Current down payment assistance guidelines, updated from one source.
One source feeds every down payment assistance page Lendmire publishes; the Taylor, MI figures below refresh when the program sheets are updated.
Of the purchase price
Assistance is sized as a share of the price, never a fixed sum: the biggest option covers the down payment and reaches closing costs, the smaller ones cover the 3.5% FHA minimum down payment, in whole or, on the lowest tier, in part.
Covers the FHA down payment, in whole or in part
This covers the 3.5% FHA minimum down payment in whole or, on its lower tier, in part, and is forgiven at closing: no lien on the home, no monthly payment, no interest. It opens on the area income limit or on a qualifying category.
On the forgivable and repayable options
The forgivable and repayable options have no income limit at all — one of the biggest advantages of this program. Only the nothing-to-repay option asks for income at or below 140% of the area median, or a qualifying category.
Credit score to start
This is the lowest score that opens an option here — the nothing-to-repay option; the forgivable second liens start a little higher and the repayable options higher still, so a stronger score opens more choices.
| 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.
Down payment assistance options are consumer mortgage programs arranged through select wholesale lenders, licensed in sixteen states, paired with FHA, USDA, or HUD-184 first liens. Assistance is stated as a percentage of price or value, never as a dollar figure a specific borrower would receive; the forgivable and repayable options are second liens with their own disclosures. Eligibility depends on the first lien’s approval, the option’s rules, the property, and full underwriting, subject to lender program eligibility. The calculator’s rate is an editable market benchmark, not a quote, and its payment is an illustrative estimate; no fee or lender identity appears on this page. Lendmire is a mortgage broker and never the lender, and is not affiliated with or acting on behalf of FHA, VA, USDA, HUD, or the federal government. Lendmire, LLC — NMLS #2371349. Equal Housing Opportunity.
What down payment assistance is — and how the options differ.
First-time home buyer programs are not one program; they are a family of down payment assistance options paired with a government-backed first lien, and the right one for a Taylor, MI buyer depends on credit, the first lien, the property, and whether the help needs to reach closing costs.
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
An FHA purchase asks for a minimum investment from the buyer; the assistance covers it, measured as a percentage of the lesser of price or value, and the largest option carries a further share for closing costs and prepaids.
Four shapes: grant, forgivable, repayable, refinance
Nothing to repay, forgiven over time, or repaid with a balloon: the three purchase shapes in Taylor, MI cover the same minimum investment and differ in what the buyer owes afterward, and a fourth, the refinance-cost option, serves an existing FHA loan.
Credit floors, mortgage programs, and unit counts
Credit decides which options are open; the first lien decides which options attach; the property’s unit count and type decide which option carries it. The options table shows all three side by side.
Eligibility without a first-time-buyer rule
In Taylor, MI, the question is not whether this is a first home; it is which option fits the credit, the first lien, and the property — and, for the nothing-to-repay option, which qualifying category applies.
This is the whole test: the price sets the minimum investment, the option covers it, and the larger option leaves room for closing costs. The tool below applies it to your numbers and adds the FHA payment estimate.
Where Taylor’s first-time and moderate-income buyers shop — and how the assistance fits.
Census estimates give the backdrop for a down payment assistance file: where Taylor, MI’s renters live, what a median home costs, and what a median household earns.
Citywide figures provide general market context, not an appraisal or an income calculation. The higher the median value, the larger the minimum investment in dollars; that is why the assistance is sized as a percentage of the price rather than a fixed sum, and why the larger option matters more in expensive markets.
Data sources: U.S. Census Bureau — ACS 5-Year (2024) housing and population estimates, including tenure, home values, gross rents, and household income.
Distinct Taylor submarkets, distinct property rules.
A down payment assistance file in Taylor reads differently by submarket — condominium approval, association packages, unit counts, and USDA eligibility all shift from one to the next.
Small multi-unit homes, owner-occupied
In Taylor, owner-occupied small multi-unit buildings qualify for assistance when the buyer lives in one unit, up to four units on a purchase; the unit count decides which option applies. Median household income in Taylor sits near $61,081 on the latest Census estimate.
Manufactured homes on owned land
For Taylor buyers choosing manufactured housing, the assistance is available on owned land, with the option set by the home’s width. On a home at Taylor’s median value, the FHA minimum investment comes to about $5,300 — the figure the assistance is built to cover.
USDA-eligible areas
Where a property near Taylor sits in a USDA-eligible area, the USDA first lien and the forgivable or ten-year repayable options fit together, keeping cash to close near zero for buyers who qualify. Taylor itself counts a population near 62K.
