Minnesota Residential Lease Agreement

Last Updated: May 21, 2025 by Roberto Valenzuela

A Minnesota residential lease agreement (“rental agreement”) (“rental agreement”) is a legal contract between a landlord overseeing a rental property and a tenant using the property. State and local laws set the rules for rental agreements, such as laws regulating the use of a tenant’s security deposit.

Minnesota Residential Lease Agreement Disclosures

These disclosures are required for some or all residential lease agreements in Minnesota:

Disclosure Applicable To
Total Monthly Payment Disclosure All Units
Landlord Name and Address All Units
Late Fees All Leases Charging Late Fees
Inspection and Condemnation Any Units Pending Health/Safety Inspection
Financial Distress Any Units Under Foreclosure
Shared Utilities Any Multiple-Tenant Units with Single Utility Meters
Covenant Not To Allow Illegal Activity All Units
Initial Inspection Option All Units
Lead Paint All Units Built Before 1978

Total Monthly Payment Disclosure

Applies to all Minnesota rentals.

Minnesota leases must list the sum total of rent plus all non-optional fees, described as the “Total Monthly Payment” for the lease. This disclosure must be on the first page of the lease.

Landlord’s Name and Address

Applies to all Minnesota rentals.

Minnesota leases must contain the name and address of the landlord (or authorized agent). This allows required communication (for example, about repairs) to happen in a smooth way. For this reason, most leases also include phone numbers and email addresses.

Contact information most often is written in the lease agreement, for maximum convenience. The landlord must notify the tenant whenever there’s a change in contact information.

Late Fee Disclosure

Applies to any Minnesota rental charging late fees.

Minnesota will only enforce late fees which are disclosed and agreed in the lease. Agreement must include the amount of the fee and the timeline upon which fees are charged. The state caps late fees at a maximum 8% of the overdue balance. (Returned check fees are capped at $30. )

This is an example of a late fee disclosure:

LATE FEE. If rent is not paid by the due date outlined in this lease, a late fee of 8% will be assessed to the balance due after a 3-day grace period. If payment is received before the grace period expires, there is no late fee owed.

Inspection and Condemnation Disclosure

Applies to any Minnesota property under citation for health and safety inspection.

Minnesota landlords must provide the tenant with a disclosure whenever the rental property has a citation for an outstanding health and safety issue. This disclosure must occur before the tenant signs the lease or pays a security deposit. Proper disclosure requires attaching the citation to the lease.

For citations which aren’t health and safety risks, the landlord only has to provide notice that there is an existing citation which may be reviewed by the prospective tenant upon request.

Download: Minnesota Inspection and Condemnation Disclosure Form (PDF)

Financial Distress Disclosure

Applies to any Minnesota rental under a notice of pending foreclosure.

Minnesota landlords must disclose any pending foreclosure on rental property. Rental agreements may not extend past two months (for periodic leases) or the date of execution for foreclosure (for fixed-term leases), unless and until the property is no longer under the foreclosure.

This is an example of a financial distress disclosure clause:

FINANCIAL DISTRESS DISCLOSURE. This property has a pending deed cancellation or disclosure, set to execute on __/__/____. Note that until further notice, this lease agreement will terminate on the aforementioned date.

Download: Minnesota Financial Distress Disclosure Form (PDF)

Shared Utility Agreement

Applies to Minnesota rentals in single-metered buildings with multiple tenants.

Minnesota allows landlords to charge separately for gas, water, or sewer service, when multiple rental units share a utility meter. State law prohibits separate utility billing for electric service. Leases with shared utilities must have the following disclosure attached beginning January 1, 2025:

UTILITY BILLS

How Will My Bill be Calculated?

1. Your utility bill is for your portion of the building’s natural gas or water and sewer usage, plus your portion of nonusage fees we get charged by the utility (for example, taxes and surcharges).

For natural gas, your portion is based on the square footage of your unit as a percentage of the square footage of all the units.

For water and sewer, your portion is based on the number of people in your unit (as listed on your lease) as a percentage of all the occupants of all units.

2. You are not charged for utilities used in the common areas or used in our spaces. In the case of water, your bill does not include usage for shared amenities such as laundry rooms or pools.

