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Contents
Landlord Studio is an easy to use property management and accounting software designed for landlords.
Find and screen tenants, collect rent online, track income and expenses, run reports, and more - all for free.
This article provides general information and is not legal advice. For accuracy and specific guidance on landlord-tenant laws, consult an attorney before making any decisions or taking action.
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SECTION 1
Minnesota landlords and tenants have certain rights and responsibilities that govern their relationship. These rights and obligations are dictated by various legal frameworks such as federal law, state statutes, local ordinances, common law, contract law, safety and housing codes, and court rulings.
Are landlords in Minnesota required to give notice before entering the property?
Landlords are required by Minnesota law to give a tenant "reasonable" notice before entering their apartment. Reasonable notice in this context is a notice given “not less than 24 hours” in advance of the landlord entering the unit. (Minn. Stat. Ann. §§ 504B.211 (Subd 2)).
Are landlords in Minnesota allowed to enter the property to conduct maintenance and repairs?
Landlords are generally only allowed to enter a tenant's apartment for a "reasonable purpose" after attempting in good faith to provide the tenant with a sufficient amount of notice given the circumstances. (Minn. Stat. Ann. §§ 504B.211 (Subd 4)).
Landlords in Minnesota cannot charge a late fee unless both the tenant and the landlord have agreed in writing that a late fee may be assessed. The lease agreement must also specify when the late fee is to be applied.
According to Minnesota law, the late fee cannot be more than 8% of the unpaid rent in any circumstance. Additionally, liquidated damages or interest cannot be applied to any late fees that are charged.
There is no mandatory grace period in Minnesota
(504B.177 LATE FEES. - MN Revisor's Office)
Source: LANDLORDS AND TENANTS: RIGHTS AND RESPONSIBILITIES | Minnesota Legislature (.gov)
SECTION 2
There's no statewide cap on how much landlords can raise annual rents in Minnesota. Rent increases are permissible for landlords to the extent that the market will allow. However, under local rent stabilization legislation, localities in Minnesota do have the power to set limits on rent increases.
Cities like Minneapolis and St. Paul have implemented laws restricting annual increases in rent. Rent increases in Minneapolis are limited to 3% annually plus inflation. Additionally, St. Paul caps yearly rent increases for premises subject to its code at 3%.
Minnesota landlords are required to give their current renters enough notice before raising rent. This gives tenants time to reevaluate their budget and, if necessary, find another rental.
For periodic tenancies, landlord must give written notice of one rental period plus one day prior to the change (Handbook).
For fixed-term tenancies, the rent cannot be increased during the lease. And a minimum of one full calendar month's notice is required before a landlord raises the rent.
Notices must be appropriately delivered to the tenant's apartment or addressed first class mail to their address. The amount of the increase, the new rental price, and the effective date of the notification should all be included in the notice.
Rent increases by landlords for retaliatory or discriminatory purposes are prohibited.
Property owners are not allowed to discriminate against tenants on the basis of their race, age, gender, sexual orientation, religion, nationality, handicap, or family status under the Federal Fair Housing Act.
Regarding retaliation, it means that landlords are not allowed to raise rent in reaction to anything their tenant has done, such as making a complaint.
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Sources: Charter Commission Rent Stabilization Work Group - City of Minneapolis, Steps for Requesting Rent Increase Exception, Rent Stabilization Rules and Processes (2022) | Saint Paul Minnesota, Sec. 471.9996 MN Statutes.
SECTION 3
A Minnesota lease agreement is an important document for both the landlord and the tenant as it outlines each party's specific rights and responsibilities during the lease. It serves as a legally enforceable contract and keeps any miscommunications or disputes from arising throughout the tenancy.
The key elements of a Minnesota lease agreement include:
According to Minnesota law, when a homeowner agrees to provide temporary use of their property to another person in exchange for money or labor, a legally binding rental contract, known as a “lease,” is established. While leases are typically written, oral agreements can also be valid. Leases can outline various rules for both tenants and landlords to follow. However, there are also legal requirements that must be adhered to, regardless of whether they are specified in the lease or if the lease terms differ from the law.
Free Resources: Minnesota Lease Agreement Templates | eForms
Source: Landlord and Tenants Rights and Responsibilities Handbook, MINNESOTA STANDARD RESIDENTIAL LEASE | HOME Line
SECTION 4
There is no limit on the amount of a security deposit that a landlord can demand by Minnesota state law. Landlords are free to demand any kind of deposit they think fit.
However, the majority of Minnesotan landlords demand a security deposit equal to one to two months' worth of rent.
Although there is no statewide cap, several Minnesotan localities have passed municipal regulations capping the amount of security deposits. For instance, the maximum security deposit in Minneapolis is one month's rent.
