Michigan has enacted significant reforms in 2025 to enhance tenant protections and promote fair housing practices. These changes impact both renters and landlords, introducing new responsibilities and rights aimed at fostering equitable housing across the state.
1. Prohibition of Source-of-Income Discrimination
A landmark legislative package, comprising Senate Bills 205, 206, and 207, was signed into law by Governor Gretchen Whitmer in December 2024. This legislation prohibits landlords with five or more rental units from denying housing based on a tenant’s lawful source of income. Protected income sources include Social Security, veterans’ benefits, child support, and federal housing assistance programs like Section 8 vouchers.
The new law amends the Elliott-Larsen Civil Rights Act, making source-of-income discrimination a civil rights violation. Landlords found in violation may face legal consequences, including injunctions and damages.
2. Tenant Empowerment Initiatives
Senator Sarah Anthony (D-Lansing) reintroduced the Tenant Empowerment Package (Senate Bills 19–22) in January 2025. This legislative effort aims to strengthen tenant rights through several key provisions:
Right to Repair: Tenants are authorized to undertake necessary repairs if landlords fail to address issues within specified timeframes—24 hours for hazardous conditions, 72 hours for essential appliances, and one week for other repairs. Tenants can deduct repair costs from rent or withhold rent until issues are resolved.
- Advance Notice for Rent Increases: Landlords must provide a three-month notice before increasing rent on 12-month leases and a six-month notice for leases longer than 13 months.
- Right to Organize: Tenants are granted the right to form unions to collectively address housing concerns and negotiate lease terms.
- Electronic Return of Security Deposits: Landlords are required to offer electronic options for returning security deposits, streamlining the process for tenants.
3. Proposed Eviction Reforms
In response to the expiration of COVID-era eviction prevention funding, Michigan legislators have proposed measures to provide legal support for tenants facing eviction:
- House Bill 5236: Mandates the State Court Administrative Office to furnish tenants with a summary of their rights and available legal resources during eviction proceedings.
- House Bill 5237 (Eviction Legal Services Act): Proposes the establishment of legal aid services for income-eligible tenants and landlords involved in eviction cases.
These bills aim to reduce eviction rates and associated negative outcomes, such as homelessness and financial instability.
4. Eviction Record Expungement
Senate Bill 801, introduced by Senator Rosemary Bayer (D-West Bloomfield), seeks to promote housing stability by allowing courts to seal certain eviction records, particularly those related to nonpayment of rent. The bill also mandates the automatic expungement of summary proceedings two years after a judgment for possession becomes final.
This initiative addresses the long-term impact of eviction records on individuals’ ability to secure housing and employment.
5. Compliance Strategies for Landlords
In light of these legislative changes, landlords are encouraged to adopt the following practices to ensure compliance and maintain effective property management:
- Review and Update Screening Policies: Ensure that tenant screening processes do not discriminate based on income source.
- Adjust Lease Agreements: Incorporate provisions that align with the new repair timelines and notice requirements for rent increases. Facilitate Tenant Communication: Provide clear channels for tenants to report maintenance issues and organize collectively.
- Implement Electronic Transactions: Offer electronic options for rent payments and the return of security deposits to enhance efficiency.
By proactively adapting to these reforms, landlords can foster positive tenant relationships and contribute to a fairer housing market in Michigan.
Conclusion
Michigan’s 2025 rent law changes represent a significant shift toward enhancing tenant protections and promoting equitable housing practices. Both tenants and landlords must stay informed and adapt to these changes to ensure compliance and foster a fair, stable rental environment.