LANSING, Mich. — State officials have launched a pilot program to help first-generation homebuyers afford their first homes.
The First-Generation Down Payment Assistance program offers $25,000 in down payment assistance to help pay for some of the expenses that come with homeownership, including closing costs, down payments and prepaid expenses, according to the Michigan State Housing Development Authority (MSHDA).
“Homeownership is an important pathway to economic vitality and mobility for our state and its residents, but too many first-time buyers face financial barriers that put it out of reach,” says MSHDA Executive Director Amy Hovey. “With rents soaring, this program offers families a foot in the door and much-needed stability by helping them secure a home with a fixed monthly cost. This financial boost will allow first-generation homebuyers to invest in their futures, strengthen their communities, and build generational wealth.”
Applicants need to meet the following conditions to qualify for assistance:
- No homes owned in the past three years.
- Income is below MSHDA limits.
- Have a credit score of at least 640.
- Desired property must not exceed $224,500 in sale price.
- Parents must not have owned homes in the past three years.
- The program must be utilized in tandem with MI Home Loan.
- Must finish a homebuyer education course approved by a qualified housing counseling agency.
- Must meet all other qualifications to participate in the program.
“Governor Whitmer and I are standing tall so more working families can find an affordable place to live in vibrant communities across Michigan,” says Lt. Gov. Garlin Gilchrist II. “Today’s announcement will help more families cover upfront homebuying costs, keeping money in their pocket, where it belongs. It builds on our historic investments to expand affordable housing across Michigan and MSHDA’s record success each of the last two years. Let’s keep working together to make housing more accessible.”
Visit the state of Michigan’s website for more information.
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