Under Title III of the Housing and Economic Recovery Act of 2008 (HERA), federal funds will be released by HUD to implement two new Homeownership products.  MSHDA has set aside $10,000,000 of Neighborhood Stabilization Program (NSP) funds to provide additional home ownership opportunities to eligible borrowers who meet MSHDA’s NSP income limits and sales price limit of $224,500.  Borrowers must purchase an existing foreclosed or abandoned property in an "area of greatest need,” as defined by HUD.

NSP 80/20 Loan Program
The abandoned or foreclosed property has been purchased, rehabbed, and is now being sold by a MSHDA Grantee or Non-Profit Agency to an eligible borrower who is obtaining 100% financing from the Homeownership Division.

NSP Acquisition Rehab Loan Program
The eligible borrower purchases an existing abandoned or foreclosed property and the Homeownership Division provides downpayment assistance up to $10,000 for properties not requiring repairs, or up to $25,000 if including the cost of repairs.

HUD Areas of Greatest Need
The Foreclosure Risk Score of the property must be 6 or greater to qualify for these products. Please use the Property Census Tract Code Locator link to find the property's six-digit census tract code, then use the Risk Scores by County and Census Tract link to determine the Foreclosure Risk Score.

• Michigan NSP Areas of Greatest Needs Map
• Property Census Tract Code Locator
• Risk Scores by County and Census Tract

Related Documents

• NSP 80/20 Product Specs
• NSP Acquisition Rehab Product Specs
• NSP Acquisition Process Flow
• NSP Loan Product Q & A
• NSP Grant Awards and Entitlement Cities