Rental Investment Guide

Valley Township


Short-term & long-term rental regulations, fees, and investor resources for Allegan County, Michigan.

Updated May 2026

Area Overview


Valley Township is a rural township in north-central Allegan County, Michigan, located approximately three miles north of the City of Allegan along M-40. The township is predominantly zoned R-1 (Rural Estates) and R-2 (Low Density Residential) with a mix of farmland, large-lot estates, and lakefront homes along Lake Allegan and surrounding inland waters [3][4]. Housing stock is overwhelmingly owner-occupied single-family residences โ€” there is no significant resort or hospitality district.

Short-term vacation rentals are not permitted in Valley Township’s residential zoning districts. The township’s official Rentals page is explicit: “Current zoning does not allow Short-term rentals in a residential district” [1], and the Planning Commission is actively discussing whether to amend the zoning ordinance to address STRs. Long-term rentals (31 days or longer) are permitted with annual registration and inspection under Ordinance 255 [2]. The combined fee for registration and required inspection is $60 per year [1].

Building, zoning, and rental-property enforcement are administered through Michigan Township Services (MTS), not township staff directly. Brian MacCartny is the township’s contracted Zoning Administrator and Building Inspector [7].

Quick Status Summary


Short-Term Rentals NOT ALLOWED

Short-term rentals are not permitted in Valley Township’s R-1 (Rural Estates) or R-2 (Low Density Residential) districts. The township classifies an STR as a commercial use that is inconsistent with the permitted residential uses listed in Sections 6.02 and 7.02 of the zoning ordinance [1][3][4]. The Planning Commission meets the 4th Tuesday of each month at 7:00 PM and has been discussing whether to amend the ordinance to allow regulated STRs [1] โ€” no ordinance change has been adopted as of May 2026.

Long-Term Rentals ALLOWED

Long-term rentals (31+ day leases) are permitted in residential districts with annual registration under Ordinance 255 (Rental Property Ordinance, effective 9/17/2016) [2]. All rental properties must be registered by June 1 each year [1]. The combined registration-and-inspection fee is $60 per year. New rentals require an immediate inspection; properties also require an electrical and mechanical inspection by a licensed contractor every three years [1].

Rental Regulations


1 Where STRs Are Allowed (Zoning)

Short-term rentals are not allowed in Valley Township’s R-1 or R-2 residential districts. The township’s official Rentals page states directly: “Current zoning does not allow Short-term rentals in a residential district” [1]. The township treats an STR as a commercial use, which is inconsistent with the residential uses permitted by Section 6.02 (R-1) and Section 7.02 (R-2) of the zoning ordinance [3][4].

What the R-1 and R-2 use lists allow: single-family dwellings, two-family dwellings (R-2 only), farms (R-1), home occupations conducted by family members residing in the dwelling, churches and schools as special uses, and a handful of other residential and agricultural uses. “Commercial Lodging,” “Tourist Home,” “Bed & Breakfast,” and “Short-Term Rental” do not appear as permitted or special uses anywhere in either district [3][4].

For parcel-level verification, look up the zoning district on the township’s zoning map (linked below), then confirm permitted use with the contracted Zoning Administrator, Brian MacCartny at Michigan Township Services.

Valley Township Zoning Map

Click the map to open the full-size image.

2 Recent Activity & Planning Commission Discussion

The Planning Commission has been actively discussing short-term rentals. Per the township’s Rentals page, “The Planning Commission meets on the fourth Tuesday of each month at 7:00pm and will be discussing the issues relating to Short-Term Rentals in the Township” [1]. As of May 2026, no ordinance amendment has been adopted, and the existing prohibition under R-1/R-2 use lists remains in force.

Valley Township adopted a new Master Plan on December 3, 2025 [8]. Investors and residents tracking potential future STR regulation should monitor Planning Commission minutes and Township Board agendas posted on the township website.

3 Enforcement & Penalties for Unpermitted STR Operation

Because STRs are not a permitted use in the R-1 or R-2 zoning districts, operating one is a zoning violation enforceable by the township’s contracted Zoning Administrator [3][4]. Enforcement begins with a notice of violation; civil-infraction penalties under the township’s enforcement framework escalate as follows [5]:

1st offense$75 minimum, $500 maximum
2nd offense (3-year window)$150 minimum, $500 maximum
3rd offense (3-year window)$325 minimum, $500 maximum
4th or more (3-year window)$500 fixed

Each day a violation continues is a separate offense [5]. In addition to fines, the township may seek an injunction in any court of competent jurisdiction.

