DETROIT — The Michigan State legislature has been considering new legislation to allow short-term rental units within a community to no less than 30% of all residential units in cities across the state.
Many communities across the state have enacted regulations to address the impacts short-term rentals have had on the quality of life in neighborhoods. Each community has accomplished this in a manner that best meets the needs of residents and short-term rentals.
“The measure approved by the House is a solid compromise that provides both certainty for private property owners across the state and flexibility for local municipalities that deserve to have some control over the planning and zoning of their communities,” said Rep. Sarah Lightner, the Springport Township Republican who sponsored the bill, according to the Detroit News.
Lightner argued the legislation protected the private property rights of Michigan residents who wanted to rent their property while reining in corporations looking to “scoop up large numbers of homes to rent out, effectively acting as hotels without having to abide by safety standards or pay taxes like hotels.”
The legislation would continue to allow consumers to rent private residences through services like Airbnb and VRBO, but where homeowners of these services can operate and how such services are regulated in the biggest change.
Detroit City Council has issued two resolutions this year against the proposed law as it disagrees with the state inserting itself into neighborhood planning decisions normally governed by local municipalities.
“They are telling the city of Detroit that short term rentals should be prioritized as a use no matter what the neighborhood is and that they know better than us,” said Scott Benson, District 3 Detroit City Councilmember.
“It changes the character of neighborhoods. I purchased my home based on the life style in which I want to live and one I can afford. What they are saying is anybody who wants to bring in a hotel like business can move in and I have no say”.
The House bill 4722 was passed in October and a similar version in Senate bill 446, hasn’t yet been voted on by the full Senate. The proposed legislation is supported by the Michigan Realtors and the Mackinac Center for Public Policy.
