The Ultimate Guide to Maryland Homebuyer Assistance Programs: Everything You Need to Know to Buy Your First Home
Purchasing a home in Maryland comes with a variety of state, county, and municipal-level resources to help first-time homebuyers afford their dream homes. This guide compiles all the current, fact-based programs available across Maryland.
Maryland Mortgage Program (MMP)
Administered by the Maryland Department of Housing and Community Development (DHCD), the MMP offers a suite of 30-year fixed-rate mortgage products, often paired with down payment and closing cost assistance.
Key MMP Loan Options:
1st Time Advantage: Low-interest loans for first-time buyers with optional down payment assistance of $6,000 or 3-5% of the loan amount.
Flex Loans: $5,000 or 3% in assistance with flexible repayment options.
HomeStart: Offers 6% of the loan amount in assistance for buyers below 50% of Area Median Income (AMI).
HomeAbility: Up to $45,000 in assistance for buyers with disabilities.
SmartBuy 3.0: Pays off up to $50,000 in student loans for eligible buyers.
1st Time Advantage: Low-interest loans for first-time buyers with optional down payment assistance of $6,000 or 3-5% of the loan amount.
Flex Loans: $5,000 or 3% in assistance with flexible repayment options.
HomeStart: Offers 6% of the loan amount in assistance for buyers below 50% of Area Median Income (AMI).
HomeAbility: Up to $45,000 in assistance for buyers with disabilities.
SmartBuy 3.0: Pays off up to $50,000 in student loans for eligible buyers.
Note: MMP loans must be used for primary residences, and applicants cannot own other residential property at the time of settlement.
Local and County-Level Homebuyer Assistance Programs
Prince George’s County – Pathway to Purchase
Up to $25,000 in down payment and closing cost assistance.
0% interest, deferred payment loan, forgiven after 10 years of occupancy.
Up to $25,000 in down payment and closing cost assistance.
0% interest, deferred payment loan, forgiven after 10 years of occupancy.
Baltimore County – Settlement Expense Loan Program (SELP)
Up to $10,000 for closing costs.
Available in designated Community Conservation Areas.
Up to $10,000 for closing costs.
Available in designated Community Conservation Areas.
Baltimore City – Homeownership Incentive Programs
Incentives include Vacants to Value Booster ($10,000–$20,000) for purchasing city-owned vacant properties.
Incentives include Vacants to Value Booster ($10,000–$20,000) for purchasing city-owned vacant properties.
Frederick County – Homebuyer Assistance Program
Up to $12,000 in assistance.
First-time buyers must meet income and purchase price limits.
Up to $12,000 in assistance.
First-time buyers must meet income and purchase price limits.
Howard County – Settlement Downpayment Loan Program (SDLP)
Deferred loans up to $40,000.
0% interest, repayable upon sale, refinance, or property transfer.
Deferred loans up to $40,000.
0% interest, repayable upon sale, refinance, or property transfer.
Anne Arundel County – Mortgage Assistance Program (MAP)
Up to $50,000 for down payment and settlement costs.
Deferred repayment until sale, transfer, or refinance.
Must complete ACDS Homeownership Counseling Program.
Up to $50,000 for down payment and settlement costs.
Deferred repayment until sale, transfer, or refinance.
Must complete ACDS Homeownership Counseling Program.
Gaithersburg – Homebuyer Assistance Loan Program (GHALP)
$12,000 to $25,000 in assistance.
Available to first-time buyers purchasing within city limits.
Deferred repayment terms based on occupancy.
$12,000 to $25,000 in assistance.
Available to first-time buyers purchasing within city limits.
Deferred repayment terms based on occupancy.
Hagerstown – Home Store Down Payment Assistance Program
Up to $6,000 in down payment and closing cost assistance.
Must use Maryland Mortgage Program.
Up to $6,000 in down payment and closing cost assistance.
Must use Maryland Mortgage Program.
Cumberland – Live Here, Work Here Incentive
Up to $20,000 total: $10,000 in relocation cash and up to $10,000 in matching funds for down payment or renovation.
Must live in the home for at least five years.
Up to $20,000 total: $10,000 in relocation cash and up to $10,000 in matching funds for down payment or renovation.
Must live in the home for at least five years.
Additional State Resources
Maryland Home Credit Program
Federal tax credit of up to $2,000 annually for part of the mortgage interest paid.
Federal tax credit of up to $2,000 annually for part of the mortgage interest paid.
Partner Match Programs
Many employers and organizations match state down payment assistance funds.
Many employers and organizations match state down payment assistance funds.
Homebuyer Education Requirement
Most programs require a homebuyer education course from a HUD-approved agency.
Most programs require a homebuyer education course from a HUD-approved agency.
General Eligibility Criteria
First-Time Buyer: Typically defined as not owning a home in the past three years.
Income Limits: Varies by program and county.
Credit Requirements: Minimum credit scores range from 640 to 680.
Primary Residence: The home must be used as the buyer’s primary residence.
First-Time Buyer: Typically defined as not owning a home in the past three years.
Income Limits: Varies by program and county.
Credit Requirements: Minimum credit scores range from 640 to 680.
Primary Residence: The home must be used as the buyer’s primary residence.
Useful Links
For personalized help, connect with a HUD-approved housing counselor or a participating lender to navigate these opportunities and begin your homeownership journey in Maryland.
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