July 13, 2020

Michigan HUD Housing Guide

Michigan HUD Housing Introduction

Michigan HUD HousingThe Department of Housing and Urban Development (HUD) was established in 1965 to create policies for housing and city expansion. Currently, HUD’s primary mission is to enforce fair housing laws in order to create a more suitable living environment for all Americans.

One of the main goals of HUD in Michigan is to make housing affordable and to make the opportunity for homeownership available to families who are on a limited income. This is done via programs that offer some of the following services:

  • Counseling for first-time home buyers,
  • Help with loan acquisition,
  • Advice on avoiding foreclosure,
  • Rental assistance for low-income families.

Michigan HUD Housing Home Ownership Assistance Programs

If you are seeking to purchase a home, but do not have the financial resources to do so, Michigan HUD may have a program that will assist you:

Michigan HUD Housing Home Repair Programs

Michigan HUD Housing offers an option for those seeking to repair and rehabilitate aging, single family properties. Known as Section 203(k), this program offers a solution that helps both borrowers and lenders. This is achieved by insuring a single, long term, fixed or adjustable rate loan that covers both the acquisition and repair of the property.

Michigan Flag

Michigan state flag.

Anyone who can manage to make monthly mortgage payments is eligible to apply.

Using the 203(k) program, borrowers may make a variety of home improvements. Some of these include:

  • Structural reconstruction;
  • Improvements to the home’s function;
  • Modernization of the home;
  • The elimination of health and safety concerns;
  • Making the home accessible to the disabled;
  • Improvements to the landscape or site;
  • Changes in the home’s appearance;
  • Improving the plumbing or septic system, roof, or floor;
  • “Greening” the home or making it more energy efficient.

For those that would like assistance with the repair and renovation of properties that are already owned, a Title I Home Improvement Loan may be an option for you. This is a loan made by a private lender that is insured by the Federal Housing Administration (FHA), a division of HUD. Title I loans may be used to finance home improvements or repairs that aim to improve the basic livability of the home. Single family, multifamily, and manufactured homes are eligible for this loan. For more general information, please visit:  http://portal.hud.gov/hudportal/HUD?src=/program_offices/housing/sfh/title/ti_abou.

For specific information about the Michigan HUD Housing Home Repair Program, visit:  http://www.hud.gov/local/mi/homeownership/homerepairs.cfm.

Michigan HUD Housing Voucher Program (Section 8 )

The Michigan Housing Choice Voucher Program, also known as Michigan Section 8, is a federal assistance HUD Housing program administered by the state that helps individuals on a low income with the payment of their rent. Michigan Section 8 program participants are responsible for finding their own housing and contributing a percentage of their income toward the cost of rent. The Housing Choice Voucher program is then responsible for paying the remaining percentage directly to the participant’s landlord.

In order to participate in the low income housing program, one must meet the Michigan Housing Choice Voucher program eligibility requirements. Eligibility is determined based on the annual gross income and size of the household. Generally, the income should not exceed 50% of the median income for the county of desired residence. Median income levels are determined by your local HUD office or housing authority, and are likely to vary by location.

Before you can be approved to participate in the Michigan Housing Choice Voucher program, your financial information will be examined by your local housing authority. Your bank, employer and other government agencies may be contacted during this process. Note that Section 8 applicants must be U.S. Citizens or fall into a category of specified non-citizens who are eligible for immigration.

If you are eligible for the Housing Choice Voucher program, you will either begin receiving assistance or your name will be placed on a waiting list. How much assistance you receive will be mathematically determined by your local housing authority.

