Michigan Bans Local Rent Control

Under MCL 123.411, enacted as Act 226 of 1988 and effective July 5, 1988, "a local governmental unit shall not enact, maintain, or enforce an ordinance or resolution that would have the effect of controlling the amount of rent charged for leasing private residential property." The statute carves out two exceptions: a local government may still manage residential property in which it has a direct property interest, and it may use voluntary incentives and agreements to increase the supply of moderate- or low-cost housing (language amended by Act 585 of 2018). Because of this preemption, no Michigan municipality has enforceable rent control, and there is no statewide rent cap or rent-stabilization program. Rent increases are governed only by the lease and applicable notice requirements, not by any percentage limit.

Any local ordinance attempting to control private residential rents is preempted and unenforceable under MCL 123.411; a court would strike it down. There is no penalty schedule for rent increases themselves, since Michigan sets no cap; a landlord need only honor the lease terms and give any required advance notice before raising rent.