Getting a conventional loan in Michigan: numbers, limits and rules
On Michigan’s rough $250,000 median, a conventional loan with 5% down means $12,500 at closing and about $1,937 a month with taxes and mortgage insurance; with 20% down, $50,000 and about $1,552. Everything below is worked on those numbers and on the state rules that change them.
| Conforming limit (2026, one unit) | $832,750 baseline — all 83 counties, no FHFA high-cost area |
|---|---|
| Median home price (approx.) | $250,000 — statewide order of magnitude |
| 20% down on the median | $50,000 down, loan $200,000, about $1,264/month P&I at 6.5% |
| 5% down on the median | $12,500 down, loan $237,500, about $1,501/month P&I + about $148 PMI |
| PMI ends (5% down, scheduled payments) | request at 80% after about 10 years and 4 months, automatic at 78% after about 11 years and 3 months |
| Property tax (effective) | about 1.38% — roughly $3,450 a year on the median |
| Closing practice | Title company closing state |
The Michigan conforming limit and where jumbo starts
Two numbers decide the question in Michigan: the 2026 conforming limit of $832,750 and the price you pay. Keep the loan at or under the limit — by price, by down payment, or with a conforming first plus a second lien — and you get Fannie/Freddie pricing and flexibility (3% down programs, automated underwriting, appraisal waivers). At the state median of $250,000, every scenario below is conforming. Every Michigan county is in the table below; see conforming loan limits and jumbo loans.
Michigan loan limits, county by county (2026)
FHFA sets the limit county by county, but for 2026 every one of Michigan’s 83 counties sits at the national baseline: $832,750 for a one-unit home, $1,066,250 for two units, $1,288,800 for three and $1,601,750 for four. The table is here so you can confirm your county rather than assume.
| County | 1 unit | 2 units | 3 units | 4 units |
|---|---|---|---|---|
| Alcona County | $832,750 | $1,066,250 | $1,288,800 | $1,601,750 |
| Alger County | $832,750 | $1,066,250 | $1,288,800 | $1,601,750 |
| Allegan County | $832,750 | $1,066,250 | $1,288,800 | $1,601,750 |
| Alpena County | $832,750 | $1,066,250 | $1,288,800 | $1,601,750 |
| Antrim County | $832,750 | $1,066,250 | $1,288,800 | $1,601,750 |
| Arenac County | $832,750 | $1,066,250 | $1,288,800 | $1,601,750 |
| Baraga County | $832,750 | $1,066,250 | $1,288,800 | $1,601,750 |
| Barry County | $832,750 | $1,066,250 | $1,288,800 | $1,601,750 |
| Bay County | $832,750 | $1,066,250 | $1,288,800 | $1,601,750 |
| Benzie County | $832,750 | $1,066,250 | $1,288,800 | $1,601,750 |
| Berrien County | $832,750 | $1,066,250 | $1,288,800 | $1,601,750 |
| Branch County | $832,750 | $1,066,250 | $1,288,800 | $1,601,750 |
| Calhoun County | $832,750 | $1,066,250 | $1,288,800 | $1,601,750 |
| Cass County | $832,750 | $1,066,250 | $1,288,800 | $1,601,750 |
| Charlevoix County | $832,750 | $1,066,250 | $1,288,800 | $1,601,750 |
| Cheboygan County | $832,750 | $1,066,250 | $1,288,800 | $1,601,750 |
| Chippewa County | $832,750 | $1,066,250 | $1,288,800 | $1,601,750 |
| Clare County | $832,750 | $1,066,250 | $1,288,800 | $1,601,750 |
| Clinton County | $832,750 | $1,066,250 | $1,288,800 | $1,601,750 |
