July 2020

An informative e-newsletter for the Real Property Law Section of the State Bar of Michigan.

“Lease” versus “Management Agreement” in Short-Term Rentals

Lease versus Management Agreement

By Chelsey L. Marsh, Dickinson Wright PLLC

With demand for vacation rentals growing, many homeowners have seized the opportunity to fulfill travelers’ needs by renting their properties for short terms. However, an influx of out-of-town guests is frequently opposed by area residents, and a number of condominium associations have amended their bylaws to restrict such short-term rentals.

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Zoning Ordinance Language May Prohibit Short-Term Rentals

John J. Kelly, Bodman PLC

Some local governments may prohibit the use of single-family residences as short-term rental properties depending upon the statutory construction of their zoning ordinance, according to a June 5, 2020 Michigan Supreme Court Order. Reaume v. Township of Spring Lake, 943 NW2d 394 (2020) (Mem).

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Legislative Report

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Write an Article

Interested in writing an article for the e-Newsletter? Contact co-editors Samuel Kilberg at SKilberg@dykema.com or Glen Zatz at gzatz@bodmanlaw.com.

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We are also looking for suggested authors and topics for the Michigan Real Property Review. Please contact Chair-Elect, Mike Luberto at mluberto@Chircotitle.com for suggested topics and ideas.

The views and opinions expressed in these articles are those of the authors, and they do not reflect in any way the positions of the State Bar of Michigan or the Real Property Law Section. These columns are meant for informational purposes only and should not be construed as legal advice. IRS Circular 230 Disclosure: To ensure compliance with requirements imposed by the Internal Revenue Service, we inform you that any U.S. federal tax advice contained in this communication (including any attachments) was not intended or written to be used, and cannot be used, by any person for the purpose of (i) avoiding tax-related penalties or (ii) promoting, marketing, or recommending to another person any transaction or matter addressed in this communication.