Mayor, President Biden’s ARPA Chief, launch Round 2 of popular Down Payment Assistance Program

  • 434 Detroiters realized the American Dream of homeownership through Round 1 of this landmark program, with an average purchase price of $112,000.
  • Round 1 funded with $12 million from Detroit share of American Rescue Plan Act (ARPA)
  • Round 2 to help up to 300 more families with $5M more in ARPA, $2M in new partner funds
  • Once Detroiters complete the necessary steps, they can apply at or call the Detroit Housing Resource HelpLine at 866-313-2520 for more information.


Mayor Mike Duggan today joined with President Joe Biden’s American Rescue Plan Chief Gene Sperling, City Council members and other partners to announce the opening of Round 2 of the popular Down Payment Assistance Program.  Through its first round, funded with $12 million in ARPA funds, 434 longtime Detroiters realized the American Dream of becoming first time homeowners.

Round 2 of the program opens today and is expected to help up to 300 more Detroiters go from being renters to homeowners. Applications are available at  The program provides up to $25,000 in downpayment assistance for low-to-moderate income residents who currently pay as much in rent as they would on a mortgage but need some help paying one-time up-front costs associated with a home purchase, most significantly a down payment.   

“Thanks to President Biden’s American Rescue Plan Act, 434 Detroiters now have the security of owning their own home and are building generational wealth,” said Mayor Duggan. “The ARPA program is changing lives in many ways, but perhaps none more significant that what it is doing through the down payment assistance program.”

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Funding for the second round of the program includes $5 million from President Biden’s American Rescue Plan Act (ARPA). Qualifying Detroit households can use funds for other home purchase-related expenses, including prepaids (such as escrow deposits for property taxes), interest rate buy-downs, closing costs and reduction in principle.

"This down-payment assistance program to lower costs for first time homeowners that Mayor Duggan has created with funding by President Biden’s American Rescue plan is precisely what President Biden is now proposing to do nationwide,” said Gene Spurling, Senior Advisor to the President of the United States and American Rescue Plan Coordinator President Biden believes this type of robust down payment assistance is critical to helping more current renters who are working hard every day achieve the American Dream and build a cushion for their families while helping to close what is still a significant racial wealth gap.” 

Other partners supporting Round 2 have committed a total of $2 million in additional funds, bringing Round 2 to $7 million. They include:

  • Comerica Bank
  • Flagstar Bank
  • Hudson Webber Foundation
  • Huntington Bank
  • Rocket Community Fund
  • Wayne County

“As the first foundation to invest in this program, we are pleased to continue to support the success of this initiative, a crucial step toward making homeownership more accessible and sustainable for Detroit's residents,” said Donald Rencher, President and CEO of the Hudson Webber Foundation. “Most importantly, the program’s success in providing opportunities to black Detroiters is an important aspect of the city focusing on inclusive economic growth and achieving equity for its residents.”

Key highlights from Round 1

  • 434 total applications were approved
  • Applicants received an average of $24,582 in funding
  • Average sale price of a home was $112,000
  • Average mortgage payment was $926
  • 93.5% of DPA recipients are African American
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Round 1 Down Payment Assistance Program recipients Megan & Micah Williams with their 1-year-old daughter.


The program is part of a $203 million Affordable Housing Plan, championed by Mayor Duggan and Councilmembers Latisha Johnson, Mary Waters, Angela Whitfield Calloway and Gabriela Santiago-Romero. Down payment assistance was among Johnson’s contributions to the housing plan, with the issue being a major priority for the councilwoman, who spent more than a decade in the community fighting for increased access to home ownership for Detroiters.

“This Down Payment Assistance program has been transformational for the residents in Detroit,” said Detroit City Council Member Latisha Johnson. “It only takes one family to really help stabilize our neighborhoods.”

The program is being implemented by National Faith Homebuyers, a Detroit-based nonprofit that since 1996 has assisted metro Detroiters in buying a house or staying in their homes, including down-payment assistance, first-time homebuyer counseling, and financial literacy programs.

"Over the past 28 years, National Faith Homebuyers has helped over 10,000 families realize and preserve the dream of home ownership,” said Dina Harris, Founder and President of National Faith Homebuyers.  “We are proud to work with the City of Detroit to build a “best in class” down payment program for Detroit residents that contributes to our city's resurgence."

The Ownership Initiative, a Black-owned impact advisory firm headquartered in Detroit, helped design the program. Founded by CEO Krysta Pate, The Ownership Initiative has helped create more than 30 initiatives across six states that have collectively deployed over $100 million into personal wealth building, affordable housing, and small-business empowerment opportunities.

"We are thrilled to see the positive impact of the down payment assistance program we designed in collaboration with the city. This initiative has empowered countless families to achieve their dream of homeownership, fostering a stronger and more vibrant community. The success of this program is a testament to the power of partnership and innovation in addressing housing affordability challenges."

Increase in homeownership

Multiple Listing Service (MLS) data of financed home sales in the city shows an encouraging trend. In 2013, Detroit saw 327 financed home sales, according to Realcomp Multiple Listing Service (MLS). That number skyrocketed to 2,569 in 2023.

“We are thrilled to build upon the success of Round 1 of Detroit Down Payment Assistance,” said Julie Schneider, Director of Housing & Revitalization. “434 Detroiters already have achieved housing stability through homeownership through this program and we are eager to serve more first-time homebuyers through Round 2 and create more vibrant communities." 

Eligibility and application process

To be eligible to apply for the program, applicants must prove they have lived in the city of Detroit for the last 12 months, or that they lost a home in the city due to property tax foreclosure between 2010 and 2016. Residents must not have owned a home for the past three years.

The total household income for applicants cannot exceed the following income limits per household size:

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Here’s what interested homebuyers can do to apply and receive funding:

To apply for this program, you must:

  1. Find your lender and get pre-qualified for a mortgage.
  2. Find your home and have a signed purchase agreement.
  3. Take a homebuyer education class.
  4. Apply to the DPA Program

To learn more about program details and eligibility requirements, and to apply, go to or call the Detroit Housing Resource HelpLine at 866-313-2520 (option 3 after the language prompt) to be connected to program partners.

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Map and chart show where Round 1 Down Payment Assistance Program recipients bought homes in the City of Detroit.