Current down payment assistance guidelines, updated from one source.
These figures are read from Lendmire’s centralized down payment assistance standards source and update automatically when the programs change. Every state and city guide in this series reads the same source.
Of the purchase price
Measured on the purchase price or the appraised value, whichever is lower; the largest option covers the down payment and reaches closing costs, and the smaller options cover the 3.5% FHA minimum.
Covers the whole FHA down payment
Nothing to repay, ever: this option pays the full 3.5% FHA minimum down payment and leaves no lien behind, for buyers within the area income limit or in a qualifying category.
On the forgivable and repayable options
Most of the options carry no income limit, so a higher-earning household qualifies the same as anyone else; only the nothing-to-repay option looks at income, at 140% of the area median, or at a qualifying category.
Credit score to start
The score that opens the nothing-to-repay option; the forgivable options start a step higher and the repayable options higher still. Two-borrower files may use a blended score on the second-lien options.
| Option | Assistance | What you repay | Credit · mortgage · units |
|---|---|---|---|
| Grant-style assistance — nothing to repay | 2% or 3.5% of the price | Nothing — released at closing | 620+ · FHA 203(b), FHA repair escrow, FHA Limited 203(k), FHA Standard 203(k) · 1–4 units |
| Forgivable second lien — three-year | 3.5% of the price | Nothing after 36 on-time mortgage payments | 640+ · FHA 203(b), FHA Limited 203(k), HUD-184, USDA · 1–2 units |
| Forgivable second lien — five-year | 3.5% of the price | Nothing after 60 on-time mortgage payments | 640+ · FHA 203(b), FHA Limited 203(k), HUD-184, USDA · 1–2 units |
| Repayable second lien — thirty-year amortization, ten-year balloon | 3.5% or 5% of the price | Second lien, 30-year amortization, balloon in year 10 | 660+ · FHA 203(b), FHA Limited 203(k), HUD-184, USDA · 1–2 units |
| Closing-cost repayable second lien | 3.5% or 5% of the price | Second lien, 30-year amortization, balloon in year 10 | 660+ · FHA 203(b) · 1–2 units |
| Refinance-cost second lien (repayable) | 1% to 3.5% of the balance | Second lien, repaid | 660+ · FHA 203(b) · 1–4 units |
Current down payment assistance snapshot · updated September 7, 2026 · six options offered in Michigan · no option requires a first-time buyer · no option combines with another assistance program · owner-occupied primary residences only.
This page describes down payment assistance at the program level. The option for any file comes from the credit tier, the first lien, the property, and the eligibility category; the first lien’s approval, the appraisal, and full underwriting decide the actual terms, subject to lender program eligibility. Nothing here is a quote, a fee, or a commitment to lend; the calculator’s rate is a market benchmark you can edit and its payment an estimate. Lendmire is never the lender and is not affiliated with FHA, USDA, HUD, or the federal government.
What down payment assistance is — and how the options differ.
For Dearborn, MI buyers, the first-time home buyer programs work the same way: the first lien carries most of the price, the assistance covers the minimum investment, and the shape of the assistance — nothing to repay, forgivable, or repayable — decides what it costs to carry.
For the program overview, see Lendmire’s down payment assistance program, or the statewide guide at Down Payment Assistance in Michigan.
Assistance covers the FHA down payment
In Dearborn, MI, the assistance attaches to the first lien at closing and covers the buyer’s required investment; on the larger option, what remains after the minimum investment goes toward closing costs.
Four shapes: grant, forgivable, repayable, refinance
The assistance comes as a grant where it is offered, as a forgivable second lien, or as a repayable second lien; each pairs with the first lien differently, and the options table on this page shows what is offered in Michigan.
Credit floors, mortgage programs, and unit counts
Each option carries its own credit floor, its own first-lien list, and its own unit limit: the nothing-to-repay option pairs only with FHA and reaches four units; the second-lien options pair with FHA, USDA, and HUD-184 and stop at two units for a purchase.
