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Private Lending in Michigan

Residential investment financing across Michigan’s major metropolitan areas. Bridge, DSCR, fix & flip, new construction, and build-to-rent programs.

Investing in Michigan

Michigan pairs some of the best cash-flow economics in the country with a decade-plus supply deficit. The statewide median of roughly $260,000 sits at about half the national figure, and rents have not compressed to match: Metro Detroit’s suburban corridors and Grand Rapids routinely support 6–7%+ cap rates on stabilized single-family rentals. Grand Rapids is the standout growth story, one of the Midwest’s strongest mid-size metros with persistent inventory shortages, while multibillion-dollar automotive and battery-plant investment feeds demand across suburban Detroit and west Michigan. Ann Arbor’s university and health-system economy anchors the state’s premium price points.

The operating environment is investor-friendly: Michigan law preempts local rent control statewide, evictions move through summary proceedings in weeks rather than months, and income tax is a flat 4.25%. Aging post-war housing stock across Metro Detroit makes deep value-add inventory plentiful, and undersupplied west Michigan supports new construction and build-to-rent at attractive basis.

Michigan Markets We Serve

We lend across Michigan’s major metropolitan areas. If your project is in or near one of these markets, we want to hear about it.

Detroit Metro Grand Rapids Ann Arbor Lansing Kalamazoo Traverse City

Available in Michigan

Every loan program we offer is available to qualified borrowers and properties in Michigan.

Market Snapshot

Median Home Price
$260,000
Property Tax Rate
1.35%
Population Growth
0.1% annually
Annual Permits
~16,500 (2025)
Landlord Friendly
Yes
Top Yield Market
Metro Detroit suburbs

What Works in Michigan Right Now

Grand Rapids Build-to-Sell & BTR

West Michigan’s anchor metro has run inventory shortages for years, with new single-family product in the $350K–$500K band absorbing quickly. Builders with lot positions in Kent and Ottawa counties can pair ground-up construction financing with fast disposition, or roll completed homes into build-to-rent holds at 6%+ stabilized yields.

Metro Detroit Suburban BRRRR & Flips

Oakland, Macomb, and western Wayne County are full of post-war housing stock trading well below replacement cost. Operators executing $60K–$100K renovations capture wide ARV spreads on flips, or refinance into DSCR loans at 6.5%+ caps on the hold. Rental demand is deep and steady across the suburban corridors.

Ann Arbor & Traverse City Premium Builds

Ann Arbor’s university and health-system employment supports the state’s highest price points with recession-resistant demand, and Traverse City captures northern Michigan lifestyle migration. Spec and pre-sold builds at $600K+ pencil for experienced builders. Bridge financing covers lot acquisition while entitlements complete.

Frequently Asked Questions

Is Michigan landlord-friendly for rental investors?
Yes. Michigan state law preempts local rent control, so no Michigan city can cap rents. Nonpayment evictions start with a 7-day demand notice and run through summary proceedings, typically resolving in 3 to 6 weeks uncontested. Lease terms and rent-setting are fully market-driven statewide.
What are Michigan's property and income tax rates?
Effective property tax averages roughly 1.35%, above the national median, but Proposal A caps taxable-value growth at the lesser of 5% or inflation until a property transfers. Taxable value uncaps on sale, so underwrite post-acquisition taxes off your purchase price rather than the seller's bill. State income tax is a flat 4.25%.
What's driving Michigan's construction market?
A decade-plus of underbuilding after 2008 left Michigan structurally short on housing. Grand Rapids is one of the strongest mid-size markets in the Midwest, with persistent inventory shortages and steady in-migration. Multibillion-dollar automotive and battery-plant investment feeds suburban Detroit and west Michigan demand, and Ann Arbor's university and health-system economy anchors the state's highest price points.
What kinds of rental yields are achievable in Michigan?
Michigan is one of the strongest cash-flow states in our footprint. Metro Detroit suburbs (Warren, Livonia, Dearborn Heights) at $200K–$275K basis rent $1,700–$2,100/month, supporting 6.5–7.5% caps. Grand Rapids at $300K–$350K basis rents $2,000–$2,400, roughly 6–6.5%. Ann Arbor trades yield for stability and appreciation.

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Our team has deep experience financing residential projects across Michigan. Reach out to discuss your next deal.

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