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Homebuyer Programs in Dearborn Heights, MI (2026)

Population: 62,099 | Median home price: $220,000 | Est. closing costs: $4,500 - $6,500

Last updated April 10, 2026

Skyline of Dearborn Heights, MI

Dearborn Heights is a city of about 62,000 residents in Wayne County, situated between Dearborn and Garden City in the western Detroit suburbs. With a median home price around $220,000, it offers accessible homeownership in the metro Detroit area. While the city does not currently offer a traditional down payment assistance program, the Dearborn Heights Neighborhood Stabilization Program provides rehabbed foreclosed homes at below-market prices to low-income families. The Wayne Metro Community Action Agency Homebuyer Program offers up to $7,500 in forgivable assistance, and Habitat for Humanity of Western Wayne County serves the area with homeownership opportunities. At the state level, the MSHDA MI 10K DPA Loan provides up to $10,000 in down payment help, and the MSHDA First-Generation Down Payment Assistance program offers up to $25,000 for qualifying first-generation buyers. By combining state and nonprofit programs, Dearborn Heights buyers can access meaningful support toward their purchase.

City Programs in Dearborn Heights

Dearborn Heights Neighborhood Stabilization Program
Type:
Government Property Sale Program
Amount:
Below-market purchase price on rehabbed foreclosed homes
First-time only:
No

State Programs in Michigan

HomeBoost Down Payment Assistance
Type:
Grant
Amount:
Up to $15,000 (up to $25,000 through some participating lenders)
First-time only:
Yes
MSHDA First-Generation Down Payment Assistance
Type:
Deferred Loan
Amount:
Up to $25,000
First-time only:
Yes
MSHDA MI 10K DPA Loan
Type:
Zero-Interest Loan
Amount:
Up to $10,000
First-time only:
Yes

Federal Programs

FHA Loans
Type:
Government-Insured Mortgage
Amount:
Up to FHA county loan limits ($541,287 floor to $1,249,125 ceiling for single-family in 2026)
First-time only:
No
FHLBA Community Partners Product
Type:
Forgivable Loan
Amount:
Up to $20,000 in home purchase assistance for down payment and closing costs
First-time only:
No
FHLBA First Time Homebuyer Product
Type:
Forgivable Loan
Amount:
Up to $17,500 in home purchase assistance for down payment and closing costs
First-time only:
Yes
FHLBA Workforce Housing Plus+
Type:
Forgivable Loan
Amount:
Up to $15,000 in home purchase assistance for down payment and closing costs
First-time only:
No
Good Neighbor Next Door (HUD)
Type:
Government Property Sale Program
Amount:
50% discount off the list price of HUD-owned homes
First-time only:
Yes
Home Possible Mortgage (Freddie Mac)
Type:
Government-Guaranteed Mortgage
Amount:
Up to conforming loan limits ($832,750 standard / $1,249,125 high-cost in 2026); 3% minimum down payment
First-time only:
No
HomeReady Mortgage (Fannie Mae)
Type:
Government-Guaranteed Mortgage
Amount:
Up to conforming loan limits ($832,750 standard / $1,249,125 high-cost in 2026); 3% minimum down payment
First-time only:
No
HUD $100 Down Program
Type:
FHA-Financed HUD REO Purchase
Amount:
Only $100 down payment required (vs. standard 3.5% FHA down payment). HUD may also pay up to 3% of buyer's closing costs.
First-time only:
No
USDA Rural Development Loans
Type:
Government-Guaranteed Mortgage
Amount:
100% financing (no down payment required); loan amount up to appraised value
First-time only:
No
VA Loans
Type:
Government-Guaranteed Mortgage
Amount:
No loan limit for veterans with full entitlement (0% down at any price); partial entitlement subject to conforming limits ($832,750 standard in 2026)
First-time only:
No

Nonprofit Programs

Habitat for Humanity of Western Wayne County Homeownership Program
Type:
Forgivable Loan
Amount:
Up to $12,000 in down payment and closing cost assistance for partner families
First-time only:
No
Wayne Metro Community Action Agency Homebuyer Program
Type:
Forgivable Loan
Amount:
Up to $7,500
First-time only:
Yes

How to Apply

Step 1:

Check your eligibility. Most assistance programs require household income at or below 80% of the area median income for Wayne County. The MSHDA MI Home Loan is available to first-time buyers statewide and repeat buyers in targeted areas.

Step 2:

Complete homebuyer education. Contact Wayne Metro Community Action Agency at (313) 388-9799 for free HUD-approved housing counseling and education workshops. MSHDA programs require completion of a HUD-approved homebuyer education course.

Step 3:

Explore the Neighborhood Stabilization Program. Contact the City of Dearborn Heights CEDD Office at 313-791-3504 or email ramen@ci.dearborn-heights.mi.us to ask about available rehabbed properties offered at below-market rates.

Step 4:

Contact Wayne Metro for assistance. Wayne Metro Community Action Agency provides up to $7,500 in forgivable down payment assistance and can help coordinate your application.

Step 5:

Get pre-approved for a mortgage. Work with an MSHDA-approved lender to qualify for the MI Home Loan with up to $10,000 in down payment assistance. Ask about the First-Generation DPA program if neither you nor your parents have owned a home.

Step 6:

Find a home and submit your application. Work with your housing counselor and lender to coordinate all assistance programs with your purchase. Habitat for Humanity of Western Wayne County is another option for qualifying families seeking affordable homeownership.

Frequently Asked Questions

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