What to check before you buy vacant land (Michigan specifics)
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Zoning + future plan fit
Confirm today’s use by checking local zoning maps/ordinance; then read the master plan to avoid nasty surprises (e.g., future down-zoning). The state maintains zoning resources and many cities host interactive maps. -
Water, wetlands, and flood risk
- Wetlands: Projects impacting regulated wetlands or shorelines need EGLE permits; fees and timelines vary by permit type. Unpermitted work can stop a project cold (recent Dollar General case in Benzie Co.).
- Floodplain: Pull FEMA flood maps (NFHL / MSC) and state guidance; lenders can require flood insurance in SFHAs.
If not on municipal utilities, you’ll need a vacant land evaluation/perc and health-department permits for on-site septic and well. Counties post the process and forms.
Verify legal, insurable access—not just a worn two-track. For private roads, check recorded easements and maintenance agreements (cost-sharing, snow, repairs). If crossing state land, you may need a DNR private-access easement.
If part of the play is “buy-then-split,” Michigan’s Land Division Act caps how many divisions you can make from a parent parcel (formula by acreage; ≤40-ac “exempt splits” differ). Confirm remaining, transferable divisions with the assessor.
After most transfers, the taxable value resets to SEV in the following year—budget for the jump. See Treasury guidance and updated transfer-of-ownership rules.
In MI, mineral rights can be severed and are often the dominant estate. The Dormant Mineral Act can cause severed oil/gas rights to revert to the surface owner absent activity or recordation every ~20 years—check the chain, and don’t assume you’re buying minerals.
For solar/wind ground leases, proximity to substations/transmission and state-level siting changes matter; survey current lease comps and the evolving permitting landscape.
Order a boundary survey; have title search for easements, reverter clauses, old rights under the MRTA window, and any recorded utility or pipeline rights.
Quick starting playbooks
- Cash-flow farmland buy: Target counties with solid cash-rent comps and tenant depth; stress-test debt service at county average rents.
- Solar optioning: Map parcels within ~1–3 miles of substations/transmission; pre-clear wetlands/floodplain and confirm zoning stance; negotiate CPI-indexed base rent + escalators and clear decommissioning terms.
- Detroit infill: Use DLBA side-/neighborhood-lot programs to assemble frontage; confirm zoning/buildability (setbacks, utilities) and hold for small infill or STR-adjacent parking/yard value to nearby rentals.
- Trade-corridor industrial: Speculate (prudently) near the Gordie Howe Michigan interchange nodes; look for truck-friendly access and utilities.
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