Michigan HAF Deadline Nears as Homeowner Aid Runs Low

The MIHAF Closing Bell

The Michigan Homeowner Assistance Fund, known as MIHAF, closed its online application portal at midnight on December 8, 2023, as the state worked to distribute the last of its $242 million federal allocation before funding ran out. The Michigan State Housing Development Authority (MSHDA), which administered the program, urged Michiganders with pandemic-related mortgage, property tax, utility, or condo fee delinquencies to submit applications before the deadline to be considered for help.

Program Background

MIHAF was funded through the American Rescue Plan Act of 2021, which set aside $9.96 billion nationally for state Homeowner Assistance Fund programs. Michigan's $242 million allocation was used to help homeowners recover from COVID-19 related financial hardships, including lost income, reduced hours, or increased expenses that threatened their ability to keep up with housing costs. The program offered grants of up to $25,000 per eligible household to bring mortgages, property taxes, utilities, HOA fees, and related charges current.

Scale of the Impact

By the time the application portal closed, MSHDA reported that MIHAF had disbursed more than $200 million and helped over 26,000 Michigan homeowners, with an average award of roughly $7,600 per household. The funding prevented thousands of potential foreclosures and tax auctions and gave participating homeowners a stable footing to rebuild after the pandemic. Some of the highest participation rates were in Wayne, Oakland, Macomb, Kent, and Genesee counties, reflecting both population size and the concentration of pandemic hardship.

Why the Deadline Came

MIHAF was never an open-ended benefit. Congress structured the Homeowner Assistance Fund as a finite appropriation, and each state's program was required to close once allocated funds were obligated. MSHDA projected its remaining MIHAF dollars would support applications received through the December 8, 2023 deadline, then be drawn down as processing caught up with the backlog. Because HAF payments go directly to creditors, grants are typically obligated long before the last check is cut.

Waitlist and Alternatives

After the December 8 closing, homeowners who had not yet applied could ask to be added to a MIHAF waitlist by calling the MIHAF customer service line or emailing MSHDA, in case additional funds were released. MSHDA also directed homeowners to other forms of help, including the Step Forward Loan Rescue Program for certain loans, HUD-approved housing counseling agencies, local community action agencies, and property tax relief programs offered by county treasurers.

What Homeowners Should Do Now

Homeowners who missed MIHAF's deadline and are still behind on housing costs are encouraged to take several steps. First, contact the mortgage servicer directly and request loss mitigation options such as a forbearance, loan modification, or partial claim. Second, reach out to a HUD-approved housing counselor for a free review of budget and options. Third, check with county treasurers and local nonprofits for property tax hardship extensions, summer tax deferrals, or utility assistance programs. Michigan's 2-1-1 referral service is a useful starting point for identifying local resources.

Lessons for Future Programs

The experience with MIHAF and similar state programs has strengthened the case for more permanent national homeowner safety net tools. Advocates have pointed to MIHAF's rapid absorption rate, the high success rate in preventing foreclosures, and the program's low administrative costs as evidence that a standing, right-sized program could be an efficient backstop for future economic shocks.