• Financing help for Michigan real estate.home sweet home image by David Dorner from Fotolia.com
  
  The Michigan State Housing Development Authority (MSHDA) offers a number of assistance programs for those looking to buy homes and those who already have homes but are struggling to keep them. Homeowners in the State of Michigan are encouraged to research and review these resources before making a commitment to a home or before walking away from their home in the foreclosure process. As with all home ownership assistance programs in each of the states, most of Michigan's programs are developed at the federal level. It is up to each state to decide if and how to implement the programs, and in the case of Michigan the state makes an effort to provide as many of these programs as possible for homeowners.
  
  

Mortgage Credit Certificate

• The Mortgage Credit Certificate program developed as a result of Congress's Tax Reform Act in 1984. The program provides a one-time tax credit--sometimes as high as 20% of their mortgage interest for the year--to be returned to new home buyers. In Michigan, the program is available through participating lenders and requires that home buyers qualify under certain conditions: they must have a combined income of less than $75,000 (for 3 or more persons who are purchasing the home) and a home purchase price of less than $225,000.
  
  

Neighborhood Stabilization

• The federal Neighborhood Stabilization program was developed through the Housing and Economic Recovery Act of 2008. Funds are provided through the Department of Housing and Urban Development (HUD). The program requires that home buyers purchase a property that costs less than $225,000 and that the property be either abandoned or foreclosed and in a neighborhood that is considered an "area of greatest need." In Michigan, the state has provided $10,000,000 for home buyers who qualify for this program. The home buyers are eligible to receive down payment assistance (with a maximum down payment of $10,000) and funding toward the cost of repairs on the property (with a maximum of $25,000).
  
  

Down Payment Assistance

• The Michigan State Housing and Development authority has created a Down Payment Assistance Program that assists low-income families in acquiring the funds that they need to purchase a home. The program is available through specified lenders and allows the buyer (a maximum of $7,500 per home buyer) to utilize the funding not merely toward the down payment but also toward closing costs, escrow, and home inspection fees.
  
  

Save the Dream

• The Michigan State Housing and Development Authority has also created the Save the Dream program that assists families who are struggling to stay in their homes. The program provides homeowners with free counseling through the housing counselors that are located around the state, refinancing programs to assist in acquiring a lower interest rate, and second mortgage programs for those who already have a mortgage through the MSHDA's Rural Development or FHA programs. The department offers homeowners a toll-free hotline to get in contact with housing counselors and begin discussing their options as soon as possible.