The Best First Time Home Buyer Programs in Michigan (Updated 2025)
“I had the pleasure of working with Adam during my first home buying experience and it was nothing short of amazing! … He took the time to talk me through all of the paperwork and explain things step by step so that I was never unsure of what happened next.”
— Emily G.
“Jeremy helped us with the purchase of our very first home. He was extremely helpful throughout the entire process. He answered every question we had—big or small—as if it was the most important thing… We are so glad we did.”
— Justine L.
Buying your first home is a big step — but you don’t have to do it alone. If you’re a first time buyer, there are some incredible house buying programs in Michigan designed to help you with down payments, closing costs, and easier loan approval. Much like trying to choose just one adorable puppy, picking the right loan program can be difficult.
Fortunately, at JPAL Mortgage, we work with first home buyers every day, and we’re here to walk you through the most popular and helpful options available.
What Is a First Time Home Buyer Program?
A first time home buyer program is any loan, grant, or assistance program that’s designed to help people buy their first home. These programs may offer:
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Lower down payments
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Reduced interest rates
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Down payment assistance
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Grants or tax credits
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More flexible credit requirements
And the good news? Many of these programs are available right here in Michigan.
Q: What first-time home buyer programs are available in Michigan?
A: Michigan offers several programs like MSHDA down payment assistance, Freddie Mac BorrowSmart®, FHA and VA loans, USDA loans for rural areas. Each one has unique requirements and benefits.
Let’s explore a few here:
Top First Time Buyer Programs in Michigan
1. Freddie Mac BorrowSmart® Program
The Freddie Mac BorrowSmart® program is another excellent tool for first home buyers, offering up to $2,500 in down payment or closing cost assistance based on income and location.
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Grants of $1,250 to $2,500 depending on income
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Funds can be used for down payment or closing costs
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Must complete a homeownership education course
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Available only through approved lenders
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Can often be combined with other assistance programs
This program is especially useful for buyers who make 80% or less of the area median income (AMI) — but don’t worry, we’ll help you check your eligibility instantly.
We use the BorrowSmart® program frequently at JPAL Mortgage, and it’s helped many of our clients close with less out-of-pocket cost.
2. FHA Loan (Federal Housing Administration)
A long-time favorite of first time buyers:
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Only 3.5% down required
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Flexible credit guidelines
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Can be paired with down payment assistance
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Available for homes up to FHA loan limits
Great for buyers with limited credit or past financial hiccups.
3. VA Loans (for Veterans and Active Duty)
If you’re a military service member or veteran, VA loans are one of the best mortgage options available:
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0% down required
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No monthly mortgage insurance (PMI)
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Competitive rates
Even first-time buyers with no down payment saved can purchase a home using a VA loan.
Which First Time Buyer Program Is Right for Me?
That depends on:
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Your income and credit score
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How much you have saved for a down payment
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The type and location of the home you want
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Your eligibility for state or federal programs
At JPAL Mortgage, we’ll review your goals and match you with the best-fit program, whether that’s BorrowSmart, FHA, or VA.
Ready to See What You Qualify For?
Let’s make your first home happen — with less stress and more confidence.
Schedule a free consultation
Call us at 616-465-5725, email us at hello@jpalmortgage.com
We’re here to be your best friend in home finance, every step of the way.
First Time Homebuyers Are Our People
At JPAL Mortgage, over 50% of the clients we serve are first-time homebuyers. We have conversations with new buyers every single week, helping them feel confident, informed, and excited about their next steps.
We know the questions, the concerns, and the “I don’t want to sound dumb but…” moments — and we’re here to walk you through it all without pressure or jargon.
You’re not just another loan file to us — you’re starting a whole new chapter, and we’re honored to be part of it. Don’t just take our word for it though. Check out our Google reviews for real stories from clients we’ve helped.
⭐ Bonus Download: Free First Time Buyer Checklist
Want a printable checklist of everything you need to get pre-approved, explore programs, and start touring homes? Simply click here to download
JPAL Mortgage is proudly based in Michigan, where its two owners were born and raised! We love this state and have traveled it far and wide. It’s a passion of ours to help make a smooth landing here in Michigan! Learn more about the team at JPAL
Book a free meeting or phone call, call us at 616-465-5725, or email us at hello@jpalmortgage.com. We would love to speak with you!
JPAL Mortgage – Your best friend in home finance.
All loans require complete underwriting approval, including satisfactory appraisal and clear title work. Interest rates and closing costs are subject to change. NMLS ID #2189752 | Equal Housing Opportunity