Detroit FHA Loan Rates, Closing Costs & Stats

DETROIT-DEARBORN-LIVONIA, MI

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    • FHA loans are mortgages created in the 1930's to help insulate lenders from credit risks and help promote home ownership. The Federal Housing Administration (hence, FHA) allows for lower downpayments and credit scores-- making these loans much more accessible than traditional mortgages.

    FHA loans typically need just a 3.5% downpayment with credit scores of 580 or better. For credit scores between 500-579, the downpayment needs to be at least 10%.

    While FHA loans make home ownership much more accessible to first-time homebuyers, they do require PMI (purchase money insurance)-- an additional insurance premium that is paid to the FHA to help cover defaults.

    For additional requirements as defined by the FHA, click here.

    Detroit FHA Loans, 30 Year Fixed Rates

    30 Year FHA mortgages in Detroit averaged 0% for the week of 2023-10-20, compared to the national average (all FHA variants) of 7.379% for the same period.

    Detroit's average FHA mortgage closing costs are $0.

    The average rate for the prior week (2023-10-13) was 0% and one month ago for the week of 2023-09-15, the average rate was 0%.

    The average rate one year ago was 0%.

    For refis of the same type during the week of 2023-10-20, the average rate was 0%.

    Click on whitespace and scroll within the chart to zoom in/out. Larger bubbles equate with more originations.

    Detroit FHA Loan Lenders by Rates & Fees

    The below table looks at the average fees/closing costs and rates for FHA 30 Year Fixed Rate (purchase, first lien) mortgages originated by each lender at the Detroit level.

    Name # of Loans 2022 Avg. 30yFix Rate 2022 Avg. Closing Costs

    The lowest fee Detroit FHA lenders (with over 10 loans originated) are .

    The lowest rate Detroit FHA lenders (with over 10 loans originated) are .

    Market Conditions (Median, Average Prices & Listing Count)

