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The summer homebuying season will soon be in full swing, and the Michigan State Housing Development Authority (MSHDA) wants to equip you with programs and best practices to help you make the most of your homebuying experience.
MSHDA offers several programs and services for both first-time and repeat home buyers. The MI 10K DPA program offers residents up to $10,000 in down payment assistance across 236 zip codes. MI 10K DPA is a zero percent non-amortizing loan, meaning no monthly payments are needed, though repayment is due when the property is sold or transferred. To qualify for an MI 10K DPA loan, borrowers must complete a homebuying education class and have less than $20,000 in liquid cash assets. Individuals who do not qualify for MI 10K DPA may still be eligible for $7,500 in down payment assistance through MSHDA. Both programs require a MSHDA Conventional, Rural Development, or FHA mortgage.
Understanding your options and learning homebuying tips and best practices can also help inform your future housing decisions. MSHDA’s Housing Education Program can cover all your bases. MSHDA has partnered with HUD-certified Housing Counselor’s across the state to offer information regarding pre-purchase housing counseling, predatory lending, loan scams, fraud protection, post-purchase housing counseling, financial management, and home maintenance, along with several other important resources to help you in your homebuying journey.
Here are four quick tips to keep in mind as you look for your home:
· We’re currently experiencing a seller’s market. When you find the perfect home, it’s essential to be prepared to move quickly. This means getting pre-approved for a mortgage before you fall in love with a specific property.
· Don’t overextend your budget. Begin your search with homes that cost less than what you’re approved for and make the best offer you can afford. Another note: sellers are unlikely to give many concessions in this market, so think carefully about what to ask for when making an offer.
· By expanding your housing search into areas you may not have previously considered, you can increase your chances of eventually getting your offer accepted. This option can work especially well for those who have the option to work remotely.
· Make a list of must-haves and nice-to-haves to better identify what you are looking for in a property and where you might be able to make certain concessions.
To get started on the homebuying process visit Michigan.gov/Homeownership.