See programs you qualify for

Get Matched Free →

Homebuyer Programs in Kalamazoo, MI (2026)

Population: 80,681 | Median home price: $220,000 | Est. closing costs: $4,500 - $6,500

Last updated April 10, 2026

Skyline of Kalamazoo, MI

Kalamazoo is a vibrant college city in southwest Michigan anchored by Western Michigan University and a growing healthcare sector, with a population of about 80,000 and a median home price around $220,000. Homebuyers here benefit from strong local programs on top of state assistance. The Kalamazoo County Treasurer Homebuyer Assistance Program provides up to $5,000 in down payment assistance plus up to $2,000 toward closing costs, and the KNHS Down Payment Assistance Program offers grants typically ranging from $5,000 to $7,500 for income-qualified buyers. At the state level, the MSHDA MI 10K DPA Loan adds up to $10,000 and the HomeBoost program offers grants up to $15,000. By stacking these programs, eligible Kalamazoo buyers could receive $25,000 or more in combined assistance.

County Programs in Kalamazoo County

Kalamazoo County Treasurer Homebuyer Assistance Program
Type:
Grant
Amount:
Up to $5,000 from Treasurer plus up to $2,000 from Independent Bank for closing costs
First-time only:
Yes

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

Kalamazoo Valley Habitat for Humanity Homeownership Program
Type:
Forgivable Loan
Amount:
Below-market-price homes with affordable mortgage terms
First-time only:
No
KNHS Down Payment Assistance Program
Type:
Grant
Amount:
Up to $5,000 to $15,000 depending on income and funding availability
First-time only:
No

How to Apply

Step 1:

Check your eligibility. Most local programs require household income at or below 80% of the Area Median Income for Kalamazoo County. The Kalamazoo County Treasurer program requires first-time buyer status and at least $1,000 in personal funds. MSHDA programs have statewide income and purchase price limits.

Step 2:

Complete homebuyer education. Kalamazoo Neighborhood Housing Services (KNHS) offers a comprehensive 8-hour Home Buyer Education Program monthly at 1219 S. Park St., Kalamazoo. This satisfies requirements for both local and MSHDA programs. Contact KNHS at 269-385-2916 or frontdesk@knhs.org to register.

Step 3:

Apply for the KNHS Down Payment Assistance Program. After completing their education course, KNHS can help determine your eligibility for grants of $5,000 to $15,000 depending on income and available funding. KNHS is the only HUD-certified housing counseling agency in southwest Michigan.

Step 4:

Contact Independent Bank about the Kalamazoo County Treasurer Homebuyer Assistance Program for up to $5,000 in down payment assistance plus $2,000 for closing costs. Call (269) 491-3049 to speak with a loan officer.

Step 5:

Apply for MSHDA down payment assistance. Contact an MSHDA-approved lender to apply for the MI 10K DPA Loan (up to $10,000) or the HomeBoost grant (up to $15,000). Kalamazoo is listed as a targeted area, meaning repeat buyers may also qualify for certain MSHDA programs.

Step 6:

Get pre-approved for a mortgage and find a home within program limits. The MSHDA statewide purchase price limit is $544,233. The median home price in Kalamazoo is around $220,000, well within range.

Step 7:

Submit your applications and close. Your lender will coordinate the DPA funds with your mortgage. Plan for the process to take several weeks once your offer is accepted.

Frequently Asked Questions

Related Cities

Related Articles