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Best Mortgage Rates in Michigan — April 2026

Compare current Michigan mortgage rates across loan types. The average home price in Michigan is $240,000 with a property tax rate of 1.38%. Find the best rate for your Michigan home purchase or refinance.

Avg Home Price
$240,000
Property Tax Rate
1.38%
Median Income
$63,498
Population
10.0M

Current Michigan Mortgage Rates

Updated April 2026. Rates shown are averages — your rate depends on credit score, down payment, loan amount, and lender.

Loan TypeRateAPRMonthly P&I*
30-Year Fixed6.87%6.99%$1,261
20-Year Fixed6.64%6.74%$1,447
15-Year Fixed6.17%6.25%$1,638
10-Year Fixed5.97%6.04%$2,129
FHA 30-Year6.47%6.62%$1,210
VA 30-Year6.27%6.37%$1,185

*Monthly payment based on $192,000 loan (20% down on $240,000 avg home price). Does not include taxes or insurance.

Estimated Monthly Payment in Michigan

Full PITI breakdown for a $240,000 home with 20% down at 6.87%:

Principal & Interest$1,261
Property Taxes$276
Homeowners Insurance$70
Total Monthly (PITI)$1,607

Michigan First-Time Homebuyer Programs

MSHDA MI Home Loan

The Michigan State Housing Development Authority offers programs to help first-time buyers in Michigan achieve homeownership. Benefits typically include:

  • Below-market interest rates for qualifying borrowers
  • Down payment assistance (up to 3-5% of purchase price)
  • Closing cost assistance programs
  • Homebuyer education and counseling
  • Compatible with FHA, VA, USDA, and conventional loans

Income limits, purchase price limits, and credit score requirements apply. Contact the Michigan State Housing Development Authority directly for current program details.

Popular Cities for Homebuying in Michigan

🏠Detroit
🏠Grand Rapids
🏠Ann Arbor
🏠Warren
🏠Lansing

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Michigan Mortgage FAQs

What are current mortgage rates in Michigan?+
As of April 2026, average mortgage rates in Michigan are approximately 6.87% for a 30-year fixed, 6.17% for a 15-year fixed, and 6.47% for an FHA 30-year loan. Rates vary based on your credit score, down payment, loan amount, and lender. Use our mortgage calculator to estimate your specific payment.
How much house can I afford in Michigan?+
With the average home price of $240,000 in Michigan and a median household income of $63,498, affordability depends on your debt-to-income ratio, down payment, and current rates. A general rule is your monthly payment (including taxes and insurance) should not exceed 28-33% of gross income. At current rates, a $240,000 home with 20% down would cost approximately $1,607/month.
What is the property tax rate in Michigan?+
The effective property tax rate in Michigan averages 1.38%. On the average home price of $240,000, that's approximately $3,312 per year or $276/month. Property taxes are a significant part of your monthly housing cost and vary by county.
Are there first-time homebuyer programs in Michigan?+
Yes! Michigan offers the MSHDA MI Home Loan through the Michigan State Housing Development Authority. This program typically provides below-market interest rates, down payment assistance, and closing cost help for qualifying first-time buyers. Income limits and property value caps apply. Contact the Michigan State Housing Development Authority for current program details and eligibility.
Should I get a 15-year or 30-year mortgage in Michigan?+
A 15-year mortgage in Michigan currently offers rates around 6.17% vs 6.87% for 30-year, saving you significantly on interest. On a $192,000 loan, the 30-year payment is $1,261/month while a 15-year is $1,638/month. Choose 15-year if you can afford the higher payment; choose 30-year for more cash flow flexibility.
What credit score do I need to buy a home in Michigan?+
In Michigan, conventional loans typically require a 620+ credit score, FHA loans require 580+ (or 500+ with 10% down), and VA loans have no official minimum but lenders usually want 620+. Higher credit scores get better rates — a score of 760+ qualifies for the best rates in Michigan, potentially saving thousands over the life of the loan. The Michigan State Housing Development Authority programs may have specific credit requirements.

Michigan Mortgage Tools

🏠Mortgage Calculator🔄Refinance Calculator🏡HELOC Calculator📖Mortgage Guide

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