Septic Rules When a Michigan Home Sells
Local rules apply- Who May Inspect
- No statewide licensing of septic inspectors. Each local health department sets who may perform a time-of-sale evaluation, typically a health department sanitarian or a county-approved or registered private evaluator. Verify the county's approved-evaluator list before ordering an inspection.
- Report Rules
- No statewide report format or deadline. Counties with time-of-sale programs use their own forms and set their own submission windows and evaluation validity periods, and many require the report before a transfer can be recorded or before water service is approved.
- County Programs
- Washtenaw County has the best-known countywide time-of-sale inspection regulation. Other counties and districts, including Kalkaska, Manistee and Shiawassee, have sanitary codes addressing onsite sewage; several additional counties have adopted or debated time-of-transfer rules. Confirm county by county.
- Advanced Systems
- No statewide alternative-system operating permit or maintenance-contract rule. Local health departments that approve advanced or ATU systems generally impose their own service contract, monitoring and reporting conditions as permit terms. Check the issuing health department.
- Pump-Out Rules
- No statewide pump-out interval. Some county sanitary codes and time-of-sale ordinances require pumping, or pumping plus a tank integrity check, as part of the inspection or on a set cycle.
Set and enforced by Michigan Department of Environment, Great Lakes, and Energy (EGLE) - Onsite Wastewater Management, with programs delivered by local health departments. Confirm the rule for a specific property with them or the county health office.
Private Well Rules When a Michigan Home Sells
Local rules applyMichigan has no statewide requirement to test or inspect a private well when property transfers. Many county health departments run their own time-of-sale well and septic evaluation programs, so the requirement depends on the county.
- Who May Test
- Set by the county health department. Programs generally require the county sanitarian or an approved evaluator to inspect the well and septic system and collect the water sample, with analysis by a state-certified laboratory or the EGLE drinking water lab. Owner-collected samples are typically not accepted for transfer evaluations.
- What Is Tested
- No statewide list. County transfer programs typically require total coliform bacteria and nitrate, with some adding arsenic or a partial chemical panel. EGLE recommends coliform bacteria and nitrate annually for all private wells. Some county programs also check well yield or pump performance.
- Disclosure at Sale
- Michigan's Seller Disclosure Statement (MCL 565.957) is required for most residential transfers and asks whether the well and pump are in working order, the well's type, depth, age and repair history, whether the water has been tested, and the date of the last results.
- Unused Wells
- Under Part 127 of Act 368 of 1978, a well abandoned when municipal water is installed must be plugged, and the property owner is ultimately responsible. An owner may plug a well at their own residence; EGLE recommends a registered contractor. Transfer is not a state trigger.
- Distance From Septic
- Under Part 127, a private well must be at least 50 feet from a septic tank and 50 feet from a drainfield. Approved watertight sewer lines may be 10 feet; other materials require 50 feet. EGLE and local health departments may require more.
Set and enforced by Michigan Department of Environment, Great Lakes, and Energy (EGLE), Drinking Water and Environmental Health Division. Confirm the rule for a specific property with them or the county health office.
County and Town Rules in Michigan
10 localities ask for something extra when a property changes hands. Everywhere else in the state, the state rules above are the whole answer.
Benzie CountySeptic and well
Under the Benzie-Leelanau District Sanitary Code, an owner cannot transfer a property until the health department has evaluated the septic system and private well.
- What Is Required
- Health Officer evaluation of the on-site sewage disposal system and water well, with written results on a health department form given to buyer and seller, or proof of a corrective action contract, bond and completion covenant.
- When
- Evaluation requested before transfer; conformance notice or corrective-action proof due before closing. Exempt if approved or found compliant within the prior 36 months.
- Filed With
- Benzie-Leelanau District Health Department; non-conformance may be recorded with the Register of Deeds.
Confirm with the locality before you rely on it: Benzie County source page.
Brooks Township (Newaygo County)Septic and well
Brooks Township is the one part of Newaygo County that requires a well and septic evaluation at the time of sale.
- What Is Required
- Evaluation report on the on-site well and septic system by District Health Department No. 10 or a DHD #10-certified inspector, found satisfactory or corrections completed or assured. Elsewhere in Newaygo County it is voluntary.
- When
- Must be filed and cleared before the sale can close. Validity not specified.
- Filed With
- District Health Department No. 10.
Confirm with the locality before you rely on it: Brooks Township (Newaygo County) source page.
Grand Traverse CountySeptic and well
Starting January 1, 2026, a home within 300 feet of surface water in Grand Traverse County needs an approved well and septic evaluation before it can transfer.
- What Is Required
- Evaluation by a certified evaluator confirming the on-site septic and/or water system is properly sized and functioning as intended, submitted to the health department for review and approval.
