Michigan guide

Michigan condo resale disclosure review

Michigan does not have a statutory condo resale certificate. A resale purchase is not governed by condo-specific statutory disclosure provisions — there is no status-letter regime like Colorado's and no statutory resale rescission period.

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The often-cited 9-business-day right to withdraw without penalty applies only to new-construction developer sales (MCL §559.184), not to resales. So on a Michigan resale, the documents you would elsewhere receive in a "resale certificate" must be extracted by contract: the master deed, bylaws, recorded amendments and rules, the current budget and reserve balance, recent financials, board and owner minutes, the master-insurance declarations page and claims history, any reserve study, and a written statement of unpaid assessments or liens. Because there is no active condo regulator and no statutory packet, document review is the buyer's primary protection.

No statutory resale certificate — extract the documents by contract

Unlike states with a defined resale-disclosure packet, Michigan compels no condo-specific resale certificate. The general Seller Disclosure Act (Act 92 of 1993, MCL §565.957) requires a residential Seller's Disclosure Statement, but it covers the unit's physical condition — not association finances or governance. The Act gives co-owners a right to an annual financial statement (MCL §559.154(5)) and to inspect books and records (MCL §559.157), but a buyer is not yet a co-owner, so those documents must come through the seller. Contract for the master deed, bylaws, recorded amendments and rules, the current budget and reserve balance, the last one to two years of financials, board and owner minutes, the master-insurance declarations page and claims history, any reserve study, and a written statement of the unit's assessment and lien status.

No statutory rescission — the 9-day right is new-construction only

Michigan's 9-business-day withdrawal right (MCL §559.184) is a developer-sale protection: a new-construction buyer may withdraw without cause or penalty within 9 business days of receiving the required developer package (master deed, conforming purchase agreement, escrow agreement, Condominium Buyer's Handbook, and disclosure statement), with escrow returned within 3 business days. A resale buyer gets no equivalent. Your cancellation right on a resale comes entirely from the purchase agreement's contingencies, so build a document-review and cancellation contingency into the contract and calendar it so the documents arrive with time to act.

Confirm condo, site condo, or true HOA first

Before relying on the Condominium Act at all, confirm what you are buying. Many Michigan communities that look like ordinary subdivisions are site condominiums organized under a master deed — and the full Condominium Act applies to them, bringing reserve, lien, disclosure, and developer-transition protections a true deed-restricted HOA would not have. A genuine HOA runs on its recorded declaration plus the Nonprofit Corporation Act, with no statutory reserve mandate or lien-priority rules. The recorded master deed (or its absence) is decisive, not the marketing label.

Read the extracted documents together

Michigan risk rarely sits in one document. Read the reserve balance against the budget — recalling that the reserve floor is only 10% of the current annual budget on a noncumulative basis (MCL §559.205; R 559.511) and that no reserve study is required, so a missing study on an aging building is a real red flag. Read the insurance declarations page given Michigan's 2024–2025 premium surge and the common ice-dam and water-damage exclusions. Demand a written statement of any pending or approved special assessment — no statute compels its disclosure, and a buyer who closes can inherit an approved-but-unbilled assessment.

Michigan legal references

Informational only. Not legal advice. Always confirm against current statute and counsel.

Need help applying these Michigan statutes to your specific situation? We can connect you with state-licensed counsel and specialists familiar with this exact regulatory environment.

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Reviewer's checklist

  • Confirm whether the property is a condo, a site condo, or a true deed-restricted HOA
  • Remember Michigan has no statutory resale certificate — extract the documents by contract
  • Remember there is no statutory resale rescission (the 9-day right is new-construction only)
  • Obtain the master deed, bylaws, recorded amendments, and rules from the seller
  • Request the current budget and reserve balance — confirm the 10% noncumulative floor
  • Request any reserve study or engineering report (not required, but obtain if it exists)
  • Obtain the last one to two years of financials and board/owner minutes
  • Request the master-insurance declarations page and claims history (ice-dam coverage, deductible)
  • Demand a written statement of unpaid assessments or liens on the unit (MCL §559.208)
  • Build a document-review and cancellation contingency into the purchase agreement

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How CondoSignal reads a document package

Source documents

  • Declaration & bylawsthe rules
  • Budget & financialsthe money
  • Reserve studythe big repairs
  • Meeting minuteswhat the board fears
read together

Cross-reference

The risk lives in the contradiction between documents.

An assessment in the minutes but not the estoppel; a reserve the budget never funds.

scored

Risk report

Severity-graded across 8 categories.

Every finding cites the document, page number, and quoted text.

How CondoSignal reviews this

We read the reserve study, operating budget, and 24 months of meeting minutes togethermichigan condo resale disclosure review risk usually lives in the contradiction between documents, not in any single one of them. Every finding cites the source document, the page number, and the quoted text behind it.

See our 8-category framework →

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Most buyers get 7–14 days to review condo documents. Upload the packet — we read the reserve study, budget, minutes, and insurance summary and flag the risks, every finding linked to the exact page. Free.

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Reviewed by Kirk Hasley, Founder. Every claim here is checked against current Michigan statute and primary sources, using the same documented review framework we run on every file. Last reviewed June 13, 2026.

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Risk Intelligence

Review the documents before your contingency ends

Most buyers get 7–14 days to review condo documents. Upload the packet — we read the reserve study, budget, minutes, and insurance summary and flag the risks, every finding linked to the exact page. Free.

Expert Matching

Need a real estate lawyer or mortgage specialist?

We can connect you with vetted real estate lawyers, mortgage brokers, and insurance brokers familiar with the specifics of condo and HOA transactions.

  • HOA lawyer