Homeowner Must Manifest an Intent to Return
Public Act 324 of 2012, effective October 9, 2012, has been enacted to allows a homeowner to retain a local Michigan property tax principal residence exemption after moving into a nursing home or assisted living facility if the homeowner manifests an intent to return to his or her home by satisfying all of the following conditions:
- the owner continues to own the property while residing in the nursing home or assisted living facility;
- the owner has not established a new principal residence;
- the owner maintains or provides for the maintenance of the property while residing in the nursing home or assisted living facility; and
- the property is not occupied, is not for sale, is not leased, and is not used for any business or commercial purpose.
For residential or timber-cutover property that is contiguous to a dwelling, current law specifies that contiguity is not broken by a road, a right-of-way, or property purchased or taken under condemnation proceedings by a public utility for power transmission lines if the two parcels that are separated by the purchased or condemned property were a single parcel before the sale or condemnation. The legislation specifies that continuity also is not broken by a boundary between local tax collecting units.