Increasing the rent for your property can be a difficult process. Tenants may resist the increase, and you need to time it right so that you are not in violation of any state or federal laws. Below, we discuss the best practices when it comes to raising your rent so that you avoid as many pitfalls as possible.
When can a landlord increase rent?
A Michigan landlord cannot raise the rent during the course of a lease. They must stick to the legal agreement throughout the lease’s duration. However, they are able to increase rent once the lease is up.
How much notice is needed?
As an act of common courtesy, most landlords provide at least 30-60 days’ notice of a rent increase. However, there is no legal requirement to notify the tenant ahead of time if they are increasing the rent between lease terms. The exception to this rule is if the tenant is month-to-month. Month-to-month tenants must receive at least 30 days’ notice of a rent increase.
Is there a limit to how much you can increase rent?
In the state of Michigan, there is no limit to how much you can increase the rent, provided the increase is done between lease periods.
When is it illegal to raise the rent?
It is illegal to raise the rent during a lease’s term or if you did not give the 30 days’ notice to a month-to-month tenant. Additionally, landlords cannot increase rent based on the age, race, religion, nationality, family status, or disability status of the tenant. They also cannot raise the rent in retribution for a tenant filing a claim against them.
Aaron Cox Law can help you navigate a potential rent increase for your property. Contact us today to learn more!