MSHDA Income Limits 2026: County Caps + Michigan\'s ONE Flat Price Ceiling
MI Home Loan checks two numbers: income — a county-specific cap (~$90K-$130K) — and purchase price — a single flat statewide cap (~$225K). The asymmetric design means income is rarely the problem in the UP and almost always survivable in Oakland — while the price cap quietly kills deals there instead.
Check Your County\'s MSHDA Caps — Free
Income cap + price cap + $10K DPA in one pass. 2 minutes.
~$90-130K
Income Cap Range
by county
~$225K
Price Cap
flat statewide
$10,000
DPA
0% deferred
640
Min Credit
all programs
MSHDA Income Caps by County Tier — Oct 2026
| County Tier | Income Cap | Typical Price Band | What To Know |
|---|---|---|---|
| Washtenaw, Oakland | ~$115-130K | ~$340-420K | Highest caps — price cap is the real gate |
| Kent, Ottawa, Livingston | ~$105-120K | ~$290-360K | West MI growth belt — price cap bites |
| Wayne, Macomb, Genesee | ~$95-110K | ~$190-260K | Metro Detroit — most buyers fit both caps |
| Rural & UP counties | ~$90-100K | ~$150-220K | Lower income caps, price cap rarely binds |
Approximate bands — MSHDA publishes exact county figures annually. Verify at michigan.gov/mshda. Or check your real approval amount →
The Asymmetry: County Income, Statewide Price
Most agencies vary both numbers — higher income caps AND higher price caps in expensive counties. MSHDA varies income only. Washtenaw\'s income cap is the state\'s highest — but a Washtenaw buyer faces the same ~$225K price ceiling as an Alpena buyer.
The 2026 result: in Ann Arbor, Novi, Troy, and the hotter Grand Rapids suburbs, the price cap fails before the income test ever runs. In Wayne, Macomb, and most of the state, both numbers pass easily.
What clears it: targeted-area tracts can carry adjusted limits — and condos/townhomes near but under the cap are the classic workaround when detached prices exceed it.
Quick check: under the caps? See which MI lenders run the MSHDA stack.
5 Limit Gotchas That Kill MI Home Loans
1. Checking income before price
Agents quote the income cap; buyers pass it — then lose the deal on the flat $225K-ish price ceiling. In the SE suburbs, check PRICE first.
2. The off-loan spouse
Household income counts occupants — a non-borrowing spouse's $60K salary can push you over even when your borrower income passes.
3. Assuming targeted = rural
Targeted census tracts include pockets of Detroit, Flint, and other metros — repeat buyers eligible, sometimes adjusted caps. Check the map, not the assumption.
4. Confusing borrower vs household income
The loan-qualification number and MSHDA's limit number are different worksheets. Being under one doesn't prove you're under the other.
5. Old PDF tables
MSHDA revises limits annually — Q4 tables found in search results are often the prior year's. Always pull the current lender worksheet.
Where $10K DPA + The Caps Fit (Example)
$215K Macomb purchase, ~$95K household income: under the county income cap ✓, under the flat price cap ✓. MI Home Loan FHA + $10K deferred DPA covers the 3.5% down (~$7.5K) plus ~$2.5K toward closing — you\'re in for roughly first month + escrows.
Same income, $340K Ann Arbor listing: income passes, price cap fails — MSHDA is off the table regardless of qualifications.
Frequently Asked Questions
Q1. What is the MSHDA income limit in Michigan?
County-specific — roughly $90K to $130K for most households, revised annually. Washtenaw and Oakland top the table; rural and UP counties run lowest. MSHDA counts household income (earnings of occupants, not just borrowers). Verify your county's posted figure at michigan.gov/mshda.Check my eligibility — free →
Q2. What is the MSHDA sales price limit?
ONE statewide cap (~$224,500) — no county table. That's the unusual part: your income cap varies by county, but the price ceiling is identical in Marquette and Birmingham. In 2026 that single number is MSHDA's real gate in the pricey southeast suburbs.
Q3. Is the income limit per borrower or household?
Household-style — MSHDA evaluates income of the occupants, so a working spouse not on the loan can still push you over. This is the #1 disqualification surprise: qualifying on loan income but over-capped on household income.Verify my county cap →
Q4. Does First Place vs Next Step matter for limits?
MSHDA's own naming is simpler — MI Home Loan (first-time or targeted areas) and MI Home Loan Flex for broader scenarios. Limits are identical; what changes is the first-time rule. In federally targeted areas, first-time status waives — check the tract map if you're a repeat buyer.
Q5. What if I earn just over my county's cap?
Options: (1) buy in a targeted area — some MSHDA series waive or raise limits there; (2) time the application — limits revise annually, often upward; (3) conventional 3% down + market-rate PMI — you lose the $10K DPA but gain full price range; (4) local DPA — Detroit and other cities run separate programs with different caps.Compare my options — free →
Q6. Does overtime or bonus income count?
MSHDA and lenders count stable documented income — overtime/bonus with a 2-year history typically counts, one-time income may not. The count that matters is the one on MSHDA's worksheet, not your W-2 expectation. Get the limit checked BEFORE the purchase agreement.
Related Michigan & Income-Limit Guides
Two Gates — County Income, ONE Price Cap
Pass both and a below-market rate + $10K deferred DPA is yours. Check them in the right order.
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