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Michigan Mortgage Rates

Find the best Michigan mortgage rates and Detroit home loan options. Compare current MI mortgage rates, explore local lenders, and calculate your payments with our Michigan-specific tools.

Current Michigan Mortgage Rates
7.155%
30-Year Fixed
6.385%
15-Year Fixed
6.895%
FHA 30-Year
$195K
Median Price

Michigan Mortgage Calculator

Calculate your monthly mortgage payment using current Michigan rates and local market data. Factor in Michigan property taxes and insurance costs for accurate estimates.

Michigan Mortgage Calculator

Calculate payments with MI rates and taxes

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Current Michigan Mortgage Rates by Loan Type

30-Year Fixed Conventional

stable
7.155%
Average Rate
APR Range:
7.25-7.45%
Points:
0-1.5
Min Down:
3-5%
Min Credit:
620
MI Lenders:
55+

15-Year Fixed Conventional

down
6.385%
Average Rate
APR Range:
6.45-6.65%
Points:
0-1.0
Min Down:
10-20%
Min Credit:
640
MI Lenders:
42+

FHA 30-Year Fixed

stable
6.895%
Average Rate
APR Range:
7.12-7.32%
Points:
0-1.0
Min Down:
3.5%
Min Credit:
580
MI Lenders:
65+

VA 30-Year Fixed

down
6.635%
Average Rate
APR Range:
6.72-6.92%
Points:
0-1.0
Min Down:
0%
Min Credit:
580
MI Lenders:
38+

USDA Rural Development

stable
6.785%
Average Rate
APR Range:
6.86-7.06%
Points:
0-0.5
Min Down:
0%
Min Credit:
640
MI Lenders:
25+

5/1 ARM

up
6.245%
Average Rate
APR Range:
7.32-8.12%
Points:
0-1.0
Min Down:
5-10%
Min Credit:
660
MI Lenders:
32+

Michigan Housing Market Overview

Statewide Market Stats

$195,000
Median Home Price
+2.5% YoY
4.5
Months of Supply
Balanced Market
45
Avg Days on Market
Moderate Sales Pace
155
Affordability Index
Very Affordable

Detroit

Wayne County

Hot Market
Median Price:$165,000
Price Change:+4.8%
Median Income:$48,000
Affordability Score:172
Inventory (months):4.2

Grand Rapids

Kent County

Hot Market
Median Price:$225,000
Price Change:+3.5%
Median Income:$55,000
Affordability Score:148
Inventory (months):3.8

Warren

Macomb County

Balanced Market
Median Price:$185,000
Price Change:+2.2%
Median Income:$52,000
Affordability Score:162
Inventory (months):4.8

Sterling Heights

Macomb County

Balanced Market
Median Price:$215,000
Price Change:+1.8%
Median Income:$58,000
Affordability Score:155
Inventory (months):4.5

Ann Arbor

Washtenaw County

Very Hot Market
Median Price:$385,000
Price Change:+5.2%
Median Income:$75,000
Affordability Score:118
Inventory (months):2.8

Lansing

Ingham County

Buyer's Market
Median Price:$145,000
Price Change:+1.5%
Median Income:$45,000
Affordability Score:185
Inventory (months):5.5

Top Mortgage Lenders in Michigan

Flagstar Bank

4/5.0 Rating19.2% Market Share
7.135%
Avg Rate
MI Offices:
95
Online:
Strong Digital
Processing:
28-34 days
Closing Costs:
$2,700-3,700

Special Programs:

  • Michigan first-time buyer programs
  • Construction loans
  • VA loans

Strengths:

  • Strong Michigan presence
  • Local expertise
  • Competitive rates

Considerations:

  • Limited national presence
  • Complex underwriting process

Quicken Loans/Rocket Mortgage

4.2/5.0 Rating16.8% Market Share
7.125%
Avg Rate
MI Offices:
1
Online:
Full Digital
Processing:
25-31 days
Closing Costs:
$3,100-4,300

Special Programs:

  • VA Loans
  • FHA Loans
  • Conventional
  • Jumbo loans

Strengths:

