Michigan State Housing Development Authority
What Are The Loan Benefits?
Loan terms up to 20-years keeps monthly payments affordable
No appraisal required
No lien placed on loans under $7,500.
Who Can Apply?
Homeowners with equity in their home, annual household income up to $105,700 with a credit score of at least 620. The home must be the borrower's primary residence, either single-family or manufactured home, located in Michigan. Cumulative Loan to Value is 105%.
How Much Can I Borrow?
Loan amounts vary depending on the property type up to $25,000.
What are the Interest Rates?
Interest rates for homeowners vary based upon the gross household income:
Gross Household Income $19,999 or less - 4% - APR 4.5653%
Gross Household Income $20,000 to $39,999 - 6% - APR 6.6123%
Gross Household Income $40,000 to $105,700 - 8% - APR 8.6610%
The annual percentage rate (APR) quoted above represents a typical $10,000 FHA-insured fixed rate loan with a 20-year term. This APR is based on a 2% origination fee, $200 application fee and $100 inspection fee. Please note that the APR may vary depending upon the Mortgage Loan Fees the participating lender charges the borrower.
What Improvements Are Eligible?
Improvements must substantially protect or improve the basic livability of a single-family or manufactured home. Major systems repairs, replacement and energy efficiency updates include:
Roofing, insulation, siding, windows and doors
Heating, air conditioning, plumbing and electrical
Kitchen and bathroom remodeling
Attic and basement finishing, garage, carport and decks
Septic and sewer replacements
How Do I Get Started?
State-licensed contractor's detailed cost estimate
Proof of Social Security number
Income verification (30-day current pay stubs, SS or pension benefit's statement.)
If self-employed, copies of two year's prior Federal tax returns
Copy of Mortgage Statement
Proof of State Equalized Value (SEV) or recent Appraisal
Proof of ownership (owners Title Insurance policy or copy of the recorded Warranty Deed)
Proof of property taxes paid up to date, if taxes are not escrowed into mortgage.