It's good to have options, eh?  When it comes to home shopping, Nurses and Teachers have some solidly incentivized loan products and programs to shop as well.

Nurses

Save one life, you're a hero.  Save a hundred lives, you're a nurse.  -Anonymous

For many nurses in Michigan, the dream of homeownership is made more accessible through a variety of programs tailored to assist healthcare professionals. These initiatives recognize the crucial role nurses play in our communities and aim to support their stability and investment in the areas they serve.  According to Nursejournal.org, in the state of Michigan the average salary for a registered nurse is $75,930 and an LPN is approximately $50,000.  These income levels fall in the ranges that qualify them for programs like those listed below, especially if their credit is well taken care of as their patients...

1. Nurse Next Door Program Teacher

This program offers up to $8,000 in home buying grants and up to $10,681 in down payment assistance for nurses and other healthcare workers. It often includes benefits like no application fees, preferred interest rates, and a free home appraisal credit. This program allows the purchase of any home on the market, not just specific properties or types (Nurse Next Door Program)  

2. State-Specific Assistance Programs

In Michigan, programs like the Michigan State Housing Development Authority (MSHDA) MI Home Loan and MI Home Loan Flex provide financial assistance to first-time and repeat homebuyers, which include nurses. These programs offer competitive interest rates and down payment assistance, easing the financial burden of purchasing a home.  As of 2023, nurses can benefit from up to $10,000 in down payment assistance that is paid back to the program when the home is sold in the future (a second lien is placed on the home to ensure this).  It's important to note that MSHDA Loans fall within certain parameters for income limits, which are tied to targeted or non-targeted areas, credit score (640 + up), and also have a purchasing limit too.  Statewide, the sales price limit is $224,500.  MSHDA requires homebuyers to undergo a FREE education class to meet HUD guidelines, which can be quickly fulfilled online or in person.  (A federal program alternative, most are familiar with, is the FHA program.  Though it does not have down payment assistance there is a low-down payment requirement of just 3.5%, low closing costs, and it has a higher purchase price option of up to $498,257 for 2024.)

3. Mortgage Credit Certificate (MCC)

The Mortgage Credit Certificate program is also relevant for nurses planning to purchase a home in targeted areas. It provides a tax credit for a portion of the mortgage interest paid each year, which can be used in conjunction with other home buying programs. This can result in significant annual savings, reducing the overall cost of homeownership.  

4. Local Hospital Programs

Some hospitals and healthcare systems in Michigan offer specific programs to assist their employees with homeownership. These programs might include grants, loans, or subsidies to help with down payments and closing costs, specifically designed to retain talented nursing staff.  If you know someone just entering the profession, encourage them to explore any/all benefits while interviewing or onboarding.

5. Specialty Lender Programs

Local lenders can have latitude to devise their own hero products, and some have them specifically aimed to benefit professions in the medical and education fields.  Consumers Credit Union has one called 'At Your Service Mortgage' that has $0.00 down, no PMI, and waived lender fees.  You don't have to trade time and location for these incentives.  

Teachers

  If kids come to us from strong, healthy, functioning families, it makes our job easier. If they do not come to us from strong, healthy, functioning families, it makes our job more important.   -Barbara Colorose  
 

The dream of homeownership is made more accessible through a variety of programs tailored to assist educators as well.  Salary ranges can vary widely depending on the city and many other important factors, including education, certifications, additional skills, the number of years spent in the teaching profession, which is why salary.com shows a wide range of $47,857 - $69,928 for Michigan teachers.  Those lower end and higher end income levels still fall in with qualifying parameters for programs like those listed below, so long as applicants are scoring high on their credit reports too (640 and above).

1. Teacher Next Door Program 

This program offers up to $8,000 in home buying grants and up to $10,681 in down payment assistance for nurses and other healthcare workers.  It often includes benefits like no application fees, preferred interest rates, and a free home appraisal credit.  There are not property location / type restrictions as there may be with other incentivized programs - choose any home on market.  For more details, visit Teacher Next Door Program.

2. Good Neighbor Next Door Program 

The Good Neighbor Next Door program offers significant benefits to teachers by providing a 50% discount on the list price of homes located in revitalization areas. This HUD-sponsored program offers a substantial reduction in home prices in exchange for a commitment to live in the property for at least three years.  We won't paint this program completely easy or desirable, it all comes down to preference.  At the time of this writing, there is only one home available in WMI and is in the Muskegon area... which happens to be seeing a lot of positive growth so that's cool.  Care to have a look at the current listings?  Find them HERE.   

3. State-Specific Assistance Programs

MSHDA makes a good option too.  Income eligibility should be easy for a single-income teacher, and credit score should be 640 or higher.  Again, one holdback may be the purchase price limit at $224,500.  Considering the continued rise in home values, perhaps we'll see that increase soon.  

4. Mortgage Credit Certificate (MCC)

This is a copy & paste, because it also applies.  The Mortgage Credit Certificate program is also relevant for nurses planning to purchase a home in targeted areas. It provides a tax credit for a portion of the mortgage interest paid each year, which can be used in conjunction with other home buying programs. This can result in significant annual savings, reducing the overall cost of homeownership. 

5. Specialty Lender Programs

Like nurses, teachers also qualify for the Consumers Credit Union 'At Your Service Mortgage' that has $0.00 down, no PMI, and waived lender fees.  

Home Furnishing Savings?!

Homeownership is a hugely worthwhile investment and, besides filling a home with love and peace, it needs comfortable furnishings.  Deals can be found daily on used items on FB Marketplace, of course, but isn't it nice to know that there are savings to be had at some furniture retailers?  And they're dubbed especially for heroes :)  Here are a couple that we've come across.  1) Ashley Furniture has separate discounts for Medical Professionals and for Teachers, which appear to be ongoing.  2) Lovesac has a Comfort for Our Heroes discount for most of May 2024.

 We hope you’ve enjoyed this little rundown of home financing (and furnishing) options for our everyday heroes in nursing and teaching! If you found these insights helpful, why not pass them along to a friend? And remember, we're here to guide folks through the maze of making sound real estate decisions.  Number-crunching is up to the lenders, and ultimately the lender and program is up to you.  When we work together, the only details we'll need to know is your budget and wish list to get started.  Your finances are your business.  Real estate strategy is ours.