Michigan · Condominium Act (Act 59 of 1978)

Michigan condominium compliance, with the statute behind every deadline

A self-managed Michigan condominium answers to the Condominium Act — Act 59 of 1978: a mandatory reserve fund for major common-element repairs, books and records open to every co-owner, and a growing, staged voice for owners on the board as the developer sells units. GnomeOwner's compliance calendar tracks duties like these automatically, and shows the exact statute sentence behind each one, not just a due date.

Michigan has no separate homeowners'-association statute — a non-condominium Michigan subdivision runs on its own recorded declaration plus the state's general Nonprofit Corporation Act, not this page's Act 59. One scope note worth knowing: Michigan developers often plat ordinary-looking, detached-home neighborhoods as condominiums ("site condominiums") — see the fact below.

The fact most boards miss

A Michigan neighborhood of detached houses can legally be a condominium

Act 59 defines a “condominium unit” functionally, not by building type — it covers any portion of a project designed for separate ownership and use, no matter what kind of structure sits on it. Michigan developers regularly use that flexibility to plat ordinary-looking, detached single-family neighborhoods as “site condominiums” instead of conventional subdivisions. If your community looks like houses on a street but was actually formed by a recorded master deed, Act 59 — not a generic subdivision's covenants — is very likely your real governing law, reserve fund and all. Confirm your community's legal form from your own recorded master deed.

regardless of whether it is intended for residential, office, industrial, business, recreational, use as a time-share unit, or any other type of use
MCL 559.104(3)
What Michigan requires

A few of the duties GnomeOwner tracks for Michigan condominium associations governed by the Condominium Act, Act 59 of 1978

Every deadline here shows you the exact sentence of the statute it comes from, so you — or your attorney — can check it in seconds.

Mandatory

Maintain a reserve fund for major common-element repairs

Keep a reserve fund in place for the major repair and replacement of the common elements.

A reserve fund for major repairs and replacement of common elements shall be maintained by the associations of co-owners.
MCL 559.205
Mandatory

Keep the association's books and records open to owners

Keep the association's books, records, contracts, and financial statements available for examination by any co-owner and their mortgagees at convenient times.

The books, records, contracts, and financial statements concerning the administration and operation of the condominium project shall be available for examination by any of the co-owners and their mortgagees at convenient times.
MCL 559.157
Mandatory

Have the books independently audited or reviewed each year

Each year, unless a majority of your members votes that year to opt out, have the association's books, records, and financial statements independently audited or reviewed by a certified public accountant.

Applies when

Your association of co-owners took in more than $20,000 in annual revenues.

an association of co-owners with annual revenues greater than $20,000.00 shall on an annual basis have its books, records, and financial statements independently audited or reviewed by a certified public accountant
MCL 559.157
Mandatory

Keep current condominium documents available to owners and buyers

Keep current copies of the master deed, all of its amendments, and the other condominium documents available at reasonable hours to co-owners, prospective purchasers, and prospective mortgagees.

An association of co-owners shall keep current copies of the master deed, all amendments to the master deed, and other condominium documents for the condominium project available at reasonable hours to co-owners, prospective purchasers, and prospective mortgagees of condominium units in the condominium projects.
MCL 559.168
Mandatory

Prepare and distribute an annual financial statement to owners

At least once each year, prepare a financial statement for the association and distribute it to each owner.

The bylaws shall provide that the association of co-owners shall prepare and distribute to each owner at least once each year a financial statement, the contents of which shall be defined by the association of co-owners.
MCL 559.154
Mandatory

Furnish a buyer a statement of unpaid assessments on request

On request, furnish a purchaser or grantee of a unit a written statement setting forth the unpaid assessments, interest, late charges, fines, costs, and attorney fees owed against that unit by the seller.

Applies when

A buyer or other grantee of a unit in your condominium has asked the association, in writing, for a statement of the unpaid amounts the seller owes on that unit.

