Renting a home or apartment in Michigan comes with a set of legal protections that every tenant should be aware of. Understanding your rights as a tenant is crucial to ensuring a fair and secure rental experience. Michigan law provides tenants with rights to a habitable living environment, protection against discrimination, and the right to privacy. However, alongside these rights, tenants must also navigate potential pitfalls, such as rental scams and complex lease agreements. Rental scams have become increasingly common, with fraudsters taking advantage of the digital rental market to deceive unsuspecting tenants. Additionally, lease agreements can contain complicated terms that, if not properly understood, can lead to disputes or financial loss.

Understanding Tenant Rights in Michigan

Legal Protections for Tenants

Michigan law provides a range of protections to ensure that tenants are treated fairly and have access to safe and habitable living conditions. Some of the key rights afforded to tenants under Michigan law include:

• Right to a Habitable Living Environment: Landlords are legally required to provide rental units that are safe and livable. This includes ensuring that the property is free from serious hazards, such as mold, pests, or structural issues, and that essential services like heat, water, and electricity are maintained. If a rental unit falls below these standards, tenants have the right to request repairs and may even withhold rent or terminate the lease if the landlord fails to address the issues.
• Right to Privacy: Tenants have the right to enjoy their rental property without unwarranted intrusions from the landlord. While landlords do have the right to enter the property for legitimate reasons, such as making repairs or showing the unit to prospective tenants, they must provide reasonable notice—typically 24 hours—before doing so. Unauthorized entry or harassment by a landlord is a violation of tenant rights.
• Protections Against Discrimination: Under both federal and Michigan law, tenants are protected from discrimination based on race, color, national origin, religion, sex, familial status, disability, and other protected characteristics. Landlords cannot refuse to rent to someone, set different terms, or evict a tenant based on these characteristics. The Michigan Consumer Protection Act and the Elliott-Larsen Civil Rights Act are key state laws that reinforce these protections.

Security Deposits and Rent Payments

Security Deposits

In Michigan, landlords can charge a security deposit of up to one and a half times the monthly rent. This deposit is intended to cover any damages beyond normal wear and tear or unpaid rent at the end of the lease. The law requires landlords to place the security deposit in a separate, interest-bearing account and to provide the tenant with a receipt detailing the amount and the bank where it is held. After the lease ends, the landlord has 30 days to return the deposit, minus any lawful deductions. If deductions are made, the landlord must provide an itemized list of damages and costs within the same 30-day period.

Rent Payments

Michigan law sets clear guidelines for how rent must be paid, including when payments are due and how late fees can be assessed. Rent is typically due on the date specified in the lease, and landlords may charge late fees if payments are not made on time, but these fees must be reasonable and clearly outlined in the lease agreement. Additionally, landlords cannot increase rent during the lease term unless the lease includes a specific provision allowing for rent increases under certain conditions. Any attempt to increase rent illegally or unfairly can be challenged by the tenant.

Avoiding Rental Scams

Common Rental Scams

Rental scams are a significant concern for tenants in Michigan, with fraudsters employing various tactics to deceive potential renters. Some of the most common rental scams include:

• Fake Listings: Scammers create listings for properties that either don’t exist or aren’t available for rent. They often use photos and descriptions copied from legitimate real estate sites to make the listing appear authentic. Once a potential tenant shows interest, the scammer may ask for a deposit or first month’s rent to "secure" the property, only to disappear after receiving the payment.
• Advance Fee Fraud: In this scam, the fraudster claims to be a landlord or property manager and asks for an advance payment—such as a security deposit or application fee—before the tenant can view the property or sign a lease. Once the payment is made, the scammer cuts off communication, leaving the victim out of pocket.
• Identity Theft: Some scammers use rental applications to collect personal information from unsuspecting tenants. They may ask for sensitive details like Social Security numbers or bank account information under the guise of a background check or credit screening, which they then use to commit identity theft.

Red Flags to Watch Out For

Being aware of common warning signs can help you identify a potential rental scam before it’s too late:

• Unusually Low Rent: If the rent is significantly below market value, it could be a sign that the listing is a scam. Scammers often use low prices to lure in victims quickly.
• Requests for Payment Before Seeing the Property: Be wary of any situation where the landlord asks for money upfront before you’ve had a chance to view the property in person. Legitimate landlords will typically allow you to see the property before any financial transactions are made.
• Refusal to Meet in Person: If the landlord or property manager is unwilling to meet you in person or claims to be out of town, this is a major red flag. Scammers often use this excuse to avoid face-to-face interactions.

How to Verify Legitimacy:

• Check Property Records: You can verify that the person claiming to be the landlord actually owns the property by checking public property records, which are often available online through the local county assessor's office.
• Conduct Online Research: Look up the landlord’s name, email address, and phone number to see if any complaints or reports of scams have been made against them. Additionally, search for the property address to ensure it’s a legitimate rental and not already flagged in scam databases.

