# Michigan Down Payment Assistance: 2026 Homebuyer Guide By Shelly Starr (@shellystarr) · Published 2026-10-01 Canonical: https://voce.com/@shellystarr/michigan-down-payment-assistance-2026-homebuyer-o1atsh --- #### Key Takeaways - MSHDA's MI 10K DPA offers up to $10,000 in interest-free, no-monthly-payment down payment assistance to eligible Michigan buyers. - It's a deferred loan, not a grant — repaid when you sell, refinance, pay off the first mortgage, or stop living in the home. - The 2026 statewide sales price limit is $566,355, with a 640 minimum credit score and income caps that vary by county and household size. - The program must be paired with MSHDA's MI Home Loan and applied for through an MSHDA-approved lender. - Some cities like Detroit and Grand Rapids run their own local assistance programs that can stack alongside MSHDA help. ## What is the MI 10K DPA? The MI 10K DPA is a program from the **Michigan State Housing Development Authority (MSHDA)**, the state's housing finance agency. Here's how it works in plain terms: - **It's up to $10,000.** That money can go toward your down payment, closing costs, and prepaid expenses like the first round of taxes and insurance. - **It's a loan, not a grant.** This is the part I always make sure people hear. It's interest-free and you make no monthly payments on it, but it does get repaid. - **Repayment is deferred.** It comes due when the first mortgage is paid off, when you sell or refinance, or when the home is no longer your primary residence ([Top Agent Realty](https://topagentrealtymi.com/down-payment-assistance-metro-detroit)). - **It's available statewide.** It used to be limited to certain areas; it isn't anymore. - **It's paired with a specific first mortgage.** You use it alongside MSHDA's MI Home Loan, and you apply through an MSHDA-approved lender. ![MSHDA Michigan house keys closing documents](https://convex.voce.com/api/storage/f87ce742-aafd-4e07-b305-22f684745642) That last point matters. You don't apply to MSHDA directly. You work with a participating lender, and they walk you through both pieces together — the first mortgage and the assistance in a single application ([Top Agent Realty](https://topagentrealtymi.com/down-payment-assistance-metro-detroit)). ## Who is it for? The MI Home Loan is available to **first-time buyers statewide**. MSHDA defines a first-time buyer as someone who hasn't owned a home in the previous three years, so if you owned a home a while back, you may still count ([Top Agent Realty](https://topagentrealtymi.com/down-payment-assistance-metro-detroit)). Repeat buyers can also use the program if they're buying in one of MSHDA's designated targeted areas. Beyond that, a few things have to line up for a loan reserved after June 1, 2026: - **Income limits.** Household income must fall within MSHDA's limits, which vary by county, household size, and whether the community is a targeted area. - **Sales price limit.** The home's price must fall under MSHDA's statewide limit of **$566,355** for 2026. - **Credit score.** MSHDA's minimum is **640** for most loan types. - **Homebuyer education.** Every buyer on the loan completes a housing education course and gets a certificate. - **Primary residence.** This is for the home you'll actually live in. Those numbers change from time to time, usually around midyear. I'll always check the current figures with you rather than guess. ## What are the 2026 income and price limits? Eligibility comes down to three numbers: your household income, your county, and the home's price. The income caps vary by county and household size, and targeted communities get higher limits — plus repeat buyers qualify there. Here's the picture for Metro Detroit's three biggest counties, effective June 1, 2026 ([Top Agent Realty](https://topagentrealtymi.com/down-payment-assistance-metro-detroit)): County Area Income limit, 1–2 persons Income limit, 3+ persons Sales price limit Oakland Most communities $104,800 $120,520 $566,355 Oakland Targeted: Pontiac, Southfield, Royal Oak Twp. $125,760 $146,720 $566,355 Macomb Most communities $104,800 $120,520 $566,355 Macomb Targeted: Mt. Clemens, Harrison Twp. $125,760 $146,720 $566,355 Wayne Most communities $104,800 $120,520 $566,355 Wayne Targeted: Highland Park, Inkster, Lincoln Park, River Rouge, Taylor, Wayne $125,760 $146,720 $566,355 Two details worth flagging. First, in targeted communities the income limits run about 20% higher, and first-time buyer status isn't required. Second, the same **$566,355** price cap applies everywhere, so the program isn't just for entry-level homes — it covers the majority of Metro Detroit listings ([Top Agent Realty](https://topagentrealtymi.com/down-payment-assistance-metro-detroit)). The exact limits differ in every county, which is exactly why checking your own county's figures matters before you build a plan. ## Are there local down payment programs as well? Yes — and for many buyers, local assistance is what closes the gap MSHDA's $10,000 doesn't reach. Because funding is finite and first-come, first-served, these programs open and close, which is why asking about them early matters. **Detroit** runs its own Down Payment Assistance program that has reopened for a third round, providing up to **$25,000** for eligible residents buying a home — funded in part by HUD's Community Development Block Grant and Disaster Recovery dollars (Detroit Free Press). Applications are reviewed first-come, first-served. **Grand Rapids** offers the Homebuyer Assistance Fund, providing up to **$7,500** toward a down payment, closing costs, and prepaid expenses for low- and moderate-income buyers (The Mortgage Reports). **Oakland County** runs a $5,000 grant for first-time buyers purchasing in the county, administered through the county treasurer's office and Independent Bank ([Top Agent Realty](https://topagentrealtymi.com/down-payment-assistance-metro-detroit)). One caution about the ecosystem: MSHDA's First Generation DPA, a pilot that once offered up to **$25,000** to buyers whose parents never owned a home, is now **closed** — all funds exhausted and no waitlist ([Top Agent Realty](https://topagentrealtymi.com/down-payment-assistance-metro-detroit)). The MI 10K DPA remains the active statewide option. This is exactly why the details matter: the program that was on a flyer last year may not be taking applications this year, and the one nobody mentions might be.