A residential lease agreement in Minneapolis is a binding document between a landlord and a tenant. This agreement outlines the terms and conditions surrounding the use of a rental property in exchange for payment.
Residential Lease Agreement Requirements in Minneapolis
Minneapolis currently has several mandatory disclosures that landlords must provide to tenants. These disclosures are either in addition to or modify requirements for Minnesota’s lease agreement requirements.
Disclosure of Information on Arsenic
Landlords with properties located in the South Minneapolis Neighborhood Soil Contamination Site must provide tenants with an arsenic information disclosure provided by the city. This disclosure must be updated with any new information.
Renter Energy Disclosure
Property owners in Minneapolis are required to disclose information to tenants regarding past energy usage. This information may be provided directly in the lease, in a separate document during the application process, or once the lease is signed.
Landlord-Tenant Rights and Regulations in Minneapolis
When it comes to landlord-tenant rights, Minneapolis landlords should be aware of the following:
Property owners in Minneapolis are required to obtain a rental license for their property unless the owner is occupying the rental property.
Rental License Certificate
Property owners in Minneapolis must provide a copy of their rental license certificate to tenants. For multi-unit properties, this may be posted in the building’s common area. For condos with five or more units, the notice does not have to be posted in the common area, but a copy must be provided directly to tenants.
Who to Call Poster
The Who to Call poster provides housing resources for tenants in Minneapolis. Owners of multi-unit properties must post this notice in the building’s common area. For condos with five or more units, the notice does not have to be posted in the common area, but a copy must be provided directly to tenants.
Minneapolis has an ordinance stating that property owners and landlords must provide tenants with written notice at least 14 days before beginning the eviction process for non-payment of rent.
Notice of Sale
Property owners of naturally occurring affordable housing must provide tenants and the City with a minimum of 60 days’ notice before making their property available for purchase. A naturally occurring affordable housing property includes buildings with five or more units in which at least 20% of the units are affordable to tenants who earn less than 60% of the area median income.
All property owners in Minneapolis are required to install and maintain deadbolt locks on all rental properties. This applies to both single-family homes and multi-family buildings. Property owners who do not comply with Minneapolis’ code requirements may be fined.
Tenant Relocation Assistance
If the landlord chooses to terminate a tenant’s lease in an affordable housing unit without cause, they must provide relocation assistance for the tenant. Additionally, if a property owner’s license has been revoked, causing tenants to vacate their unit, the property owner is responsible for providing relocation assistance.
In Minneapolis, property owners are prohibited from charging more than one month’s rent for a security deposit. If a property owner asks for more than one month’s rent upfront, the security deposit is limited to 50% of one month’s rent. Additionally, the tenant must have the option to pay the security deposit over a 3-month period.
In 2020, the Minneapolis City Council passed an ordinance outlining specific renter screening regulations. This ordinance covers certain tenant protections in the following categories:
- Criminal history – landlords cannot consider a tenant’s criminal history beyond a certain time period (depending on the offense)
- Renter history – cannot consider evictions after a certain time period has passed (depending on the type of eviction)
- Credit history – cannot screen out for insufficient credit history or based on credit score
Lead Paint Programs
The City of Minneapolis manages three lead paint grants to help prevent childhood lead exposure. One of the goals of these programs is to encourage property owners to renovate their homes to remove lead paint hazards. The programs offered are:
- The Comfortable Homes, Environmental Evaluation & Repairs (CHEER) Grant
- The Healthy Homes 2022 (HH2022) Grant
- American Rescue Plan Act (ARPA) Grant
Property owners can view eligibility requirements online to determine if they qualify for these programs.
Optional Lease Agreement Disclosures and Addendums in Minneapolis
While not mandatory, landlords can add specific disclosures and addendums to their leases. This helps outline the responsibilities of the tenant and can prevent future liability issues.
Pest Control Addendum
With Minneapolis’ higher population of mosquitos, flies, and bedbugs, landlords may want to include a pest control addendum. This agreement should highlight the tenants’ responsibilities related to pest prevention—including reporting any signs of pests to management as soon as possible.
Minneapolis is known for its humid summers—which is why landlords may want to include a mold addendum. This will prevent landlords from being liable for future mold-related damage.
Summary of Required Lease Disclosures for the State of Minnesota
- Landlord’s Name and Address – Minnesota leases must contain the name and address of the landlord or authorized agent.
- Late Fees – Minnesota will only enforce late fees which are disclosed and agreed in the lease. The state caps late fees at a maximum 8% of the overdue balance.
- Inspection and Condemnation – Minnesota landlords must provide the tenant with a disclosure whenever the rental property has an outstanding health and safety inspection order with a citation issued.
- Financial Distress – Minnesota landlords must disclose any pending foreclosure on rental property.
- Shared Utilities Agreement – In Minnesota, when multiple rental units share a utility meter for the whole building or property, the landlord may charge tenants separately for utilities.
- Covenant of Landlord and Tenant Not To Allow Unlawful Activities – Minnesota landlords must provide a clause in all rental agreements outlining legal obligations the landlord and tenant have in common, namely, not to allow unlawful activities on the rental property.
- Lead-Based Paint – It is a federal law in the United States that any home built prior to 1978 must disclose the risks posed by lead-based paints.