Home > Uncategorized > Michigan Real Estate Legislative Update: Is There a “Squatter” Epidemic?

Michigan Real Estate Legislative Update: Is There a “Squatter” Epidemic?

Tomorrow the Michigan Senate Judiciary Committee will meet to consider recommendations concerning certain bills. See the full committee meeting agenda at the link below:

http://www.legislature.mi.gov/(S(01p0h355lm5hedyrzapzi255))/mileg.aspx?page=committeemeeting&objectname=2013-SCS-0be3e630-b23f-4577-a74b-89bb5231896e&chamber=Senate

 

Among those bills discussed are three proposed bills that would modify “squatters rights” and make certain actions of unlawful tenants a crime.
HB5069 Provide exception to liability for damages if landlord enters premises if occupant is squatting;
HB5070 Provide for definition of squatter, and provide penalties for squatting on certain premises;
HB5071 Enact sentencing guidelines for crime of squatting;

 

What I found most interesting was the bill analysis for HB 5069, see below:

http://www.legislature.mi.gov/documents/2013-2014/billanalysis/House/pdf/2013-HLA-5069-56CE1BB5.pdf

 

Apparently there is an epidemic of “professional squatters” who abuse the system.

 

I had no idea that this was a problem – although I do see where the system lends itself to abuse:

 

  • It is a problem if landlords/owners have to evict trespassers from their own home;
  • It is a problem if trespassers move from REO to REO forcing financial institutions to pay them thousands to vacate a house that they are illegally staying in;
  • It is a problem if trespassers can simply fabricate a lease, and claim they have paid months in advance, and effectively stay rent free in property until the owners can convince a district court judge of the truth.

 

Again, all of these scenarios can be abused, but I would like to know – how prevalent is this problem?

 

 

Thoughts? Questions?

 

Email: Jeshua@dwlawpc.com

http://www.dwlawpc.com

 

 

 

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