Eligibility without a first-time-buyer rule
Eligibility is broader than most buyers expect: repeat buyers qualify, income limits apply only to the nothing-to-repay option, and the categories that open it include first responders, educators, medical personnel, civil servants, and military.
Enter a price, choose an option, and add your own cash. The calculator sizes the minimum investment, splits the assistance between the down payment and closing costs, and estimates the FHA payment with mortgage insurance, taxes, insurance, and dues.
Where Dearborn’s first-time and moderate-income buyers shop — and how the assistance fits.
Market data for Dearborn, MI frame the question every assistance file answers: at this price, how large is the minimum investment, and which option covers it?
Market context only. Value and income rarely move at the same pace; the market figures below show how far Dearborn’s prices have moved against its incomes, and the calculator shows what that means for the minimum investment.
Data sources: U.S. Census Bureau — ACS 5-Year (2024) housing and population estimates, including tenure, home values, gross rents, and household income.
Distinct Dearborn submarkets, distinct property rules.
A down payment assistance file in Dearborn reads differently by submarket — condominium approval, association packages, unit counts, and USDA eligibility all shift from one to the next.
Older neighborhoods and renovation loans
Renovation purchases in Dearborn qualify for the assistance on the price before repairs, which lets a buyer take on a home that needs work without also finding the minimum investment. Median gross rent in Dearborn is about $1,327 a month — the payment many renters already carry.
Manufactured homes on owned land
For Dearborn buyers looking at manufactured housing, the assistance is available on owned land, with single-width homes reaching only the option that accepts them. On a home at Dearborn’s median value, the FHA minimum investment comes to about $7,700 — the figure the assistance is built to cover.
Condominiums close to work
In Dearborn, a condominium near the job is the first home many buyers can reach; the program pairs with it as long as the project clears FHA review, and the assistance covers the minimum investment the same way it would on a house. Dearborn counts a population near 107K within the Detroit-Warren-Dearborn, MI area.
Two-to-four-unit homes, owner-occupied
The small multi-unit stock in Dearborn is a path to a first home that also earns rent; the assistance pairs with the first lien on the building, up to the option’s unit limit. The median owner-occupied home value in Dearborn runs near $218,800 on the latest Census estimate.
New construction and infill
Infill and new-build homes in Dearborn pair with the assistance as long as the property is the buyer’s primary residence and the first lien is a government program. About 32% of Dearborn’s households rent — roughly 11,597 renter households, the pool the program exists for.
Townhomes and attached homes
In Dearborn, a townhome in a planned development pairs cleanly with the program; the association’s rules and dues are read alongside the first lien, and the assistance covers the down payment. Median household income in Dearborn sits near $65,324 on the latest Census estimate.
Market context only. The option for a Dearborn file comes from the credit tier, the first lien, the property, and the eligibility category, never from the submarket.
Four ways Dearborn buyers put down payment assistance to work.
Down payment assistance in Dearborn, MI is used for more than a first purchase; these are the structures Dearborn buyers ask about most.
Buy a two-to-four-unit home and live in one unit
House-hacking in Dearborn, MI pairs with the program when the buyer occupies a unit; the unit count decides which option applies, and the first lien carries the building.
Cover the costs of an FHA refinance
Owners in Dearborn with an FHA loan and little cash for a refinance use the refinance-cost option, subject to its own credit floor and combined-leverage limit.
Cover closing costs too on the larger option
The larger option exists for the Dearborn, MI closing where the down payment is only half the problem: it carries the minimum investment and a further share for costs.
Buy a home that needs work with a renovation mortgage
For an older Dearborn home, the renovation first lien and the assistance fit together, with the assistance measured on the price rather than the repaired value.
Size the assistance on a Dearborn price before requesting a quote.
Run a Dearborn price through the options before you request a quote: the minimum investment, the assistance applied, what is left for closing costs, the mortgage insurance tier, and the estimated payment. Enter income to see the ratios a lender reads.
Dearborn FHA payment with assistance
A Dearborn scenario to start from — adjust the price, the option, your own cash, the term, and the rate to see the assistance and the payment.