- When
- Report must be approved before the transfer can occur. Validity not specified.
- Filed With
- Grand Traverse County Health Department.
Confirm with the locality before you rely on it: Grand Traverse County source page.
Kalkaska CountySeptic and well
Kalkaska County requires a point-of-sale well and septic evaluation, and a sale cannot close until the health department signs off.
- What Is Required
- Evaluation report on the on-site well and septic system, completed by District Health Department No. 10 or a DHD #10-certified private inspector, filed by the seller and found satisfactory or corrections completed or assured.
- When
- Must be filed and cleared before the sale can close. Validity not specified.
- Filed With
- District Health Department No. 10.
Confirm with the locality before you rely on it: Kalkaska County source page.
Leelanau CountySeptic and well
Under the Benzie-Leelanau District Sanitary Code, an owner cannot transfer a property until the health department has evaluated the septic system and private well.
- What Is Required
- Health Officer evaluation of the on-site sewage disposal system and water well, with written results on a health department form given to buyer and seller, or proof of a corrective action contract, bond and completion covenant.
- When
- Evaluation requested before transfer; conformance notice or corrective-action proof due before closing. Exempt if approved or found compliant within the prior 36 months.
- Filed With
- Benzie-Leelanau District Health Department; non-conformance may be recorded with the Register of Deeds.
Confirm with the locality before you rely on it: Leelanau County source page.
Macomb CountySeptic and well
Macomb County requires a well and septic evaluation filed with the health department before a home on on-site systems can close.
- What Is Required
- Evaluation of the well and septic system by health department staff or a registered private evaluator, including a water sample. A failed evaluation can be handled with an approved corrective action plan and escrow.
- When
- Report due to the health department at least five days before closing. An evaluation is valid one year from its date.
- Filed With
- Macomb County Health Department, Environmental Health Services.
Confirm with the locality before you rely on it: Macomb County source page.
Manistee CountySeptic and well
Manistee County requires a point-of-sale well and septic evaluation, and a sale cannot close until the health department signs off.
- What Is Required
- Evaluation report on the on-site well and septic system, completed by District Health Department No. 10 or a DHD #10-certified private inspector, filed by the seller and found satisfactory or corrections completed or assured.
- When
- Must be filed and cleared before the sale can close. Validity not specified.
- Filed With
- District Health Department No. 10.
Confirm with the locality before you rely on it: Manistee County source page.
Ottawa CountySeptic and well
Ottawa County has required sellers to have private well and septic systems evaluated before transferring ownership since 1984.
- What Is Required
- Seller-arranged evaluation of the private well and septic system under the county Environmental Health Code, producing a report that discloses the systems' condition and any corrections needed.
- When
- Must be completed before ownership transfers. Validity not specified.
- Filed With
- Ottawa County Environmental Health; the county provides the report to the buyer at closing.
Confirm with the locality before you rely on it: Ottawa County source page.
Torch Lake Township (Antrim County)Septic and well
Torch Lake Township bars transfer of a property until the health department has evaluated the septic system and found it compliant.
- What Is Required
- Septic evaluation by the Health Department of Northwest Michigan or its contracted evaluator, with the tank pumped first unless pumped within five years, written report given to the buyer, and private water supply also compliant.
- When
- Evaluation before transfer; report filed within 14 business days. Exempt if the system was permitted and installed within 10 years, or found compliant within 5 years.
- Filed With
- Health Department of Northwest Michigan and Torch Lake Township, plus a written copy to the buyer.
Confirm with the locality before you rely on it: Torch Lake Township (Antrim County) source page.
Washtenaw CountySeptic and well
Washtenaw County's Time of Sale program bars the transfer of a home on a well or septic until the county approves an inspection report.
- What Is Required
- Inspection of the on-site well and sewage system by a county-certified Time of Sale inspector, with the report filed and the Environmental Health Division finding the systems acceptable or repairs completed or assured.
- When
- Must be approved before the transfer; county review takes about five business days. A certification done within the prior 12 months satisfies the requirement.
- Filed With
- Washtenaw County Health Department, Environmental Health Division, which issues a compliance letter to the owner and prospective buyer.
Confirm with the locality before you rely on it: Washtenaw County source page.
Only localities with a rule of their own are listed, and only where the rule was found on that locality’s own page. A county missing from this list may still have one that is not published — ask the county health office.
What a Septic Inspection CoversTank, distribution, pumps, drainfield, loading, records
A septic inspection is not part of a standard home inspection, and walking the yard with a probe is not an inspection. These are the parts an inspector is expected to open, look at and write up.
