Michigan pandemic housing aid program will stop taking applications in December
A statewide program meant to help homeowners recover from the financial blow of the COVID-19 pandemic will stop taking new applications next month.
The Michigan Homeowner Assistance Fund (MIHAF) program, backed by $242 million in federal pandemic relief aid, launched early last year. The Michigan State Housing Development Authority (MSHDA), which is administering the program, announced that the deadline for people to apply is Dec. 8.
MIHAF is meant to help homeowners behind on mortgage payments, property taxes, home insurance, utilities and other housing-related costs. Income eligible applicants — who own and occupy their home as their primary residence and can explain how the pandemic has caused them financial hardship — can get up to $25,000 in grants.
MSHDA has distributed roughly $205 million of MIHAF funds, according to an online dashboard, as of Tuesday. In addition, about $21 million has been reserved, but not yet funded, since it's based on whether an applicant is approved. The agency expects to be able to cover an additional 2,740 with remaining grant money.
Of the more than 52,000 applications MSHDA received, about 26,800 have been approved. More than 20,000 — nearly 39% of all applications — were denied. Reasons for denials include the applicant having income above the eligibility, not responding, failing to include a COVID-19-related hardship or not having any delinquencies, according to MSHDA.
Detroit, Flint and Lansing were among the top cities that received the most MIHAF funding, as of last week, with Detroit accounting for about $37.7 million.
The wait time between applying to getting the grant dollars, MSHDA said, is between four to six weeks.
The program started at a time during the pandemic when tens of thousands of Michiganders reported being behind on rent or mortgage payments and said they were struggling to pay their housing bills, according to the U.S. Census Bureau's Household Pulse Survey estimates from early 2022. Unlike other programs and safety nets created to help homeowners and renters hurt economically during the pandemic, MIHAF also assisted those with land contract homes, who had limited aid during the early months of the health crisis.
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Since MIHAF launched, the Wayne County Treasurer repeatedly touted the program as a way to stave off tax foreclosures as a result of delinquent property taxes.
“The MIHAF program provided much-needed housing stability for residents across the state,” MSHDA executive director Amy Hovey said in a news release last week. “This federal funding was essential in helping thousands of Michigan homeowners avoid foreclosure and keep their homes, clear their property tax debt and get caught up on their utilities.”
MIHAF is not the first time the state has received a massive infusion of housing aid. In 2010, the U.S. Department of Treasury sent Michigan $761 million in Hardest Hit Funds following the housing and mortgage crisis.
MSHDA said that it expects that applications will exceed remaining funding. Applications submitted before the Dec. 8 deadline will be processed, the agency said, until dollars are used up. After the deadline, those who have not applied and want to get on a waitlist can call MIHAF customer service at 844-756-4423.
For more information about the program and eligibility requirements, go to bit.ly/MIHAFProgram
Contact Nushrat Rahman: nrahman@freepress.com; 313-348-7558. Follow her on X, formerly known as Twitter: @NushratR.
This article originally appeared on Detroit Free Press: Michigan housing aid program will stop taking applications next month
