Grand Rapids FHA Loan Rates, Closing Costs & Stats

GRAND RAPIDS-KENTWOOD, MI

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.

Grand Rapids's 111 lenders originated 1,617 FHA loans during 2023. The total origination value was $390,465,000, with an average FHA loan value of $241,475.

Grand Rapids FHA Loans, 30 Year Fixed Rates

30 Year FHA mortgages in Grand Rapids averaged 6.85% for the week of 2024-04-12, compared to the national average (all FHA variants) of 6.739% for the same period.

Grand Rapids's average FHA mortgage closing costs are $6,982.

The average rate for the prior week (2024-04-05) was 6.68% and one month ago for the week of 2024-03-08, the average rate was 6.82%.

The average rate one year ago was 6.55%.

For refis of the same type during the week of 2024-04-12, the average rate was 6.85%.

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

Grand Rapids 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 Grand Rapids level.

Name # of Loans 2023 Avg. 30yFix Rate 2023 Avg. Closing Costs
QUICKEN LOANS, LLC 222 6.23% $10,222
UNITED WHOLESALE MORTGAGE, LLC 181 6.43% $11,419
Neighborhood Loans, Inc. 122 6.92% $11,392
LAKE MICHIGAN CREDIT UNION 71 6.61% $8,276
MORTGAGE 1 INCORPORATED 48 6.78% $11,967
SUCCESS MORTGAGE PARTNERS, INC. 45 6.90% $13,040
FIRST COMMUNITY MORTGAGE, INC. 45 6.60% $10,950
Fifth Third Bank 36 6.49% $6,164
NEWREZ LLC 32 6.61% $10,125
Mr. Cooper ( Nationstar Mortgage ) 30 6.08% $13,742
VAN DYK MORTGAGE CORPORATION 28 6.97% $8,122
Northpointe Bank 28 6.75% $11,667
Carrington Mortgage Services, LLC 26 6.25% $12,157
Flagstar Bank, FSB 26 6.82% $9,584
The Huntington National Bank 25 6.92% $8,494
HOMESTAR FINANCIAL CORPORATION 23 6.82% $8,061
Mercantile Bank of Michigan 22 6.81% $7,848
MMS MORTGAGE SERVICES, LTD. 22 6.70% $7,377
GUILD MORTGAGE COMPANY 20 6.86% $10,224
CROSSCOUNTRY MORTGAGE, LLC 20 6.64% $10,005
NORTHERN MORTGAGE SERVICES, LLC 19 6.69% $10,498
UNION HOME MORTGAGE CORP. 19 6.89% $10,995
LOANDEPOT.COM, LLC 18 6.54% $12,603
ARK-LA-TEX FINANCIAL SERVICES, LLC. 17 6.74% $9,316
GSF Mortgage Corporation 15 6.38% $8,957
PENNYMAC LOAN SERVICES, LLC 14 6.43% $10,552
FREEDOM MORTGAGE CORPORATION 14 6.90% $13,747
CHURCHILL MORTGAGE CORPORATION 14 6.71% $11,033
BROKER SOLUTIONS, INC. 14 6.93% $10,433
Horizon Bank 12 6.46% $9,538
Independent Bank 12 6.94% $6,550
MUTUAL OF OMAHA MORTGAGE, INC. 12 6.52% $13,090
UNITED 11 6.75% $9,830
Preston Home Loans Inc 10 7.44% $9,835
CARDINAL FINANCIAL 10 6.80% $12,957
AMERICAN PACIFIC MORTGAGE CORPORATION 10 6.80% $11,510
LAKEVIEW LOAN SERVICING, LLC 10 5.98% $10,679
MICHIGAN FIRST CREDIT UNION 9 6.86% $7,626
TOP FLITE FINANCIAL, INC. 8 6.75% $15,059
AMERISAVE MORTGAGE CORPORATION 7 6.23% $12,727
GUARANTEED RATE, INC. 6 6.63% $8,595
RUOFF MORTGAGE COMPANY, INC. 6 7.04% $6,857
The Dart Bank 6 6.98% $10,795
T2 FINANCIAL LLC 6 6.85% $9,081
JPMorgan Chase Bank 6 7.17% $6,633
Paramount Residential Mortgage Group, Inc. 6 6.77% $10,853