Steps to Protect Yourself

Protecting yourself from rental scams requires vigilance and a few practical steps:

• Use Reputable Rental Platforms: Stick to well-known rental websites or agencies that have processes in place to verify listings and landlords. These platforms are more likely to offer protection against fraudulent listings.
• Never Pay in Cash or Via Wire Transfer: Avoid making payments in cash, through wire transfer, or via payment apps like Venmo or PayPal to someone you haven’t met in person. These payment methods are difficult to trace and recover if the transaction turns out to be fraudulent.
• Read All Documents Thoroughly: Before signing any lease or rental agreement, read all the documents carefully. Make sure all terms are clear and that you understand your obligations as a tenant. If anything seems unusual or unclear, seek clarification or legal advice before proceeding.
• Get Everything in Writing: Always ensure that any agreements or promises made by the landlord are documented in writing. Keep copies of all communications, agreements, and receipts in case you need to reference them later.

Understanding Lease Agreements

Key Components of a Lease

A lease agreement is a legally binding contract between a landlord and tenant that outlines the terms and conditions of renting a property. Understanding the essential components of a lease can help tenants ensure they are entering into a fair and transparent agreement. Key elements include:

• Lease Term: This specifies the duration of the lease, whether it’s a fixed-term (e.g., one year) or a month-to-month agreement. The lease term determines how long the tenant is committed to renting the property and under what conditions it can be renewed or terminated.
• Rent Amount: The lease should clearly state the monthly rent, the due date, and acceptable payment methods. It should also outline any penalties for late payments and specify whether utilities are included in the rent.
• Security Deposit Terms: This section outlines the amount of the security deposit, how it will be held, and the conditions under which it will be returned or withheld at the end of the lease. Michigan law limits the security deposit to no more than one and a half times the monthly rent.
• Maintenance Responsibilities: The lease should specify which maintenance tasks are the responsibility of the landlord (e.g., repairs, pest control) and which are the responsibility of the tenant (e.g., lawn care, minor fixes). It’s important to know who to contact in case of maintenance issues and how quickly they must be addressed.
• Early Termination Clause: This clause outlines the conditions under which either party can terminate the lease early. It may include penalties for breaking the lease, such as forfeiting the security deposit or paying additional rent until a new tenant is found.
• Subletting Clause: If you plan to sublet the property at any point, the lease should specify whether subletting is allowed and under what conditions. Some leases may prohibit subletting entirely, while others may require landlord approval.
• Rent Increase Clause: This clause explains if and when the landlord can increase the rent during the lease term. In a fixed-term lease, rent increases are generally not allowed unless specified in the lease.

Reviewing the Lease Before Signing

Before signing a lease, it’s crucial to review the document thoroughly to ensure that all terms are fair and reasonable. Here’s what to look for:

• Potential Red Flags: Be cautious of clauses that are vague, overly restrictive, or heavily favor the landlord. For example, a lease that allows the landlord to terminate the agreement without notice or impose arbitrary fees could be problematic.
• Unfair Terms: Watch out for terms that could be considered unfair or illegal under Michigan law, such as excessive late fees, unauthorized access by the landlord, or requirements to waive legal rights.
• Consistency with Verbal Agreements: Ensure that all verbal agreements made with the landlord are included in the written lease. If the landlord promised to make certain repairs or include utilities in the rent, these promises should be documented in the lease.

Modifying and Negotiating Lease Terms

Tenants are not obligated to accept all terms in a lease as-is. Negotiating lease terms is a common practice, and many landlords are open to making reasonable changes:

• Requesting Changes: If you find certain clauses unfavorable or unclear, request changes before signing the lease. For example, you might ask for a longer grace period for late rent payments or request permission to paint the walls.
• Approaching Negotiations: When negotiating, approach the landlord respectfully and be prepared to explain why the changes are important to you. Provide clear, reasonable justifications for your requests, and be open to compromise.
• Documenting Changes in Writing: Once you and the landlord agree on any modifications, make sure these changes are documented in writing. An addendum to the lease should be created, signed by both parties, and attached to the original lease agreement. This ensures that the agreed-upon terms are legally enforceable.

Contact Marko Law

At Marko Law, we are dedicated to helping tenants in Michigan protect their rights and navigate the complexities of housing-related legal issues. Whether you need assistance with a lease agreement, suspect you’ve been scammed, or have other concerns about your rental situation, we are here to help. We offer a free consultation to discuss your case and explore your legal options. To get started, contact us today:

• Phone: 1-833-MARKO-LAW | 1-313-777-7LAW
• Main Office: 220 W. Congress, 4th Floor, Detroit, MI 48226
• Website: https://www.markolaw.com/

Understanding your rights as a tenant and thoroughly reviewing lease agreements are essential steps in avoiding rental scams and ensuring that you are treated fairly. If you encounter any issues or suspect that your rights are being violated, don’t hesitate to take action. Legal support is available, and by seeking help, you can protect your interests and achieve a positive outcome. Contact Marko Law today to learn more about how we can assist you in securing your rights and navigating your tenancy with confidence.