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Michigan State Housing Development Authority (MSHDA) Down Payment Assistance

The Michigan State Housing Development Authority (MSHDA) offers a Down Payment Assistance (DPA) program in conjunction with a MSHDA first mortgage, to help homebuyers overcome down payment obstacles and obtain the dream of homeownership.

Down Payment is available to qualified borrowers who meet the eligibility which includes but is not limited to, income, credit and property type requirements.

Single Family DPA

  • Up to $7,500 in down payment assistance; can be used for borrower paid closing cost, pre-paid expenses and down payment.
  • The DPA second mortgage terms include 0% interest and no payments until the home is sold, refinanced, transferred or the MSHDA first mortgage is paid in full.
  • Borrower's minimum investment is 1% of the purchase price.
  • DPA loan is available with a MSHDA first mortgage*

*Down Payment is available as a second mortgage combined with either the MSHDA MI First Home or MI Next Home first mortgage program with a loan type of FHA or USDA Rural Development Guaranteed Mortgage.