PHH Mortgage Corporation 5 6.80% $11,867
Platinum Home Mortgage Corporation 5 6.08% $14,329
FAIRWAY INDEPENDENT MORTGAGE CORPORATION 5 7.02% $10,024
ACADEMY MORTGAGE CORPORATION 5 6.98% $9,646
BM Real Estate Services, Inc. 5 6.95% $10,893
TOWNE MORTGAGE COMPANY 4 6.44% $13,264
J. VIRGIL, INC. 4 7.34% $8,878
CONTOUR MORTGAGE CORPORATION 4 6.63% $12,445
AMERICAN FINANCIAL RESOURCES, INC. 4 6.75% $10,546
MICHIGAN MUTUAL, INC. 4 6.69% $10,850
PLANET HOME LENDING, LLC 4 6.31% $7,578
GVC MORTGAGE, INC. 3 6.96% $10,263
AMERICAN FINANCING CORPORATION 3 6.71% $11,091
AmeriHome Mortgage Company, LLC 3 6.50% $9,476
CALIBER HOME LOANS, INC. 3 6.25% $8,436
EMM LOANS LLC 3 5.71% $11,255
NATIONS DIRECT MORTGAGE, LLC 3 7.42% $11,066
Nations Lending Corporation 3 6.25% $9,745
Plains Commerce Bank 3 7.13% $13,757
STOCKTON MORTGAGE CORPORATION 3 6.50% $8,254
SUN WEST MORTGAGE COMPANY, INC. 3 6.92% $16,110
The Federal Savings Bank 3 6.58% $13,444
The Loan Store, Inc. 2 7.06% $14,922
ROSS MORTGAGE CORPORATION 2 6.06% $10,165
Old National Bank 2 6.44% $8,792
MID AMERICA MORTGAGE, INC. 2 7.31% $5,363
Bank of America 2 6.19% $3,800
Comerica Bank 2 6.75% $7,440
VILLAGE CAPITAL MORTGAGE 2 6.13% $10,561
LIBERTY HOME MORTGAGE CORPORATION 2 7.13% $12,492
CMG MORTGAGE, INC. 2 6.44% $9,199
FIRST STATE MORTGAGE SERVICES, LLC 1 6.13% $9,633
First State Bank 1 7.38% $11,327
AMERICAN PORTFOLIO MORTGAGE CORPORATION 1 6.38% $7,119
First Merchants Bank 1 5.75% $8,902
FIRST COLONY MORTGAGE CORPORATION 1 7.25% $11,162
PLAZA HOME MORTGAGE, INC. 1 6.63% $10,642
EVERETT FINANCIAL, INC. 1 7.63% $10,263
Prosperity Home Mortgage, LLC 1 6.63% $11,647
Equity Prime Mortgage LLC 1 7.13% $7,884
RELIANCE FIRST CAPITAL, LLC 1 6.88% $13,643
Residential Mortgage Solutions, Inc. 1 6.13% $11,246
ROYAL UNITED MORTGAGE LLC 1 7.25% $9,744
DRAPER AND KRAMER MORTGAGE CORP. 1 6.63% $10,240
STAUNTON FINANCIAL, INC. 1 6.99% $10,506
LEGEND LENDING CORPORATION 1 7.13% $18,210
Dakota Community Bank & Trust 1 5.75% $10,042
SUMMIT FUNDING, INC. 1 7.25% $14,682
AMERICAN FINANCIAL NETWORK, INC. 1 6.75% $14,054
COMPASS MORTGAGE, INC. 1 7.13% $8,901
Century Mortgage Company DBA Century Lending Company 1 6.25% $21,082
BECKAM FUNDING CORP. 1 8.25% $13,874
MEMBER FIRST MORTGAGE, LLC 1 7.13% $10,477
MORTGAGE CENTER L.C 1 7.25% $6,710
Mortgage Research Center, LLC 1 6.25% $15,591
M&T Bank 1 6.13% $8,097
U.S. Bank 1 7.25% $5,065
Barrington Bank & Trust Company, N.A. 1 7.25% $9,609
LEADERONE FINANCIAL CORPORATION 1 6.75% $12,040
Lakeview Community Capital, LLC 1 5.75% $9,232
Honor Credit Union 1 6.75% $8,488
HOMESIDE FINANCIAL, LLC 1 7.12% $17,971
OCMBC, INC. 1 7.75% $11,713
ON Q FINANCIAL, INC. 1 7.13% $12,959
GUARANTEED RATE AFFINITY, LLC 1 7.38% $8,468

The top Grand Rapids FHA lender as defined by loan originations is QUICKEN LOANS, LLC, with 222 FHA loans originated. Their average total fees are $10,222, which is $1,197 lower than the next largest lender, UNITED WHOLESALE MORTGAGE, LLC.