    Realtor.com - Detroit (CBSA) retrieved from FRED, Federal Reserve Bank of St. Louis
    Date Median Listing Price (YoY Change) Average Listing Price (YoY) MSA/US Median Price Ratio Active Listings
    2018-01-01 $199,900 (7.3%) $309,546 (5.2%) 0.74 9,945
    2018-02-01 $206,000 (7.1%) $318,858 (6.5%) 0.75 9,275
    2018-03-01 $224,900 (5.9%) $338,000 (8.2%) 0.79 9,086
    2018-04-01 $242,450 (7.8%) $343,562 (5.1%) 0.82 9,495
    2018-05-01 $249,900 (6.6%) $348,825 (3.2%) 0.83 10,501
    2018-06-01 $253,650 (7.7%) $353,504 (3.9%) 0.85 11,786
    2018-07-01 $249,900 (6.3%) $346,143 (2.7%) 0.83 12,984
    2018-08-01 $244,950 (8.1%) $336,232 (2.9%) 0.82 14,307
    2018-09-01 $239,900 (6.6%) $334,464 (2.9%) 0.81 14,962
    2018-10-01 $231,215 (4.4%) $326,470 (1.2%) 0.78 14,886
    2018-11-01 $225,000 (4.1%) $318,710 (0.1%) 0.76 14,433
    2018-12-01 $219,900 (4.8%) $314,557 (-0.2%) 0.76 13,258
    2019-01-01 $218,750 (9.4%) $313,385 (1.2%) 0.76 12,165
    2019-02-01 $219,950 (6.8%) $317,091 (-0.6%) 0.74 11,497
    2019-03-01 $232,814 (3.5%) $329,689 (-2.5%) 0.76 11,352
    2019-04-01 $250,300 (3.2%) $345,409 (0.5%) 0.79 11,490
    2019-05-01 $259,900 (4.0%) $351,987 (0.9%) 0.81 12,361
    2019-06-01 $262,000 (3.3%) $350,206 (-0.9%) 0.82 13,710
    2019-07-01 $259,900 (4.0%) $344,093 (-0.6%) 0.81 14,992
    2019-08-01 $253,355 (3.4%) $337,148 (0.3%) 0.80 15,527
    2019-09-01 $243,536 (1.5%) $328,224 (-1.9%) 0.78 15,830
    2019-10-01 $236,991 (2.5%) $321,800 (-1.4%) 0.76 15,906
    2019-11-01 $229,900 (2.2%) $317,760 (-0.3%) 0.75 14,872
    2019-12-01 $224,900 (2.3%) $311,261 (-1.1%) 0.75 13,036
    2020-01-01 $219,950 (0.6%) $310,507 (-0.9%) 0.74 11,630
    2020-02-01 $222,500 (1.2%) $315,613 (-0.5%) 0.73 10,735
    2020-03-01 $237,950 (2.2%) $329,652 (0.0%) 0.75 10,381
    2020-04-01 $244,018 (-2.5%) $333,355 (-3.5%) 0.76 9,897
    2020-05-01 $249,900 (-3.9%) $338,721 (-3.8%) 0.76 10,720
    2020-06-01 $272,450 (4.0%) $365,198 (4.3%) 0.80 10,261
    2020-07-01 $278,000 (7.0%) $374,371 (8.8%) 0.81 9,828
    2020-08-01 $274,900 (8.5%) $373,948 (10.9%) 0.79 9,307
    2020-09-01 $269,950 (10.9%) $373,482 (13.8%) 0.77 8,987
    2020-10-01 $264,900 (11.8%) $373,821 (16.2%) 0.76 8,479
    2020-11-01 $254,950 (10.9%) $373,390 (17.5%) 0.75 7,673
    2020-12-01 $249,900 (11.1%) $370,777 (19.1%) 0.74 6,750
    2021-01-01 $249,900 (13.6%) $372,913 (20.1%) 0.75 5,686
    2021-02-01 $250,000 (12.4%) $388,653 (23.1%) 0.73 4,727
    2021-03-01 $266,138 (11.9%) $398,112 (20.8%) 0.76 4,597
    2021-04-01 $269,950 (10.6%) $405,925 (21.8%) 0.73 4,725
    2021-05-01 $279,900 (12.0%) $409,975 (21.0%) 0.74 5,267
    2021-06-01 $276,575 (1.5%) $396,675 (8.6%) 0.73 6,498
    2021-07-01 $275,000 (-1.1%) $391,506 (4.6%) 0.73 7,192
    2021-08-01 $267,400 (-2.7%) $383,727 (2.6%) 0.71 7,991
    2021-09-01 $249,950 (-7.4%) $370,605 (-0.8%) 0.67 8,195
    2021-10-01 $242,990 (-8.3%) $360,143 (-3.7%) 0.65 7,880
    2021-11-01 $227,450 (-10.8%) $348,427 (-6.7%) 0.61 7,274
    2021-12-01 $216,950 (-13.2%) $345,719 (-6.8%) 0.59 6,293
    2022-01-01 $205,000 (-18.0%) $341,406 (-8.5%) 0.55 5,189
    2022-02-01 $216,100 (-13.6%) $354,219 (-8.9%) 0.56 4,626
    2022-03-01 $227,450 (-14.5%) $360,375 (-9.5%) 0.57 4,771
    2022-04-01 $249,900 (-7.4%) $376,980 (-7.1%) 0.60 5,012
    2022-05-01 $274,000 (-2.1%) $384,646 (-6.2%) 0.63 6,342
    2022-06-01 $279,950 (1.2%) $388,407 (-2.1%) 0.62 7,666
    2022-07-01 $279,900 (1.8%) $381,926 (-2.5%) 0.63 9,283
    2022-08-01 $272,350 (1.9%) $370,524 (-3.4%) 0.63 9,869
    2022-09-01 $263,908 (5.6%) $366,211 (-1.2%) 0.62 9,756
    2022-10-01 $250,000 (2.9%) $355,640 (-1.3%) 0.59 9,857
    2022-11-01 $247,000 (8.6%) $347,750 (-0.2%) 0.59 9,743
    2022-12-01 $230,000 (6.0%) $341,684 (-1.2%) 0.57 8,673
    2023-01-01 $227,250 (10.9%) $343,293 (0.6%) 0.56 7,432
    2023-02-01 $229,450 (6.2%) $347,618 (-1.9%) 0.55 6,513
    2023-03-01 $236,950 (4.2%) $362,607 (0.6%) 0.56 5,939
    2023-04-01 $250,000 (0.0%) $384,503 (2.0%) 0.58 5,886
    2023-05-01 $267,450 (-2.4%) $399,483 (3.9%) 0.61 6,033
    2023-06-01 $270,000 (-3.6%) $402,237 (3.6%) 0.61 6,447
    2023-07-01 $269,000 (-3.9%) $393,640 (3.1%) 0.61 6,991
    2023-08-01 $272,400 (0.0%) $389,930 (5.2%) 0.63 7,448
    2023-09-01 $262,000 (-0.7%) $386,050 (5.4%) 0.61 7,660
    Detroit's median listing price for 2023-09-01 was $262,000, a difference of $-1,908 (-0.7%) versus the prior year and $-10,400 versus the prior month.

    Detroit's median listing price comes in at 61% of the national average.

    Detroit's average listing price for 2023-09-01 was $386,050, a difference of $19,839 (5.4%) versus the prior year and $-3,880 versus the prior month.

    For the 2023-09-01 period, Detroit had 7,660 MLS listings, a difference of 212 listings (3%) versus the prior month and -2,096 listings (-21%) versus the prior year.

