Is a MSHDA Loan right for you?

Michigan State Housing Authority or MSHDA offers down payment assistance for first time home buyers statewide and repeat home owners in targeted area’s.  A MSHDA Loan offers up $10,000.00 in down payment assistance in 236 zip codes. MSHDA’s program is designed to allow more people to buy homes and provide assistance in the housing market.

How do you Qualify for a MSHDA Loan?

• Applicants must fall within the income requirements for their location.
• All borrowers must have at least a 640 credit score.
• Borrowers must occupy the property as their primary residents.
• A Home buyer education course needs to be completed with a certificate
• Borrowers maximum debt to income ratio can not exceed 45%.

MSHDA Loan requirements.

• Maximum Sales price for single family homes is $224,500.
• Homes can be new or existing construction.
• Minimum Credit score for single family homes is 640.
• Minimum Credit score for Manufactured housing is 660.
• Household income limits do Apply most area’s $101,030.
• Gifts from relatives are allowable.
• 1% minimum investment from borrower is required.
• Borrower is required to pay upfront cost of appraisal and home owners insurance.
• No borrower reserves are required.
• Current rent or housing payment history is not required.

MSHDA Loan Features.

• Down Payment assistance of $7500.00 Statewide
• Down Payment Assistance of $10,000.00 in 236 zip codes.
• Competitive interest rates and terms.
• FHA, VA or conventional loans will Apply.

Helpfull links:

Participating Zip Codes , Housing Education , Household Income Limits 

All Borrowers applying for a MSHDA Loan must complete a homebuyer education course and receive a certificate of completion from the class provider. Lenders must submit this certificate to MSHDA with the loan package. The certificate of completion is valid for 12 month’s. There may be a few to attend a homebuyer course.

MSHDA will accept the following approved home buyer education classes:

• Freddie Mac CreditSmart
• Fannie Mae Homeview
• eHome America
• Framework