Down payment assistance in Michigan
Michigan's primary statewide down payment assistance program, run by Michigan State Housing Development Authority (MSHDA). Numbers and eligibility reflect the program's published 2025 guidelines.
MI Home Loan + DPA
Deferred loan- Maximum assistance
- Up to $10,000 as a 0% deferred second
- Income limit
- Up to $151,200 (statewide)
- Home price limit
- Up to $224,500 statewide
- First-time buyer
- Preferred (some products)
- Eligible loan types
- FHA, VA, USDA, Conventional
- •0% deferred - no payment until sale/refi/payoff.
- •Buyer must contribute at least 1% of sale price.
How Michigan DPA fits into your purchase
Down payment assistance reduces the cash you need at the closing table. Michigan's MI Home Loan + DPA pairs with the standard FHA, VA, USDA, or conventional first mortgage from a participating lender; the DPA flows through the same closing.
Two things to budget for: most state DPA requires a homebuyer-education course (typically online, 6-8 hours, ~$75) and you usually have to use a lender on the agency's approved list. The agency keeps the list public on its website.
Common questions
Michigan's primary statewide DPA is MI Home Loan + DPA from Michigan State Housing Development Authority (MSHDA). Up to $10,000 as a 0% deferred second. Many Michigan cities and counties also run additional DPA layered on top.
Some product variants are first-time-buyer only; others are open to repeat buyers. Check the agency page for the current matrix.
Yes. MI Home Loan + DPA works with these loan types: FHA, VA, USDA, Conventional. The DPA is layered behind your first mortgage as a separate lien (or grant), and both close together.
Usually no. Deferred and forgivable loans typically have no monthly payment, so most lenders do not include them in your DTI calculation.
Deferred and second-mortgage DPAs are generally repaid in full when you sell, refinance, or pay off the first mortgage.