Minnesota landlords are allowed to request additional pet deposits from tenants as needed, according to the state’s security deposit law. However, tenants who own service animals are exempt from this charge. Nonetheless, the tenant would be responsible for any harm caused by their service animal.
In Minnesota, landlords have the right to take money out of a tenant's security deposit to pay for specific expenses and damages that may arise at the end of the lease.
Here are some of the allowable deductions landlords in Minnesota are allowed to deduct from a tenant’s security deposit:
(Minn. Stat. Ann. §§ 504B.178)
Tenant security deposits are required under Minnesota law to be deposited into interest-bearing accounts. Additionally, it is assumed that the security deposit account will yield at least 1% annually from the pre-lease deposit.
According to Minnesota's security deposit statute, a landlord has twenty-one days to repay any portion of the deposit that was not spent, including interest. Additionally, they have to send the tenant an itemized inventory of the damages by certified mail. There is a five-day window, nevertheless, if termination results from property condemnation.
The tenant is entitled to double the amount of the security deposit plus an additional $500 for damages resulting from the landlord's bad faith if the landlord fails to restore the deposit within 21 days or fails to produce the deductions.
(Minn. Stat. Ann. §§ 504B.178)
Landlords are required by Minnesota law to yearly pay interest on security deposits. The interest rate must be the same as what commercial banks pay on standard passbook savings accounts.
(Minn. Stat. Ann. §§ 504B.178)
Source: Landlords and Tenants - Minnesota Attorney General
SECTION 5
Below are some of the situations where landlords can legally evict a tenant in Minnesota.
One day past the due date of a rent payment is considered late, unless the lease or rental agreement specifies a grace period.
However, a landlord must provide renters with a formal written Notice to Pay or Demand for Compliance before initiating the eviction process. Depending on the type of tenancy, different notice periods are needed.
The landlord cannot carry out the eviction if the renter pays within the designated notice time. However, if the renter fails to make payments within the notice period, the landlord has the right to begin the eviction procedure.
Landlords must provide renters with written notification of a breach of the lease agreement so that they can comply. Tenants may have a specific period of time, as stipulated in their lease, to either remedy the issue or leave the property.
The landlord's ability to carry out the eviction will depend on the tenants' capacity to settle the matters during the notice period.
In the state of Minnesota, renters who engage in illegal activity on the property may be subject to eviction by their landlord. But before they can carry out an eviction, they have to give tenants a three-day notice to leave.
The following are a few examples of behaviors that fall under the category of unlawful:
In Minnesota, landlords are not permitted to force tenants out of their homes without a good reason. As long as they don't violate any rules, the tenant is free to stay until the end of their lease.
If the tenant doesn't make plans for a renewal and keeps using the property even a day after their lease or rental agreement expires, the landlord has the right to issue a Notice to Quit.
Landlords are not obligated to remind their tenants to renew unless otherwise mentioned in the lease or rental agreement. The amount of time a renter has before vacating the property is governed by the terms of their lease or rental agreement.
The landlord must first serve a Minnesota eviction notice and specify that the tenant has the required number of days to correct or rectify any of the aforementioned lease violations. In the state of Minnesota, a landlord has three options for eviction notices:
The Minnesota eviction process is straightforward and similar to other states’ in the U.S. Below is a breakdown of what the procedure looks like.
Source: Eviction Action Complaint - Minnesota Judicial Branch
SECTION 6
Like other states, Minnesota has certain laws that guide the rental application and tenant screening process.
Here are some of the information that a Minnesota rental application form is expected to collect from applicants:
Additionally, landlords are required to include a letter seeking for consent from the applicant to perform a consumer credit report.
Fees charged for Minnesota rental applications are considered non-refundable and landlords can only charge the actual costs they spend during the screening process. To this effect, landlords are required to reveal the tenant screening service they intend to use and the price of this service. (Minn. Stat. Ann. §§ 504B.173)
Landlords are required to inform applicants about the standards by which tenants will be chosen before collecting the charge.
Landlords are prohibited from inquiring about any of the following protected classes—race, color, religion, sex, familial status, and disability—on the rental application form by the Federal Fair Housing Act.
Tenants in Minnesota are additionally shielded from discrimination on the basis of their marital status and usage of public assistance.
Source: 504b.173 applicant screening fee. - MN Revisor's Office
SECTION 7
Tenants who wish to terminate a lease must notify landlords and pay any unpaid rent, as required under Minnesota law. Breaking a lease early or illegally can result in legal problems for tenants.
Tenants are required to provide written notice to their landlord when attempting to break a lease depending on their tenancy type.
Here are all of the exceptions that tenants can take into account when breaking a lease that doesn’t attract any penalty costs.
