By Amy Hovey, CEO and Executive Director, Michigan State Housing Development Authority
LANSING, MI: Governor Whitmer’s State of the State address highlighted Michigan’s momentum: strong economic growth, new job creation, and a continued focus on affordability, opportunity, and quality of life. One thing connects all of it: housing. It’s foundational to our current progress and Michigan’s continued success.
When Michiganders have access to safe, affordable, and stable housing, the benefits ripple outward. Employers are better able to attract and retain workers. Families have more resources to spend on education, childcare, and daily needs. Students experience greater stability in school, and health outcomes improve when people have a reliable place to call home. Housing is not separate from these goals. It makes them achievable.
That understanding has guided our state’s recent progress. At the Michigan State Housing Development Authority (MSHDA), we’ve seen the best results when housing is treated as essential infrastructure and supported through strong state leadership and collaboration. In Fiscal Year 2025, MSHDA invested a record $2.61 billion in housing statewide, supporting nearly 45,000 low- and moderate-income Michiganders. It was the most productive year in our agency’s 59-year history for helping people become homeowners and one of our strongest years for creating and preserving multifamily housing.
These investments translate directly into opportunity. Last year, MSHDA financed, produced, or preserved more than 12,400 housing units across Michigan, nearly 2,000 more than our annual target. We also introduced new tools designed to meet local needs, including the Housing Accelerator Fund, which helps close financing gaps for mixed-income developments, and a pilot Employer-Assisted Housing Fund that leverages investments from businesses to support housing for the local workforce. Together, these efforts strengthen communities while supporting economic growth.
Homeownership remains a critical pathway to long-term stability and wealth-building. In FY 2025, MSHDA invested more than $775 million in mortgages and down payment assistance, helping more than 5,000 people purchase homes. In calendar year 2025, we surpassed $1 billion in home mortgage and down payment assistance for the first time ever, helping more than 6,000 Michiganders achieve homeownership. Bipartisan legislative updates to long-standing barriers played a key role in expanding access, particularly in rural communities and across 80 of Michigan’s 83 counties.
Housing stability is equally important. Through rental assistance and homelessness prevention programs, MSHDA helped more than 32,500 households remain housed last year. We also launched a Shelter Diversion pilot that successfully helped families avoid homelessness altogether, an approach that improves outcomes for households while strengthening the overall system.
A critical resource in advancing this work has been the Housing and Community Development Fund (HCDF). The fund has allowed Michigan to respond to regional housing priorities, support implementation of the Statewide Housing Plan, and seed innovative pilot programs that attract additional private investment. Governor Whitmer’s proposed $50 million investment in HCDF in her FY 2027 budget recommendation would continue that momentum. As we work with the Legislature in the months ahead, ensuring the fund has the flexibility to meet diverse local needs will help maximize its impact in urban, suburban, and rural communities.
Partnership and smart policy have been driving Michigan’s progress. MSHDA’s work is made possible through collaboration with the Governor, legislators, local governments, housing providers, lenders, employers, nonprofit organizations, philanthropies and community leaders across the state. Flexible state funding has been especially critical in allowing us to innovate and accelerate production, and deploy resources where they can have the greatest impact.
Over the past four years, MSHDA’s annual housing investment has grown steadily, from $756 million to $2.61 billion. As Michigan looks ahead, that momentum matters. The state continues to face a significant housing supply shortage--currently at 119,000 units--and meeting future demand will require sustained focus, innovation, and partnership. Building on recent successes, MSHDA is committed to working alongside state leaders to advance practical, bipartisan housing solutions that support economic growth, affordability, and opportunity in every community.
Housing is the foundation that allows Michigan’s broader goals to take root. By continuing to work collaboratively and investing strategically, we can ensure that more people have a safe, affordable place to call home—and that Michigan’s progress continues for years to come.
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About MSHDA
The Michigan State Housing Development Authority (MSHDA), established in 1966, provides financial and technical assistance through public and private partnerships to create and preserve safe and decent affordable housing, engage in community economic development activities, develop vibrant cities, towns and villages, and address homeless issues.
