Skip to content
Purchase Mortgage Loan
Get Pre-Approved

FHA loans in Michigan

Quick answer

FHA loans in Michigan require 3.5% down with a 580+ credit score; on a $217,600 home that's about $7,616. County FHA limits start at $541,287 for one-unit homes in lower-cost areas.

By Purchase Mortgage Loan Editorial Team Checked against official sources per our editorial standardsLast updated

FHA loan snapshot for Michigan

ItemEstimate
Minimum down payment3.5%
Minimum credit score580
Typical MI home value$217,600
3.5% down on typical home$7,616
20% down on typical home$43,520
Avg. effective property tax1.28%/yr (~$233/mo)
Income for typical home (31% rule)$71,000

Rate assumption: 7.18% (Freddie Mac PMMS 30-year fixed average, week of November 5, 2026). Change it in the payment calculator.

Which Michigan programs pair with FHA loans?

  • MI Home Loan: A 30-year fixed loan for first-time and repeat buyers in targeted areas, within income and price limits.
  • MI 10K DPA: Up to $10,000 of 0% deferred down payment assistance paired with the MI Home Loan.

Details and current limits: Michigan State Housing Development Authority (MSHDA).

Who is an FHA loan best for?

FHA is designed for buyers with modest savings or credit that's still being built. Because the government insures the lender against loss, lenders can approve borrowers they might otherwise decline.

  • Credit scores between 580 and 680.
  • Debt-to-income ratios up to about 50% with compensating factors.
  • Buyers using gift funds for the entire down payment.
  • Buyers who had a bankruptcy 2+ years ago or foreclosure 3+ years ago.

How much does FHA mortgage insurance cost?

The upfront premium (UFMIP) is 1.75% of the base loan amount and is usually rolled into the loan. The annual premium for most 30-year loans is 0.55% of the balance, paid monthly. With less than 10% down, annual MIP lasts for the life of the loan; with 10% or more, it ends after 11 years. Many owners later refinance into a conventional loan to drop MIP.

FHA loans in Michigan cities

FHA in DetroitFHA in Grand RapidsFHA in WarrenFHA in Sterling HeightsFHA in Ann ArborFHA in LansingFHA in DearbornFHA in LivoniaFHA in TroyFHA in WestlandFHA in Farmington HillsFHA in FlintFHA in WyomingFHA in Rochester HillsFHA in SouthfieldFHA in KalamazooFHA in NoviFHA in TaylorFHA in Dearborn HeightsFHA in PontiacFHA in St. Clair ShoresFHA in Royal OakFHA in KentwoodFHA in Battle CreekFHA in PortageFHA in RosevilleFHA in East LansingFHA in SaginawFHA in MidlandFHA in Lincoln ParkFHA in MuskegonFHA in HollandFHA in EastpointeFHA in Bay CityFHA in JacksonFHA in SouthgateFHA in BurtonFHA in Oak ParkFHA in Port HuronFHA in Forest HillsFHA in Madison HeightsFHA in Allen ParkFHA in HamtramckFHA in Garden CityFHA in AllendaleFHA in InksterFHA in OkemosFHA in HoltFHA in WalkerFHA in Norton ShoresFHA in RomulusFHA in Auburn HillsFHA in WyandotteFHA in WaverlyFHA in BirminghamFHA in Mount PleasantFHA in MarquetteFHA in AdrianFHA in MonroeFHA in Ypsilanti

Frequently asked questions

Yes. FHA loans are available statewide in Michigan through approved lenders, subject to county loan limits where they apply.

Often yes. Michigan State Housing Development Authority (MSHDA) and local programs frequently pair assistance with FHA, conventional, VA or USDA first mortgages. Eligibility depends on income, price and program rules.

Answer a few questions on Purchase Mortgage Loan and we'll match you with lenders and loan officers in our network who serve Michigan.

Get matched with FHA lenders in Michigan

Answer a few quick questions and get matched with purchase mortgage lenders in your area. Free, and it won't affect your credit score.

Get My Matches

Figures on this page are estimates for educational purposes only and are not a loan offer or commitment to lend. Rates, loan limits, fees and assistance programs change frequently and vary by lender, location and borrower profile. Confirm current terms with a licensed loan officer.