Last updated: October 29, 2026
Bottom line
Michigan has real help with a home down payment, but most programs are not grants made only for single mothers. The main statewide choice is the MI 10K DPA Loan. It may provide up to $10,000 for a down payment, closing costs, and prepaid costs when used with a Michigan State Housing Development Authority (MSHDA) MI Home Loan.
The MI 10K DPA is a zero-interest loan with no monthly payment. It is not free money. You repay it when certain events happen, such as selling or refinancing the home, paying off the first mortgage, or no longer living there as your main home.
Single mothers, single parents, pregnant mothers, caregivers, and other buyers may qualify under the same income, credit, property, lender, and education rules. There is no extra MSHDA benefit just for being a single mother. Start with a housing counselor and a participating lender before you shop for a home. For wider help, use the national housing guide and Michigan help page as you make your plan.
If you need housing help today
Down payment help will not fix an eviction, shutoff, unsafe home, or shelter need right away. Call 2-1-1 or use Michigan 211 housing help to ask about shelter, rent help, utility help, and the Housing Assessment and Resource Agency for your county.
Use the emergency rent help and Section 8 guide to learn about longer-term rental options. If you face a shutoff, ask 211 and your utility about current protections and help. Keeping your current home safe may be the first step before taking on a mortgage.
What changed since this article was last edited
MSHDA’s MI Home Loan lender list now carries a September 17, 2026 update. Check the current list before choosing a lender; a lender’s participation can change. The MI 10K program still says the aid is a deferred, zero-interest loan, not a grant.
Where to start
Begin with a housing counselor before you pay fees or sign a purchase agreement. A counselor can review your income, debt, credit reports, savings, and monthly budget. Call HUD at 800-569-4287 or use the HUD counselor search to find an approved agency.
Michigan also offers a MSHDA housing locator for education and counseling. Ask if the class or counseling has a fee, whether you need one-on-one counseling, how long the certificate is valid, and which steps must happen before you sign a purchase agreement. A homebuyer class is not the same as loan approval.
First: check readiness
Review debt, savings, credit, work income, benefits, child support records, and monthly family costs.
Next: check MSHDA
Ask a participating lender to test your file against current MI Home Loan and MI 10K DPA rules.
Then: check local funds
City and county programs may have separate lenders, classes, inspections, or funding limits.
Keep your records together as you make calls. The documents checklist can help you build one file for housing and benefit applications.
Quick program table
| Program path | What it may do | Where to apply | Reality check |
|---|---|---|---|
| MI 10K DPA | Up to $10,000 for down payment, closing costs, and prepaid costs | MSHDA participating lender | Deferred zero-interest loan, not a grant |
| MI Home Loan | State mortgage path for first-time buyers and some repeat buyers | Experienced MSHDA lender | Credit, income, price, property, and class rules apply |
| Local program | May help with down payment, closing costs, or a financing gap | City, county, or approved partner | Funds may pause or run out |
| MCC tax credit | May reduce federal income tax owed for eligible buyers | Approved MCC lender before purchase | Not cash for closing; tax results vary |
MSHDA statewide homebuyer help
MI Home Loan
The MI Home Loan program is available to first-time homebuyers across Michigan. MSHDA treats a buyer as first-time if the buyer has not owned a home during the past three years. Repeat buyers may qualify when the home is in a targeted area.
As of June 1, 2026, MSHDA lists a statewide sales price limit of $566,355 and a minimum credit score of 640. Income limits change by county, household size, and whether the address is in a targeted area. Check the 2026 MSHDA limits and let a participating lender confirm which line applies to the exact property.
You do not apply to MSHDA by sending a general benefits form. You work through a lender on the MSHDA lender list. The lender checks the mortgage, requests the assistance, and sends the file for program review.
MI 10K DPA Loan
The MI 10K DPA Loan may provide up to $10,000. The money can go toward the down payment, closing costs, and prepaid items such as taxes or insurance. You must use it with a qualifying MI Home Loan, and all buyers must complete approved homebuyer education.
No monthly payment is due on the DPA loan, but the balance does not vanish. It becomes due after listed events, including sale, refinance, payoff of the first mortgage, transfer of ownership, or when the home is no longer your main residence. Ask the lender to show you the second-mortgage note and repayment terms before closing.