4 What Investors Should Consider Instead

Because STRs are not currently a viable path in Valley Township, investors evaluating property here should consider:

  • Long-term rentals (31+ day leases). Permitted under Ordinance 255 with $60/year registration and inspection [1][2]. See the LTR tab.
  • Mid-term / corporate rentals. Leases of 31 days or longer are treated as long-term rentals โ€” furnished mid-term rentals to relocating professionals, traveling nurses, or insurance-claim displaced families are permitted under the LTR framework as long as the lease term meets the 31-day threshold.
  • Nearby municipalities with STR-friendly rules. Several Allegan County lakeshore communities permit STRs with registration. Investors targeting STR cash flow should evaluate parcels in the city of Saugatuck, Saugatuck Township, Laketown Township, or Casco Township instead.
  • Monitor the Planning Commission. If the township amends its zoning ordinance to allow regulated STRs, early registrants may benefit. Subscribe to the township mailing list or attend the 4th Tuesday meetings.
1 Where LTRs Are Allowed (Zoning)

Long-term residential rentals are permitted by right in Valley Township’s R-1 (Rural Estates) and R-2 (Low Density Residential) districts. Both districts permit single-family dwellings as a primary use [3][4]; R-2 additionally permits two-family dwellings [4]. A lease of 31 days or longer is treated as standard residential occupancy, not a commercial lodging use, so no special zoning permission is required beyond the township’s rental registration program.

What still requires verification: If a parcel is in a non-residential district (commercial, industrial, or agricultural), or if a structure is non-conforming, confirm the residential use is permitted by right (or grandfathered) with the contracted Zoning Administrator before relying on it as a rental.

Valley Township Zoning Map

Click the map to open the full-size image.

2 Registration & Permit Process

Submit the Rental Registration form by mail or in person to the township office at 2054 N. M-40, Allegan, MI 49010. All rental properties must be registered by June 1 each year [1]. There is no online portal; applications are paper-based.

SubmissionBy mail or in person to township office
Annual deadlineJune 1
New registration inspectionRequired immediately โ€” call 269-673-5962 to schedule
Registration termAnnual; renewal required each year
Ownership transferExisting registration expires on sale; new owner must register immediately [2]
For investors: Rental registration does not transfer with the property. A buyer of a rental dwelling must submit a new Application for Rental Registration immediately on closing [2].
3 Fees & Penalties
Application fee (includes inspection)$60 per year
Electrical & mechanical inspectionAt owner’s cost, every 3 years, by licensed contractor [1]

Civil-infraction fines for renting without a valid registration or violating the ordinance [2]:

1st offense$100 minimum, $500 maximum
2nd offense$150 minimum, $500 maximum
3rd offense$325 minimum, $500 maximum
4th or more offense$500 fixed

Each day a violation continues is a separate offense [2]. The township may also recover direct and indirect costs of enforcement (administrative costs between $9 and $500 per case) and seek injunctive relief.

4 Inspections & Safety Requirements

Periodic inspections are conducted by the Township Zoning Administrator during reasonable daylight hours [2]. The township will make every effort to provide reasonable prior notice to the owner and tenant.

Rental properties must comply with the current International Property Maintenance Code [2]. The township additionally requires:

  • New registration: Immediate inspection on initial application [1].
  • Every three years: Electrical and mechanical inspections, signed by a licensed contractor, at the owner’s cost [1].
  • Property maintenance: No peeling paint, no exposed wiring, no missing electrical covers, no open or expired building permits, all uses compliant with the zoning ordinance.

Violation notices include a time period to come into compliance. Property owners aggrieved by an inspector’s decision have 10 days after notice to file a written appeal to the Township Board, which can affirm, reverse, or modify the violation [2].

5 Tenant Rights & Eviction Resources

Michigan landlord-tenant relationships are governed by state law (MCL 554.601 et seq.) and the Summary Proceedings Act for evictions. The Michigan Legislature publishes a free Practical Guide for Tenants and Landlords that covers leases, security deposits, repairs, and the eviction process [9]. These statewide rules apply in Valley Township and are not modified by local ordinance.

Tenants who believe a rental dwelling violates the township’s property-maintenance requirements can report concerns to the Valley Township Office; anyone may report violations of the Rental Property Ordinance [2].

Special Regulations


Several township-wide ordinances apply equally to long-term rental properties and owner-occupied homes. Investors and landlords should be aware of these in addition to the Rental Property Ordinance.

