Security Deposit Laws in Michigan

What the law generally requires

Across the US, security-deposit law tends to cover four things: the maximum a landlord may collect, where the money must be held, the deadline to return it after move-out, and the penalty if a landlord keeps it without cause. Many states cap deposits at one to two months' rent, require return within 14–45 days, and impose a penalty (often 2×–3× the amount) for bad-faith withholding.

Michigan's specific figures can change with new legislation and local ordinances, so always confirm the current rule with Michigan's official tenant-rights resources before acting.

What to check in your own lease

• The exact deposit amount and whether it exceeds any Michigan cap.
• Whether "cleaning fees," "admin fees," or "pet deposits" are stacked on top to get around a cap.
• What the lease says the deposit can be deducted for — watch for vague language like "any damage" that ignores normal wear and tear.
• Any clause requiring you to forfeit the deposit automatically (often unenforceable).

If your landlord won't return it

Document everything: move-in and move-out photos, written notice of your move-out date, and a copy of your signed lease. After the return deadline passes, send a written demand letter citing Michigan law and the penalty for non-compliance, and give a short window (e.g. 10 days) to pay before you file in small claims court. Most disputes settle once a court date is on the calendar.