The lowest fee Grand Rapids FHA lenders (with over 10 loans originated) are Fifth Third Bank ($6,164), Independent Bank ($6,550), MMS MORTGAGE SERVICES, LTD. ($7,377), Mercantile Bank of Michigan ($7,848) and HOMESTAR FINANCIAL CORPORATION ($8,061).

The lowest rate Grand Rapids FHA lenders (with over 10 loans originated) are LAKEVIEW LOAN SERVICING, LLC (5.98%), Mr. Cooper ( Nationstar Mortgage ) (6.08%), QUICKEN LOANS, LLC (6.23%), Carrington Mortgage Services, LLC (6.25%) and GSF Mortgage Corporation (6.38%).

Grand Rapids FHA Loan Limits

Metro County Year Single Family Limit 2 Family Limit 3 Family Limit 4 Family Limit
GRAND RAPIDS-KENTWOOD, MI IONIA 2022 $420,680 $538,650 $651,050 $809,150
GRAND RAPIDS-KENTWOOD, MI KENT 2022 $420,680 $538,650 $651,050 $809,150
GRAND RAPIDS-KENTWOOD, MI MONTCALM 2022 $420,680 $538,650 $651,050 $809,150
GRAND RAPIDS-KENTWOOD, MI OTTAWA 2022 $420,680 $538,650 $651,050 $809,150
GRAND RAPIDS-KENTWOOD, MI IONIA 2023 $472,030 $604,400 $730,525 $907,900
GRAND RAPIDS-KENTWOOD, MI KENT 2023 $472,030 $604,400 $730,525 $907,900
GRAND RAPIDS-KENTWOOD, MI MONTCALM 2023 $472,030 $604,400 $730,525 $907,900
GRAND RAPIDS-KENTWOOD, MI OTTAWA 2023 $472,030 $604,400 $730,525 $907,900

Market Conditions (Median, Average Prices & Listing Count)