| Crawford County | $832,750 | $1,066,250 | $1,288,800 | $1,601,750 |
| Delta County | $832,750 | $1,066,250 | $1,288,800 | $1,601,750 |
| Dickinson County | $832,750 | $1,066,250 | $1,288,800 | $1,601,750 |
| Eaton County | $832,750 | $1,066,250 | $1,288,800 | $1,601,750 |
| Emmet County | $832,750 | $1,066,250 | $1,288,800 | $1,601,750 |
| Genesee County | $832,750 | $1,066,250 | $1,288,800 | $1,601,750 |
| Gladwin County | $832,750 | $1,066,250 | $1,288,800 | $1,601,750 |
| Gogebic County | $832,750 | $1,066,250 | $1,288,800 | $1,601,750 |
| Grand Traverse County | $832,750 | $1,066,250 | $1,288,800 | $1,601,750 |
| Gratiot County | $832,750 | $1,066,250 | $1,288,800 | $1,601,750 |
| Hillsdale County | $832,750 | $1,066,250 | $1,288,800 | $1,601,750 |
| Houghton County | $832,750 | $1,066,250 | $1,288,800 | $1,601,750 |
| Huron County | $832,750 | $1,066,250 | $1,288,800 | $1,601,750 |
| Ingham County | $832,750 | $1,066,250 | $1,288,800 | $1,601,750 |
| Ionia County | $832,750 | $1,066,250 | $1,288,800 | $1,601,750 |
| Iosco County | $832,750 | $1,066,250 | $1,288,800 | $1,601,750 |
| Iron County | $832,750 | $1,066,250 | $1,288,800 | $1,601,750 |
| Isabella County | $832,750 | $1,066,250 | $1,288,800 | $1,601,750 |
| Jackson County | $832,750 | $1,066,250 | $1,288,800 | $1,601,750 |
| Kalamazoo County | $832,750 | $1,066,250 | $1,288,800 | $1,601,750 |
| Kalkaska County | $832,750 | $1,066,250 | $1,288,800 | $1,601,750 |
| Kent County | $832,750 | $1,066,250 | $1,288,800 | $1,601,750 |
| Keweenaw County | $832,750 | $1,066,250 | $1,288,800 | $1,601,750 |
| Lake County | $832,750 | $1,066,250 | $1,288,800 | $1,601,750 |
| Lapeer County | $832,750 | $1,066,250 | $1,288,800 | $1,601,750 |
| Leelanau County | $832,750 | $1,066,250 | $1,288,800 | $1,601,750 |
| Lenawee County | $832,750 | $1,066,250 | $1,288,800 | $1,601,750 |
| Livingston County | $832,750 | $1,066,250 | $1,288,800 | $1,601,750 |
| Luce County | $832,750 | $1,066,250 | $1,288,800 | $1,601,750 |
| Mackinac County | $832,750 | $1,066,250 | $1,288,800 | $1,601,750 |
| Macomb County | $832,750 | $1,066,250 | $1,288,800 | $1,601,750 |
| Manistee County | $832,750 | $1,066,250 | $1,288,800 | $1,601,750 |
| Marquette County | $832,750 | $1,066,250 | $1,288,800 | $1,601,750 |
| Mason County | $832,750 | $1,066,250 | $1,288,800 | $1,601,750 |
| Mecosta County | $832,750 | $1,066,250 | $1,288,800 | $1,601,750 |
| Menominee County | $832,750 | $1,066,250 | $1,288,800 | $1,601,750 |
| Midland County | $832,750 | $1,066,250 | $1,288,800 | $1,601,750 |
| Missaukee County | $832,750 | $1,066,250 | $1,288,800 | $1,601,750 |
| Monroe County | $832,750 | $1,066,250 | $1,288,800 | $1,601,750 |
| Montcalm County | $832,750 | $1,066,250 | $1,288,800 | $1,601,750 |
| Montmorency County | $832,750 | $1,066,250 | $1,288,800 | $1,601,750 |
| Muskegon County | $832,750 | $1,066,250 | $1,288,800 | $1,601,750 |
| Newaygo County | $832,750 | $1,066,250 | $1,288,800 | $1,601,750 |
| Oakland County | $832,750 | $1,066,250 | $1,288,800 | $1,601,750 |
| Oceana County | $832,750 | $1,066,250 | $1,288,800 | $1,601,750 |
| Ogemaw County | $832,750 | $1,066,250 | $1,288,800 | $1,601,750 |
| Ontonagon County | $832,750 | $1,066,250 | $1,288,800 | $1,601,750 |
