FHA · Grand Rapids

FHA Loans (Investor Angle) in Grand Rapids, MI

Loan-size math and qualifying analysis for FHA financing on Grand Rapids's $310k median home value. Strong fit.

Recommendation

Strong fit for Grand Rapids.

Grand Rapids medians ($310k) sit below FHA loan limits in most counties, and rental fit (90/100) makes house-hacking 2-4 unit FHA acquisition viable here.

Loan math · Grand Rapids

Payment on Grand Rapids's $310k median.

Median home value (Grand Rapids)$309,801
Assumed LTV97%
Loan amount$298,958
Cash to close (down payment)$10,843
Assumed rate6.75%
Term30-year amortizing
Monthly P&I$1,939/mo
What it is

FHA financing — the mechanics.

A residential mortgage insured by the Federal Housing Administration. Low down-payment + flexible credit. Critically for investors: FHA loans are assumable — a new buyer can take over the original loan with the same rate and terms (subject to lender approval).

Original FHA: 580+ FICO, 3.5% down, owner-occupancy required at origination. Assumption: new buyer needs ~$500-1,500 fee + creditworthiness check + occupancy intent.

State context · Michigan

How Michigan law affects this loan.

Michigan is landlord-friendly on landlord-tenant law. See full FHA in Michigan breakdown.

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FAQ

Frequently asked.

What's the typical FHA loan size for a property in Grand Rapids?

On Grand Rapids's $310k median home value, a FHA loan at the standard 97% LTV would be approximately $299k, requiring $11k down.

What's the monthly payment on a typical FHA loan in Grand Rapids?

Fully-amortizing 30-year payment on a $299k FHA loan at the typical rate of 6.75% would be approximately $2k/month, excluding taxes and insurance.

Is Grand Rapids a good market for FHA financing?

Grand Rapids medians ($310k) sit below FHA loan limits in most counties, and rental fit (90/100) makes house-hacking 2-4 unit FHA acquisition viable here.

What credit and reserves do FHA lenders require for Grand Rapids properties?

Original FHA: 580+ FICO, 3.5% down, owner-occupancy required at origination. Assumption: new buyer needs ~$500-1,500 fee + creditworthiness check + occupancy intent.

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