New construction
New construction in and around Taylor works with the program; the appraisal and the builder’s timeline set the pace, and the assistance closes with the first lien. The median owner-occupied home value in Taylor runs near $152,600 on the latest Census estimate.
Established neighborhoods
Buyers in Taylor’s core neighborhoods use the assistance to close the gap between qualifying for the payment and having the cash to close. About 33% of Taylor’s households rent — roughly 8,404 renter households, the pool the program exists for.
Homes that need work
The older stock in Taylor pairs with a renovation first lien and the assistance together: the help is figured on the purchase price, and the loan covers price plus repairs. Median gross rent in Taylor is about $1,101 a month — the payment many renters already carry.
These are patterns, not promises: each Taylor purchase is underwritten on its own appraisal, its own credit, and its own option.
Four ways Taylor buyers put down payment assistance to work.
Down payment assistance in Taylor, MI is used for more than a first purchase; these are the structures Taylor buyers ask about most.
Buy a home that needs work with a renovation mortgage
Renovation purchases in Taylor, MI qualify for the assistance on the price before repairs, so the down payment help and the repair budget close together at one table.
Pair the assistance with a USDA or HUD-184 mortgage
Where the first lien is USDA or HUD-184, the second-lien assistance options carry the file in Taylor, forgivable or repayable by the buyer’s choice and credit profile.
Cover closing costs too on the larger option
A Taylor buyer who needs more than the minimum investment uses the repayable option that covers down payment, closing costs, and prepaid items, including costs paid outside closing.
Buy a small multi-unit home and live in one unit
House-hacking in Taylor, 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.
Size the assistance on a Taylor price before requesting a quote.
The calculator does what a loan officer’s first pass does for a Taylor file — sizes the minimum investment, applies the option, builds the FHA loan with mortgage insurance, and estimates the payment — using the current program figures and an editable benchmark rate.
Taylor FHA payment with assistance
Starting assumptions reflect Taylor’s home values; change any field and the loan, the mortgage insurance, and the payment are recalculated.
Editable benchmark: 7.28% as of October 1, 2026 · Freddie Mac 30-year average via FRED®. A conventional market reference, not an FHA loan quote.
Illustrative starting assumptions: a $155,000 price near Taylor’s median owner-occupied home value, 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, three very different closings.
The right structure for a Taylor, MI buyer depends on savings, credit, the first lien, and whether the help needs to reach closing costs.
Assistance on an FHA loan, your own down payment, or assistance on a USDA or HUD-184 loan.
Assistance that closes with the first lien: it covers the minimum investment; its shape is chosen by the credit tier and the first lien, with the eligibility category where the nothing-to-repay option is in play, and the second-lien options stay open to repeat buyers with no income limit.
Paying the minimum investment yourself keeps the closing simplest — no second lien, no category, no course; the trade is the months or years of saving that the assistance replaces. For the first lien itself, see Lendmire’s FHA loan program.
Where the property is USDA-eligible or the buyer qualifies for HUD-184, the forgivable options and the ten-year repayable option carry the Taylor file; the separate closing-cost option is FHA only. For the USDA first lien, see the USDA loan program.
Assistance fits the buyer short of cash to close; the plain purchase fits the buyer with savings; the USDA and HUD-184 pairing fits eligible properties and borrowers — Lendmire places the Taylor, MI file where it reads best.
What to prepare for a Taylor scenario review.
The documents a lender reads first on an assistance file.
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.
A down payment assistance file in Taylor, MI is won or lost on details a plain purchase never meets: the eligibility category, the forgiveness clock, the balloon on the repayable option, the county loan limit, the property type.
Use these checks to keep the Taylor file clean and fundable.
A clean Taylor file starts with the option chosen, the first lien matched to the property, and the homebuyer education course completed where it is required.
- Know the option: read the second lien as the loan it is.
- Confirm the category: settle which category applies before the application is signed.
- Handle small repairs: escrow more than the estimated cost.
The option decides what you owe afterward
A nothing-to-repay option is released at closing with no lien and no payment; a forgivable second lien costs nothing if the first lien stays current through the forgiveness period; a repayable second lien is a loan with a balloon and its own disclosure. A Taylor buyer chooses by cost to carry first and by amount second.
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.
Escrow holdbacks for minor repairs
On the second-lien options the program allows its own repair holdback on a Taylor home (separate from the FHA repair-escrow first lien the nothing-to-repay option can pair with): minor, non-structural repairs can be escrowed at closing, the repairs must not affect health, safety, or livability, and the work is completed and inspected within a set period after closing.
