This bill creates a state income tax credit for owners of mobile home parks who sell their property to current residents or resident associations starting in 2026. To receive the credit, which equals 15% of the sale price, the seller must submit proof that they provided required notice to potential buyers and include the final settlement statement with their tax return. The credit can be claimed by individual owners or by members of flow-through entities that own the park, but any unused portion of the credit cannot be refunded. The legislation also clarifies that the credit only applies to sales made to people already living in the park or to their governing cooperative.
This bill updates Michigan's property tax laws to ensure homeowners are not penalized with higher taxes for spending money on normal home repairs and maintenance. It specifically lists common improvements, such as painting, roof repairs, and replacing heating systems, that should be excluded from property value calculations until the home is sold. Additionally, the bill requires assessors to ignore certain costs included in a home's purchase price, such as financing fees and survey expenses, when calculating property taxes. These changes aim to provide clarity and fairness for residential property owners and agricultural landowners by standardizing how specific expenditures are treated during assessments.
This bill creates a new state tax credit program to encourage private investment in community development projects across Michigan. It allows taxpayers who invest in eligible properties, such as historic sites, rural areas, or low-income census tracts, to receive a credit equal to 25% to 50% of their investment costs. To qualify, applicants must demonstrate local support, show the project is financially sound, and prove it will revitalize blighted or vacant areas. The program includes strict timelines for securing financing and completing construction, with a total annual funding cap of $200 million that must be at least 30% allocated to housing projects.
SB 967 amends Michigan's income tax law to establish a new state low-income housing tax credit effective for tax years beginning on or after January 1, 2027. This credit is designed for project owners and equity investors who have been allocated funds to support affordable housing developments, allowing them to reduce their state tax liability by the amount of the credit. The bill includes specific rules for claiming the credit, such as requiring the attachment of an allocation form to tax returns, and mandates that the credit be claimed after other tax credits. Additionally, the legislation requires the state department to recapture a portion of the credit from taxpayers if the related federal tax credit is later disallowed or recaptured. If the credit amount exceeds a taxpayer's tax liability for the year, the unused portion can be carried forward for up to 10 years to offset future taxes.
HB 5806 creates a new state tax credit for individuals and businesses that invest in affordable housing projects in Michigan starting in 2027. The bill allows these investors to reduce their income tax by a specific amount tied to their share of the project, provided they receive approval from the State Housing Development Authority. It also establishes rules for how investors must report the credit, handle situations where federal tax credits are lost, and carry forward any unused credit for up to 10 years.
SB 939 amends the State Housing Development Authority Act to clarify and expand the powers of the State Housing Development Authority in Michigan. The bill grants the authority the ability to conduct housing studies, manage loans and mortgages, set construction standards for mobile homes, and acquire or dispose of real property to support housing initiatives. Additionally, it allows the authority to use accumulated fees and interest income for corporate purposes and to encourage community organizations in housing projects. This legislation directly affects the State Housing Development Authority and its capacity to administer housing programs and financial assistance across the state.
This bill updates Michigan laws regarding mobile home park tenancies by clarifying the specific reasons, known as 'just cause,' under which a landlord can legally evict a tenant. It directly affects tenants in mobile home parks and park operators by defining valid grounds for eviction, such as lease violations, nonpayment of rent after three occurrences in a year, property damage, or public safety issues. The legislation also introduces a new requirement for an in-person conference between the tenant and park operator within 20 days of an eviction demand, while ensuring tenants must continue paying rent until the legal process concludes. Additionally, the bill mandates that eviction judgments explicitly inform tenants of their right to sell their mobile home on the site within 15 days of losing their lease.
Michigan Senate Bill 971, known as the Residential Homeownership Accessibility Act, restricts out-of-state investors from buying or owning more than ten single-family homes in the state. The law requires these investors to register with the Michigan State Housing Development Authority before purchasing property and prohibits them from acquiring additional homes once they reach the ten-home limit. Penalties for violations include fines of up to $100,000 per illegal purchase or year of non-compliance, and affected investors are barred from renting the properties until they reduce their holdings below the limit. The bill specifically targets corporations, hedge funds, and private equity firms not domiciled in Michigan while exempting local governments, nonprofit organizations, and employers renting homes to staff.
HB 5901 modifies Michigan's eminent domain laws to require government agencies to make a formal, good-faith written offer for property before starting condemnation proceedings. The bill also clarifies rules for filing court complaints, defines what constitutes a suitable replacement home for displaced residents, and outlines how agencies can request financial records from property owners to determine fair compensation. Additionally, the legislation shifts the burden of proof regarding bad faith offers to the agency and establishes specific penalties if an owner unreasonably withholds necessary financial documents.
This bill creates a new annual surcharge on high-value second homes in Michigan that are not the owner's primary residence and have a true cash value of at least $1 million. The surcharge rates range from 2% to 5% depending on the property's value, with the Department of Treasury responsible for collecting and administering the fees. All money collected from the surcharge will be placed in a special fund to reimburse schools and local governments for revenue lost due to recent property tax exemptions and other tax credits.
