A privately funded coalition in Detroit is offering cash incentives of up to $15,000 to attract new residents and retain current ones.
It’s part of a broader push to stimulate economic growth in the city, according to Realtor.com.
Called “Make Detroit Home,” the initiative will award more than $500,000 in benefits to more than 300 participants, according to the MoveDetroit coalition, which launched the program. The participants include entrepreneurs, creatives, and small business owners, as well as current residents, former Detroiters, and newcomers willing to relocate.
The initiative offers stipends of up to $15,000 to help cover home down payments, renovations, rent or business expenses, according to Realtor.com.
Additional applicants may qualify for $1,000 grants to offset moving costs, security deposits and expenses such as gym memberships or meal services.
Serious About Competing for Residents
“This stipend is a clear signal that Detroit is serious about competing for residents and the data backs up why it’s an attractive proposition,” Hannah Jones, Realtor.com senior economic research analyst, told FOX Business in an email.
“Detroit consistently ranks among the most affordable major metros in the country, where a $15,000 incentive can realistically cover a down payment or fund a meaningful renovation, rather than barely scratching the surface as it might in higher-cost markets.”
Jones added that pairing that buying power with the city’s growing momentum could help drive “household formation and long-term market stability.”
The “Make Detroit Home” initiative is the first major effort from the MoveDetroit coalition, a nonprofit launched last month with backing from local organizations and the mayor’s office.
Honorary chair of the organization is billionaire businessman and Rocket Mortgage founder Dan Gilbert.
“For too long, we’ve been educating some of the most talented young people in the country, only to watch them leave to places like New York City, Atlanta, California, Seattle, Miami, and elsewhere,” Gilbert said. “At our largest universities, we are losing nearly half our graduates. But today, we’re flipping that equation.”
Fox reported that Gilbert pointed to Detroit’s growing roster of major employers, including Google and Fifth Third Bank, as part of its appeal.
Aims to Raise $10 Million
The initiative is privately funded, with MoveDetroit aiming to raise $10 million this year and Gilbert has pledged to match every dollar raised, according to Realtor.com.
“Detroit is a place where you build, grow, and win,” Gilbert said. “This city has the grit and assets to compete with anywhere in the country for talent. People are choosing Detroit for its culture, energy and opportunity. MoveDetroit is about numerous organizations coming together to double down, ensuring that Detroit accelerates its growth even further.”
In March, Michigan Gov. Gretchen Whitmer described the state’s housing crisis as an “all-hands-on-deck” effort.
She made the remark at a roundtable discussion that also was attended by U.S. Rep. Hillary Scholten as well as state and federal democrats and housing advocates.
Whitmer highlighted the state’s progress in building or rehabilitating over 87,000 housing units but she emphasized that more must be done to meet the target of 115,000 by late 2026.
“We’ve got a lot more to do,” Whitmer said at the roundtable, according to MLive. “So that’s why I wanted to be here and listen.”
Scholten said that entry-level home prices have surged by roughly 126%, leaving many Michigan residents over-burdened as the average income fails to keep pace with the $205,000 cost of a starter home.