Blended scores for two-borrower files
A Taylor, MI couple where one score is strong and the other is not may reach an option through the blended score, which applies only when the primary wage earner also holds the higher score and the file carries an automated approval; there is no manual underwriting on a blended file.
The mortgage and the county loan limit
The nothing-to-repay option pairs only with FHA first liens, including the repair-escrow and renovation programs; the forgivable and ten-year repayable options pair with FHA, USDA, and HUD-184 (the separate closing-cost option with FHA only), and above the county loan limit only the repayable options carry the assistance.
From a Taylor pre-approval to keys with the assistance in place.
Lendmire runs a Taylor assistance file in a set order: pick the option, match the first lien, clear the property, close with the assistance in place.
Pick the option
The first step is the option: which ones the credit opens, which the first lien allows, and which costs the least to carry for a Taylor, MI buyer — settled before anything is ordered.
Get the mortgage approved
The first lien’s approval carries the file; the assistance is arranged alongside it, with the eligibility category and the education certificate in hand where they apply.
Clear the property
Property review runs in parallel with the first lien; the Taylor home is checked against the option’s rules and the first lien’s, from the unit count to the association package.
Close both loans together
The Taylor closing carries both instruments: the first lien and the assistance, each documented on its own and closed together, with the education certificate in the file where it applies.
A brokerage that pairs the assistance to the loan.
An assistance file rewards preparation, and preparation is what a brokerage built for first-time and moderate-income buyers provides.
The option, matched to the buyer
A Taylor scenario is placed on the right option first — the credit tier, the first lien, and the category — and the rest of the file is then built to fit it, before anything is ordered.
The mortgage, matched to the property
USDA where the address is eligible, HUD-184 where the buyer qualifies, FHA everywhere; the Taylor, MI first lien is the foundation the assistance stands on.
The right wholesale program
A Taylor file is matched to the wholesale program whose option fits the buyer, and Lendmire manages the first lien and the assistance together through closing.
Trusted by first-time buyers & families alike.
Taylor down payment assistance FAQs
The questions a Taylor, MI buyer asks before requesting an assistance review, answered plainly.
Do I have to be a first-time homebuyer?
You do not. Every option is open to repeat buyers; the file is placed on the price, the credit score, the mortgage program, and the home — having owned before closes nothing, and a first purchase is only one of the categories that opens the nothing-to-repay option.
Is there an income limit?
A Taylor buyer above the area income limit still reaches the nothing-to-repay option through an occupation, a first purchase, or the tract, and reaches the second-lien options regardless of income.
What first-time home buyer programs are available in Taylor?
Assistance measured as a percentage of the price, in shapes that differ by what you owe afterward: nothing, nothing if the mortgage stays current, or a second loan with a balloon. Credit, the mortgage, the property, and the eligibility category decide which fits.
Do I have to pay the assistance back?
Where the nothing-to-repay option is offered, nothing at all — no lien, no payment, no interest. The forgivable second liens are also free to carry: no payment and no interest, and they disappear once you have made the on-time mortgage payments the program asks for. Only the repayable option comes with a payment.
What credit score do I need?
Lower than most buyers expect: the entry floor for a Taylor buyer sits in the low six hundreds, with the second-lien options a step or two higher. Two-borrower files may qualify on a blended score on the second lien when the higher earner has the higher score.
Can I combine this with another assistance program?
One option, one first lien, one closing — no combination with other assistance.
What is the rate on the mortgage and on the assistance?
It depends on the first lien, the option, and the file; the rate shown in the calculator is an editable market benchmark, not a quote, and the payment it produces is an illustrative estimate. A scenario review produces the terms.
Can I use the assistance on a second home or a rental?
No. Every option is for an owner-occupied primary residence; on the forgivable and repayable options the home must stay the primary residence for the term of the second lien.
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.
Which mortgages can the assistance be used with?
FHA on every option, with the repair-escrow and renovation programs where the options table allows them and the standard FHA loan alone on the closing-cost and refinance options; USDA and HUD-184 on the forgivable and repayable second liens (the closing-cost repayable option, the one that also reaches prepaid items, is FHA only). Conventional first liens are outside the program.
Place your Taylor purchase on the right option today.
Request a scenario review with the price and the first lien in mind; Lendmire answers with the option, the floor, and what the file will need.
This guide covers Taylor — for the statewide options, categories, and property rules, see Down Payment Assistance in Michigan, part of Lendmire’s down payment assistance program.
Nearby markets in Michigan: Dearborn · Dearborn Heights · Westland · Livonia · Detroit · Southfield · Farmington Hills · Royal Oak
Related programs: FHA Loans · USDA Loans · FHA 203(k) Rehab Loans