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First-Time Buyer loans in Michigan

Quick answer

First-time buyers in Michigan can use FHA (3.5% down), conventional 97 (3% down), VA or USDA loans, plus programs from Michigan State Housing Development Authority (MSHDA). On a $217,600 home, 3% down is about $6,528.

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

First-Time Buyer loan snapshot for Michigan

ItemEstimate
Minimum down payment0%–3.5%
Minimum credit score580–620
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 First-Time Buyer 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).

Compare first-time buyer loan options

LoanMin. downMin. creditMortgage insurance
FHA3.5%5801.75% upfront + annual MIP
Conventional 97 / HomeReady / Home Possible3%620PMI, removable
VA0%Lender-set (~580–620)None (funding fee)
USDA0%~6401% upfront + 0.35% annual

Who counts as a first-time home buyer?

Under HUD and most agency definitions, you're a first-time buyer if you haven't owned a principal residence in the last three years. Single parents and displaced homemakers who only owned with a former spouse may also qualify.

First-Time Buyer loans in Michigan cities

First-Time Buyer in DetroitFirst-Time Buyer in Grand RapidsFirst-Time Buyer in WarrenFirst-Time Buyer in Sterling HeightsFirst-Time Buyer in Ann ArborFirst-Time Buyer in LansingFirst-Time Buyer in DearbornFirst-Time Buyer in LivoniaFirst-Time Buyer in TroyFirst-Time Buyer in WestlandFirst-Time Buyer in Farmington HillsFirst-Time Buyer in FlintFirst-Time Buyer in WyomingFirst-Time Buyer in Rochester HillsFirst-Time Buyer in SouthfieldFirst-Time Buyer in KalamazooFirst-Time Buyer in NoviFirst-Time Buyer in TaylorFirst-Time Buyer in Dearborn HeightsFirst-Time Buyer in PontiacFirst-Time Buyer in St. Clair ShoresFirst-Time Buyer in Royal OakFirst-Time Buyer in KentwoodFirst-Time Buyer in Battle CreekFirst-Time Buyer in PortageFirst-Time Buyer in RosevilleFirst-Time Buyer in East LansingFirst-Time Buyer in SaginawFirst-Time Buyer in MidlandFirst-Time Buyer in Lincoln ParkFirst-Time Buyer in MuskegonFirst-Time Buyer in HollandFirst-Time Buyer in EastpointeFirst-Time Buyer in Bay CityFirst-Time Buyer in JacksonFirst-Time Buyer in SouthgateFirst-Time Buyer in BurtonFirst-Time Buyer in Oak ParkFirst-Time Buyer in Port HuronFirst-Time Buyer in Forest HillsFirst-Time Buyer in Madison HeightsFirst-Time Buyer in Allen ParkFirst-Time Buyer in HamtramckFirst-Time Buyer in Garden CityFirst-Time Buyer in AllendaleFirst-Time Buyer in InksterFirst-Time Buyer in OkemosFirst-Time Buyer in HoltFirst-Time Buyer in WalkerFirst-Time Buyer in Norton ShoresFirst-Time Buyer in RomulusFirst-Time Buyer in Auburn HillsFirst-Time Buyer in WyandotteFirst-Time Buyer in WaverlyFirst-Time Buyer in BirminghamFirst-Time Buyer in Mount PleasantFirst-Time Buyer in MarquetteFirst-Time Buyer in AdrianFirst-Time Buyer in MonroeFirst-Time Buyer in Ypsilanti

Frequently asked questions

Yes. First-Time Buyer 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.

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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.