  • Detroit-based company
  • Fast digital process
  • Excellent customer service

Considerations:

  • Higher closing costs
  • Limited face-to-face service

Chemical Bank (TCF)

3.9/5.0 Rating12.5% Market Share
7.165%
Avg Rate
MI Offices:
85
Online:
Hybrid Model
Processing:
30-36 days
Closing Costs:
$2,900-3,900

Special Programs:

  • First-time buyer assistance
  • Community development loans
  • Agricultural loans

Strengths:

  • Regional expertise
  • Personal service
  • Community focus

Considerations:

  • Limited product variety
  • Slower technology adoption

Fifth Third Bank

4/5.0 Rating11.8% Market Share
7.145%
Avg Rate
MI Offices:
65
Online:
Strong Digital
Processing:
32-38 days
Closing Costs:
$3,000-4,000

Special Programs:

  • Down payment assistance
  • Investment property loans
  • Construction-to-permanent

Strengths:

  • Multi-state presence
  • Variety of programs
  • Good technology

Considerations:

  • Higher fees
  • Complex approval process

Michigan Community Banks

4.3/5.0 Rating9.8% Market Share
7.185%
Avg Rate
MI Offices:
125
Online:
Limited Digital
Processing:
22-28 days
Closing Costs:
$2,200-3,200

Special Programs:

  • Local first-time buyer programs
  • Agricultural loans
  • Small business owner programs

Strengths:

  • Personal service
  • Local market knowledge
  • Flexible underwriting

Considerations:

  • Limited product options
  • Basic technology platform

Michigan Homebuyer Programs & Incentives

Michigan State Housing Development Authority (MSHDA)

Michigan State Housing Development Authority

Currently available
Max Loan:
$417,000 max (conforming)
Down Payment:
3% minimum
Income Limit:
Varies by county ($65,000-$110,000)
Credit Score:
640 minimum

Program Benefits

  • Below-market interest rates
  • Down payment assistance up to $7,500
  • MI Home Loan Program
  • MSHDA Flex Program for higher incomes

Application Process:

Through participating MSHDA approved lenders

Eligibility Requirements

  • First-time homebuyer (or not owned home in past 3 years)
  • Primary residence in Michigan
  • Complete homebuyer education course
  • Meet income and purchase price limits by county

MI Home Loan Flex

MSHDA

Popular program with good availability
Max Loan:
County limits ($245,000-$417,000)
Down Payment:
3% minimum
Income Limit:
Up to $92,000 (higher in some areas)
Credit Score:
640 minimum

Program Benefits

  • Higher income limits than standard program
  • Down payment assistance available
  • Competitive interest rates
  • Can be used statewide

Application Process:

Through MSHDA participating lenders only

Eligibility Requirements

  • Broader income qualification
  • First-time homebuyer or targeted areas
  • Property must be in Michigan
  • Homebuyer education required

USDA Rural Development - Michigan

USDA Rural Development Michigan

Year-round availability
Max Loan:
No maximum loan amount
Down Payment:
0% down payment
Income Limit:
115% of median area income
Credit Score:
640 preferred

Program Benefits

  • No down payment required
  • No monthly mortgage insurance
  • Below-market interest rates
  • Available in many Michigan rural areas

Application Process:

Through USDA approved lenders in Michigan

Eligibility Requirements

  • Property in USDA eligible area
  • Income below area limits
  • Primary residence only
  • U.S. citizenship or permanent residency

Michigan Counties Mortgage & Economic Data

Wayne County (Detroit)

Median Income:
$48,200
Home Price:
$165,000
Mortgage Rate:
7.155%
Property Tax:
3.18%
Avg Down Payment:
8.5%
Population Growth:
+0.8%

Major Employers:

General MotorsFord Motor CompanyDetroit Medical Center

Kent County (Grand Rapids)

Median Income:
$55,800
Home Price:
$225,000
Mortgage Rate:
7.145%
Property Tax:
1.68%
Avg Down Payment:
10.2%
Population Growth:
+3.2%

Major Employers:

