The Michigan State Housing Development Authority (MSHDA) funds programs to assist landlords, homeowners, homebuyers, and low income renters.
The following programs are supported when the City of Lapeer is involved in a grant agreement with MSHDA for a specified target neighborhood. Applications will be posted on this website for any program that has approved funds available.
- Rental Rehabilitation Program: This program provides grant funding to participating property owners for improvements to rental properties. Under the agreement, grant funds are held as a mortgage against the property and are completely forgiven (i.e. discharged) after compliance with a five-year monitoring process. During the five-year monitoring period, the property owner is responsible for paying property taxes in full, maintaining property insurance, complying with the local rental registration and inspection process, maintaining rents at or below the current fair market value for Lapeer County, and renting to low-to-moderate income tenants. Maximum grant for each rental unit is $25,000 for existing units and $40,000 for new construction. A 25% leverage match on the grant project is required by the property owner.
- Homeowner Rehabilitation Program: For Homeowner Rehabilitation, the maximum grant funds allowed per unit is $40,000 with a minimum of $1,000. If qualified, homeowners will receive a zero percent interest mortgage for 10 years to make improvements to their homes. A portion of the grant funding will be repaid to MSHDA in monthly payments over the 10 years. After the 10 years is complete, the remaining grant debt is forgiven. The percentage of grant funds repaid is determined by the household’s total Area Median Income (AMI). Maximum AMI income must be at or below 80% of Lapeer County’s AMI to qualify.
- Homebuyer, Purchase, Rehabilitation: This component enables income eligible families to become successful sustained homeowners. The program strives to preserve the existing housing stock within the target neighborhood, and helps to prevent conversion of single-family homes to rental units. Homebuyers are responsible for obtaining first mortgages to purchase the home. Grant funds, in the form of second mortgages, are used to assist with down-payments and provide for rehabilitation and replacement of necessary items which assures the family a healthy, decent and safe place to live. Under the grant agreement, grant funds are held as a mortgage which is fully forgiven after 10 years of the family residing in the home. If the home is sold within the 10 years, the payback amount will be prorated monthly. A maximum fund for down-payment assistance is $10,000; and typical funds for rehabilitation are $20,000.
- Property Improvement Loans: Loans are available to income eligible homeowners with a sliding scale interest rate based on gross household income.
- Homebuyer Program (Acquisition, Development, Resale): Homes built or renovated under the MSHDA Acquisition, Development, Resale program are sold to individuals or families within a specified low to moderate income range. Applicants must meet income guidelines, be able to pay a minimum down payment, complete a homebuyer counseling class, and have acceptable credit to qualify for a mortgage within the price range of the available home(s). Applicants may qualify for special financing through MSHDA to make up the difference between their pre-approved amount and the sale price of the home.