Michigan State Housing Development Authority (MSHDA) Programs:
Updated June 15, 2026MSHDA offers long-term, fixed-rate mortgages through participating lenders plus multiple down payment assistance options for eligible buyers. Key program facts: MI Home Loan (minimum credit score 640; 660 for some manufactured homes) and a statewide sales price cap of $566,355 (effective June 1, 2026). See details and lender contacts at MSHDA Homeownership.
MSHDA First-Time Homebuyer Mortgage Programs:
Eligibility: First-time buyers (no owned primary residence in prior 3 years) or repeat buyers in targeted areas; household income limits vary by county and family size.
Offerings: 30-year fixed mortgages available with FHA, VA, USDA, or conventional underwriting via MSHDA-participating lenders; Mortgage Credit Certificate (MCC) tax credit is also available to qualifying buyers.
- Purchase price cap: commonly $566,355 statewide (effective June 1, 2026) — confirm county- and ZIP-level caps with your lender. See MSHDA income & sales price chart. MSHDA Income & Sales Price Limits (PDF).
- Minimum credit score: typically 640 (660 for certain manufactured-home products). See MSHDA product specs for exceptions. MSHDA product comparison.
- Income limits: county- and household-size specific; check the MSHDA income chart or ask an approved lender.
- Homebuyer education: required when using most MSHDA down payment assistance products; use the MSHDA housing education locator.
Down Payment Assistance (DPA) Options (MSHDA and county/city examples):
MI DPA Loan: Zero-interest second mortgage up to $7,500 when paired with a qualifying MI Home Loan (statewide). See MSHDA product specs. MSHDA MI Home Loan.
MI 10K DPA Loan: Interest-free second mortgage up to $10,000 for eligible ZIP codes; must be paired with a MI Home Loan. MSHDA MI 10K DPA.
First-Generation DPA (pilot): MSHDA launched a $25,000 pilot in 2025, but the program is currently closed as funds have been exhausted. Do not rely on availability without checking MSHDA. MSHDA First-Generation DPA (closed).
Local Programs (examples to check):
City and county programs provide additional deferred or forgivable assistance. Funding and amounts change; work with a participating lender or program administrator to apply.
Detroit / Wayne County
Detroit Down Payment Assistance: City program phases currently offer award amounts up to $25,000 for eligible Detroit buyers (income limits and residency requirements apply). Confirm application windows and phase details on the City of Detroit DPA site. Detroit DPA.
Grand Rapids / Kent County
Grand Rapids Homebuyer Assistance Fund (HAF): Local HAF provides assistance often up to $7,500 for qualifying buyers within city limits; requirements include income limits and homebuyer education. Grand Rapids HAF.
Lansing / Ingham County
Ingham County DPA: County DPA programs can be larger; Ingham County documents assistance up to $30,000 with forgiveness schedules and program rules. Confirm availability and lender partners. Ingham County DPA.
Other loan types to consider:
- USDA Rural Development: 0% down mortgages in eligible rural areas; income and property eligibility rules apply.
- VA Loans: 0% down for eligible veterans and active-duty service members.
- FHA Loans: 3.5% minimum down for borrowers with 580+ credit score; different rules apply below that score.
Always confirm current rates, income and purchase limits, and program availability with an MSHDA-approved lender or the local program administrator. Use the official MSHDA pages above for the most up-to-date program details and lender locators.
Seeking Agents® connects you with Michigan agents experienced in these programs who compete to offer reduced commissions or added services—free for buyers/sellers.
Frequently Asked Questions
What home buyer assistance is available in Michigan?
Michigan buyers may be eligible for statewide assistance, local housing programs, and federal financing such as FHA, VA, and USDA loans. The options available to you depend on your income, location, and financing profile.
Who qualifies as a first-time buyer in Michigan?
In many Michigan programs, a first-time buyer is someone who has not owned a primary residence during the past three years. Some repeat buyers or borrowers in targeted areas may also qualify under special rules.
How much help can Michigan buyers get for a down payment?
Michigan assistance programs may offer help with the down payment and, in some cases, closing costs. Assistance can come as a grant, a second loan, or another form of deferred-payment support.
Do Michigan assistance programs require homebuyer education?
Many Michigan buyer programs require homebuyer education before closing. This step helps buyers understand loan obligations, budgeting, and long-term housing costs.
Can a Michigan real estate agent help with buyer assistance programs?
Yes. A Michigan agent familiar with first-time buyer financing can help you target appropriate homes, coordinate with lenders, and navigate transaction details tied to assistance program requirements.