Spectrum HealthSteelcaseMeijer

Oakland County

Median Income:
$78,500
Home Price:
$325,000
Mortgage Rate:
7.135%
Property Tax:
2.15%
Avg Down Payment:
15.5%
Population Growth:
+1.8%

Major Employers:

General MotorsBeaumont HealthChrysler

Macomb County

Median Income:
$52,800
Home Price:
$195,000
Mortgage Rate:
7.165%
Property Tax:
2.45%
Avg Down Payment:
9.5%
Population Growth:
+1.2%

Major Employers:

General DynamicsHenry Ford HealthStellantis

Washtenaw County (Ann Arbor)

Median Income:
$75,200
Home Price:
$385,000
Mortgage Rate:
7.125%
Property Tax:
1.95%
Avg Down Payment:
18.2%
Population Growth:
+2.5%

Major Employers:

University of MichiganMichigan MedicineToyota Research

Ingham County (Lansing)

Median Income:
$45,800
Home Price:
$145,000
Mortgage Rate:
7.175%
Property Tax:
2.05%
Avg Down Payment:
7.8%
Population Growth:
+0.5%

Major Employers:

State of MichiganMichigan State UniversitySparrow Health

Michigan Real Estate Market Trends & 2024 Outlook

Current Market Trends

  • Detroit housing market recovery continuing with steady growth
  • Grand Rapids and West Michigan showing strong demand
  • Ann Arbor market driven by University of Michigan and tech sector
  • Rural Michigan benefits from USDA loan programs
  • Auto industry recovery supporting metro Detroit employment

2024 Market Projections

Home Value Growth:2.0-3.5%
Interest Rate Range:6.5-7.5%
New Construction:28,000-34,000 units
Market Balance:Slight buyer advantage
Affordability:Stable and affordable

Market Challenges

  • High property taxes in some counties
  • Population decline in some industrial areas
  • Aging housing stock in urban areas
  • Economic dependence on automotive industry

Market Opportunities

  • Strong affordability compared to national averages
  • Robust first-time buyer program availability
  • Automotive industry transformation creating new opportunities
  • Growing tech sector in Ann Arbor and Grand Rapids

Michigan Mortgage Rates FAQ

What are current mortgage rates in Michigan?

Current Michigan mortgage rates range from 6.245% for 5/1 ARM loans to 7.155% for 30-year fixed conventional loans. FHA rates average 6.895% while VA loans average 6.635%. Rates vary by lender, credit score, loan amount, and specific location within Michigan.

What is the median home price in Michigan?

The median home price in Michigan is $195,000 as of 2024, offering excellent affordability. Detroit homes average $165,000, Grand Rapids averages $225,000, Ann Arbor averages $385,000, while other areas vary significantly by local economic conditions and proximity to major employment centers.

What Michigan first-time homebuyer programs are available?

Michigan offers MSHDA programs including MI Home Loan with down payment assistance up to $7,500, MI Home Loan Flex for higher incomes, and below-market interest rate loans. USDA rural loans are available for eligible areas, along with VA loans for veterans and FHA loans with low down payments.

Which Michigan counties have the best mortgage rates?

Mortgage rates are generally consistent statewide, but competition is highest in Wayne County (Detroit), Kent County (Grand Rapids), and Oakland County areas. These metro areas may offer slightly better rate options due to increased lender competition and market activity.

How do Michigan property taxes affect mortgage payments?

Michigan property tax rates vary significantly by county from 1.68% to 3.18% of assessed value. Kent County (Grand Rapids) has lower rates at 1.68% while Wayne County (Detroit) has higher rates at 3.18%. Property taxes are typically included in monthly mortgage payments through escrow accounts.

What credit score do I need for a Michigan mortgage?

Minimum credit scores for Michigan mortgages vary by loan type: Conventional loans typically require 620+, FHA loans accept scores as low as 580, VA loans often accept 580+, and MSHDA programs require 640+. Higher scores (740+) qualify for the best rates from Michigan lenders.

Michigan Mortgage Resources

Ready to Buy a Home in Michigan?

Use our Michigan-specific mortgage calculator to estimate your payments with current rates, local taxes, and insurance costs. Explore Michigan MSHDA programs to maximize your affordability.