The Tank
Opened at the manhole, not just the inspection port. Sludge and scum measured, baffles or tees checked, effluent filter pulled and cleaned, walls and lid checked for cracks and leaks.
Distribution
Distribution box, drop boxes, diverter valves and the pipes between them, checked for level, roots, standing effluent and blockage.
Pumps and Controls
Pump tank, float settings, alarm test, control panel and run-time counters. On an advanced system, blowers, media and disinfection units too.
The Drainfield
Trenches, beds or drip lines walked for ponding, breakout, odor and soggy ground, plus grading and roof runoff that pushes water into the field.
Size and Loading
Permitted design flow in gallons per day or bedroom count, from the health department record, compared with how the house is actually being used and marketed.
The Paper Trail
Permits, as-built drawing, pump-out receipts, service contract, operator reports and any lab results. Missing records are a finding of their own.
What the Buyer’s Loan RequiresFHA, VA, USDA, conventional and 203(k)
State law decides what the inspection has to contain. The loan program decides whether the deal can close with what the inspection found. These rules are federal and apply in every state.
| Loan | When an Inspection Is Required | Well Distances | Water Testing | If It Fails |
|---|---|---|---|---|
| FHA | No septic inspection on every loan. One is required only if the appraiser sees evidence of failure, state or local law requires it, or the lender asks. A well water test is required in specific listed situations. | 4000.1 sets: well 10 ft from property line, 50 ft from septic tank, 100 ft from drainfield or seepage pit, 50 ft from non-watertight sewer lines. A July 2026 FHA waiver lets existing homes use local distances instead if water testing is documented. | Required for new construction, when the appraiser reports a well problem, when water is known unsafe, near landfills or farms, or when well-to-septic is under 100 ft. A disinterested third party samples; local or EPA limits apply; report under 180 days old at disbursement. | The system must meet Minimum Property Requirements before FHA will insure. Health and safety deficiencies are repaired before closing. A repair completion escrow is allowed only when work genuinely cannot be finished first, such as weather delays. |
| VA | No septic inspection on every loan. The appraiser looks first; a licensed inspection or local health authority approval is required only if problems show, soil conditions are known to be poor, or state, local, or lender rules require it. | Not specified by the program. VA Chapter 12 sets no well-to-septic or well-to-line distances and defers to the local or state health authority with jurisdiction. Secondary lender guides sometimes quote FHA's numbers, but VA itself does not. | Required when the home has a private well. A disinterested third party must collect and test the sample; the borrower may not. Local health authority standards apply, then state, then EPA. Lenders commonly treat the certification as valid for 90 days; confirm the window with the lender on the file. | A septic or well failure is a defective condition, so the home is unacceptable until repaired and further damage is ruled out. Repairs are generally completed before closing; veterans may request a VA waiver of repair requirements in limited cases. |
| USDA Guaranteed | Strictest of the five. A septic evaluation is required on every home with an individual system, by a HUD roster appraiser, health authority, licensed septic professional, or qualified home inspector. A water test is required on every well property. | USDA adopts HUD Handbook 4000.1 distances (10 ft to property line, 50 ft to septic tank, 100 ft to drainfield) or the actual distances accepted by the state or local health authority. The septic must sit entirely on the subject property. | Required on all wells, performed by the local health authority or a state-certified lab. State or local standards apply, or EPA maximum contaminant levels if none exist. The water analysis report must be no more than 150 days old at closing. | The system must be repaired so the home is decent, safe, and sanitary. A post-closing repair escrow is possible only if the work does not affect livability, costs 10 percent or less of the loan, is under contract, fully funded, and done within 180 days. |
| Conventional | Most permissive. Neither agency requires a septic inspection or water test on every loan. One is ordered only when the appraiser notes a problem, a nearby environmental hazard raises concern, or state, local, or lender rules require it. | Not specified by the program. Fannie Mae and Freddie Mac set no separation distances and instead require that utilities meet community standards, which in practice means the local health authority's rules govern. | Not routinely required. Fannie Mae calls a well certification sound judgment when the lender has reason to believe water may be contaminated, such as a well near a hazardous waste site. No contaminant list or validity period is published. | The lender decides whether the home is adequate security and what inspections are needed. Appraisals are typically made subject to repair or professional inspection, with evidence of corrective action kept in the loan file before closing. |
| FHA 203(k) | Same triggers as standard FHA, with one key difference: a known bad system does not have to be fixed by the seller first. Repairing or replacing a well or septic system is an eligible improvement that the loan itself can finance. | Same FHA Handbook 4000.1 distances apply (10 ft to property line, 50 ft to septic tank, 100 ft to drainfield). New or replacement systems installed with loan funds must meet local permitting as built. | Same as standard FHA: testing in the listed trigger situations, by a disinterested third party, against local health authority standards or EPA limits, with the report no more than 180 days old at disbursement. | This is the real advantage. Repair or replacement costs are escrowed at closing and the work is done afterward, so the deal does not die on a failed system. Limited 203(k) caps total rehabilitation at 75,000 dollars; Standard 203(k) has no such cap. |
Loan rules change and lenders add requirements of their own. Confirm with the lender on the file before you tell a client what is needed.
