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Michigan Statewide Rule

Michigan Condominium & HOA Assessment Collection Rules

Heavy RestrictionsApplies statewide across Michigan (2026)

Key Facts

Condo statute
MCL 559.208 (Condominium Act)
Foreclosure method
By action or advertisement, like a mortgage
Pre-foreclosure notice
Recorded lien + 10-day mailed notice
Redemption period
6 months (1 month if abandoned)
Non-condo HOA basis
Declaration + MCL 450.2101 et seq.
Last verified: August 20, 2026

Summary

Michigan condominium associations get an automatic statutory lien for unpaid assessments under MCL 559.208, foreclosable like a real-estate mortgage. Michigan has no general non-condo HOA statute, so planned-community HOAs collect dues through their recorded declaration plus the Nonprofit Corporation Act (MCL 450.2101 et seq.).

559.208 Assessment lien; priority; foreclosure; bid; actions; receiver. Sec. 108. (1) Sums assessed to a co-owner by the association of co-owners that are unpaid together with interest on such sums, collection and late charges, advances made by the association of co-owners for taxes or other liens to protect its lien, attorney fees, and fines in accordance with the condominium documents, constitute a lien upon the unit or units in the project owned by the co-owner at the time of the assessment before other liens except tax liens on the condominium unit in favor of any state or federal taxing authority and sums unpaid on a first mortgage of record, except that past due assessments that are evidenced by a notice of lien recorded as set forth in subsection (3) have priority over a first mortgage recorded subsequent to the recording of the notice of lien. The lien upon each condominium unit owned by the co-owner shall be in the amount assessed against the condominium unit, plus a proportionate share of the total of all other unpaid assessments attributable to condominium units no longer owned by the co-owner but which became due while the co-owner had title to the condominium units. The lien may be foreclosed by an action or by advertisement by the association of co-owners in the name of the condominium project on behalf of the other co-owners.

Full Breakdown

Under the Michigan Condominium Act, MCL 559.208 makes unpaid assessments, interest, late fees, advances, attorney fees, and fines "a lien upon the unit" owned by the co-owner. The association may foreclose that lien "by an action or by advertisement" in the same manner as a real-estate mortgage. Before foreclosing it must record a notice of lien with the county register of deeds and mail it to the delinquent co-owner at least 10 days beforehand. The redemption period is 6 months from the sale, shortened to 1 month if the unit is abandoned, and a receiver may be appointed to collect rent. Non-condominium HOAs have no equivalent statute and rely entirely on their recorded declaration and MCL 450.2101 et seq.

Violations & Penalties

Unpaid condo assessments become a foreclosable lien enforced like a mortgage, by action or by advertisement, after a recorded notice of lien and 10-day mailed notice; the association also recovers interest, late fees, and attorney fees. Non-condo HOA remedies depend on the recorded declaration.

Frequently Asked Questions

Can a Michigan condo association foreclose on my unit for unpaid dues?
Yes. MCL 559.208 lets the association foreclose its assessment lien "by an action or by advertisement" in the same manner as a real-estate mortgage, after recording a notice of lien and mailing you notice at least 10 days in advance.
How long do I have to redeem after a condo foreclosure sale?
Under MCL 559.208, the redemption period is 6 months from the date of sale. It is shortened to 1 month if the unit is determined to be abandoned.
What law governs assessments in a non-condo Michigan HOA?
There is no comprehensive Michigan HOA assessment statute. A planned-community HOA's collection rights come from its recorded declaration/CC&Rs and the Michigan Nonprofit Corporation Act, MCL 450.2101 et seq.

Sources

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