Key Takeaways

  • Michigan has extensive environmental regulations due to its water resources and industrial history
  • The Michigan Department of Environment, Great Lakes, and Energy (EGLE) regulates environmental matters
  • Underground storage tank regulations are strict due to groundwater protection concerns
  • Wetlands are protected under both federal and state regulations
  • Part 201 (Environmental Remediation) addresses contaminated property cleanup
Last updated: January 2026

Environmental Issues in Michigan Real Estate

Environmental concerns can significantly affect property value and transaction requirements in Michigan.

Michigan Environmental Regulations

Department of Environment, Great Lakes, and Energy (EGLE)

EGLE (formerly MDEQ) regulates environmental matters in Michigan:

AreaRegulation
Water ResourcesWater quality, wetlands
Air QualityEmissions permits
Materials ManagementHazardous waste
RemediationContaminated sites

Part 201 - Environmental Remediation

Part 201 of Michigan's Natural Resources and Environmental Protection Act addresses:

  • Contaminated property cleanup
  • Liability for contamination
  • Due care obligations
  • Cleanup standards

Environmental Disclosure

Agent Disclosure Requirements

Michigan agents must disclose known environmental hazards that:

  • Affect the property's condition
  • Are material facts
  • Could not be discovered by reasonable inspection

Common Environmental Concerns

IssueDescription
Lead-Based PaintFederal disclosure required (pre-1978)
Underground Storage TanksCommon in Michigan
Contaminated SoilIndustrial history sites
WetlandsProtected, may limit development
Groundwater ContaminationSignificant concern
RadonTesting recommended

Underground Storage Tanks (USTs)

Michigan has strict regulations for underground storage tanks due to groundwater protection:

Disclosure and Registration

RequirementDetail
RegistrationUSTs must be registered with EGLE
DisclosureKnown USTs should be disclosed
RemovalMust follow proper procedures
ContaminationRemediation typically required

Leaking UST Program

If a tank has leaked:

  • Property owner may be liable for cleanup
  • EGLE has corrective action program
  • Significant impact on property value
  • May affect financing

Wetlands Protection

Michigan wetlands are protected under:

State Wetlands Protection

  • Part 303 - Wetlands Protection
  • Permits required for fill or development
  • Can significantly limit property use

Federal Protection

  • Section 404 - Clean Water Act
  • Army Corps of Engineers permits
  • Coordination with state requirements

Due Care Obligations

Under Michigan law, property owners have due care obligations:

ObligationDescription
Prevent exacerbationDon't make contamination worse
Prevent exposureLimit human contact
Take reasonable precautionsBased on use of property
CooperateWith EGLE investigations

Lead-Based Paint (Federal Requirement)

For homes built before 1978:

RequirementDescription
EPA pamphletMust be provided to buyer
Known hazardsDisclose any known lead-based paint
10-day inspectionBuyer's right (can be waived)
Signed disclosureBoth parties must sign

Radon

  • Natural radioactive gas from soil
  • No Michigan disclosure requirement
  • Testing recommended, especially for basements
  • Mitigation available if levels are high
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Environmental Issues in Michigan Real Estate
Test Your Knowledge

Which agency regulates environmental matters in Michigan?

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Test Your Knowledge

What are "due care obligations" in Michigan environmental law?

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Test Your Knowledge

Why are underground storage tank regulations particularly strict in Michigan?

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