A purchaser or grantee is entitled to a written statement from the association of co-owners setting forth the amount of unpaid assessments, interest, late charges, fines, costs, and attorney fees against the seller or grantor
MCL 559.211
Mandatory

Seat owner-elected directors as the developer sells units

While the developer still controls the board: not later than 120 days after nondeveloper co-owners have been conveyed 25% of the units that may be created, at least one director and not less than 25% of the board must be elected by the nondeveloper co-owners; not later than 120 days after that reaches 50%, not less than 33-1/3% of the board must be elected by them.

Applies when

Your condominium is still within the developer's control period — the original developer still has the power to appoint or remove members of the board of directors.

Not later than 120 days after conveyance of legal or equitable title to nondeveloper co-owners of 25% of the units that may be created, at least 1 director and not less than 25% of the board of directors of the association of co-owners shall be elected by nondeveloper co-owners.
MCL 559.152
Mandatory

Answer a disability-access modification request within 60 days

When a co-owner submits plans and specifications for a disability-access improvement or modification, approve or deny them within 60 days; if you deny, give the co-owner a written list of the changes needed to bring the proposal into conformance.

Applies when

A co-owner has submitted plans for an improvement or modification to make their unit, or the route to it, accessible for a person with a disability who lives in or regularly visits the unit.

The association of co-owners shall approve or deny the proposed improvement or modification not later than 60 days after the plans and specifications are submitted by the co-owner proposing the improvement or modification to the association of co-owners.
MCL 559.147a
This is legal information, not legal advice.

Every item above is drafted from Michigan’s statute text and shown beside the exact sentence it comes from — check any claim against the law’s own words. This page hasn’t had a full attorney review. Confirm anything you plan to act on with your own attorney or CPA; law as reflected here is current as of 2026-08-08.

This calendar is built from Act 59's captured text, whose newest amendment dates to 2016 — no 2017-2026 amendment was found in that text, and this hasn't been independently checked against a live Michigan Legislature session-law index. Confirm current law with your attorney before relying on any figure here as fully current.

Before you ask

Michigan questions we hear a lot

What are a Michigan condominium association's annual requirements?

Michigan requires a reserve fund for major common-element repairs and replacement (MCL 559.205), a financial statement prepared and distributed to every co-owner at least once a year (MCL 559.154), books and records open to co-owner and mortgagee examination at convenient times (MCL 559.157), and — once annual revenues pass $20,000 — an independent CPA audit or review each year unless a majority of members votes to opt out that year.

Does Michigan require a condo reserve fund?

Yes — it's a real statutory “shall,” not just good practice: “A reserve fund for major repairs and replacement of common elements shall be maintained by the associations of co-owners” (MCL 559.205). The Act sets no dollar amount, percentage, or funding formula, though — any minimum funding standard is left to the state administrator's rules, which this calendar doesn't track. Set your funding from a real reserve study, and confirm any specific target with your own professional.

Can a Michigan neighborhood of houses actually be a condominium?

Yes, more often than boards expect. Act 59 defines a “condominium unit” functionally — a portion of a project designed for separate ownership and use, “regardless of whether it is intended for residential, office, industrial, business, recreational, use as a time-share unit, or any other type of use” (MCL 559.104(3)) — with no structural-type limit that would exclude a detached home. Michigan developers regularly plat detached single-family neighborhoods this way (“site condominiums”). Confirm your community's actual legal form from your recorded master deed, not from how it looks on the street.

Does Michigan require an independent audit of condo association books?

Yes, once revenue passes the statutory threshold: “an association of co-owners with annual revenues greater than $20,000.00 shall on an annual basis have its books, records, and financial statements independently audited or reviewed by a certified public accountant” (MCL 559.157). Members may vote each year to opt out for that year; either a full audit or the lighter review satisfies the duty.

Is GnomeOwner's Michigan compliance calendar reviewed by a lawyer?

Every deadline on this page is shown beside the exact sentence of the statute it comes from — so you can check each claim against the law's own words, right here on the page. What this page hasn't had yet is a full attorney review. It's legal information, not legal advice: confirm anything you plan to act on with your own attorney.

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