โ˜… Noise Ordinance (Ord. 219)

Quiet hours run 11:00 PM to 6:00 AM for radios, phonographs, televisions, musical instruments, and vocal noise [5]. Decibel limits in residential districts (and within 500 feet of a hospital or residential property) are 55 dB(A) daytime / 50 dB(A) nighttime, measured at the property boundary [5]. Building construction and exterior repair is restricted to 7 AMโ€“10 PM on weekdays/Saturdays and prohibited on Sundays without Township Board exception [5]. Violations are civil infractions ranging from $75 to $500 [5].

โ˜… Septic & Well (Allegan County Health Dept.)

Most properties in Valley Township are on private septic systems and private wells โ€” there is no township-wide municipal sewer or water utility. Septic permits, repairs, and well permits are issued by the Allegan County Environmental Health Department at 3255 122nd Ave, Suite 200, Allegan, MI 49010 [10]. Buyers of any property using septic should request the most recent inspection records from the County Health Department before closing. Failed or undersized septic systems are a common surprise on older rural and lakefront properties and are expensive to remediate.

Official Resources


Property Tax Treatment


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Important for investors: A property used as a rental in Michigan is generally classified as non-homestead, which is taxed at the full local millage rate (no Principal Residence Exemption). Short-term rental income may also be subject to the Michigan Use Tax on transient accommodations. Consult a CPA before underwriting any deal โ€” these are not opinions, they are starting points for your own tax research.

Explore Rental Guides โ€” Allegan County


Every municipality in Allegan County. Click any to view its rental guide โ€” or request one if itโ€™s not yet live. View the Allegan County hub โ†’

STRs Allowed
STRs Capped/Limited
STRs Heavily Restricted
STRs Not Allowed
Unverified
Guide Coming Soon

Buying, selling, or investing in Valley Township?

Valley Township's STR prohibition means investors need to underwrite carefully โ€” long-term and mid-term rentals are the workable paths today, with potential STR rules under Planning Commission review. I help investors and homeowners across Allegan County evaluate parcels against current rules and likely zoning changes.

Sources & Downloads


  1. 1
    Valley Township โ€” Rentals Page https://www.valleytwp.org/rental.htm
    STR prohibition statement, LTR registration steps, fee schedule, inspection cadence, Planning Commission discussion note
    Verified: 2026-05-12
  2. 2
    Valley Township โ€” Ordinance 255 (Rental Property) https://www.valleytwp.org/documents/ordinances/255%20Rental%20Property.pdf
    Adopted 8/9/2016, effective 9/17/2016. Full LTR registration framework, IPMC reference, inspection authority, fines, appeals
    Verified: 2026-05-12
  3. 3
    Section 6.02 use list โ€” STR / Commercial Lodging not listed
    Verified: 2026-05-12
  4. 4
    Valley Township โ€” R-2 Low Density Residential Use Regulations https://www.valleytwp.org/documents/ordinances/R2%20Low%20Density%20Residential%20District.pdf
    Section 7.02 use list โ€” STR / Commercial Lodging not listed
    Verified: 2026-05-12
  5. 5
    Quiet hours 11pm-6am, dB(A) limits by zoning district, civil-infraction fine schedule
    Verified: 2026-05-12
  6. 6
    Valley Township โ€” Ordinances Index https://www.valleytwp.org/ordinances.htm
    Master ordinance list with adoption dates
    Verified: 2026-05-12
  7. 7
    Valley Township โ€” Zoning & Building Page https://www.valleytwp.org/zoning.htm
    Michigan Township Services / Brian MacCartny contact info for zoning permits
    Verified: 2026-05-12
  8. 8
    Master Plan adopted 12/3/2025 โ€” long-range planning context
    Verified: 2026-05-12
  9. 9
    Michigan Legislature โ€” A Practical Guide for Tenants & Landlords https://www.legislature.mi.gov/publications/tenantlandlord.pdf
    Statewide landlord-tenant law, lease/security deposit rules, eviction process
    Verified: 2026-04-17
  10. 10
    Allegan County โ€” Environmental Health Department https://www.allegancounty.org/health/environmental-health
    Septic & well permit jurisdiction for Valley Township properties
    Verified: 2026-05-12
How this guide is produced. This rental guide is researched and drafted with assistance from Claude, an AI model made by Anthropic, working from the official municipal sources linked in this page. AI can make mistakes โ€” any fact that would materially affect a purchase or rental decision should be verified against the official source cited above and confirmed directly with the municipality. See an error? Email a correction.