Mich. Admin. Code R. § R 125.2001

Definitions.

In Force
Verified 10/13/2026 · Next check 11/12/2026
effective 10/13/2026MichiganSecurity Deposits

Operative Text

Mich. Admin. Code R. § R 125.2001
Rule 1001. (1) As used in this part:

(a) "Community rules" means a written document promulgated by the
community which regulates all of the following and which includes the
informational and disclosure items specified in R 125.2006:
(i) Yard maintenance.
(ii) Automobiles.
(iii) Children.
(iv) Pets.
(v) Guests.
(vi) Garbage and rubbish disposal.
(vii) Rental payments.
(viii) Other conditions of tenancy.
(b) "Inventory checklist" means the identical written form used at the
commencement and termination of tenancy that records the condition of all items on
the home site which are owned by the community, including, but not limited to all of the
following:
(i) Building envelopes.
(ii) Utility hookups.
(iii) Patios.
(iv) Driveways.
(v) Parking spaces.
(vi) Sewer connections.
(c) "Lease" means a written agreement for the use, possession, and occupancy
of a home site or home, or both, which contains all conditions of tenancy and which
may include the community rules and regulations.
(d) "Rent" means any consideration paid by a resident for the right to use,
possess, and occupy a home site or home, or both, and other facilities made available to
the resident by the community.
(e) "Security deposit" means a deposit, in any amount, paid by the resident to
the landlord or its agent to be held for the term of the rental agreement, or any part
thereof. "Security deposit" includes any of the following:
(i) Any required prepayment of rent other than the first full rental period of the
lease.
(ii) Any sum required to be paid as rent in any rental period in excess of the average
rent for the term.
(iii) Any other amount of money or property that is returnable to the resident on
the condition of return of the rental unit by the resident in the condition required by the
rental agreement. "Security deposit" does not include an amount paid for an option to
purchase under a lease with an option to purchase, unless it is shown that the intent was
to evade the act.
(2) As used in the act:
(a) "Entrance fee" means a fee charged by a community as a condition
precedent to the right to reside in the community, including a community requirement
for resident paid for or provided landscaping or underground sprinkling systems, or
both. The term does not include any of the following:
(i) Security deposits.

(ii) Fees and taxes charged by a unit of government, except for fees and taxes to be
paid by the community that are related to capital improvements.
(iii) Deposits for service charged by public utilities.
(iv) Utility charges billed directly to the resident by the community.
(v) Rent.
(vi) Actual cost of a credit report, if one is obtained.
(vii) Nonrefundable cleaning fee as allowed by law.
(viii) A community requirement that a current or prospective resident, a retailer, or
an installer and servicer pay for changing the electrical service provided to the home
from the electrical pedestal disconnect box if the change is necessary to meet the
Michigan electrical code, R 408.30801 et seq.for service to the home. The community
requirement for payment shall be disclosed to the current or prospective resident,
retailer, or installer and servicer before the resident, retailer, or installer and servicer
commits to secure a home site or to bring the home into the community.
(ix) A community-required payment for the part of a foundation system that is more
than 66 feet in length for a single section home and 56 feet in length for a multiple
section home. The home lengths may be altered annually by the commission through
an interpretive statement. The community requirement for payment shall be disclosed
to the current or prospective resident, retailer, or installer and servicer before the
resident, retailer, or installer and servicer commits to secure a home site. This
exemption applies to foundation systems on new home sites in communities whose
applications for permits to construct were received after June 29, 1994.
(x) A community-required payment for the part of a foundation system in excess
of that which exists on a previously occupied home site. The community
requirement for payment shall be disclosed to the current or prospective resident,
retailer, or installer and servicer before the resident, retailer, or installer and servicer
commits to secure a home site or to bring the home into the community.
(xi) A community-required payment for a foundation system that is approved by the
department for use in the community, but not provided by the community. The
community requirement for payment shall be disclosed to the current or prospective
resident, retailer, or installer and servicer before the resident, retailer, or installer and
servicer commits to secure a home site or to bring the home into the community.
(xii) Other fees as determined by the commission by declaratory ruling or
interpretive statement.
(b) "Exit fee" means any fee charged by a community as a condition precedent
to the right to terminate tenancy. This does not foreclose the right of the community to
retain the security deposit in compliance with the requirements of 1972 PA 348, MCL
554.601 to 554.616.

History: 1979 AC; 1980 AACS; 1998 AACS; 2003 AACS; 2008 MR 11, Eff. Sept.2, 2008.
Source: Legislative text reproduced verbatim
Plain English

Section R 125.2001 (Rule 1001) of Michigan's Manufactured Housing administrative rules establishes the foundational vocabulary used throughout the regulatory framework governing manufactured housing communities. It defines key terms such as "community rules," "inventory checklist," "lease," "rent," "security deposit," "entrance fee," and "exit fee," each with specific scope and limitations. For example, the definition of "entrance fee" explicitly carves out numerous items—such as security deposits, utility charges, and certain foundation-system payments—that do not count as entrance fees under the act. These definitions shape how all other provisions in the manufactured housing rules are interpreted and applied.

Written by anthropic/claude-sonnet-4.6 · Reviewed on October 13, 2026

Plain English — not legal advice.

For Property Managers

Operators of manufactured housing communities in Michigan should be familiar with the precise definitions established in R 125.2001, as these terms govern compliance obligations throughout the regulatory framework. For instance, community rules must be a written document covering the specific topics listed—such as yard maintenance, pets, and garbage disposal—and must include the disclosures required by R 125.2006. Similarly, understanding what qualifies as an "entrance fee" versus excluded items like nonrefundable cleaning fees or utility charges helps operators structure their fee arrangements in a manner consistent with the act's requirements.

General guidance for property managers — not legal advice for your specific situation. Consult an attorney for advice on your case.

For Tenants

Residents of Michigan manufactured housing communities benefit from the clear definitions set out in R 125.2001, which establish what landlords can and cannot include in key documents and charges. For example, the definition of "security deposit" is broad—covering prepaid rent beyond the first period and other returnable amounts—which may be relevant if a dispute arises over how funds were collected or held. Tenants who believe a community is mischaracterizing a fee or failing to provide required written documents, such as a proper lease or inventory checklist as defined in this rule, may wish to consult a tenant-rights organization or contact the Michigan Department of Licensing and Regulatory Affairs for guidance on available remedies.

General guidance for tenants — not legal advice for your specific situation. Consult a tenant-rights organization or attorney for advice on your case.

Generated October 13, 2026 — auto-generated, not yet human-reviewed. See /transparency for methodology.

Effective Timeline

Current
Oct 13, 2026
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References Out

Rules and statutes cited by this regulation

1972 PA 348
Not yet ingested

References In

No inbound references recorded yet for this provision.

Related Rules

§ 5-12-081
Interest rate on security deposits
§ 5-3-5-1
SECURITY DEPOSITS AND PREPAID RENT
§ 5-4-3-3
ESCROW OF DEPOSITS

Source Information