| Osceola County | $832,750 | $1,066,250 | $1,288,800 | $1,601,750 |
| Oscoda County | $832,750 | $1,066,250 | $1,288,800 | $1,601,750 |
| Otsego County | $832,750 | $1,066,250 | $1,288,800 | $1,601,750 |
| Ottawa County | $832,750 | $1,066,250 | $1,288,800 | $1,601,750 |
| Presque Isle County | $832,750 | $1,066,250 | $1,288,800 | $1,601,750 |
| Roscommon County | $832,750 | $1,066,250 | $1,288,800 | $1,601,750 |
| Saginaw County | $832,750 | $1,066,250 | $1,288,800 | $1,601,750 |
| Sanilac County | $832,750 | $1,066,250 | $1,288,800 | $1,601,750 |
| Schoolcraft County | $832,750 | $1,066,250 | $1,288,800 | $1,601,750 |
| Shiawassee County | $832,750 | $1,066,250 | $1,288,800 | $1,601,750 |
| St. Clair County | $832,750 | $1,066,250 | $1,288,800 | $1,601,750 |
| St. Joseph County | $832,750 | $1,066,250 | $1,288,800 | $1,601,750 |
| Tuscola County | $832,750 | $1,066,250 | $1,288,800 | $1,601,750 |
| Van Buren County | $832,750 | $1,066,250 | $1,288,800 | $1,601,750 |
| Washtenaw County | $832,750 | $1,066,250 | $1,288,800 | $1,601,750 |
| Wayne County | $832,750 | $1,066,250 | $1,288,800 | $1,601,750 |
| Wexford County | $832,750 | $1,066,250 | $1,288,800 | $1,601,750 |
Source: FHFA, Conforming Loan Limit Values for 2026 (county list, mortgages acquired in calendar year 2026). Limits are for Fannie Mae and Freddie Mac loans; FHA and VA use their own county figures.
Down payment and monthly payment, four ways
Illustrative 6.5% 30-year fixed rate, principal and interest only; mortgage insurance at typical market rates for each down payment (it varies with credit score); property tax at the state’s approximate 1.38% effective rate. Homeowners insurance and any HOA come on top. None of it is an offer.
| Down payment | Cash down | Loan | P&I | PMI (est.) | Property tax | Monthly total |
|---|---|---|---|---|---|---|
| 3% | $7,500 | $242,500 | $1,533 | $182 | $288 | $2,003 |
| 5% | $12,500 | $237,500 | $1,501 | $148 | $288 | $1,937 |
| 10% | $25,000 | $225,000 | $1,422 | $94 | $288 | $1,804 |
| 20% | $50,000 | $200,000 | $1,264 | — | $288 | $1,552 |
Below 20% down, the 3% and 5% programs (HomeReady, Home Possible, Conventional 97) have income or first-time conditions; see 3% down conventional loans.
The PMI timeline on a Michigan purchase
Mortgage insurance on a conventional loan is temporary. With only the scheduled payments at 6.5%, the Michigan buyer who put 5% down reaches the 80% request point after about 10 years and 4 months and the 78% automatic point after about 11 years and 3 months; with 10% down the request point comes after about 7 years and 11 months. Paying an extra $150 a month toward principal, or asking for cancellation on a new appraisal after two years of appreciation, shortens the clock. The full rules are on how to remove PMI.
Closing costs and taxes in Michigan
Michigan closings are conducted by title companies, which search title, issue the policies, prepare the settlement statement and record the mortgage, with attorneys involved only when a party retains one. Lenders fund at signing, and buyers typically pay 2 percent to 3 percent of the price in closing costs while sellers customarily buy the owner’s title policy. The title agent also collects the state and county transfer taxes from the seller at the table.
