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Michigan Loan Programs

Every Michigan loan program Mike runs

One branch manager, the full Michigan menu. The MSHDA MI Home Loan and its $10,000 down payment second, the mortgage credit certificate, FHA, conventional, VA, USDA, jumbo, self-employed, and investor financing. Find the situation that matches yours, then send your scenario. Mike maps the numbers to your county and your credit profile.

Mike does not sell one loan. He fits the first mortgage to your file, then layers assistance where it earns its place. Here is the shortlist so you can find your situation fast.

ProgramWho it fitsDown paymentKey Michigan detail
MSHDA MI Home LoanFirst-time buyers, repeat buyers in targeted areasLow, pairs with the DPA640 minimum score; $566,355 sales-price limit as of 2026
MI 10K DPABuyers who need cash helpAssistance covers up to $10,0000% deferred second, repayable, statewide, rides on the MI Home Loan
MSHDA MCCBuyers who want an annual tax creditPairs with the first loan20% of mortgage interest as a federal credit; $544,233 price limit
FHALower credit, slim savings3.5%2026 Michigan floor $541,287
Conventional 97Mid-600s and up3%Mortgage insurance cancels at 20% equity
VAEligible veterans$0No monthly mortgage insurance
USDARural and small-town Michigan$0Income capped near $122,800, parcel-specific
JumboAbove the $832,750 limitVariesSame baseline in all 83 counties
Bank-statement / 1099Self-employedVariesQualify on deposits, not net tax income
DSCRInvestorsVariesQualify on the property's rent

MSHDA down payment assistance: the MI 10K DPA

Michigan runs its down payment help through MSHDA, the state housing development authority. The MI 10K DPA Loan gives up to $10,000 toward your down payment, closing costs, and prepaids. Read the terms closely: it is a 0% deferred second loan with no monthly payment, so it is not a grant and it is not forgivable. You repay it when you pay off the first mortgage, sell, refinance, or stop living in the home. It is available statewide now, in all counties, and it must ride on a MSHDA MI Home Loan with a homebuyer-education certificate on file. The old $7,500 figure people still quote came from the retired MI First Home brand. The down payment assistance page walks through the repayment mechanics.

The MSHDA MI Home Loan

MSHDA markets a single first-mortgage product today, the MI Home Loan. It is open to first-time buyers statewide and to repeat buyers purchasing in a MSHDA-designated targeted area. The minimum credit score is 640, and it comes as a 30-year fixed loan structured as FHA, VA, USDA, or conventional underneath. The sales-price limit is $566,355 as of 2026, and income limits vary by county and household size rather than a single statewide number. If a MI First Home or MI Next Home page still shows up in a search, that distinction is gone. One product now.

The Michigan mortgage credit certificate

Plenty of states quietly shut down their MCC. Michigan did not. MSHDA's mortgage credit certificate is still active, confirmed by a public notice dated March 2026, and it converts 20% of your annual mortgage interest into a federal tax credit for the life of the original loan, up to 30 years. It follows a $544,233 sales-price limit as of 2026 and the same first-time-statewide, repeat-in-targeted-areas pattern as the MI Home Loan. For a buyer who plans to hold the house, that yearly credit adds up. Ask Mike to run whether it beats a rate buydown on your file.

FHA loans in Michigan

FHA is the common landing spot when credit sits lower or savings are thin. It allows 3.5% down and forgives past credit bumps more readily than conventional financing does. The 2026 FHA floor in Michigan is $541,287 on a single-family home, and because Michigan is all-baseline, that floor holds in Wayne, Kent, Oakland, and every other county. The MI 10K DPA can ride on top of an FHA MI Home Loan, so the assistance and the low down payment stack.

Conventional 97 and low-down conventional

Once your score clears the mid-600s, conventional financing often beats FHA because the private mortgage insurance cancels at 20% equity instead of running the life of the loan. Conventional 97 allows 3% down. A MSHDA MI Home Loan can be structured as conventional, which lets a first-time buyer in Grand Rapids or Kalamazoo pair the 3% conventional path with the $10,000 second. Income limits still apply, and they move by county.

VA loans for Michigan veterans

Eligible veterans, active-duty service members, and surviving spouses can buy with zero down and no monthly mortgage insurance. Michigan holds a large veteran community around Selfridge Air National Guard Base in Macomb County, the Battle Creek VA, and the Detroit and Ann Arbor VA medical centers. A VA loan can also serve as the first mortgage under a MSHDA MI Home Loan for a first-time veteran buyer. Mike handles Certificate of Eligibility questions and entitlement restoration when you use the benefit a second time.