Do not call every program a grant
A true grant usually does not have to be repaid when you follow the rules. A deferred loan is paid later. A forgivable loan may be reduced after you live in the home for a set time. A tax credit can lower taxes but does not place cash in your bank account. Read every note, lien, and deed rule.
First-Generation DPA pilot
The First-Generation DPA page says the pilot is closed because all funds were used. Applications are not being accepted, and there is no waitlist. Do not pay anyone who claims they can place you on a secret list.
Mortgage Credit Certificate
The Mortgage Credit Certificate is not down payment money. Qualified buyers may claim a federal tax credit equal to 20% of yearly mortgage interest paid, subject to tax rules. You must apply and receive approval through an approved MCC lender before buying the home.
MSHDA’s June 2026 limits lists the $566,355 limit for both MI Home Loan and MCC. The separate MCC webpage still shows the older $544,233 cap from 2025. The documents disagree. Ask your MCC lender which official 2026 limit MSHDA is applying before you make an offer. MCC tax rules and any restrictions on combining it with a mortgage program should also be confirmed with the lender and a qualified tax professional.
Even if you qualify for the $10,000 amount, the lender may approve less or require some cash from you. Get a written cash-to-close estimate and a copy of the DPA note. Ask whether the loan can be combined with local help and how the liens would be repaid.
City and county programs to check
Local help is tied to where you live or where you buy. Rules may cover income, first-time buyer status, lender choice, homebuyer education, inspections, lead paint, owner occupancy, and your own cash contribution. Confirm that funds are available before making an offer.
| Area | Current help | Who may qualify | Apply and check |
|---|---|---|---|
| Detroit | 2026 Phase III advertised up to $25,000 for eligible buyers; funding is limited | Eligible Detroit residents; first-time buyer, income, lender, education, property, and current Phase III rules apply | Use the Detroit DPA page; ask about current priorities and remaining funds |
| Grand Rapids | Up to $7,500 for down payment, closing costs, and prepaid costs | Buyers within 80% of area median income who meet asset, education, lender, property, and five-year occupancy rules | Start with a lender listed by the Grand Rapids fund; the lender submits the request |
| Lansing | City down payment assistance and homebuyer resources | Income-qualified buyers purchasing within city rules | Check the Lansing DPA page; ask the city or listed partner for the current amount and funding status |
| East Lansing | Homebuyer education and possible down payment or closing-cost help through a partner | Low- to moderate-income buyers who meet current city and partner rules | Use the East Lansing programs; Capital Area Housing Partnership handles current services |
| Kalamazoo County | Up to $5,000 from the county plus up to $2,000 for closing costs from Independent Bank | Buyers at or below 120% of county area median income who buy a main home, take counseling, use Independent Bank, and contribute at least $1,000 | Follow the Kalamazoo County program; confirm the current income table before applying |
| Oakland County | $5,000 grant for down payment or closing costs | Eligible first-time buyers at or below 120% of area median income who use Independent Bank, take counseling, and contribute at least $1,000 | Start at the Oakland County program; funds are first-come and subject to availability |
| Washtenaw County | Buyer education, counseling, credit help, and links to affordable for-sale homes; ask about any separate aid | Current, future, or former county residents can use some counseling services; home purchases have separate rules | The Washtenaw buyer page does not itself promise down payment funds; ask which local programs are taking buyers. |
If your area is not listed, call your city housing office, county community development office, or a local nonprofit. The community action guide and local 211 guide can help you find nearby offices.
Detroit Phase III update: Detroit opened a third round in March 2026. Its April 17 housing-ratio notice says the maximum housing ratio for borrowers using Detroit DPA is 35%. A May 22 notice says the program’s current online rules control. Ask a participating lender to check the latest terms, current funding, and any new bulletin before applying; earlier news about an open round is not proof money remains.
Local funding check: Lansing’s city page does not display a current award amount in its public text. East Lansing works with Capital Area Housing Partnership on classes and possible aid. Grand Rapids also limits buyer assets and requires the home to meet inspection standards. For Kalamazoo, the county’s online income table still carries an April 2025 effective date; ask Independent Bank for the current 2026 test. Do not spend on an appraisal, class, or inspection solely because a program appears in this list.
