8 Best MSHDA Housing Lenders of 2020

The Michigan State Housing Development Authority, or MSHDA, offers mortgages and down payment assistance. Here are some Michigan lenders that can help you use an MSHDA loan to buy a house.

Whether you’re a first-time home buyer, or a repeat buyer looking to upgrade, MSHDA home loans and down payment assistance can provide a financial boost toward your goal. The first step? Finding a Michigan mortgage lender that participates in MSHDA housing programs.

NerdWallet has reviewed several MSHDA lenders and selected some top choices for a variety of borrower needs. We’ve also listed a few local lenders that aren’t rated by NerdWallet but close a high volume of home loans in Michigan.

» MORE: Explore MSHDA loan programs and eligibility requirements

Summary of Best MSHDA Housing Lenders of 2020

Lender	NerdWallet Rating	Minimum Credit Score	Minimum Down Payment	Learn More
Flagstar Read review	4.5 /5 Best for first-time home buyers	620	3%	Read review
Caliber Read review	3.5 /5 Best for first-time home buyers	620	3%	Read review
PrimeLending Read review	3.5 /5 Best for buying a fixer-upper	620	3%	Read review
loanDepot Learn more at loanDepot	4.0 /5 Best for buying a fixer-upper	620	3.5%	Learn more at loanDepot
Guaranteed Rate Read review	4.5 /5 Best for online lenders	620	3%	Read review
Fairway Independent Mortgage Learn More at Fairway	4.0 /5 Best for online lenders	620	3%	Learn More at Fairway
Churchill Read review	3.5 /5 Best for borrowers with limited credit history	620	3%	Read review
PNC Read review	4.0 /5 Best for borrowers with limited credit history	620	3%	Read review

Read review

Flagstar: NMLS#417490

4.5

NerdWallet rating

Min. Credit Score

620

Min. Down Payment

Read review

Why we like it

Ideal for those who appreciate the full-service experience of a leading regional bank. Flagstar offers a full menu of fixed and adjustable home loans and mortgage refinancing, as well as jumbo loans and home equity financing.

Pros

Embraces FHA-backed home loans.
Offers several types of construction and renovation mortgages.
A professional loan package is tailored for the needs of doctors, lawyers, nurse practitioners, airline pilots and certified public accountants.
Flagstar reps are familiar with low-down-payment state bond programs for first-time home buyers and income-limited households, as well as the areas that qualify for USDA loans.
Offers home equity loans and home equity lines of credit.

Cons

Charges an average $1,295 in underwriting and processing fees.

Read Full Review

Read review

Caliber: NMLS#15622

3.5

NerdWallet rating

Min. Credit Score

620

Min. Down Payment

Read review

Why we like it

Good for: first-time home buyers, veterans and those who may have credit challenges to overcome.

Pros

Offers extensive educational resources for military borrowers.
Provides digital tools for a streamlined application process.
Participates in some state down payment assistance and first-time homebuyer programs.

Cons

No mortgage rates displayed online.
Doesn't offer home equity loans or lines of credit.

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Read review

PrimeLending: NMLS#13649

3.5

NerdWallet rating

Min. Credit Score

620

Min. Down Payment

Read review

Why we like it

Good for: borrowers looking for closing cost assistance, as well as those seeking to renovate or to build a new home.

Pros

Full online application includes document uploads and automated loan updates.
Offers a "float-down" interest rate lock.
Offers a proprietary closing-cost assistance program.

Cons

No online mortgage rates — you have to contact the lender for info.
Doesn't offer home equity products.

Read Full Review

Learn more

at loanDepot

loanDepot: NMLS#174457

4.0

NerdWallet rating

Min. Credit Score

620

Min. Down Payment

3.5%

Learn more

at loanDepot

Why we like it

Ideal for borrowers looking to get a mortgage with help from a loan officer. Digital back-office operations are said to add efficiency to the loan process.

Pros

Offers digital income, asset and employment verification.
Has over 150 affiliated loan stores nationwide for customers who prefer face-to-face service.
One of the nation’s most active lenders of FHA and VA loans.

Cons

Published mortgage rates include up to three points of prepaid interest and fees.
Does not offer home equity loans or lines of credit.

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Read review

Guaranteed Rate: NMLS#2611

4.5

NerdWallet rating

Min. Credit Score

620

Min. Down Payment

Read review

Why we like it

Ideal for borrowers who are looking to apply for a mortgage and manage the process through online tools, whether buying or refinancing. Guaranteed Rate offers FHA, VA and USDA loans for borrowers who are well-qualified.