USDA loans in rural Michigan

Step outside the Detroit, Grand Rapids, and Ann Arbor metro cores and a large share of the state qualifies for a zero-down USDA loan, including the northern Lower Peninsula, the entire Upper Peninsula, and rural farm country downstate. USDA caps household income near $122,800 for one to four people in standard Michigan counties as of 2026, and the boundary is parcel-specific. A home near Traverse City or in Marquette County can qualify while one a few miles into a metro edge does not. Confirm your address at USDA's eligibility tool before you count on it.

Jumbo loans in Michigan

A loan above the conforming limit is a jumbo. In Michigan the 2026 one-unit baseline is $832,750, and it is the same in all 83 counties because Michigan carries no high-cost designation. So a $900,000 purchase in Bloomfield Hills or Ann Arbor crosses into jumbo territory the same way it would in the Upper Peninsula. Jumbo underwriting wants stronger reserves and cleaner documentation. Mike runs full-doc, alt-doc, and self-employed jumbo paths.

Self-employed and bank-statement loans

Tax returns understate what many business owners really earn, because legal deductions shrink the net figure underwriters read. Bank-statement loans fix that by qualifying you on 12 or 24 months of deposits with an expense-factor adjustment. There are also 1099 loans for contractors and agents, and asset-qualifier loans that build income from liquid accounts. These are Non-QM programs, so they sit outside standard agency rules and price on their own terms. A shop owner in Royal Oak with strong deposits and a thin Schedule C is exactly who these were built for.

Investor and DSCR loans

DSCR loans qualify on the rental income a property produces, not your personal tax return. That keeps investors moving without stacking personal debt-to-income limits. Mike runs standard rental and short-term-rental DSCR options, cash-out refinances for pulling equity into the next deal, and portfolio structures for buyers scaling past a few doors. Detroit's rebuilding neighborhoods, Grand Rapids, and Lansing near the state government payroll all draw steady rental demand.

Bridge financing to buy before you sell

Move-up buyers in tight Michigan markets often need to buy the next house before the current one sells. A bridge structure lets you write a clean, non-contingent offer, which reads far stronger to a seller than one hinging on your sale closing first. Mike underwrites the bridge against your existing equity plus the new purchase, then coordinates the two closings so you are not carrying two mortgages any longer than you must. It is a common play in Oakland County, where good listings move quickly.

Michigan loan program FAQ

What down payment assistance does MSHDA offer in Michigan?

MSHDA offers the MI 10K DPA Loan, up to $10,000 toward down payment, closing costs, and prepaids. It is a 0% deferred second loan with no monthly payment, not a grant and not forgivable, so it is repaid when the first mortgage is paid off, the home sells, you refinance, or the home stops being your residence. It is available statewide in all Michigan counties and must ride on a MSHDA MI Home Loan. The old $7,500 figure tied to the retired MI First Home is out of date.

What is the 2026 conforming loan limit in Michigan?

The 2026 one-unit conforming limit is $832,750 in every Michigan county. Michigan is an all-baseline state with no high-cost county, so the same figure applies from Detroit to the Upper Peninsula. A loan above that limit is a jumbo, which carries stricter underwriting and larger reserve requirements. Confirm the current figure at the FHFA county limits file.

Can self-employed buyers qualify in Michigan without tax returns?

Yes. Bank-statement loans qualify you on 12 or 24 months of deposits with an expense-factor adjustment, not the net figure left after business deductions. There are also 1099 loans for contractors and asset-qualifier loans that build income from liquid accounts. These are Non-QM programs, so they sit outside standard agency rules and price on their own terms. Mike matches the method to how your income actually lands.

Do I have to be a first-time buyer to use a MSHDA program?

Not always. The MSHDA MI Home Loan is open to first-time buyers statewide and to repeat buyers purchasing in a MSHDA-designated targeted area. The mortgage credit certificate follows the same pattern, first-time statewide and repeat buyers in targeted areas. MSHDA sets a minimum credit score of 640 and income limits that vary by county and household size, so a repeat buyer in a targeted county can still qualify.

Which Michigan areas qualify for a zero-down USDA loan?

Much of Michigan outside the Detroit, Grand Rapids, and Ann Arbor metro cores, including the northern Lower Peninsula, the Upper Peninsula, and rural agricultural areas downstate. USDA asks for no down payment and caps household income near $122,800 for one to four people in standard Michigan counties as of 2026. Eligibility is parcel-specific, so confirm your exact address at USDA's eligibility tool before you count on it.