MSHDA MI Home Loan

MSHDA MI Home Loan is a first mortgage for homebuyers in Statewide County, Michigan, administered by Michigan State Housing Development Authority (MSHDA). MSHDA's flagship first-mortgage product: a fixed-rate loan to purchase a new or existing home, available to first-time homebuyers statewide and to repeat homebuyers in targeted areas. Can be paired with MI 10K DPA down payment assistance and/or the MSHDA MCC. Borrowers work directly with a participating lender. Fixed interest rate, low down payment, can be combined with up to $10,000 in MI 10K DPA assistance and an MCC.

MSHDA MI Home Loan is a first mortgage and is repaid under the terms set by Michigan State Housing Development Authority (MSHDA). The assistance is recorded in First position. Forgiveness and repayment terms are set by the program and can change — confirm them on the official program page before applying.

MSHDA MI Home Loan is open to first-time homebuyers and homebuyers who will live in the home as their primary residence. "First-time homebuyer" usually means not having owned a home in the last three years, but the program sets its own definition. On credit, the program states: Minimum credit score of 640 is required. A homebuyer education course is required, through MSHDA HUD-certified housing counseling agencies (required when paired with MI 10K DPA); located via MSHDA Housing Education Locator. Residency requirement: Property must be in Michigan. Must work with a MSHDA participating lender; lender earns ~3% (1% origination, 1.75% SRP, 0.25% timely-submission). Loan commitment valid 90 days (existing) / 180 days (new construction).

MSHDA MI Home Loan sets its income limit as follows: Household income limits apply and vary by family size and property location (county/township). In non-targeted areas, ranges roughly $75,300 (1-2 persons) up to higher limits in high-cost counties; targeted areas have higher limits. See MSHDA Income & Sales Price Limits. The limit applies to total household income, not only the borrower’s. Area median income figures are published by HUD and updated annually, so check the current table for the county before relying on a number.

MSHDA MI Home Loan caps the purchase price at $566,355. Eligible property types include Single Family, Condo, Manufactured, and 2-4 Unit. New construction is eligible. Manufactured homes are eligible.

MSHDA MI Home Loan serves homebuyers purchasing in Statewide County, Michigan. The program targets specific areas: Repeat (non-first-time) homebuyers are eligible only in MSHDA targeted areas. Targeted areas include numerous exempt counties (e.g., St. Clair, Lapeer, Sanilac, Tuscola, Lenawee, Washtenaw) and exempt cities/townships within non-exempt counties (e.g., City of Saginaw, City of Jackson, City of Flint, City of Detroit).

Applications for MSHDA MI Home Loan go through Michigan State Housing Development Authority (MSHDA), which publishes the current terms and the application steps on its own site. Funds are reserved through Reserved through participating lender via MSHDA loan reservation system. Hey Prescott is not a lender and does not accept applications; this page describes the program so a homebuyer can take it to a lender or housing counselor.