Purpose

• To allow homeowners to rent or lease a portion of their homestead property as a dwelling under specific conditions, while keeping municipalities’ ability to enforce other residential rental rules intact.

Main Provisions

• Adds Subdivision 1j (Subd. 1j) to Minnesota Statutes 2024 section 462.357.
• Defines “homestead” using the meaning in Minnesota Statutes section 273.124, subdivision 1.
• A municipality must not prohibit an owner from renting or leasing a portion of the owner’s homestead property as a dwelling if:
  • The homestead is a single-family home, and
  • The owner resides on the homestead property as the owner’s primary dwelling.
• The rental of a portion of a homestead property under these conditions is considered a permitted single-family use for zoning purposes.
• The provision does not remove or limit other regulatory authority; municipalities can still enforce other laws, rules, regulations, and ordinances related to residential rental properties, including landlord-tenant law.

How it Changes Existing Law

• Creates a specific allowance within local zoning by explicitly permitting a homeowner to rent a portion of their homestead (subject to the stated conditions) without it being treated as prohibited by zoning rules.
• Reaffirms that this use is still governed by other applicable housing and rental regulations, ensuring existing landlord-tenant protections and enforcement remain in place.

Practical Effects and Considerations

• Potentially increases housing options by enabling a controlled form of accessory rental within a homeowner-occupied single-family property.
• Maintains local oversight over health, safety, and rental standards through existing landlord-tenant and other residential rental regulations.
• Applies only when the homeowner lives in the property as their primary residence, and only to single-family homes.

Relevant Terms

homestead single-family home primary dwelling rental leasing portion zoning municipality landlord-tenant law residential rental properties section 273.124 Minnesota Statutes 2024 section 462.357 Subd. 1j