Mortgage options that may lower upfront cash
Down payment assistance is only one part of the deal. The loan type changes your down payment, mortgage insurance, property rules, monthly payment, and closing costs.
| Loan type | Possible benefit | Main check | Reality check |
|---|---|---|---|
| FHA | Down payment may be as low as 3.5% | Ask an FHA-approved lender and review HUD loan basics | Mortgage insurance and property standards apply |
| USDA Guaranteed | May offer 100% financing in an eligible rural area | Check income, address, and lender rules on the USDA loan page | No down payment does not mean no closing costs |
| VA | Eligible borrowers often need no down payment | Review VA home loans and request a Certificate of Eligibility | Lender approval, appraisal, and possible funding fee still matter |
| Conventional | May offer low-down-payment choices | Compare at least two lenders | Private mortgage insurance may apply |
Eligible veterans, service members, and some surviving spouses can also use the veteran benefits guide. Ask a MSHDA lender whether your preferred loan type can be paired with the current state program before writing an offer.
With a VA loan, the VA does not normally require a down payment, though a lender may; a VA funding fee can apply unless the borrower is exempt. Some local grants and MSHDA loans do not pair with every loan type, so ask about the exact combination, not just the name of the loan.
Documents and information to gather
A lender or local program may ask for more records. Gather these items early, but do not email private documents to an address you have not confirmed.
| Item | Why it is needed | Helpful step |
|---|---|---|
| Photo ID and Social Security numbers | Identity and credit checks | Keep copies for each borrower |
| Pay stubs and work records | Current earnings and job history | Ask how many weeks or months are needed |
| Benefit and child support records | Income review when the lender can count it | Ask what proof and payment history are required |
| Bank statements | Savings, deposits, assets, and cash to close | Explain large deposits before underwriting |
| Tax forms | Income history and self-employment review | Self-employed buyers may need more records |
| Debt statements | Monthly debt and payoff amounts | Do not open new credit without asking the lender |
| Education certificate | Required by MSHDA DPA and many local programs | Take the approved class early |
| Purchase agreement | Property, price, and closing date review | Ask when funds must be reserved |
Ask the lender whether income from work, benefits, or child support is allowed under its loan rules. A court order alone may not be enough to prove child support is steady. If a safety concern makes sharing an address or record risky, ask the counselor or lender how it handles confidential information.
Check the full cost before buying
A $10,000 assistance loan may lower the cash due at closing, but it does not make a costly home affordable. Add the mortgage, property taxes, homeowners insurance, mortgage insurance, utilities, child care, transportation, food, repairs, and emergency savings.
Ask each lender for a Loan Estimate. The CFPB Loan Estimate guide explains the interest rate, monthly payment, cash to close, and loan costs. Compare the same loan amount and loan type from more than one lender.
- Ask whether the interest rate is locked.
- Ask what costs can change before closing.
- Ask whether seller credits are allowed.
- Ask how much money you will have left after closing.
- Budget for repairs that are not covered by insurance.
If food, child care, transportation, or other bills are using most of your income, check SNAP food help, child care help, and transportation help before choosing a monthly payment.
When you review your full yearly budget, check the Michigan tax credits guide for possible tax relief. A refund may help your savings plan, but it is not guaranteed and cannot be counted as closing money until your lender says it can.
Common mistakes to avoid
- Shopping before preapproval. The price, address, or condition may not fit the program.
- Counting closed funds. The First-Generation pilot has ended and has no waitlist.
- Moving money without asking. Large deposits and account transfers may need proof.
- Opening new credit. A car loan or credit card can change your approval before closing.
- Skipping an inspection. Program checks are not a full home inspection for your protection.
- Ignoring repayment terms. Deferred help may become due when you sell or refinance.
If you are denied, delayed, or not ready
Ask the lender or program for the reason in writing and whether there is a deadline to send missing documents or request a review. The issue may be credit, debt, income, assets, cash to close, a home’s price or condition, a required class, or exhausted local funding. Take the written reason to a HUD-approved counselor and ask for a step-by-step plan.
Do not send many new applications without knowing what caused the first denial. Another lender may have a different product, but the same debt or document problem may remain. The denied or delayed guide can help you keep notes, ask for written decisions, and plan follow-up calls.
A safe backup plan
It may be better to rent longer, lower debt, build savings, correct credit report errors, or choose a lower home price. Use Michigan housing help and the Michigan assistance guide to check other support while you prepare.
