Maryland First-Time Home Buyer Programs and Assistance
Maryland Mortgage Program (MMP), Maryland Department of Housing and Community Development currently lists 4 programs for Maryland buyers, with down payment help up to 5% of the loan (about $22,345 on a median-priced home) through 1st Time Advantage 3%/4%/5% Loan. Figures below were read from the agency's own pages on September 11, 2026.
Maryland first-time buyer programs open now
Maryland Mortgage Program (MMP), Maryland Department of Housing and Community Development is the state's housing finance agency (homebuyer programs page). It runs 4 down payment or closing-cost assistance programs. Has not owned a principal residence in the past 3 years (federal definition), with exceptions for buyers in a Targeted Area who will sell their current home before closing, and for honorably discharged veterans who have not previously used the first-time-homebuyer exemption (Heroes Earnings Assistance and Relief Tax Act of 2008)
| Program | Type | Amount | First-time only | Min. credit | Income limit |
|---|---|---|---|---|---|
| 1st Time Advantage 6000 source | Second mortgage | $6,000 loan for down payment and closing costs | Yes | n/a | Standard MMP income limits apply (varies by county and household size); see MMP Loan Eligibility page |
| 1st Time Advantage 3%/4%/5% Loan source | Second mortgage | Down payment assistance loan equal to 3%, 4%, or 5% of the first mortgage amount (borrower/lender selects the tier) | Yes | n/a | Standard MMP income limits apply |
| MMP Flex 6000 / Flex 3% Loan source | Second mortgage | $6,000 flat, or a loan equal to 3% of the first mortgage amount | No | n/a | Standard MMP income limits apply |
| Maryland SmartBuy (3.0) source | Program | Up to 15% of the home purchase price (maximum $25,000) to pay off qualifying student loan debt at closing; may be combined with $6,000 flat or 6% (if household income is at/below 50% AMI) MMP down payment assistance | Yes | 720 | Standard MMP income limits apply; the 6% DPA add-on requires household income at or below 50% AMI |
- 1st Time Advantage 6000. Terms: 0% interest second lien; no payments due for the life of the first mortgage; due and payable when the first mortgage ends (repayment, refinance, transfer, sale) Purchase price limit: Standard MMP purchase price limits apply (varies by county); see MMP Loan Eligibility page Must pair with: MMP 1st Time Advantage first mortgage through an MMP-approved lender Homebuyer education: required Program page
- 1st Time Advantage 3%/4%/5% Loan. Terms: 0% interest deferred second lien Purchase price limit: Standard MMP purchase price limits apply Must pair with: MMP 1st Time Advantage first mortgage through an MMP-approved lender Homebuyer education: required Program page
- MMP Flex 6000 / Flex 3% Loan. Terms: 0% interest deferred second lien; Flex 6000 due and payable when the first mortgage ends Purchase price limit: Standard MMP purchase price limits apply Must pair with: MMP Flex first mortgage through an MMP-approved lender Homebuyer education: required Program page
- Maryland SmartBuy (3.0). Terms: Student-debt-payoff portion is a 0% interest loan, fully forgiven after 5 years if the borrower stays in the home; no monthly payment on that assistance Purchase price limit: Standard MMP purchase price limits apply Must pair with: Approved Maryland SmartBuy lender Homebuyer education: required Program page
City and county programs in Maryland
Local governments run their own down payment funds on top of the state programs. These can be combined with a state loan in most cases; each has its own income limit and area.
- Baltimore City (Department of Housing & Community Development): First-Time Homebuyers Incentive Program (FTHIP). 50% of the required down payment, plus GAP funding to reduce the loan balance, plus an interest-rate buydown of up to 2.5%; an additional $5,000 bonus available for renters buying the home they've occupied 6+ months, or for buyers/household members with a disability. Second mortgage. Income limit: At or below 80% of Area Median Income. First-time buyers only. Official page
How little you can put down
You do not need 20% down. Conventional loans go as low as 3% (through programs like Fannie Mae HomeReady and Freddie Mac Home Possible), FHA loans start at 3.5%, and VA and USDA loans can require nothing down. On Maryland's median-priced home (about $446,900), 3% down is roughly $13,407. Putting 20% down lets you skip private mortgage insurance, but most first-time buyers put down far less.
