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With Detroit Home Mortgage, qualified borrowers can get a mortgage for up to $75,000 above the appraised value of a home to buy a move-in-ready home, buy a fixer-upper home to renovate, or refinance to repair the home they already own.

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Participating Banks

A Detroit Home Mortgage can be secured from any of the participating banks listed here. All banks offer the same Detroit Home Mortgage rates. Select a bank’s logo.

PROGRAM PARTNERS

The Detroit Home Mortgage partnership is led by Community Reinvestment Fund, USA (CRF), The Kresge Foundation and Ford Foundation, the City of Detroit, Michigan State Housing Development Authority (MSHDA), nonprofits, participating banks, and other committed financial investors. CRF, a national nonprofit community development financial institution, is a leader in bringing capital to underserved areas and has injected more than $2 billion into communities in 48 states around the country to provide affordable housing, help stimulate job creation and economic development, and support community facilities.

Frequently Asked Questions

What Is So Different About Detroit Home Mortgage?

Detroit Home Mortgage makes up for the currently low property values by allowing you to borrow up to $75,000 more than the home’s current appraised value. In many cases, homeownership may have a lower monthly cost than renting.
The housing and credit crisis from 2006-2010 greatly reduced home values and the number of home sales in Detroit. As a result, many homebuyers could not get mortgages because appraisers could not find similar homes to compare sales prices. This situation led to banks not lending the amount needed to fix up a home or buy one that is already renovated. Currently, home values across the city are still very low and have yet to recover from the recession. Many homes do not qualify for a traditional loan to buy them or to fix them up and make them livable. Detroit Home Mortgage allows a qualified buyer to borrow on the true value – not the current appraised value – of their home.
No. Detroit Home Mortgage is a first-of-its-kind collaboration of local banks, foundations, Michigan State Housing Development Authority (MSHDA), and nonprofits seeking to address Detroit’s low property values and ultimately rebuild Detroit’s neighborhoods.
Detroit Home Mortgage can be used in all of the neighborhoods of Detroit. There are no restrictions on location except that the home must be within Detroit city limits.
No. The home must be located within the city of Detroit.
Detroit Home Mortgage can only be used on a single-family (1 unit) or two-family (2 unit) home that is considered your primary residence, meaning that you must plan to or already live in the home.
Anyone who wants to purchase a home to live in within the city limits of Detroit can apply for a Detroit Home Mortgage. Applicants must be in good financial standing with a minimum FICO credit score of 600, have adequate income, and the required down payment.
Yes. Anyone, even non-Detroit residents who want to buy a home to live in within the city limits of Detroit, can apply for a Detroit Home Mortgage.
No, anyone of any income can apply for a Detroit Home Mortgage.
You will apply for a mortgage with one of our participating banks just like you would for any other real estate transaction. However, once the appraisal is determined, the bank will split the loan into two mortgages with low, fixed rates. The first mortgage will be for 96.5% of the appraised value. The second mortgage will be for the amount above the appraised value up to $75,000. Click a bank logo above to be directly connected to the participating bank of your choice.
Detroit Home Mortgage features low, fixed rates on the first mortgage and second mortgage. Click a bank logo above to be directly connected to the participating bank of your choice.
You can apply for a Detroit Home Mortgage through one of our participating banks. All participating banks offer the exact same Detroit Home Mortgage rates and terms. Click a bank logo above to be directly connected to the participating bank of your choice.
Yes. A Detroit Home Mortgage can be used to refinance as long as you are renovating at the same time. You can also refinance a free and clear home only if you plan to renovate it.
A Detroit Home Mortgage is a loan like any other mortgage, and it must be repaid. However, if you experience an extreme hardship that is beyond your control and need to sell your home, you may be provided financial support to help repay the second mortgage.

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