Renters commission raises alarm about unsigned ‘floating’ leases and calls for clearer early-leasing rules

During the April 16 meeting, members of the Ann Arbor Renters Commission described multiple incidents downtown in which prospective tenants received lease documents that were not countersigned by landlords while current tenants still held the right to renew. Commissioners said the practice has left applicants believing they had housing only to find the unit unavailable when a current tenant exercised renewal rights.

Commissioners reviewed Chapter 105 language (section 8530 and surrounding provisions) that governs renewal and early-leasing timelines — including the ordinance’s timing rules for offers, tenant acceptance windows and the 210-day limit on showing or leasing a unit for a subsequent period. Commissioners argued the current practice circumvents the ordinance’s intent and threatens housing stability for applicants.

Commissioners recommended a targeted change or clarification: require landlord countersignature before a lease offer is considered binding, or explicitly prohibit making lease offers during the renewal period unless the offer is contingent and clearly labeled. A commissioner said a simple rule requiring the landlord’s signature before a document circulates would remove ambiguity and curb bad-faith behavior by property managers and owners.

Staff and commissioners acknowledged enforcement and reporting barriers: many renters do not file formal complaints because they fear retaliation or lack clarity on where to report problems, which reduces the department’s visibility into how frequently the practice occurs. Staff proposed scheduling a follow-up session with rental-housing management and legal staff to (1) review complaints and enforcement history for §8530, (2) clarify the city’s enforcement pathway, and (3) consider drafting a clarifying amendment.

Next steps: commissioners asked staff to request reports on complaints and enforcement under §8530, invite legal staff and the rental-housing department for a working meeting, and explore ordinance edits that would require countersignature or otherwise bar floating/unexecuted lease offers during renewal windows.