Who counts as a first-time buyer
For most programs, a first-time buyer is anyone who has not owned a primary residence in the last three years, so many repeat buyers qualify again. Maryland programs often add income and purchase-price limits, which is another reason to confirm the details with Maryland Department of Housing and Community Development.
Stack a buyer rebate on top in Maryland
Down-payment assistance and a buyer commission rebate are two different things, and in Maryland you can use both. Assistance from Maryland Department of Housing and Community Development helps with your down payment and closing costs; a buyer rebate returns about 2% of the price to you at closing (roughly $8,938 on a median-priced home), which can cover much of your closing bill.
You may qualify for more help in your county
City and county governments in Maryland run their own down payment programs on top of the state ones, and most can be combined with a state loan. Each county page lists the local programs, income limits and local closing costs alongside the state programs:
- Montgomery County: local help up to $25,000
Frequently asked questions
What first-time home buyer programs are available in Maryland?
Maryland Mortgage Program (MMP), Maryland Department of Housing and Community Development lists 4 programs: 1st Time Advantage 6000, 1st Time Advantage 3%/4%/5% Loan, MMP Flex 6000 / Flex 3% Loan, Maryland SmartBuy (3.0). Down payment help runs up to 5% of the loan (about $22,345 on a median-priced home). Baltimore City (Department of Housing & Community Development) also run local down payment programs.
How much down payment assistance can you get in Maryland?
Up to 5% of the loan (about $22,345 on a median-priced home) through 1st Time Advantage 3%/4%/5% Loan (second mortgage). Other Maryland programs offer different amounts; see the table on this page for each one.
Do you have to be a first-time buyer to qualify in Maryland?
Not for every program. 1 of 4 Maryland programs are open to repeat buyers. Has not owned a principal residence in the past 3 years (federal definition), with exceptions for buyers in a Targeted Area who will sell their current home before closing, and for honorably discharged veterans who have not previously used the first-time-homebuyer exemption (Heroes Earnings Assistance and Relief Tax Act of 2008)
How much down payment do you need in Maryland?
As little as 3% on a conventional loan, 3.5% on an FHA loan, and 0% on VA or USDA loans. On Maryland's median-priced home (about $446,900), 3% is roughly $13,407. You do not need 20% down, though 20% lets you avoid mortgage insurance.
Who counts as a first-time home buyer?
For most programs, a first-time buyer is anyone who has not owned a primary residence in the last three years. Some Maryland programs also have income and purchase-price limits, so check with Maryland Department of Housing and Community Development.
Can I combine assistance with a buyer rebate in Maryland?
Yes. A buyer commission rebate is separate from down-payment assistance and is legal in Maryland. Assistance helps with your down payment and closing costs up front; a rebate returns about 2% of the price at closing, which you can put toward closing costs. You can use both.
Official sources
- Maryland Mortgage Program (MMP), Maryland Department of Housing and Community Development
- MMP 1st Time Advantage program page
- MMP Flex Loans program page
- Maryland SmartBuy Loan program page
- Maryland Mortgage Program home
- MMP Down Payment Assistance overview
- Baltimore City Homeownership Incentives
- Consumer Financial Protection Bureau: down payment options and how to prepare
Maryland program details last verified against Maryland Department of Housing and Community Development on September 11, 2026.
Read the full guide to the cash you need to buy →
This is general information, not financial advice. Program details, limits, and loan terms change; confirm the current rules with Maryland Department of Housing and Community Development and your lender before you rely on them.
See first-time buyer programs in all states