How to Screen Tenants Legally in Michigan

Dated: May 1 2025

Views: 96

Tenant screening makes or breaks your success as a landlord. One great tenant can keep your property profitable for years. One bad tenant can cost thousands in damages, missed rent, and legal fees. Michigan landlords must follow federal and state laws to screen legally — and effectively.

What You’re Allowed to Check in Michigan

Landlords can legally review:
• Credit reports
• Criminal background checks
• Eviction history
• Employment and income
• Landlord references
• Identity verification

A well-rounded screening process reduces risk and improves rental stability.

Income Requirements

Most Michigan landlords use a rent-to-income ratio of 2.5–3x monthly rent.
Always verify income through:
• Pay stubs
• W-2s
• Employment letters
• Bank statements (when necessary)

Criminal Background Checks

You may review criminal history, but you cannot impose blanket bans.
Evaluate on:
• Type of offense
• Recency
• Relevance to tenancy

Fair Housing requires individualized assessments.

Fair Housing Rules in Michigan

You may NOT discriminate based on:
• Race
• Religion
• Sex
• National origin
• Family status
• Disability
• Age
• Gender identity
• Sexual orientation

Your screening criteria must be applied consistently to every applicant.

Avoid These Common Mistakes

• Asking illegal questions (marital status, religion, etc.)
• Failing to provide rejection reasons when required
• Using inconsistent screening standards
• Not verifying references
• Allowing emotion to influence decisions

Consistent, legal screening protects you and improves tenant quality.

If you want professional help screening tenants or want your process reviewed for compliance, we can assist you with a full Michigan-compliant screening checklist and system.

Latest Blog Posts

The Outlook for Michigan Homebuyers in 2026

Michigan homebuyers entering the 2026 market will experience a mix of opportunity and competition. While interest rates are trending downward, demand remains strong in many parts of the state,

Read More

The Current and Future Commercial Real Estate Market in Michigan

Michigan’s commercial real estate market is in a unique moment of transition, influenced by technological innovation, shifting consumer behavior, and new development patterns. The outlook for

Read More

How Gaines Township, Michigan Is Growing — Microsoft, Switch, and Economic Expansion

Gaines Township is becoming one of West Michigan’s most strategically important growth corridors. With major companies investing heavily in infrastructure and land, the area is evolving into a

Read More

The 1% Revolution — How Sellers Save More Money With Moayyer Real Estate Group

Traditional real estate commissions have remained the same for decades, even as technology, marketing tools, and transaction processes have evolved. The 1% Revolution challenges the old model by

Read More