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Senate Democrats unveil new legislation to crack down on unfair landlord fees and expand tenant rights across Michigan.
New Legislative Effort Aims to Protect Michigan Renters Facing Growing Housing Crisis
LANSING — A new package of bills introduced Tuesday by Michigan Senate Democrats aims to significantly expand protections for renters across the state. The legislative package, Senate Bills 372-375, takes aim at application fees, junk fees, eviction records, and landlord payment policies that lawmakers argue have contributed to Michigan’s affordable housing crisis.
The proposal comes amid a steep rise in housing costs across Michigan, particularly in urban centers like Detroit, Ann Arbor, and Grand Rapids, where working families struggle to find affordable, stable housing options.
Senate Democrats Target Application Fees, Junk Charges, and Background Check Costs
The legislation is led by Sen. Rosemary Bayer (D-West Bloomfield), with co-sponsorship from Sens. Erika Geiss (D-Taylor), Jeff Irwin (D-Ann Arbor), and Mary Cavanagh (D-Redford Twp.) Each senator is carrying one of the four bills in the package, with a coordinated goal of reducing costs and increasing fairness for Michigan renters.
Under Senate Bill 372, sponsored by Bayer, rental application fees would be capped at $25 or the actual processing cost — whichever is lower. The bill also requires landlords to ensure a property is actually available before accepting application fees, addressing a common complaint among renters who pay fees for unavailable units. Additionally, the bill allows prospective tenants to reuse independent background checks for up to 45 days, reducing the need for duplicate screening fees.
“As rising costs intensify our state’s existing housing crisis, it’s critical for us to take action to protect Michigan renters,” Bayer said in a statement issued Tuesday. “It’s time to hold landlords accountable for exploitative practices.”
Mandatory Free Rent Payment Options and Fee Transparency Proposed
Senate Bill 373, introduced by Cavanagh, would mandate that landlords provide at least one fee-free payment option for rent. This provision targets the growing number of landlords who require tenants to use online payment systems that charge processing fees.
“Every Michigander deserves access to a safe, affordable place to call home,” Cavanagh stated. “These unnecessary fees quickly add up and contribute to the exorbitant cost of living that has long kept Michiganders priced out of housing.”
The added transparency, Cavanagh argues, will help renters keep more of their income instead of facing a steady stream of surprise charges.
Eviction Record Expungement Offers Relief for Renters Seeking Second Chances
One of the most far-reaching proposals is Senate Bill 374, carried by Geiss, which would seal eviction records immediately and allow for expungement after three years. Michigan courts process nearly 200,000 eviction filings annually, often creating long-lasting damage to renters’ records even when cases do not result in formal evictions.
“For far too long, permanent eviction records have unfairly defined people even after their situations have changed,” Geiss said. She emphasized the bill’s intent to improve outcomes in health, education, and employment by removing barriers to housing stability.
Eviction record sealing could have wide-ranging effects, especially in heavily populated areas like Wayne, Oakland, and Macomb counties, where eviction filings are among the highest in Michigan.
Cracking Down on Junk Fees Common in Michigan’s Rental Market
Senate Bill 375, sponsored by Irwin, seeks to limit so-called “junk fees,” which include charges for services such as snow removal, lawn care, and other non-rent items. These fees often inflate the actual cost of renting well beyond the listed monthly rent amount.
“Junk fees are unpredictable and harmful to Michigan renters, jeopardizing their housing stability while leaving landlords to profit at their expense,” Irwin said. His bill would prevent landlords from charging excessive ancillary fees, creating what supporters call a fairer rental market.
Legislation Heads to Senate Committee for Consideration
The full package of bills has been referred to the Senate Committee on Housing and Human Services. The committee is expected to take up the proposal during the summer session. The bill sponsors argue that the legislation complements other Democratic efforts to expand tenant protections across Michigan, where rising rents and stagnant wages have placed increasing pressure on low- and middle-income families.
Housing advocates have pointed to Michigan’s broader housing shortage and tightening rental markets as major drivers of both high rent and aggressive landlord practices. The University of Michigan’s Poverty Solutions initiative estimates that nearly 50% of Michigan renters spend more than 30% of their income on housing, placing them in the category of “cost-burdened” renters (source: University of Michigan, Poverty Solutions, 2023).
As Michigan renters continue to navigate an increasingly difficult housing market, the fate of these bills may signal whether legislative leaders are prepared to intervene in long-standing landlord-tenant disputes that have fueled housing insecurity statewide.
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