Can my landlord charge both a security deposit and a damage deposit in Michigan?

No. Landlords can only charge up to 1.5 months' rent in total for any deposit, no matter what it's called.

How soon must my landlord return my security deposit after I move out?

Within 30 days, unless you don’t provide your forwarding address in writing within 4 days of moving out.

What should I do if I disagree with my landlord’s deductions from my deposit?

Send a written dispute to your landlord within 7 days after receiving the itemized deductions.

Does my landlord have to provide an inventory checklist?

Yes. Michigan landlords must provide 2 copies of a standard checklist at move-in, which you should complete and return.

What is considered normal wear and tear in Michigan?

Normal wear means everyday aging (like faded paint). Landlords cannot deduct for this from your deposit.

Michigan Security Deposit and Damage Deposit Rules Explained

Security, Locks & Emergency Protections Michigan published June 21, 2025

Understanding the differences between security deposits and damage deposits can help Michigan renters protect their rights and their money. This guide breaks down each type of deposit, state laws, and what you need to know if you’re renting in Michigan.

Security Deposits vs. Damage Deposits: What’s the Difference?

In Michigan, the terms “security deposit” and “damage deposit” are often used interchangeably—but under Michigan law, there’s only one type of deposit recognized: the security deposit. Security deposits are funds paid by a tenant to a landlord to cover unpaid rent, damages, or other lease breaches beyond normal wear and tear.

Security Deposit: Holds funds for damages, unpaid rent, or other lease obligations.
Damage Deposit: Usually refers to extra funds specifically for damage. In Michigan, landlords cannot charge a separate deposit labeled as such if it brings the total deposit above the legal limit.

The Michigan Landlord and Tenant Relationships Act governs all aspects of security deposits, setting out limits and procedures for their handling.

How Much Can a Landlord Charge for a Security Deposit?

Michigan landlords may collect a maximum of 1.5 times the monthly rent as a security deposit. For example, if your monthly rent is $1,000, the most your landlord can legally require is $1,500.

Landlords must notify tenants in writing of the name and address of the financial institution holding the deposit.
All deposits—regardless of what they are labeled—must not exceed 1.5 times the rent.

If a landlord asks for extra "damage" deposits or other labeled funds, these will be counted as part of the total allowed deposit.

When and How Will My Security Deposit Be Returned?

After you move out, the landlord has 30 days to return your security deposit or give you an itemized list of deductions for damages (excluding normal wear and tear) or unpaid rent. This is a tenants’ main protection for their money.

The landlord must provide the itemized list and any balance by mail, using the forwarding address you supply in writing within 4 days of moving out.
If you do not provide a forwarding address, the landlord does not have to send you the deposit.

Official Michigan Security Deposit Forms

Inventory Checklist (Form: None specified, but required by law) – The landlord must provide you with 2 copies of a standard inventory checklist when you move in. Use it to note the condition of the rental unit.
Example: Before moving in, go room by room and mark down any pre-existing issues. Keep one signed copy.
More on requirements: Michigan Attorney General: Landlord & Tenant
Notice of Forwarding Address (Form: None specified, but required) – After you move out, you must send your new address to your landlord in writing within 4 days.
Example: After leaving your rental, mail or email a written note providing your next address so you can receive your deposit.
Instructions: Michigan AG: Security Deposits FAQ
Security Deposit Dispute Letter (Form: Self-written, no official template) – If you disagree with the deductions, send a dispute letter within 7 days of receiving the itemized list.
Example: If you feel the landlord wrongly deducted money for normal wear, write a letter stating your reasons and keep a copy.
See example steps at Michigan AG Security Deposit Resources

Who Handles Disputes and Tenant Complaints?

Security deposit disputes in Michigan are handled through local district courts or small claims court. The Michigan Courts system provides information about this process.

If your landlord does not return your deposit or provide an itemized list within 30 days, you have the right to take them to small claims court for twice the amount wrongfully withheld.

How Michigan Law Protects Your Deposit

The main laws regulating deposits are in the Landlord and Tenant Relationships Act (Act 348 of 1972). This law:

Limits security deposits to 1.5 months' rent
Requires written checklist at move-in
Requires notice of forwarding address from tenants after move-out
Sets timelines and procedures for deposit returns and disputes
Forbids separate “damage” deposits above the legal maximum

By understanding and following these steps, you can better protect your rights as a renter.

Frequently Asked Questions

Can my landlord charge both a security deposit and a damage deposit in Michigan?
No. Landlords can only charge up to 1.5 months' rent in total, regardless of what the deposits are called.
How soon must my landlord return my security deposit after I move out?
Within 30 days, unless you fail to provide a forwarding address in writing within 4 days of moving out.
What should I do if I disagree with the amount the landlord deducted from my deposit?
Send a written dispute letter to the landlord within 7 days of receiving the itemized deductions. You may also consider filing a small claims case if not resolved.
Does the landlord have to provide an inventory checklist?
Yes. At move-in, the landlord must provide 2 copies of a standard inventory checklist for you to complete and return a signed copy.
What is considered normal wear and tear in Michigan?
Normal wear includes things like faded paint or minor scuffs from everyday living and cannot be deducted from your deposit.

Key Takeaways for Michigan Renters

Security deposits are capped at 1.5 months’ rent, no matter what they’re called.
Always complete your inventory checklist and provide your forwarding address after moving out.
Disputes are handled through the Michigan court system—know your rights and timelines.

Staying informed on the rules can help you protect your deposit and act quickly if issues arise.

Need Help? Resources for Renters

Michigan Attorney General: Landlord & Tenant Resources – General guidance and consumer protections
Michigan Courts – Find your local district or small claims court to file a dispute
Michigan Legislature – Read the Landlord and Tenant Relationships Act
For mediation: Contact your local community dispute resolution center via the Michigan Supreme Court Directory