MSHDA Step Forward Down Payment Assistance

Step Forward Down Payment Assistance (DPA)
We have exciting news about a new, forgivable down payment assistance loan program launching October 8, 2018.

Step Forward Down Payment Assistance (DPA) is federally-funded, forgivable and offered in 61 eligible zip codes in 10 Michigan counties. Step Forward has allocated $20 million to the Step Forward DPA program. Funds are limited and are available on a first-come, first-served basis. The down payment assistance is $15,000 and must be used in conjunction with a MSHDA MI Home Loan.

The Step Forward DPA can be used toward the required down payment, closing costs, and prepaids/escrows on the purchase of a single-family principal residence. The remaining balance of the $15,000, if applicable, must be used to reduce the MSHDA MI Home Loan first mortgage principal balance.

The program is designed to assist in neighborhood stabilization and promote homeownership in areas of the state that still reflect high rates of delinquency and foreclosure, negative equity, bank-owned properties (REO’s) and short sales.

MSHDA Lenders may make NEW reservations on Lender Online (password required) on or after October 8, 2018.

MSHDA Loans that have already been committed are NOT eligible to transfer to the Step Forward DPA program.

MSHDA Lenders may immediately submit a request to transfer their EXISTING reservations or submitted loans to the Step Forward DPA program.



Step Forward DPA



Step Forward DPA Zip Codes




Information provided by the Michigan State Housing Development Authority.