What changed in Michigan land and property rules for 2026

This page explains Michigan law so you know what questions to ask. It isn’t legal advice. Statuses below are current as of June 2026; the linked sources are the live word.

The PA 116 credit fix: signed and in effect

A consequential land-law change for farm families was good news. A statutory-language problem had jeopardized farmland preservation (PA 116) tax credits for some landowners — notably farms held in trusts or entities, and land carrying both a conservation easement and a development rights agreement. A bipartisan seven-bill fix passed the Senate unanimously and was signed into law on December 23, 2025, with immediate effect, including a grandfather clause. Treasury is issuing credits for affected parcels again. MDARD is contacting landowners whose agreements need paperwork updates. If your preparer flagged this issue on a past return, it’s worth a follow-up conversation this year.

The renewable-siting fight: a May ruling, a paused ballot drive

On May 8, 2026, the Michigan Court of Appeals upheld most of the Public Service Commission’s rules implementing PA 233 — the law that lets large solar and wind projects seek state permits when local ordinances are stricter than state standards. The court rejected narrower pieces, including a notification-timeline interpretation that had shortened local governments’ clock. Meanwhile, the citizen ballot campaign to restore local control suspended its 2026 signature drive, with a possible later restart. The law remains in effect; challenges continue. The full state of play, both sides.

The annual rhythm, 2026 edition

• New GAAMPs — the farm-practice standards behind Right to Farm protection — took effect this spring, as they do every year. Farms near the residential edge should skim the Site Selection updates.
• Qualified Forest Program enrollment for the 2027 tax year opened in late May. Applications are due September 1, 2026 (why hunting-land owners care).
• PA 116 applications need local approval by November 1 to earn this tax year’s credit.
• The inflation rate multiplier for 2026 taxable values is 1.027 (2.7%). That’s the cap on how fast an unsold property’s taxable value can rise. The uncapping guide explains why that number matters most in the year after you buy.

Still on the watch list

• Purple paint: still not Michigan law. A 2025 bill is the latest attempt; none has passed. Posting rules that actually work.
• Short-term rental preemption: still a live legislative fight; local ordinances control for now.
• PA 233 litigation: further appeals are possible after the May ruling. We’ll update the status line when it moves.

The official sources

MDARD for farmland and forest programs, the MPSC for siting cases, your assessor for the local numbers — and Owning Land in Michigan for the whole rulebook.