Pros

Works with most borrowers as long as they have good credit scores and incomes.
Provides a user-friendly digital platform that’s thorough in covering all types of borrowing scenarios.
Has a 95% customer satisfaction rate, according to company data.

Cons

Charges some fees, such as a $1,290 lender fee that includes a $150 application fee.
Offers many products, which might confuse or overwhelm borrowers.
Several click-throughs required for personalized rates.

Read Full Review

Learn More

at Fairway

Fairway Independent Mortgage: NMLS#2289

4.0

NerdWallet rating

Min. Credit Score

620

Min. Down Payment

Learn More

at Fairway

Why we like it

Ideal for borrowers who want lots of options and a quick turn time. Fairway Independent Mortgage offers a full selection of home loans along with a comprehensive mobile app for a fast and easy application process.

Pros

A robust suite of loan products.
Licensed in all 50 states.
Close in as little as 10 days using the Fairway app.

Cons

Limited branch locations.
Mortgage rates not posted on website.

Read Full Review

Read review

Churchill: NMLS#1591

3.5

NerdWallet rating

Min. Credit Score

620

Min. Down Payment

Read review

Why we like it

Ideal for borrowers who worry about taking on debt. Churchill advocates "debt-free homeownership" and helps customers achieve that goal. A well-known advocate: financial guru Dave Ramsey.

Pros

Offers loans to customers without credit scores, using alternative data.
Helps customers find relevant state housing and rural/farm programs.
Offers annual mortgage reviews to help borrowers stay on track toward the goal of living debt-free.

Cons

Not available everywhere: serves 44 states and D.C.
Some borrowers, particularly in expensive urban areas, may be put off by the debt-free homeownership strategy.
Does not offer home equity loans or HELOCs, but will "broker them out."

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Read review

PNC: NMLS#446303

4.0

NerdWallet rating

Min. Credit Score

620

Min. Down Payment

Read review

Why we like it

Ideal for borrowers with low to moderate incomes or limited down payments. PNC offers a low-down-payment loan with no mortgage insurance.

Pros

Considers nontraditional credit history like rent payments.
Online tools help you estimate mortgage payments and track application progress.
Several affordable loan options including FHA, VA, USDA and the PNC Community Loan.

Cons

It's not possible to complete the entire mortgage process online.
Offers mortgage loans nationwide, but has branches in only about two dozen states.

Read Full Review

More MSHDA participating mortgage lenders

These MSHDA lenders are among the highest-volume mortgage providers in Michigan; however, they haven’t been reviewed by NerdWallet.

Lake Michigan Credit Union

Offers to match competitors or provide a $300 closing cost credit.
Provides customized rate quotes with no personal info required.
Has an online application, appointment scheduling and live chat.
Has multiple mortgage-only offices and dozens of branches throughout Michigan.

Chemical Bank

Offers many mortgage options, including some specialty loans.
Participates in the Detroit Home Mortgage program.
Doesn’t publish mortgage rates online.
Has over 200 locations in Michigan.

Huntington National Bank

Offers a wide variety of traditional and specialty mortgages.
Requires personal information for a custom rate quote.
Participates in the Detroit Home Mortgage program.
Has around 10 branch locations in northern Michigan.

Mortgage 1

Says it has been MSHDA’s top lender since 2014.
Offers a fast digital application experience.
Doesn’t publish mortgage rates on website.
Has around 20 branch locations in Michigan.

Methodology

NerdWallet's selection of mortgage lenders for inclusion here was made based on our evaluation of the products and services that lenders offer to consumers who are actively shopping for the best mortgage. The six key areas we evaluated include the loan types and loan products offered, online capabilities, online mortgage rate information, customer service and the number of complaints filed with the Consumer Financial Protection Bureau as a percentage of loans issued. We also awarded lenders up to one bonus star for a unique program or borrower focus that set them apart from other lenders. To ensure consistency, our ratings are reviewed by multiple people on the NerdWallet Mortgages team.

To recap our selections...

NerdWallet's Best MSHDA Housing Lenders of 2020

Flagstar: Best for first-time home buyers

Caliber: Best for first-time home buyers

PrimeLending: Best for buying a fixer-upper

loanDepot: Best for buying a fixer-upper

Guaranteed Rate: Best for online lenders

Fairway Independent Mortgage: Best for online lenders

Churchill: Best for borrowers with limited credit history

PNC: Best for borrowers with limited credit history