detailed checklist and attach a move-in condition report to document the unit’s condition before the subtenant moves in.
Emergency contact information: List clear emergency contacts so the subtenant knows exactly who to reach for urgent maintenance or safety issues.
Guest policy: Summarize the rules for guest visits, overnight stays, and any limits that help maintain smooth property operations.
Copy of master lease: Attach the full original lease so the subtenant can easily review all terms that remain in effect during the sublease.
Signatures: Include signatures from all parties and offer the option to e-sign the agreement for added convenience.
Additional attachments: Add any other documents or disclosures the landlord wants the subtenant to review, such as property rules or inspection forms.
Taxes Implications for Short-Term Subleases
Short-term rentals in Michigan may trigger the state’s 6 percent use tax when the stay qualifies as taxable lodging, such as a rental of fewer than 30 days in a hotel-like setting. Most private subleases in standard residential units fall outside this rule, so subtenants usually do not owe this tax (MCL 205.93).
Michigan landlords should review local short-term lodging taxes, as rates can vary by jurisdiction.
For example, in Kent County, taxes include:
- Michigan State Use Tax – 6%
- Hotel-Motel Tax – 5%
