Agency addresses historical inequities while building and preserving more housing across Michigan

Between 2000 and 2019, Black homeownership in Michigan dropped by 8%

Keys hand in a door. (PhotoMIX Company, PhotoMIX Company via Pexels.)

Everyone in Michigan deserves a safe, quality place to call home in the community of their choice.

A significant shortage of available and affordable housing statewide is causing increased costs for those in the market for an apartment or home.

The Michigan State Housing Development Authority is taking urgent action to address this issue by investing in more housing to make it affordable and attainable for more families.

To create a robust and just housing ecosystem in Michigan, it’s important to recognize and dismantle barriers that marginalized communities have faced for decades. MSHDA representatives said the agency is committed to addressing these historic injustices and building a new foundation for a stronger Michigan, with equitable, attainable and affordable housing at its core.

Experts said this will require a multifaceted approach that involves reliable data, housing policy, increased investment and buy-in from communities across Michigan.

According to MSHDA, long-established systemic inequities such as redlining, unjust zoning laws and discrimination have played a part in the gap that exists in minority homeownership, where, between 2000 and 2019, Black homeownership in Michigan dropped by 8%.

Outside homeownership, minority renters are struggling to keep up with rising rent payments. At the end of 2022, 39% of Black renters were behind on their rent, compared to 5% of their white counterparts, as noted in the 2022 Campaign to End Homelessness Report.

This familiar pattern extends into homelessness rates in Michigan. Black people are three to four times more likely to experience homelessness, and often for longer periods, while Indigenous people are twice as likely.

Through Michigan’s first Statewide Housing Plan, MSHDA and regional housing partners are leading the charge to implement comprehensive plans that meet the needs of their communities, including tackling one of the most pressing and prevalent issues: addressing equity and racial justice.

According to MSHDA, the health of Michigan’s economy can benefit from equitable housing, but, more importantly, so can the individuals and families who have consistently faced barriers to quality housing.

Programs like MSHDA’s MI 10K DPA removes one of the biggest barriers to homeownership -- the down payment -- by offering $10,000 down payment assistance loans to qualified first-time homebuyers. In 2023, MI 10K DPA’s availability expanded to all 988 Michigan ZIP codes, where previously it was only offered in 236. A record-breaking 5,094 homes were purchased through MSHDA’s homeownership programs in 2023, and, of those new homeowners, 911 were Black.

MSHDA representatives said they acknowledge that they must do better to increase Black homeownership and they will continue to invest in resources and advocate for policies that make homeownership attainable.

While working to eliminate housing barriers, MSHDA is also moving quickly with solutions to increase housing supply. Through the development of new programs and greater investment, the agency is making great progress toward Gov. Gretchen Whitmer’s goal of 75,000 new or rehabilitated housing units between 2022 and 2026.

MSHDA representatives said they know the housing shortage is serious, which is why their goals are ambitious. They said they aren’t going to stop at meeting housing targets but are going to exceed them. They will also continue to push for new tools to address arbitrary barriers to building new housing in communities where there’s a need.

The agency acknowledged that Michigan’s housing crisis didn’t crop up overnight and solving it will take sustained work across the state, as well as commitment from local, regional and statewide partners for many years.

MSHDA representatives said that, when done correctly -- with a transparent, equitable, inclusive and data-driven approach -- we will be able to move away from a housing crisis and create a housing ecosystem where everyone can make it and thrive in Michigan.

To learn more about MSHDA and its housing programs, visit Michigan.gov/MSHDA.


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