A Timeline That Protects the Closing DateSix steps, from listing to closing
Nearly every septic delay comes from the same place: the inspection was ordered late, and the report, the repair permit or the health department review ran past the contract date.
- 1
Before You List
Pull the permit and service history from the health department. A seller who knows what a buyer’s inspector will find can fix it or price it instead of renegotiating against a deadline.
- 2
Day One of Due Diligence
Order the inspection. Not day seven. In several states the inspector has up to ten business days to deliver the written report, and that clock runs inside your contingency.
- 3
Inspection Day
Power on, water on, lids reachable. Many inspectors want the tank pumped so the walls and baffles can be seen, which means booking the pumper the same day.
- 4
When the Report Lands
Read the parts that were not inspected and the reasons given. That list is usually where the next surprise is hiding.
- 5
Repairs and Permits
A repair or replacement normally needs a health department permit, and sometimes a soil evaluation. Build the review time into the extension, not just the contractor’s schedule.
- 6
Before Closing
Hand the operating permit, manual, service contract and maintenance log to the buyer, and make sure an advanced system has a licensed operator from day one.
What to Collect From the SellerEight documents to ask for at listing
Ask at listing. Every one of these is a document a lender, inspector or health department may ask for later.
- Construction and Operating Permit. Shows the permitted flow, the bedroom count the system was approved for, and any ongoing conditions.
- As-Built Drawing. Locates the tank, distribution box and field. Without it the inspection starts with a search.
- Pump-Out Receipts. Five years where the county sets a pumping interval, three years everywhere else.
- Service Contract. Required for advanced and aerobic systems in most states, and often required to be in force at transfer.
- Operator Service Reports. The last two years, including anything filed with the health department.
- Lab and Sampling Results. Where the permit requires sampling, or the system discharges to a stream or ditch.
- Well Records. Well completion report, depth, the most recent water test, and any treatment equipment.
- Repair Permits and Invoices. Any work on the tank, pump, field, control panel or well.
Homeowners keep all of this free in TankVault, and their septic company keeps it current. See the homeowner app.
Questions Agents Ask
Can a home inspector inspect the septic system?
It depends on the state. A growing number of states allow septic inspections only from someone holding an onsite sewage license, such as an operator, installer or soil evaluator, and an inspection by the wrong person may not satisfy the lender or the contract.
How long is a septic inspection good for?
There is rarely a date written into law, but lenders and buyers commonly treat an inspection older than six to twelve months as stale, and some states require the inspection to fall inside a set window before transfer.
Who pays for the septic inspection?
It is negotiable in nearly every state and the purchase contract decides. Sellers increasingly pay for an inspection before listing so the findings are theirs to handle rather than a renegotiation tool for the buyer.
Can you close on a house with a failing septic system?
On a government-backed loan, usually not until repairs are finished and verified. Conventional financing has more room, but the appraiser can still call out the condition and the lender can require it fixed before closing.
Does the septic permit transfer to the buyer?
In most states the operating permit runs with the property rather than the owner, and the upkeep duties travel with it. Some states and counties make the new owner file or register within a set number of days, and an advanced system usually needs a licensed operator from day one.
Why does the inspection report not say pass or fail?
Several states now forbid pass or fail wording and require the inspector to describe the condition of each part and what any problem means instead. It reads as less decisive and it is far more useful in a negotiation.
Does the well have to be tested when the house sells?
In most states only when the buyer, the contract or the loan asks for it. A handful of states require a test at transfer, and FHA, VA and USDA loans require one on any home served by a private well.
Where This Comes From8 sources for Michigan
- EGLE Onsite Wastewater Management
- Michigan Lakes and Streams Association - Septic System Ordinances
- MSU Extension - Time of sale septic inspections can protect water quality
- Bridge Michigan - Michigan has nation's weakest regulations on septic systems
- EGLE Water Well Construction program
- EGLE Minimum Well Isolation Distances
- EGLE Plugging Abandoned Wells
- Ottawa County Health Department Real Estate Services (county transfer evaluation)
General information for real estate professionals, not legal advice. Michigan rules change, and counties add their own, so confirm the requirement for a specific property with the agency above or the county health office.
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