Survey Requirements When Selling a House in Michigan
Michigan does not require sellers to provide a land survey as a condition of closing on a residential real estate transaction. The decision about whether a survey is needed typically comes from the buyer’s lender, the title company, or specific circumstances on the property itself.
Most standard residential home sales in Michigan close without a new survey. Understanding when one is actually required, and when it is worth getting even if not required, helps sellers plan and avoid surprises.
What Michigan Law Says
Michigan has no statute mandating a survey for residential real estate transactions. The state’s conveyancing laws allow a property to transfer by deed based on its legal description alone. A deed does not require a survey to be valid; it requires a legal description that identifies the property with reasonable certainty.
This means the survey question at closing is driven by private parties, specifically the lender and title company, not by state law. Their requirements vary based on loan type, property characteristics, and their own underwriting standards.
When Lenders Ask for a Survey in Michigan
VA loans. VA loan guidelines do not universally require a boundary survey, but VA underwriters have discretion to require one if the property has potential boundary issues, encroachments, or easement concerns flagged during the appraisal or title search. For rural properties or lots with unclear boundary history, VA underwriters in Michigan occasionally request a spot survey or location drawing as a condition of loan approval.
Conventional loans. Fannie Mae and Freddie Mac guidelines do not require a boundary survey for most residential transactions on subdivided lots. Lenders using conventional financing typically rely on the existing recorded plat and a survey affidavit from the seller. Rural parcels or properties with recent construction near property lines may prompt a lender to request additional survey documentation.
FHA loans. FHA guidelines follow a similar approach to conventional loans. A survey is not routinely required but may be requested when the appraiser or title search reveals potential issues. If flood zone determination is involved and the property is in a SFHA, lenders will require current flood insurance and may request an elevation certificate.
Commercial and investment transactions. ALTA surveys are standard for commercial closings in Michigan. Lenders financing commercial properties require this level of detail before committing funds, regardless of the state of existing survey documentation.
The Role of the Title Company
Michigan title companies issue title insurance policies that protect lenders and buyers from losses arising from title defects. When a title company reviews a transaction, it searches the chain of title and flags anything that might create a coverage gap.
For standard subdivided residential lots in established Michigan neighborhoods, title companies routinely extend coverage without a new survey by accepting a survey affidavit. The seller signs the affidavit stating there have been no changes to the property boundaries, no encroachments have developed, and no new structures have been placed near the lines since the last recorded survey.
Title companies become more cautious, and sometimes require a current survey, in these situations: the property is a rural parcel or a lot created by metes and bounds description; the deed history includes partial conveyances or exceptions that create boundary ambiguity; the title search turns up an easement or encroachment that the insurer needs documented; or the property is waterfront with riparian boundary complexity.
The Michigan Land Title Association sets standards and best practices for title insurance in the state. If a title company raises survey concerns during your transaction, ask specifically what documentation would satisfy their requirements. Sometimes a new survey affidavit or a letter from a surveyor confirming existing monument locations is sufficient rather than a full new boundary survey.
When Sellers Should Consider Getting a Survey Proactively
Even when no one requires it, there are situations where a Michigan seller benefits from getting a boundary survey before listing.
Unresolved boundary dispute with a neighbor. If you and a neighbor have had any disagreement about where the property line is, that dispute will surface during the buyer’s title search and could kill your deal. Resolving it before listing with a licensed surveyor and a recorded survey saves time and negotiating leverage.
Structures built near property lines. If you added a garage, shed, deck, or addition after the original survey was completed, and it sits close to a property line, a buyer’s lender or title company may question whether it encroaches. Getting this documented accurately before listing eliminates a potential last-minute issue.
Rural parcels without recent survey history. If you are selling land, a farm, or a rural property that has not been surveyed in 20 or more years, buyers and their lenders will want current documentation. Providing it upfront streamlines the process and strengthens your negotiating position.
Waterfront property. Michigan waterfront lots, particularly on inland lakes and rivers, carry riparian rights and boundary complexities that often surface in title review. A current survey documenting the shoreline boundary and water access rights can prevent delays and price renegotiation.
Location Survey vs. Full Boundary Survey for Closing
A location survey (sometimes called a mortgage survey or spot survey) is a limited drawing showing the approximate location of existing structures relative to property lines. It is cheaper than a full boundary survey, typically $300 to $600, and is sometimes requested by lenders or title companies who simply want to confirm no obvious encroachments before closing.
A location survey does not establish legal property corners, does not involve monument setting, and is not adequate for resolving boundary disputes. If the goal is to confirm there are no encroachment issues for closing purposes, a location survey may be sufficient. If the goal is to legally establish or confirm boundary lines, a full boundary survey with monument setting is required.
Ask your title company or lender which type of survey they need before ordering. The scope and cost differ significantly.
Cost Context
A boundary survey on a standard residential lot in Michigan typically runs $600 to $1,800. A location survey runs $300 to $600. An elevation certificate, if required because of a FEMA flood zone issue, runs $300 to $700. These costs are modest relative to the transaction values involved in most Michigan home sales, and they can often be negotiated as part of closing cost adjustments.
For sellers on waterfront or rural properties, the investment in a current survey often pays for itself by preventing last-minute lender conditions, title company holds, or buyer price reduction requests.
If you need a licensed surveyor to support your Michigan home sale, find a land surveyor in Michigan through our directory.