HOA Laws in Michigan: What Boards and Homeowners Need to Know

Updated May 2026  ·  est. 10,000+ HOAs in Michigan

Overview: How Michigan HOA Law Works

Michigan has a large HOA population but no comprehensive planned community statute for single-family HOA communities, leaving those associations to operate under CC&Rs and general nonprofit corporation law. Condominium associations are governed by the Michigan Condominium Act (MCL § 559.101 et seq.), which provides a detailed framework including reserve fund requirements, co-owner voting rights, and lien enforcement procedures. Michigan's lack of a planned community statute means that homeowner rights in non-condominium HOAs vary widely from community to community depending on what each association's documents say.

Every HOA in Michigan is governed by a combination of state law and its own governing documents - typically the Declaration of Covenants, Conditions, and Restrictions (CC&Rs), bylaws, and rules and regulations. Where state law and governing documents conflict, state law generally controls. Where state law is silent, the governing documents fill the gap.

Key Michigan HOA Laws and Requirements

• Michigan has no comprehensive planned community HOA act for non-condominium associations; these HOAs are governed by CC&Rs and the Michigan Nonprofit Corporation Act (MCL § 450.2101 et seq.).
• Condominium associations are governed by the Michigan Condominium Act (MCL § 559.101 et seq.), which provides rules for co-owner rights, common element maintenance, financial records, and assessment lien enforcement.
• Under MCL § 559.205, Michigan condominium associations must maintain adequate reserves for capital expenditures and must include reserve fund information in annual financial disclosures.
• Assessment lien rights for Michigan planned community HOAs come from the CC&Rs; liens are enforceable under general Michigan lien law.
• Michigan does not grant planned community HOA assessment liens super-priority over first mortgages; the lien is subordinate to a recorded first mortgage.
• Michigan has no state agency dedicated to resolving HOA disputes for planned community associations; homeowners must use internal procedures or file in Michigan circuit court.
• HOA managers in Michigan are not required to hold a state-issued community association management license.
• Michigan condominium co-owners have statutory rights under MCL § 559.101 to inspect association records, attend open board meetings, and vote in elections for the condominium's governing board.

What Michigan Homeowners Have a Right To

Regardless of what any individual HOA's governing documents say, Michigan homeowners in HOA communities generally have the right to:

• Access financial records and meeting minutes (within timeframes set by state law or governing documents)
• Receive notice before fines are imposed and an opportunity to be heard
• Attend board meetings (with limited exceptions for executive sessions)
• Inspect and receive copies of the community's governing documents
• Vote in board elections and on major community decisions
• Receive proper notice before assessments are collected by lien or legal action

Assessment Collection in Michigan

When a homeowner fails to pay assessments in Michigan, the HOA's typical collection process follows these steps:

1. Written notice of delinquency sent to the homeowner
2. Late fees applied after the grace period specified in governing documents (or as set by state law)
3. Lien filed against the property after notice and applicable cure period
4. If unpaid, the HOA may pursue legal action or foreclosure per Michigan law and the governing documents

Michigan's specific procedures, notice periods, and lien priority rules are set by Michigan Condominium Act (MCL § 559.101 et seq.) and the association's governing documents. Boards should consult legal counsel before initiating collection actions.

Fines and Enforcement

Most Michigan HOAs can impose fines for rule violations, but procedural requirements must be followed. In general:

• The homeowner must receive written notice of the alleged violation
• There must be an opportunity to cure the violation or be heard before a fine is imposed
• Fine amounts must be established in the community's schedule of fines (typically in the rules and regulations)
• Fines may be collected as assessments and, if unpaid, can become part of an assessment lien

How Software Helps Michigan Boards Stay Compliant

The procedural requirements under Michigan HOA law - notice before fines, member record access, financial transparency - are exactly what good HOA software automates:

• Violation notices are timestamped and logged automatically, creating the audit trail Michigan law requires
• Payment history is visible to residents in their portal, satisfying member record access rights
• Financial reports can be generated and shared with members on demand
• Document storage keeps governing documents accessible to all members at any time

Frequently Asked Questions: HOA Law in Michigan

What law governs a non-condominium HOA in Michigan?

Michigan does not have a comprehensive planned community act for non-condominium HOAs. These associations are governed by their CC&Rs, bylaws, and the Michigan Nonprofit Corporation Act (MCL § 450.2101 et seq.). This means that homeowner rights, board authority, and enforcement procedures are determined by the governing documents and general nonprofit law rather than HOA-specific statutes.

What rights do Michigan condominium co-owners have under the Condominium Act?

The Michigan Condominium Act (MCL § 559.101 et seq.) provides co-owners (unit owners) with rights including access to association records, the right to attend open board meetings, the right to vote in elections, and the right to enforce the condominium master deed and bylaws. The Act also sets procedures for lien enforcement and foreclosure for unpaid assessments. These rights apply specifically to condominiums governed by MCL § 559.101.

How does a Michigan HOA collect unpaid assessments?

A Michigan planned community HOA can file a lien against a member's property for unpaid assessments under general Michigan lien law and pursue judicial foreclosure. The specific notice and collection procedures are governed by the community's CC&Rs. Michigan condominium associations follow the lien and foreclosure procedures in the Michigan Condominium Act (MCL § 559.208). Boards should consult a Michigan real estate attorney before initiating any collection action.

Are Michigan condominium associations required to maintain reserves?

Yes. Under MCL § 559.205, Michigan condominium associations must maintain adequate reserves for capital expenditures and must include reserve fund information in their annual financial disclosures. Non-condominium planned community HOAs have no equivalent statutory reserve requirement; reserve funding for these associations depends on each community's CC&Rs.

Does Michigan require HOA managers to be licensed?

Michigan does not require HOA managers serving planned community or condominium associations to hold a state-issued community association management license. Voluntary professional certifications are available through national organizations such as CAI (CMCA, AMS, PCAM) and are commonly held by professional Michigan HOA managers, but they are not mandated by Michigan law.