Down Payment Assistance, MSHDA

The Michigan State Housing Development Authority has significantly expanded its down-payment assistance program that, when combined with the new federal tax credit, would provide more than $15,000 in help for first-time home buyers.

"MSHDA has raised its limits on the household income for buyers eligible for the $7,500 loan from $55,000 to nearly $95,000," said Mary Townley, MSHDA's director of home ownership. "We felt we just needed to provide more tools for home buyers."

PROGRAM HIGHLIGHTS

  • Zero-interest, non-amortizing loan with no monthly payments.
  • Maximum assistance is $7,500.
  • Available with MSHDA's FHA, Rural Development or 97 percent Conventional first mortgage.
  • Funds may be used for down payment, closing costs, prepaid/escrow expenses and a home inspection performed by a licensed home inspector.
  • The loan is due upon sale or transfer of the property or if the first mortgage is refinanced or paid in full.

BORROWER HIGHLIGHTS

  • Available to low-to-moderate income home buyers. Household income limits vary depending on location and family size.
  • Sales price limit is $224,500.
  • Borrower must complete a home buyer education class.
  • Minimum borrower contribution of one percent of the sales price.

This information was gathered from MSHDA's official website which can be found HERE.

As you can see there are tremendous opportunities out there for first time home buyers within Leelanau and Grand Traverse Counties to go along with historically low interest rates.

-Jonathan Oltersdorf