Michigan HUD Housing Foreclosure Avoidance Program

Should your financial situation change due to the loss of employment, a divorce, extreme medical expenses, an increase in taxes, an increase in mortgage or other reasons, you may wish to take advantage of the foreclosure avoidance services that Michigan HUD provides. Examples of these services are:

  • Repayment Plans: This option is generally best for those who are only behind a few payments and are prepared for an increase in their current payment. With this program, Lenders allow you to repay the amount you owe by increasing your regular monthly payment. This amount will include late fees and must be paid back by an agreed upon date.
  • Loan Modifications Agreements: In this program, your lender agrees to modify your existing mortgage to make your monthly payments more affordable. This home loan modification could include a reduction in your interest rate, a reduction in your principal, or an extension to your loan’s term. Note that there may be fees that apply to such modifications.
  • Forbearance Agreements: This type of assistance allows for the temporary suspension of your mortgage payments with the understanding that you will have to pay the unpaid amount at a later date.
  • Short Sale: This arrangement will not allow you to retain your home, however, it can help you pay off your mortgage and prevent you from destroying your credit. A short sale is facilitated in one of two ways: 1) your lender is allowed to accept the title to your home in exchange for canceling the remainder of your debt; 2) you are allowed to sell your home with the knowledge that you will be forgiven any shortfall between the sale price and the balance of your mortgage.

For general information on HUD programs to help you avoid foreclosure in Michigan, please visit http://portal.hud.gov/hudportal/HUD?src=/topics/avoiding_foreclosure.

For specific Michigan foreclosure help resources, visit:  http://www.hud.gov/local/mi/homeownership/foreclosure.cfm.

Michigan HUD Housing Utility Bill Assistance Program

If due to financial hardship you need help paying your utility bills in Michigan, you have several options available to you:

  • Your Local Utility Provider is a valuable resource in your time of financial need. In addition to amending your payment plan, your utility provider may also be able to inform you of provider-sponsored programs that will assist you in making your monthly utility payments.
  • Your Michigan HUD web site is a great resource for families in financial peril. Using the site, you can locate non-profit organizations in your region that are available to assist you in making your monthly utility payments. For more information about programs and eligibility, please visit http://portal.hud.gov/hudportal/HUD?src=/states/michigan.

Michigan HUD Housing Senior Housing Resources

If you are a senior citizen seeking affordable housing options, Michigan HUD may have a resource to help you fulfill your housing needs:

  • The Housing Choice Voucher Program, also known as Section 8, is an assistance program that helps low-income families pay their rent. Section 8 participants are responsible for finding their own housing and contributing a percentage of their income toward the monthly rent. The Section 8 program is then responsible for paying the remainder of the rent to the participant’s landlord. If you would like to search the HUD database of subsidized properties, please visit:  http://www.hud.gov/apps/section8/.

Michigan HUD Homes for Sale

Almost anyone can buy HUD homes. For more information on buying a home in Michigan, you may wish to seek out home buyer counseling services. To find a HUD Approved Housing Counseling Agency in Michigan visit: http://www.hud.gov/offices/hsg/sfh/hcc/hcs.cfm?webListAction=search&searchstate=MI .

Before you begin your search for a HUD home, it should be noted that HUD does not directly finance buyers. Buyers should be prepared to provide their own financing through a mortgage lender or cash. For more information on FHA mortgages, please visit: http://www.hud.gov/buying/loans.cfm. For more information on how to find a mortgage that suits your personal and financial needs, please visit: http://www.hud.gov/buying/booklet.pdf.

HUD HomeStore

Once you are prepared to purchase a Michigan HUD home, there are several resources available to you that will help you find the right property. To search for available properties in Michigan, please visit the HUD HomeStore, which lists HUD owned properties: https://hudhomestore.secureportalk.net/HUD/PropertySearchResult.aspx?sState=MI

Michigan HUD Housing Information for Landlords

If you are a landlord who would like to participate in the Housing Choice Voucher program, also known as Section 8, simply contact your local public housing agency. The agency will assist in listing your property as being available to Housing Choice Voucher program participants.

Renting your property to Section 8 participants is not much different from renting to those who do not participate in the program. You will be responsible for several of the duties that you currently perform with non-participating renters. These include:

  • Screening potential Housing Choice Voucher Program renters

You should require potential renters to provide their Social Security number, employment history, credit history, criminal history and references. Your local housing agency in Michigan can provide you with the current and previous address of the potential renter, and the current and previous address of the potential renter’s landlord.