Realtor.com - Grand Rapids (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 $252,400 (-1.5%) $313,883 (-15.0%) 0.94 1,851
2018-02-01 $261,150 (-3.8%) $327,854 (-13.2%) 0.95 1,689
2018-03-01 $269,900 (-4.5%) $339,467 (-13.0%) 0.95 1,674
2018-04-01 $279,125 (-0.3%) $352,556 (-4.6%) 0.95 1,730
2018-05-01 $279,900 (5.8%) $353,645 (4.2%) 0.93 1,911
2018-06-01 $279,900 (10.9%) $352,457 (8.6%) 0.93 2,226
2018-07-01 $277,225 (11.4%) $346,003 (9.3%) 0.93 2,388
2018-08-01 $269,900 (11.3%) $340,488 (10.3%) 0.90 2,709
2018-09-01 $269,900 (12.5%) $336,615 (9.6%) 0.91 2,771
2018-10-01 $272,400 (11.2%) $340,327 (10.2%) 0.92 2,747
2018-11-01 $269,900 (12.5%) $335,381 (9.3%) 0.91 2,658
2018-12-01 $274,900 (14.5%) $332,657 (8.8%) 0.95 2,406
2019-01-01 $274,950 (8.9%) $330,189 (5.2%) 0.95 2,137
2019-02-01 $279,950 (7.2%) $337,216 (2.9%) 0.95 1,962
2019-03-01 $286,429 (6.1%) $351,273 (3.5%) 0.94 1,956
2019-04-01 $296,538 (6.2%) $369,896 (4.9%) 0.94 2,031
2019-05-01 $294,850 (5.3%) $371,465 (5.0%) 0.92 2,154
2019-06-01 $291,900 (4.3%) $369,610 (4.9%) 0.91 2,377
2019-07-01 $291,325 (5.1%) $365,757 (5.7%) 0.91 2,588
2019-08-01 $284,459 (5.4%) $358,828 (5.4%) 0.90 2,678
2019-09-01 $276,298 (2.4%) $350,040 (4.0%) 0.88 2,790
2019-10-01 $269,925 (-0.9%) $343,915 (1.1%) 0.87 2,846
2019-11-01 $274,000 (1.5%) $345,181 (2.9%) 0.90 2,598
2019-12-01 $274,900 (0.0%) $343,858 (3.4%) 0.92 2,268
2020-01-01 $282,400 (2.7%) $346,209 (4.9%) 0.94 1,953
2020-02-01 $299,900 (7.1%) $371,266 (10.1%) 0.98 1,802
2020-03-01 $299,900 (4.7%) $374,572 (6.6%) 0.94 1,744
2020-04-01 $309,000 (4.2%) $381,101 (3.0%) 0.97 1,750
2020-05-01 $315,000 (6.8%) $396,837 (6.8%) 0.96 1,943
2020-06-01 $314,900 (7.9%) $408,646 (10.6%) 0.93 1,786
2020-07-01 $310,100 (6.4%) $405,192 (10.8%) 0.90 1,677
2020-08-01 $309,000 (8.6%) $398,176 (11.0%) 0.89 1,604
2020-09-01 $304,450 (10.2%) $400,458 (14.4%) 0.87 1,461
2020-10-01 $292,068 (8.2%) $386,971 (12.5%) 0.84 1,457
2020-11-01 $299,400 (9.3%) $393,605 (14.0%) 0.88 1,320
2020-12-01 $299,950 (9.1%) $395,258 (15.0%) 0.89 1,100
2021-01-01 $306,500 (8.5%) $395,560 (14.3%) 0.91 904
2021-02-01 $314,950 (5.0%) $415,283 (11.9%) 0.92 769
2021-03-01 $315,425 (5.2%) $414,350 (10.6%) 0.89 762
2021-04-01 $309,950 (0.3%) $424,437 (11.4%) 0.84 708
2021-05-01 $310,000 (-1.6%) $435,413 (9.7%) 0.82 742
2021-06-01 $317,225 (0.7%) $435,628 (6.6%) 0.84 901
2021-07-01 $307,500 (-0.8%) $438,244 (8.2%) 0.81 1,034
2021-08-01 $307,400 (-0.5%) $436,790 (9.7%) 0.82 1,110
2021-09-01 $307,975 (1.2%) $424,954 (6.1%) 0.82 1,140
2021-10-01 $309,900 (6.1%) $416,010 (7.5%) 0.83 1,117
2021-11-01 $315,000 (5.2%) $425,675 (8.2%) 0.84 978
2021-12-01 $310,850 (3.6%) $424,196 (7.3%) 0.84 781
2022-01-01 $332,000 (8.3%) $449,643 (13.7%) 0.90 608
2022-02-01 $347,175 (10.2%) $452,737 (9.0%) 0.90 540
2022-03-01 $342,450 (8.6%) $450,795 (8.8%) 0.86 597
2022-04-01 $350,000 (12.9%) $451,517 (6.4%) 0.83 653
2022-05-01 $362,450 (16.9%) $462,923 (6.3%) 0.83 899
2022-06-01 $375,000 (18.2%) $463,534 (6.4%) 0.84 1,168
2022-07-01 $375,000 (22.0%) $463,277 (5.7%) 0.84 1,396
2022-08-01 $377,450 (22.8%) $465,647 (6.6%) 0.87 1,435
2022-09-01 $364,900 (18.5%) $453,735 (6.8%) 0.85 1,429
2022-10-01 $355,000 (14.6%) $446,272 (7.3%) 0.84 1,435
2022-11-01 $359,900 (14.3%) $438,737 (3.1%) 0.87 1,404
2022-12-01 $364,400 (17.2%) $435,654 (2.7%) 0.90 1,168
2023-01-01 $373,600 (12.5%) $454,880 (1.2%) 0.93 1,000
2023-02-01 $399,175 (15.0%) $485,024 (7.1%) 0.96 868
2023-03-01 $399,875 (16.8%) $503,127 (11.6%) 0.94 825
2023-04-01 $410,320 (17.2%) $516,568 (14.4%) 0.95 857
2023-05-01 $412,400 (13.8%) $521,916 (12.7%) 0.94 915
2023-06-01 $419,900 (12.0%) $533,855 (15.2%) 0.94 993
2023-07-01 $414,088 (10.4%) $535,608 (15.6%) 0.94 1,066
2023-08-01 $399,900 (6.0%) $522,685 (12.3%) 0.92 1,212
2023-09-01 $399,000 (9.4%) $506,038 (11.5%) 0.93 1,298
2023-10-01 $389,975 (9.9%) $506,991 (13.6%) 0.92 1,405
2023-11-01 $389,950 (8.4%) $506,427 (15.4%) 0.93 1,269
2023-12-01 $394,950 (8.4%) $509,980 (17.1%) 0.96 1,077
2024-01-01 $403,500 (8.0%) $531,715 (16.9%) 0.99 924
2024-02-01 $415,000 (4.0%) $546,920 (12.8%) 1.00 855
2024-03-01 $419,880 (5.0%) $549,484 (9.2%) 0.99 878
Grand Rapids's median listing price for 2024-03-01 was $419,880, a difference of $20,005 (5.0%) versus the prior year and $4,880 versus the prior month.