Editable benchmark: 6.71% as of September 3, 2026 · Freddie Mac 30-year average via FRED®. A conventional market reference, not an FHA loan quote.
Illustrative starting assumptions: a $220,000 price near Dearborn’s median owner-occupied home value (kept where an FHA first lien is realistic), the strongest assistance option offered in Michigan applied against the FHA minimum investment, a thirty-year term at the current Freddie Mac benchmark, property taxes and insurance estimated for Michigan (U.S. Census Bureau). Every field is editable.
Illustrative estimate only — not a Loan Estimate, approval, quote, or commitment to lend. The rate field carries the weekly Freddie Mac thirty-year conventional benchmark, a market reference and not an FHA loan quote; your rate is set by the lender at lock. FHA mortgage insurance follows HUD’s published schedule for the term, leverage and loan size entered; taxes, insurance and dues are editable estimates; closing costs are not included; a repayable second lien adds its own payment, which is not shown here. Consumer mortgage lending licensed in sixteen states. Lendmire is not affiliated with or acting on behalf of FHA, USDA, HUD, or the federal government.
Same buyer, four very different closings.
The right structure for a Dearborn, MI buyer depends on savings, credit, the first lien, and whether the help needs to reach closing costs.
Assistance on a government loan, saving the minimum, or a gift.
Assistance paired with the first lien at closing: the minimum investment covered, the shape chosen by credit, first lien, and eligibility category, and the second-lien options open to repeat buyers with no income limit.
For a Dearborn, MI buyer with the cash in hand, the plain FHA purchase is the cleaner file; the assistance exists for the buyer who does not have it yet. For the first lien itself, see Lendmire’s FHA loan program.
On a USDA or HUD-184 first lien, the assistance shifts to the second-lien options and to the closing costs; the nothing-to-repay option pairs only with FHA. For the USDA first lien, see the USDA loan program.
If the payment fits but the cash to close does not, down payment assistance is the structure; if the cash is there, the plain purchase; if the property is USDA-eligible, the USDA first lien with assistance for costs.
What to prepare for a Dearborn scenario review.
A typical starting file for a first purchase with assistance.
This is a general preparation guide, not a universal checklist. The selected lender may request additional information based on the mortgage, the assistance option, the property, and the eligibility category. Nothing here is legal or tax advice.
Local details that can change the loan.
Every Dearborn file is underwritten individually, but the same handful of considerations recur; they are worth settling before the contract is signed.
Use these checks to keep the Dearborn file clean and fundable.
Three checks keep a Dearborn assistance file on track: know which option the credit tier opens, know which first lien the property can carry, and know the category that opens the nothing-to-repay option.
- Know the option: confirm the option is offered in the state.
- Confirm the category: remember that the second-lien options carry no income limit.
- Understand the clock: expect no resubordination and no additional liens.
The option decides what you owe afterward
The same minimum investment can be covered three ways in Dearborn, MI, and the difference is entirely in what happens after closing: nothing, nothing if the first lien stays current, or a second loan that comes due; the options table shows what is offered.
The eligibility category for the nothing-to-repay option
The nothing-to-repay option opens on any one of four categories — household income at or below the area limit, a community-service occupation, a first purchase, or a property in an underserved census tract — plus a homebuyer education course; the second-lien options need none of these.
The forgiveness clock on the forgivable options
For a Dearborn, MI buyer, the forgivable options cost nothing to carry as long as the first lien stays current through the period; they are not resubordinated, not assumed, and no additional lien can be added behind them.
Blended scores for two-borrower files
On the second-lien options, two occupying borrowers can qualify on the average of their representative scores when the higher earner has the higher score; the loan must carry an automated approval, and every borrower still needs a score.
The balloon on the repayable option
The repayable second lien amortizes over thirty years but comes due in the tenth year; it carries interest and a monthly payment, its own loan number, and a balloon disclosure. It is the option that reaches closing costs, and it is a loan.
From a Dearborn pre-approval to keys with the assistance in place.
