MI Home Loan Program
Offers 30-years fixed rate on conventional, FHA, VA, and USDA mortgages at adjustable rates. To apply, the first time home buyers require a credit score of minimum 640.
Accolades
Top 5 Michigan First Time Home Buyer Programs
With Priority 1 Lending, we help you select the best out of different 1st time home buying programs available to Michigan residents. From determining your eligibility to assisting with loan
Mortgage Credit CertificateEnables Michigan first-time home buyers and repeat buyers to claim a federal tax credit equal to 20% of their annual mortgage interest, capped at $2,000 a year. |
MI Home Loan Program Flex
Similar to the MI Home Loan Program with the only difference of Flex option. To apply, a minimum credit score of 660 is required with zero hindrance to other members' scores.
Local Homebuyer Assistance Programs
First-time home buyers get professional assistance for closing costs, down payments and more. However, its limited to certain areas only such as Detroit and Grand Rapids
Michigan Down Payment Program
Michigan home loan borrowers can get down payment help of $7,500 and upto $10,000 in certain areas. To apply, one must have Michigan Home Loan or Home Loan Flex
Benefits For First Time Home Buyers In Michigan
Priority 1 Lending helps you at every step of the first time home buying process in Michigan. More on that below:
Low Rates On Down Payments
First-time home buyers strugling to make a huge down payment can benefit from the programs and can make homeownership more affordable.
Lower Interest Rates
First-time home buyers can access competitive rates on mortgage loans and save money over the life of their loan.
Open To Lower Credit Score
Buyers with a history of poor credit score also stand a chance to apply for first time home buyer programs in Michigan.
Educational Course For Home Buyers
Educating home buyers about federal benefits and more. Access homebuyer education courses and make informed investment decisions.
Access Personalized Guidance
Walk through the entire process from pre-approval to closing and beyond. Get all the assistance you need to own a home for the first time, based on your income, debt, credit score, and purchase price.
Eligibility For First Home Buyer Programs In Michigan
- At least 3% downpayment for the MI Home Loan,
- Minimum credit score of 640 is required for an MI Home Loan; 660 for an MI Home Loan Flex.
- Must qualify for the requirements of the Michigan State Housing Development Authority (MSHDA)
- Must never own a principal residence.
- A homebuyer education course is important if linked with the down payment.
- Property requirements must not extend the $224,500 limit.
- Property space must not extend 2 acres for MI Home Loan only. Zero restrictions applied for MI Home Loan Flex.
- Must have less than $20,000 in cash assets.
Different Types of First Time Home Buyer Loans In Michigan
First-time home buyers can access several government-designed home loan options once they meet the eligibility requirements.
Priority 1 Lending's licensed and experienced mortgage experts guide you to shop for the best first-time home buyer loan option in Michigan. From studying your creditworthiness to comparing different loan products, we help you own a home with minimum hassles or frustration.
- Conventional 97– An option to borrow 97% of the home value with a 3% down payment. This is an affordable option that requires a credit score of a minimum of 620.
- FHA Loan– Insured by the Federal Housing Administration, an FHA loan gives you the option to borrow 96.5% of the home value with a 580 minimum credit score.
- VA Loan– Accessible only for U.S Military Members with a minimum credit score range of 580 to 660. No down payment is required, only a funding fee of 1.4% to 3.6% of the total value.
- USDA Loan– Comes with a zero-down payment option and requires a credit score of a minimum of 640 for a USDA Loan. The home must be in a qualified area to avail of eligibility for the first-buyer home program.
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Frequently Asked Questions
What qualifies as a first-time home buyer in Michigan?
A first-time home buyer in Michigan is someone who never had a single-family residence under his or her name in the last 3 years.
How much do first-time home buyers have to put down in Michigan?
Michigan first-time home buyers are required to pay at least 3% down for the MI Home Loan. The good news is MSHDA offers financial help with the down payment after you meet their basic lending criteria.
What should the minimum credit score do to buy a house in Michigan?
MI first-time home buyers need a credit score of at least 640 to qualify for home loans. The figure goes a notch higher at 660 if applying for multiple-section manufactured homes.
Does Michigan have a first time home buying credit?
Yes. Michigan allows first time homebuyers to claim a federal tax credit equal to 20% of their annual mortgage interest, up to $2,000 a year. However, it is applicable if you are eligible for the Mortgage Credit Certificate ( MCC) program.