Michigan Down Payment Assistance

Michigan Down Payment Assistance Programs

A guide to current down payment assistance options in Michigan, including the state Housing Finance Agency, well-known city and county programs, and live DPA mortgage pricing for Michigan homebuyers.

Michigan Housing Finance Agency

Michigan State Housing Development Authority (MSHDA)

www.michigan.gov/mshda

MSHDA administers the primary DPA programs for Michigan. Program details below are current as of April 23, 2026 - confirm current terms directly with MSHDA before applying.

Statewide DPA Programs in Michigan

MI Home Loan

MSHDA

Other

30-year fixed-rate first mortgage with below-market rates. Pairs with MSHDA down payment assistance.

Paired with: Conventional, FHA, VA, RD

  • First-time homebuyer: Required
  • Primary residence only
  • Minimum FICO: 640
  • Income: MSHDA county-based income limits apply (household income); see MSHDA schedule.
  • Homebuyer education required

Repeat buyers may qualify in targeted areas. Sales price limit applies statewide.

Source: www.michigan.gov

MI 10K DPA Loan

MSHDA

Deferred loan

Up to $10,000 at 0% interest as a second mortgage. No monthly payment; due at sale, refinance, or payoff of the first mortgage.

Paired with: Conventional, FHA, VA, RD

  • First-time homebuyer: Required
  • Primary residence only
  • Minimum FICO: 640
  • Income: MSHDA county-based income limits apply; see MSHDA schedule (limits vary by county and household size).
  • Homebuyer education required

Must be paired with an MSHDA MI Home Loan or MI Home Loan Flex first mortgage.

Source: www.michigan.gov

MI Home Loan Flex

MSHDA

Other

30-year fixed-rate first mortgage with broader underwriting flexibility; pairs with the MI 10K DPA.

Paired with: Conventional, FHA, VA, RD

  • Primary residence only
  • Minimum FICO: 660
  • Income: MSHDA Flex income limits apply; see MSHDA schedule.
  • Homebuyer education required

Not restricted to first-time buyers statewide. Has some different overlays than the standard MI Home Loan.

Source: www.michigan.gov

Major City & County Programs in Michigan

Detroit Down Payment Assistance Program

City of Detroit Housing and Revitalization Department · Detroit, MI

Grant

Up to $25,000 for down payment and closing costs for income-eligible buyers purchasing in Detroit.

Household income at or below 80% AMI; cannot have held a marketable interest in property in the prior 3 years; 1-2 unit primary residences in Detroit only. Funding is subject to availability.

Source: detroitmi.gov

2026 Loan Limits in Michigan

Conforming (Conventional)

$806,500 baseline

FHA

$524,225 floor

Most Michigan counties use the FHA floor limit.

Live DPA Pricing for Michigan

Pricing below is sourced live from hundreds of wholesale lenders for a Michigan scenario. Edit the inputs to match your situation.

FHA Down Payment Assistance

Up to 5% assistance; repayable second at first rate + 2% over 10 years

Min FICO 580
Program details
  • Minimum credit score: 580
  • Non-traditional credit also possible
  • Assistance up to 2.5%, 3.5%, or 5% of the lesser of purchase price or appraised value
  • Assistance can be used for down payment, closing costs, or both
  • Second lien: 10-year fixed, repayable
  • Second lien rate is 2% higher than the first mortgage rate
  • No first-time homebuyer requirement
  • No income cap
  • Purchase of primary residence only
  • Eligible properties: 1-unit residences, PUD, 2-4 units, FHA-approved condos, manufactured (single/double-wide)
  • DTI per AUS and FHA manual underwriting guidelines
  • First lien: FHA 30-year fixed

Assistance amount

1st lien: $386,000 at 96.5% LTV (FHA)
2nd lien: $14,000 (10-yr fixed, 1st rate + 2%)
Assistance is due upon transfer, sale, or refinance. Pricing estimate only — final rates, fees, and eligibility are determined by the lender.
Program details on this page are compiled from official Michigan Housing Finance Agency and local government sources and were last verified on April 23, 2026. Program availability, funding, eligibility thresholds, and assistance amounts change frequently. Always confirm current terms directly with the administering agency before applying. This page is informational only and is not an offer to lend.

Compare DPA options for Michigan with live pricing

Rate Direct pairs down payment assistance with live first-lien pricing so you see the combined monthly payment up front.

DPA Programs in Other States