New ordinance could slash rental compliance costs for residents in Detroit

Landlords blame issue on costs associated with getting into compliance

DETROIT – Getting landlords to register and inspect their rentals properly has become a huge challenge across Detroit.

Some landlords blame the process. Others blame the issue on the costs associated with getting into compliance.

Some city leaders said they are working on a possible solution. They’re proposing an ordinance change that could streamline the process.

There’s an aggressive push to tackle challenges with rentals and those who own them right now.

“We have about 82,000 rental properties in the city of Detroit,” said Deputy Mayor Todd Bettison. “Thus far, only about 10 percent are in compliance.”

Getting landlords who have been skirting the process into compliance has become a major issue. That’s why some city leaders have been investigating the process.

“A majority of them are mom-and-pop type operators,” Bettison said. “We want to make it easier for them to be able to come into compliance and not have to deal with the bureaucracy.”

A proposed ordinance change, spearheaded by Detroit City Councilmember Mary Waters, will be introduced in the City Council’s Public Health and Safety Committee next week.

That change would streamline landlords’ rental property inspection requirements.

It would reduce a 37-point inspection process to a 15-point inspection, and it could also reduce the cost of compliance.

“It’s going to go, typically, from $1,000 down to roughly about $125,” Bettison said.

The revamped process would still focus on life, health, and safety factors that are a priority for Detroit.

The proposed ordinance changes would also make penalties stiffer for bad landlords while giving more protections to renters.

“Detroiters should also know that if their landlord does not have a certificate of compliance and is not registered, then they are not legally required to pay rent,” Bettison said.

Under the proposed plan, the city is beefing up and expanding its escrow program. That would give tenants more power to exercise rights against bad landlords.

Bettison said, “Residents in single-family homes and duplexes were the only ones that qualified for the escrow. So, with the new ordinance, we’ll make it apply to apartment buildings as well.”

The proposed ordinance will be submitted to the Detroit Council Committee on Monday, July 22.

Once it is reviewed, it would eventually go to the full council for a vote.


About the Author

Demond Fernandez joined the Local 4 News team in 2023, anchoring our 5:30 p.m. newscast and reporting on important stories impacting our community. He joined WDIV from WFAA in Dallas where he was a senior reporter focusing southern Dallas communities.

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