Four steps take a Dearborn, MI assistance file from a first read to funding; the first one is the one most buyers skip.
Pick the option
Lendmire reads the Dearborn scenario against the options offered in Michigan: the credit tier, the first lien, the unit count, the category, and whether the help must reach closing costs.
Get the mortgage approved
The FHA, USDA, or HUD-184 first lien runs through automated underwriting, with the assistance attached as its own loan where a second lien applies; a Dearborn buyer’s income, credit, and reserves are read the way the first lien requires.
Clear the property
The appraisal, the condominium approval where one applies, the manufactured-home title, and the county loan limit are settled; small repairs go into an escrow holdback where the option allows it.
Close both loans together
The first lien and the assistance close at the same table — the assistance as a grant released at closing where offered, or as a second lien with its own loan number — and the Dearborn buyer receives keys with the minimum investment covered.
A brokerage that pairs the assistance to the loan.
Pairing the right assistance to the right first lien for a Dearborn buyer means knowing which option the credit opens, which the property allows, and what each costs to carry — before the contract is signed.
The option, matched to the buyer
Lendmire reads the options offered in Michigan against a Dearborn buyer’s credit, first lien, property, and category before anything is ordered, and names the fit by cost to carry.
The mortgage, matched to the property
A Dearborn file is matched to the first-lien program that carries the property — FHA everywhere, USDA or HUD-184 where they fit — and the assistance option follows that choice.
The right wholesale program
Assistance programs differ across wholesale lenders in what they offer and where; Lendmire places a Dearborn, MI file where its credit, its first lien, and its property read best, subject to lender program eligibility.
Trusted by first-time buyers & families alike.
Dearborn down payment assistance FAQs
Plain answers to the questions Dearborn buyers ask most about down payment assistance, before you request a review. Every file is underwritten individually; nothing here is a commitment.
Do I have to be a first-time homebuyer?
No option requires it. A Dearborn buyer who has owned before qualifies for the second-lien options on credit, first lien, and property alone, and for the nothing-to-repay option through any of the other categories.
Is there an income limit?
Only on the nothing-to-repay option, and only when no other category applies: household income at or below the area median income limit, measured where the property sits. The forgivable and repayable second-lien options carry no income limit beyond the first lien’s own rules.
What first-time home buyer programs are available in Dearborn?
A Dearborn buyer can cover the FHA minimum investment through a nothing-to-repay option where offered, a forgivable second lien, or a repayable second lien that reaches closing costs; the calculator on this page sizes each one on a price you enter.
Do I have to pay the assistance back?
For a Dearborn buyer, the nothing-to-repay option where offered, otherwise a forgivable second lien; the options table on this page shows what each costs to carry.
What credit score do I need?
It depends on the option. The lowest floor belongs to the nothing-to-repay option; the second-lien options start higher, and the first lien’s own rules apply on top.
What property types are eligible?
A Dearborn home that the first lien accepts and the option’s property rules allow; the property side is checked before the option is confirmed.
What does Lendmire do on a Dearborn first-time home buyer file?
Matches the option to the buyer and the first lien to the property, then runs both through approval and closing; Lendmire brokers the loan through its wholesale network and is never the lender.
Do I need a homebuyer education course?
Required on one option, optional on the rest; schedule it early if the nothing-to-repay option is the plan.
Can I use the assistance on a second home or a rental?
The assistance is for the home you live in; rentals and second homes are financed other ways.
Is there an option for refinancing?
For an existing FHA loan, yes — a repayable option sized on the balance, for a full refinance rather than a streamline.
From a pre-approval to keys — with the assistance in place.
A first read of a Dearborn assistance scenario takes a few minutes and commits you to nothing; the option, the category, and the property rules are explained before anything is ordered.
This guide covers Dearborn — for the statewide options, categories, and property rules, see Down Payment Assistance in Michigan, part of Lendmire’s down payment assistance program.
Also in Michigan: Mackinac Island · Midland · Westland · Saginaw · FHA Loans · USDA Loans