(CBS DETROIT) – Gov. Gretchen Whitmer is proposing a $100 million investment for affordable housing across the state.

The funds will come from federal COVID-19 relief money for home repairs and new housing.

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This investment could help 6,000 residents and create 2,000 rental units.

The proposal comes in the wake of high rent and mortgages as the demand for housing continues to rise.

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Michigan State Housing Development Authority Acting Director Gary Heidel says the proposal could fill the housing gap for moderate to low-income families.

“We’ll be able to do significant homeowner rehab statewide but especially in our urban neighborhoods because that’s been one of the impacts was the lack of investment in those homes during the great recession,” said Heidel. “And we’ll be able to create more rental housing for people with very low incomes, both families and senior citizens.”

The proposal must go before the state legislature for approval which is expected to be taken up later this year.

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