Grand Rapids's median listing price comes in at 99% of the national average.

Grand Rapids's average listing price for 2024-03-01 was $549,484, a difference of $46,357 (9.2%) versus the prior year and $2,564 versus the prior month.

For the 2024-03-01 period, Grand Rapids had 878 MLS listings, a difference of 23 listings (3%) versus the prior month and 53 listings (6%) versus the prior year.

Median Listing Time on Market & Square Footage

Realtor.com - Grand Rapids (CBSA) retrieved from FRED, Federal Reserve Bank of St. Louis
Date Median Listing Time on Market Median Square Footage
2018-01-01 72 days 2,036 sqft
2018-02-01 59 days 2,040 sqft
2018-03-01 37 days 2,061 sqft
2018-04-01 33 days 2,085 sqft
2018-05-01 26 days 2,114 sqft
2018-06-01 29 days 2,106 sqft
2018-07-01 33 days 2,131 sqft
2018-08-01 33 days 2,079 sqft
2018-09-01 40 days 2,050 sqft
2018-10-01 45 days 2,053 sqft
2018-11-01 51 days 2,040 sqft
2018-12-01 64 days 2,025 sqft
2019-01-01 72 days 1,992 sqft
2019-02-01 70 days 2,015 sqft
2019-03-01 49 days 2,036 sqft
2019-04-01 36 days 2,068 sqft
2019-05-01 29 days 2,083 sqft
2019-06-01 31 days 2,104 sqft
2019-07-01 35 days 2,114 sqft
2019-08-01 38 days 2,092 sqft
2019-09-01 38 days 2,056 sqft
2019-10-01 41 days 2,031 sqft
2019-11-01 51 days 2,005 sqft
2019-12-01 64 days 1,961 sqft
2020-01-01 70 days 1,951 sqft
2020-02-01 62 days 2,008 sqft
2020-03-01 44 days 2,027 sqft
2020-04-01 52 days 2,048 sqft
2020-05-01 57 days 2,073 sqft
2020-06-01 39 days 2,065 sqft
2020-07-01 44 days 2,059 sqft
2020-08-01 42 days 2,058 sqft
2020-09-01 41 days 2,036 sqft
2020-10-01 40 days 1,957 sqft
2020-11-01 43 days 1,919 sqft
2020-12-01 54 days 1,889 sqft
2021-01-01 58 days 1,870 sqft
2021-02-01 38 days 1,899 sqft
2021-03-01 35 days 1,914 sqft
2021-04-01 32 days 1,936 sqft
2021-05-01 31 days 1,944 sqft
2021-06-01 27 days 1,967 sqft
2021-07-01 32 days 1,966 sqft
2021-08-01 31 days 1,942 sqft
2021-09-01 35 days 1,923 sqft
2021-10-01 36 days 1,871 sqft
2021-11-01 39 days 1,874 sqft
2021-12-01 46 days 1,846 sqft
2022-01-01 52 days 1,874 sqft
2022-02-01 35 days 1,881 sqft
2022-03-01 30 days 1,874 sqft
2022-04-01 25 days 1,948 sqft
2022-05-01 20 days 1,998 sqft
2022-06-01 23 days 2,028 sqft
2022-07-01 30 days 2,060 sqft
2022-08-01 34 days 2,058 sqft
2022-09-01 38 days 2,012 sqft
2022-10-01 38 days 2,007 sqft
2022-11-01 42 days 1,974 sqft
2022-12-01 57 days 1,961 sqft
2023-01-01 63 days 1,974 sqft
2023-02-01 50 days 2,014 sqft
2023-03-01 43 days 2,032 sqft
2023-04-01 38 days 2,092 sqft
2023-05-01 33 days 2,080 sqft
2023-06-01 32 days 2,105 sqft
2023-07-01 33 days 2,092 sqft
2023-08-01 34 days 2,053 sqft
2023-09-01 37 days 2,028 sqft
2023-10-01 40 days 1,978 sqft
2023-11-01 44 days 1,966 sqft
2023-12-01 53 days 1,984 sqft
2024-01-01 60 days 2,000 sqft
2024-02-01 51 days 1,974 sqft
2024-03-01 36 days 2,011 sqft
Grand Rapids's median listing age (time on market) for 2024-03-01 was 36 days. This is -16% shorter than the same period one year ago.

Grand Rapids's median square footage for active listings during the 2024-03-01 period was 2,011 sqft. One year prior, the average listing was 2,032 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).