The Service Members Civil Relief Act (SCRA) provides protection to tenants beginning active military duty. This act allows them to avoid charges if they can prove that they signed the lease before reporting for duty and that they will be deployed for a minimum of 90 days.
All the tenant needs to do is give their landlord a notification letter, along with a copy of the instructions from the commanding officer or the deployment orders, whichever is most convenient.
It's important to understand that the renter cannot quickly terminate the lease. They have 30 days from the beginning of the following rent cycle to terminate it.
Typically, most lease agreements contain an "Early Termination Clause" which outlines all the tenants need to know in order to terminate their agreement early. In general, this is the most effective approach to avoid miscommunication between the two sides.
Most landlords may allow a tenant to break the terms of the lease for a penalty cost that is often equivalent to one or two months' worth of rent. Tenants who sign a lease automatically consent to paying the penalty costs in the event that they attempt to vacate without a good reason.
Landlords must adhere to health and safety regulations in the majority of states to guarantee that their properties are liveable. To encourage healthy living conditions in all rental houses, Minnesota has put in place a number of regulations.
Tenants may terminate the lease without incurring fines if the landlord is unable to meet these guidelines.
If a tenant in Minnesota experiences harassment, domestic abuse, illegal sexual activity, or other such problems, they are entitled to protection.
Basically, if a renter can provide evidence of their status as victims of domestic abuse, they are free to terminate their contract. Any legitimate protection order, no-contact order, or legitimate statement made by a law enforcement officer or agent must be sent with a suitable notice attached.
If a tenant can demonstrate that they are being harassed by their landlord in Minnesota, the landlord may forfeit their ability to impose sanctions. The following are two typical situations that the law will view as harassment:
Source: Ending the Tenancy - Landlords & Tenants | Minnesota Attorney General
SECTION 8
Below is an overview of some Minnesota HOA laws that often apply to homeowners associations:
Chapter 515B of the Minnesota Statutes contains the Minnesota Common Interest Ownership Act, which regulates the formation, management, powers, and activities of all common interest communities established after May 31, 1994.
The creation, direction, power, and operation of condominium associations that opt to be subject to this state law in their declaration are all governed by it.
Condo organizations established after August 1, 1980, are subject to the Minnesota Uniform Condominium Act.
This act establishes regulations and principles on the organizational structure and operating practices of nonprofit entities. Since most Minnesota HOAs choose to incorporate as nonprofit corporations, the majority of them are governed under the Minnesota Nonprofit Corporation Act.
Minnesotans are shielded against discrimination in housing based on nationality, disability, race, religion, marital status, etc.
This statute is similar to the federal Fair Housing statute (FHA), however it provides state-level protections rather than federal protections. Its enforcement is under the purview of the Minnesota Department of Human Rights.
Remember that there may be other local, state, or federal laws that apply, so make sure your HOA complies by doing further study.
Source: Minnesota Common Interest Ownership Act, Minnesota Condominium Act, Minnesota Uniform Condominium Act, Minnesota Nonprofit Corporation Act, Minnesota Human Rights Act.
SECTION 9
Over the course of the 15-year statute period, a squatter in Minnesota must adhere to a number of stringent legal conditions in order to establish a legitimate claim for adverse possession. Actual, open/notorious, exclusive, hostile, and continuing possession are requirements.
The property must be physically occupied by the squatter, who will use it as an owner would. It is not sufficient to merely cross the land or use it sometimes to constitute actual possession. The squatter is required to use, maintain, and improve the land as though it were their own house or property.
Anybody must be able to tell that the squatter is in possession of and occupying the land. They cannot attempt to conceal or act in secrecy regarding their occupancy. The public and community must be informed that the squatter is in possession.
The rightful owner is not permitted to share the squatter's possession with anybody else. Squatters are the only ones with the legal right to occupy and use a piece of property, hence they must keep everyone else out.
Possession by the squatter must be hostile, that is, it must violate the rights of the rightful owner. Instead of requesting authorization from the rightful owner, there must be a purpose to assert possession. The squatter is using the property in a way that is "hostile" to the rights of the rightful owner.
The squatter needs to stay on the land without going on extended periods of time without doing so. The squatter must have continuous, unbroken possession of the property for the full 15 years. A little absence can cause the possession to stop flowing.
For the entire 15-year statutory period, the squatter is required to pay property taxes on the land. For even a single year, the squatter's failure to pay taxes might break the chain of continuing ownership.
Source: Sec. 541.02 MN Statutes
SECTION 10
Below, you’ll find some helpful Minnesota landlord–tenant law resources:
DISCLAIMER: This article provides general information and is not legal advice. For accuracy and specific guidance on landlord-tenant laws, consult an attorney before making any decisions or taking action.