3. Your bill may include a late payment charge, which is capped at $5, and an administrative billing charge, which is capped at $8.

What If I Fall Behind on Utility Payments or Have a Question About My Bill?

1. If you fall behind on your payments, you have the right to a reasonable payment plan that you and we mutually agree on to pay off the amount you owe. The plan must take into account any financial and extenuating circumstances of your household that you tell us about.

2. You may request, and we will timely provide, the utility bill we received from the utility company and your percentage of the amount of the bill apportioned to tenants.

3. We must first try to resolve any disputes about your natural gas or electricity utility charges, including those about payment agreements. If we cannot agree on a payment plan or resolve any other dispute, you have the right to seek assistance from the Public Utilities Commission’s Consumer Affairs Office at 651-296-0406 or consumer.puc@state.mn.us.

Download: Minnesota Shared Utility Arrangement Disclosure Form (PDF)

Covenant of Landlord and Tenant Not To Allow Unlawful Activities

Applies to all Minnesota rentals.

Minnesota landlords and tenants must agree not to allow unlawful activities on the rental property. This requires a clause in all rental agreements outlining this legal duty.

This is the notice required by law:

Landlord and tenant promise that neither will unlawfully allow within the premises, common areas, or curtilage of the premises (property boundaries): controlled substances, prostitution or prostitution-related activity; stolen property or property obtained by robbery; or an act of domestic violence, as defined by MN Statute Section 504B.206 (1)(e), against a tenant, licensee, or any authorized occupant. They further promise that the aforementioned areas will not be used by themselves or anyone acting under their control to manufacture, sell, give away, barter, deliver, exchange, distribute, purchase, or possess a controlled substance in violation of any criminal provision of Chapter 152.

Download: Covenant of Landlord and Tenant Not to Allow Unlawful Activities Disclosure Form (PDF)

Initial Inspection Option Disclosure

Applies to all Minnesota rentals.

Minnesota landlords must notify the tenant about the option for an initial inspection of the property’s condition. The landlord has 14 days after move-in to provide this option. Inspection usually involves filling out a move-in checklist and helps ensure accurate deductions from the deposit upon move-out.

This disclosure is not always made together with the signing of the lease, although it is common to do so. There’s more leeway than usual because of the 14 day grace period given by law, and the landlord’s option to use photos and videos to agree with the tenant on the property’s condition without an inspection.

Lead-Based Paint Disclosure

Applies to any Minnesota rentals built before 1978.

Minnesota residential leases for property built before 1978 must, by federal law, contain a lead-based paint disclosure. This requires landlords to do the following:

Download: Minnesota Lead-Based Paint Disclosure Form (PDF)

Optional Disclosures and Addenda (Recommended)

The following lease agreement disclosures and addenda are not required by Minnesota law in residential lease agreements, but help with tenant management and landlord liability.

Optional Disclosure Purpose
Asbestos Informs tenants about any asbestos hazards related to the property. Tenants can reduce asbestos risk by not disturbing asbestos fibers.
Bed Bugs Informs tenants whether the property or an adjacent unit has a history of suspected bed bug infestation, and reminds the tenant of the obligation to report suspected infestation immediately.
Medical Marijuana Use Informs tenants about policy related to medical marijuana use on the rental property. Some state laws allow landlords to restrict marijuana usage to non-smoking methods only, or allow use only in designated smoking areas.
Mold Disclosure Informs tenants about actual or suspected mold contamination on the property efforts, plus information about treatments. This helps limit landlord liability.
Non-Refundable Fees Charges not agreed by the tenant in the lease may be refundable when the lease ends. For Minnesota landlords to charge a non-refundable fee, it must be disclosed and agreed as such in the lease.
Smoking Informs tenants of designated smoking areas that do not interfere with the quiet enjoyment of other tenants.

Consequences of Not Including Mandatory Disclosures

Mandatory disclosures outline important health, safety, and property information for the benefit of both landlord and tenant. A landlord who fails to provide federally or state-mandated disclosures could face legal consequences or monetary penalties, either from a tenant lawsuit or from state officials. Many lease provisions may be unenforceable without legally required disclosures.

Failure to comply with the federal lead-based paint hazard disclosure risks fines of tens of thousands of dollars per violation.

 

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