Michigan has no mortgage tax or intangible tax on the note; the register of deeds charges a flat $30 per document to record a mortgage or deed regardless of page count (MCL 600.2567, since 2016). On the deed, the state real estate transfer tax of $3.75 per $500 plus a county tax of 55 cents per $500 is paid by the seller. A refinancing borrower therefore owes only the $30 recording fee plus a discharge fee on the old lien. Michigan’s state real estate transfer tax is $3.75 per $500 (0.75%) plus a county tax of $0.55 per $500 (0.11%), both customarily paid by the seller.
With the transfer taxes on the seller, Michigan buyer closing costs typically total 2% to 3% of the price; property taxes are billed in summer and winter, and Michigan’s taxable-value cap resets on sale, so a new buyer’s tax bill can jump above the seller’s.
Prepayment, spouses and homestead in Michigan
Prepayment. Michigan permits a prepayment penalty on a first-lien residential loan made by a non-depository lender only within the first three years and only up to 1 percent of the amount prepaid, under MCL 438.31c, and forbids any penalty after that. Fannie Mae and Freddie Mac do not buy loans with prepayment penalties, so a conforming loan will not carry one.
Spouses and title. Michigan is a separate-property state, and since April 2017 dower has been abolished (Public Act 489 of 2016), so a wife who is not on title no longer signs to release a dower interest.
Homestead. Michigan’s ordinary creditor homestead exemption under MCL 600.6023 is an antique $3,500, but debtors in bankruptcy may instead use the state exemption in MCL 600.5451, which is adjusted every three years and currently sits in the mid-forty-thousands, with a higher figure for owners 65 and older or disabled.
The complete state layer — licensing, predatory-lending limits, disclosures, foreclosure — is on mortgage laws in Michigan.
Frequently asked questions
What is the conforming loan limit in Michigan for 2026?
For 2026, $832,750 (one unit) in all 83 Michigan counties — the national baseline, with no county above it. The county table on this page lists the two-, three- and four-unit figures. Above the limit, the loan is jumbo and follows lender rules.
When can I cancel PMI on a conventional loan in Michigan?
Two thresholds apply everywhere, including Michigan: you may ask at 80% loan-to-value (original value, good payment history) and the servicer must stop charging at 78%. Scheduled payments on a $237,500 loan at 6.5% reach 80% of a $250,000 price after about 10 years and 4 months. Fannie Mae and Freddie Mac also allow cancellation on a new appraisal after enough seasoning.
Does Michigan add anything to a conventional loan’s closing costs?
Michigan has no mortgage tax or intangible tax on the note; the register of deeds charges a flat $30 per document to record a mortgage or deed regardless of page count (MCL 600.2567, since 2016). Michigan’s state real estate transfer tax is $3.75 per $500 (0.75%) plus a county tax of $0.55 per $500 (0.11%), both customarily paid by the seller. With the transfer taxes on the seller, Michigan buyer closing costs typically total 2% to 3% of the price; property taxes are billed in summer and winter, and Michigan’s taxable-value cap resets on sale, so a new buyer’s tax bill can jump above the seller’s.
Official sources for Michigan
- Michigan State Housing Development Authority (MSHDA): the state housing finance agency (first-time buyer loans, down payment assistance)
- Michigan Department of Insurance and Financial Services: licenses mortgage lenders and brokers and takes complaints
- NMLS Consumer Access: check any lender’s or loan officer’s license
- FHFA conforming loan limit files: the county limits shown on this page
Links checked September 22, 2026. Researched and edited by Clément Lacaille (Tech-Bharat); how we research.
Sources
Related: Assumable mortgages: taking over a seller’s low rate, and what it really costs, How to compare mortgage offers: reading the Loan Estimate line by line, Renovation loans: HomeStyle, CHOICERenovation and FHA 203(k) compared, Loan-level price adjustments: why two borrowers get different rates on the same loan. First home in Michigan: programs and assistance. Hub: Conventional loan.