    Median Listing Time on Market & Square Footage

    Realtor.com - Detroit (CBSA) retrieved from FRED, Federal Reserve Bank of St. Louis
    Date Median Listing Time on Market Median Square Footage
    2018-01-01 63 days 1,578 sqft
    2018-02-01 58 days 1,582 sqft
    2018-03-01 45 days 1,644 sqft
    2018-04-01 36 days 1,686 sqft
    2018-05-01 33 days 1,713 sqft
    2018-06-01 33 days 1,734 sqft
    2018-07-01 36 days 1,723 sqft
    2018-08-01 35 days 1,700 sqft
    2018-09-01 40 days 1,692 sqft
    2018-10-01 43 days 1,642 sqft
    2018-11-01 46 days 1,613 sqft
    2018-12-01 56 days 1,585 sqft
    2019-01-01 61 days 1,582 sqft
    2019-02-01 60 days 1,596 sqft
    2019-03-01 45 days 1,632 sqft
    2019-04-01 36 days 1,684 sqft
    2019-05-01 34 days 1,717 sqft
    2019-06-01 36 days 1,728 sqft
    2019-07-01 37 days 1,724 sqft
    2019-08-01 40 days 1,706 sqft
    2019-09-01 43 days 1,675 sqft
    2019-10-01 45 days 1,651 sqft
    2019-11-01 51 days 1,624 sqft
    2019-12-01 62 days 1,598 sqft
    2020-01-01 69 days 1,584 sqft
    2020-02-01 58 days 1,586 sqft
    2020-03-01 47 days 1,605 sqft
    2020-04-01 59 days 1,620 sqft
    2020-05-01 65 days 1,640 sqft
    2020-06-01 37 days 1,725 sqft
    2020-07-01 37 days 1,740 sqft
    2020-08-01 33 days 1,710 sqft
    2020-09-01 35 days 1,669 sqft
    2020-10-01 36 days 1,641 sqft
    2020-11-01 40 days 1,600 sqft
    2020-12-01 48 days 1,576 sqft
    2021-01-01 51 days 1,557 sqft
    2021-02-01 39 days 1,562 sqft
    2021-03-01 28 days 1,577 sqft
    2021-04-01 22 days 1,595 sqft
    2021-05-01 18 days 1,604 sqft
    2021-06-01 19 days 1,600 sqft
    2021-07-01 22 days 1,590 sqft
    2021-08-01 24 days 1,558 sqft
    2021-09-01 30 days 1,514 sqft
    2021-10-01 31 days 1,493 sqft
    2021-11-01 36 days 1,450 sqft
    2021-12-01 43 days 1,420 sqft
    2022-01-01 52 days 1,406 sqft
    2022-02-01 34 days 1,416 sqft
    2022-03-01 25 days 1,441 sqft
    2022-04-01 22 days 1,486 sqft
    2022-05-01 20 days 1,537 sqft
    2022-06-01 23 days 1,559 sqft
    2022-07-01 28 days 1,551 sqft
    2022-08-01 32 days 1,532 sqft
    2022-09-01 39 days 1,522 sqft
    2022-10-01 39 days 1,500 sqft
    2022-11-01 43 days 1,484 sqft
    2022-12-01 52 days 1,454 sqft
    2023-01-01 62 days 1,444 sqft
    2023-02-01 55 days 1,457 sqft
    2023-03-01 46 days 1,473 sqft
    2023-04-01 37 days 1,508 sqft
    2023-05-01 30 days 1,531 sqft
    2023-06-01 31 days 1,536 sqft
    2023-07-01 32 days 1,532 sqft
    2023-08-01 36 days 1,523 sqft
    2023-09-01 40 days 1,508 sqft
    Detroit's median listing age (time on market) for 2023-09-01 was 40 days. This is 3% longer than the same period one year ago.

    Detroit's median square footage for active listings during the 2023-09-01 period was 1,508 sqft. One year prior, the average listing was 1,522 sqft.

    FHA Loan Requirements

  • Borrowers must have a steady employment history or worked for the same employer for the past two years.
  • Borrowers must have a valid Social Security number, lawful residency in the U.S. and be of legal age to sign a mortgage in your state.
  • Borrowers must pay a minimum down payment of 3.5 percent. The money may be gifted by a family member. (Traditional mortgages do not permit gifted down payments)
  • New FHA loans are only available for primary residence occupancy.
  • Borrowers must have a property appraisal from a FHA-approved appraiser.
  • Borrowers’ front-end ratio (mortgage payment plus HOA fees, property taxes, mortgage insurance, homeowners insurance) needs to be less than 31 percent of their gross income, typically. You may be able to get approved with as high a percentage as 40 percent. Your lender will be required to provide justification as to why they believe the mortgage presents an acceptable risk. The lender must include any compensating factors used for loan approval.
  • Borrowers’ debt to income ratio (mortgage plus all your monthly debt, i.e., credit card payment, car payment, student loans, etc.) needs to be less than 43 percent of their gross income, typically. You may be able to get approved with as high a percentage as 50 percent.
  • Borrowers must have a minimum credit score of 580 for maximum financing with a minimum down payment of 3.5 percent.
  • Borrowers must have a minimum credit score of 500-579 for maximum LTV of 90 percent with a minimum down payment of 10 percent.
  • Bborrowers must be two years out of bankruptcy and have re-established good credit. Exceptions can be made.
  • Typically borrowers must be three years out of foreclosure and have re-established good credit.
  • The purchased property must meet certain minimum standards at appraisal. If the home you are purchasing does not meet these standards and a seller will not agree to the required repairs, your only option is to pay for the required repairs at closing (to be held in escrow until the repairs are complete).