  • Signing a lease with the Housing Choice Voucher program tenant

Landlords should sign a lease with your tenant for a minimum of one year. This lease should include the following information:

    • The names of the landlord and tenant;
    • The address of the unit;
    • The term of the lease and the amount of monthly rent;
    • The utilities for which the tenant is responsible;
    • The appliances for which the tenant is responsible;
    • Other conditions that you deem apt so long as they do not violate laws;
    • The Tenancy Addendum provided by the U.S. Department of Housing and Urban Development. The Tenancy Addendum can be located here: http://www.hud.gov/offices/adm/hudclips/forms/files/52641-a.pdf.
  • Collecting a Security Deposit from your Housing Choice Voucher Program tenant

Landlords may collect a security deposit that is equivalent to one month’s rent. Be aware that Section 8 payments will not cover any unpaid rent, damages to the property or any other claims you might have against the tenant.

  • Charging the appropriate rent

The Section 8 office will make sure that your rates are in accordance with their payment standards. These standards are based on the fair market rents in your city. Should you wish to increase the rent of the unit when it is time to renew the lease, you must first obtain approval from the Section 8 office

  • Collecting the tenant’s portion of the their monthly rent

Each month, Section 8 will send you a check for their portion of the rent. This will continue so long as the tenant remains eligible for the Housing Choice Voucher Program and the apartment meets the Section 8 program standards.

  • Evicting Housing Choice Voucher Program tenants

Landlords may evict these tenants in the same way as non-participating tenants.

Michigan Local HUD Field Offices

Detroit HUD Office

McNamara Federal Building

477 Michigan Avenue

Detroit, MI 48226

Phone: (313) 226-7900

Fax: (313) 226-5611 or 226-3197

TTY: (313) 226-6899

Lana J. Vacha, Field Office Director

Office Hours: 8:00 a.m. to 5:00 p.m.

Monday through Friday

Grand Rapids HUD Office

99 Monroe Avenue, NW

Suite 402

Grand Rapids, MI 49503

Phone: (616) 456-2100

Fax: (616) 456-2114

TTY: (616) 456-2159

Louis Berra, Field Office Director

Office Hours: 8:00 a.m. to 4:30 p.m.

Monday through Friday

Flint HUD Office

Phoenix Building – 4th Floor

801 S. Saginaw Street

Flint, MI 48502

Phone: (810) 766-5112

Fax: (810) 766-5122

TTY: (810) 766-5106

Louis Berra, Acting Field Office Director

Office Hours: 8:00 a.m. to 4:30 p.m.

Monday through Friday


  1. Amy Ambrose says:

    I am unhappy with the Section 8 standards of which is required for a landlord to have.Initially,my young son and I just acquired a voucher.Unfortunately, I was naive and did not thoroughly look the place over.I found out many things are wrong with the place.Sec.8 came by to re-inspect,told me that my livingroom blinds do not need to be opened,that both doorwall screens do not have to be working,nor locked.It bothers me quite a bit that the standards of Sec.8 are low,it defeats the purpose of the Sec8 voucher motto,”A nice place to stay”the place is 60.00 more than my subsidized rental place,and that place was updated and properly cared for.Not only that,the whole idea that my voucher would be lower if my landlord payed for all utilities is unfair/unjust to someone like me.I have baseboard electric heat,I don’t see how they are paying for my heat at all.I am in a real fix,until things might get better or 10 months from now,I find a place that is financially affordable for me.I am requesting for Section8 to raise their standards,especially because of victims to be sucker like me.I strongly believe the voucher amount for this place is a disgrace.(313)598-6130

  2. karen korpi says:

    I urgently need to meet with HUD representative in the Marquette/Escanaba Michigan area regarding my second mortgage — too high and my house value is under water.
    Please email me contact information immediately.

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