Buying a Detroit Rental? Don’t Screw This Up | Certificate of Compliance Explained

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Buying a Detroit Rental Property?

The Certificate of Compliance Mistake That Can Cost You Thousands

If you are buying a rental property in Detroit, there is one due-diligence question you must ask before you close:

Does the house have a valid Certificate of Compliance — and when does it expire?

I’m Monique Burns. My husband Pat and I have been buying Detroit houses since 2007. We own buy-and-hold rentals, we’ve operated property management, and today we renovate distressed Detroit homes and sell them to investors from all over the country and the world.

This one issue trips up more new (and experienced) investors than almost anything else.

What Is a Certificate of Compliance in Detroit?

A Certificate of Compliance (C of C) is the City of Detroit’s confirmation that a rental property meets basic safety standards and is legally approved to be rented.

Key facts investors need to know:

  • The certificate is valid for 3 years

  • If you renew it before it expires, you may receive a 5-year extension

  • To get one, you must:

    • Register the property

    • Pass the 15-Point Rental Inspection

You can review the official checklist here:
👉 Detroit Residential Rental 15-Point Inspection Checklist
https://detroitmi.gov/document/residential-rental-15-point-inspection-checklist

Does the Certificate of Compliance Go With the House or the Owner?

This is where people get confused — and where deals go sideways.

The correct answer is: both.

  • The certificate stays with the house

  • BUT the new owner must register the property with the City

If you buy a house that already has a valid Certificate of Compliance, you do not automatically need a new inspection — as long as you properly register yourself as the new owner.

That registration step is critical. I jokingly call it “turning yourself in,” but skipping it is what gets investors into trouble.

How to Register Your Detroit Rental Property

Detroit uses an online system called ELaps (Accela).

You can register here:
👉 Register Your Rental Property on ELaps
https://aca-prod.accela.com/DETROIT/Default.aspx

This registration itself is free, but failing to do it can trigger tickets.

You can also review Detroit’s official landlord requirements here:
👉 BSEED – Landlord Rental Requirements
https://detroitmi.gov/departments/buildings-safety-engineering-and-environmental-department-bseed/bseed-divisions/property-maintenance/tenant-rental-property/landlord-rental

What If the House Does NOT Have a Certificate of Compliance?

First — don’t panic.

Most Detroit rental houses do not currently have a Certificate of Compliance. That does not automatically mean it’s a bad property.

For years, the City admitted that only about 5–10% of landlords were compliant. To increase participation, Detroit simplified the process by introducing the 15-point inspection and eliminating the old, expensive lead inspection requirement.

Right now, the inspection process is as easy as it’s ever been — and that may not last forever.

Why the Certificate of Compliance Is So Important

There are two big reasons this matters.

1. Blight Tickets and Fines

If the City identifies you as a landlord and your property isn’t registered or compliant, tickets often follow — sometimes fast and aggressively.

If you want to understand how this system works, I have several tutorials that walk through it step by step:

2. Evictions Can Be Blocked Without It

Some Detroit judges will not allow an eviction if the property does not have a valid Certificate of Compliance.

Judges do not all agree on this — which makes it risky. If you get stuck waiting for an inspection after an eviction starts, you may find that the tenant is suddenly very uncooperative about letting inspectors inside.

That delay can cost you months.

How to Check If a Property Has a Certificate of Compliance

Detroit provides an online compliance lookup tool, but it is not always current.

👉 Rental Compliance Lookup Map
https://detroitmi.gov/departments/buildings-safety-engineering-and-environmental-department-bseed/bseed-divisions/property-maintenance/tenant-rental-property/rental-compliance-map

My recommendation:
Always ask the seller for a copy of the actual certificate, which shows the expiration date clearly.

That date matters — because if you renew before it expires, you may avoid another inspection for years.

Why This Can Increase a Property’s Value

I’ve sold Detroit rentals where the Certificate of Compliance was a deciding factor for the buyer.

In one investor walkthrough, the buyer moved forward specifically because the property was already compliant — saving inspection time, fees, and risk.

That walkthrough is featured in my video and is a great example of how proper compliance can make a deal smoother and more valuable.

Thinking About Buying a Detroit Rental?

If you want to talk through:

  • Due diligence

  • Certificates of Compliance

  • Blight risks

  • Or buying a Detroit rental the right way

You can schedule a call with me here:
👉 Schedule a Call
https://calendly.com/section8rentalmastery/investing

Or email me directly:
📧 Monique@greatdaypm.com

More Detroit Due Diligence Resources

Final Thought

The Certificate of Compliance is not just a form — it affects tickets, evictions, timelines, and profitability.

Ask about it before you buy, not after.