As we previously discussed on September 21, 2017, in Michigan Court of Appeals Rules in Favor of HOA on Short-Term Rental Ban, Michigan courts have consistently held that short-term rentals violate “residential use” and “non-commercial use” restrictions contained in restrictive covenants. On November 30, 2017, in Eager v Peasley, et. al., published opinion of the Court of Appeals, issued November 30,Read more
Category Archives: Landlord/Tenant
Short-term rental websites such as AirBNB, Booking.com, FlipKey, HomeAway, Homestay, House Trip, Roomorama, Tripping.com, Trivago, VBRO and VayStays have become an increasing concern for Michigan condominium and homeowner’s associations that are populated by full time residents. The rise of short-term rental websites has led owners and investors to seek out extra income by renting their property on a nightly basis.Read more
Co-owners desire to rent units for a variety of reasons. By way of example, many co-owners desire to rent condominium units as they are underwater on the mortgage and cannot sell the unit, they inherited the unit, their job was relocated, the co-owner was required to move for health reasons, or the unit was purchased with the intent that itRead more
Matthew W. Heron, Esq. Cummings, McClorey, Davis & Acho, PLC Introduction Michigan law allows the creation of a condominium project under terms and conditions set forth in the Michigan Condominium Act, Act 59 of 1978, MCL 559.101, et seq. (the “Act”). For the most part, the Act contemplates the creation of a new condominium project on land owned by aRead more
As mentioned in our previous blog article, technological advancements have increased the ability of individuals to do short-term leasing, as opposed to the traditional long term, six month or greater, leasing arrangement, in particular looking at the new phenomenon of Airbnb. Websites such as Airbnb, VRBO and Homeaway are often used by short-term lessors and lessees alike to both listRead more
The Impact of Short-Term Rentals on Condominium and Homeowner Associations: To Airbnb or Not to Airbnb?
Many condominium bylaws restrict or otherwise regulate a co-owner’s ability to lease the co-owner’s condominium unit. These restrictions are sometimes imposed as part of an effort to maintain property values, and sometimes to comply with the Federal Housing Administration’s Condominium Project Approval and Processing Guide which requires that at least fifty-one (51) percent of units be owned by owner-occupants. AtRead more
Legal Update: Slip and Fall on the Condominium Premises: Does the Condominium Owe a Statutory Duty to its Co-owners?
What happens if a Co-owner slips and falls on the condominium premises? Does the Co-owner have a right to sue the Association or its property manager for failing to maintain the common areas in reasonable repair? Can the Co-owner recover from the Association (i.e. all of the other Co-owners) for damages sustained on the condominium premises? Can the Association useRead more