If your credit application was denied, ask the lender for the adverse-action notice and any credit-score or report details you are entitled to receive. If you think your credit report is wrong, check the CFPB error-dispute guide for how to review and dispute errors. An appeal to a local grant fund is not the same as disputing a credit decision; ask each program about its own review process.
If you face housing discrimination
A lender, seller, real estate worker, or housing provider cannot lawfully treat you differently because of a protected trait. Being a single mother is not a separate guaranteed grant category. Michigan and federal fair housing protections include race, color, religion, sex, familial status, national origin, disability, and other state-protected traits such as age and marital status. If someone refuses to work with you because you have children, ask for help.
If you believe discrimination affected your home search or financing, contact the Michigan fair housing office at 800-482-3604. Keep copies of ads, emails, messages, loan papers, dates, and names. This guide gives general information and is not legal advice.
Michigan’s civil rights agency describes a state complaint process with a general 180-day deadline for certain claims. Do not assume every discrimination case has the same legal time limit. Ask MDCR or a fair housing lawyer which filing route and deadline apply to you.
Phone scripts
Call a housing counselor
“Hi, I want to buy a home in Michigan. Can you review my budget, credit, debt, savings, and down payment options before I apply with a lender?”
Call a MSHDA lender
“Hi, do you offer the MI Home Loan and MI 10K DPA? Please check the current income, credit, sales price, education, and property rules for my household and the area where I want to buy.”
Call a local program
“Hi, is your down payment program accepting buyers now? What amount is available, what lender and class do I need, and when must funds be reserved?”
Ask about a denial
“Please give me the main reason for the denial in writing. What exact change or missing document would be needed before you could review my file again?”
Resumen en español
Michigan ofrece ayuda real para el pago inicial, pero el programa MI 10K DPA no es dinero gratis. Es un préstamo sin interés y sin pago mensual que debe pagarse cuando vende, refinancia, paga la primera hipoteca o deja de vivir en la casa.
Primero hable con un consejero de vivienda aprobado por HUD y con un prestamista de MSHDA. Pregunte por los límites de ingresos, crédito, precio de la casa, clases, documentos y fondos disponibles. Si necesita vivienda urgente, llame al 2-1-1 antes de comenzar el proceso de compra.
Frequently asked questions
Are there Michigan homebuyer grants only for single mothers?
No. Most programs are open to eligible buyers based on income, credit, first-time buyer status, location, property rules, lender approval, and available funds.
Is the MI 10K DPA free money?
No. It is a zero-interest loan with no monthly payment. It must be repaid after certain events, such as sale, refinance, first-mortgage payoff, or moving out.
What are the main MI Home Loan limits in 2026?
MSHDA lists a 640 minimum credit score and a $566,355 statewide sales price limit from June 1, 2026. Income limits depend on the address and household size. The MCC webpage still carries an older price figure; ask an MCC lender to confirm the June 2026 sheet.
Can I use child support as mortgage income?
A lender may count stable, documented child support when its rules are met. Ask what court order, payment history, and expected continuation period are required.
Can local help be combined with MSHDA assistance?
Sometimes. Each program and lender decides what can be combined. Ask both programs before making an offer because total assistance and lien rules may apply.
What should I do if I am behind on rent?
Focus on the current housing crisis first. Call 2-1-1, ask about rent or shelter help, and talk with a housing counselor before taking on a mortgage.
Do I need to pay the MI 10K loan back?
Yes, but it has no monthly payment. Repayment is due after listed events, such as sale, refinance, first-mortgage payoff, or no longer living in the home. Read the note with your lender before closing.
What if a city or county program has no funds left?
Ask when funding may reopen, whether a waitlist exists, and which approved lenders or HUD counselors can review another option. Do not pay anyone who promises a reserved grant.
About this guide
This guide uses official federal, state, local, and other high-trust nonprofit and community sources mentioned in the article.
A Single Mother is independent and is not a government agency, benefits office, lender, law firm, medical provider, or tax advisor.
Program rules, funding, local availability, and eligibility can change. Always confirm details with the official program before you apply or make decisions.
Verification: Last verified October 29, 2026; next review January 27, 2027.
Corrections: If you see something wrong or outdated, email suggestions@asinglemother.org.
Disclaimer: This article is for general information only. It is not legal, financial, medical, tax, immigration, disability, safety, or government-agency advice.
Last updated: October 29, 2026 Next review: January 27, 2027