Maryland Home Buyer Programs

When buying a house for the first time, loans with flexible underwriting standards may be helpful. These loans are offered in all 50 states. Investigate these national mortgage choices, especially if you've had problems with your credit or have had trouble saving up for a significant down payment.

Maryland Mortgage Program 1st Time Advantage

Reduced mortgage rates on mortgages, helped with making down payments, and reimbursement of closing costs. The 1st Time Advantage loans offered by DHCD make it possible for qualifying first-time home purchasers to get the lowest possible fixed interest rates made available under the Maryland Mortgage Program. The 1st Time Advantage Direct loan is one possibility; it has a reputation for providing the most attractive interest rates and enables borrowers to make advantage of third-party sources of down payment help.

The 1st Time Advantage 5000 is an additional choice; it is a loan of $5,000 with no interest that may be utilized for the down payment or closing fees; you won't have to return it until the term of your first mortgage has expired. Finally, the 1st Time Advantage 3% loan provides help for a down payment equivalent to 3% of the total amount of the first mortgage. When the DHCD's mortgage credit certificate program is operational, these loans cannot be utilized in conjunction with the program in any way, shape, or form.

Flex Loans

Reduced mortgage rates on mortgages, helped with making down payments, and reimbursement of closing costs. Flex loans are available to customers purchasing their first home or additional properties. These loans provide competitive 30-year, fixed-rate loan solutions. Although it does not give help with down payments, Flex Direct often has the most competitive interest rates. The Flex 5000 program offers a loan for the down payment and closing fees of $5,000 with no interest that isn't payable until the initial mortgage is paid off.

For borrowers who can satisfy extra conditions, the Flex 3% and Flex 4% loans provide grants that do not have to be returned and are equivalent to 3% or 4% of the initial cost of the mortgage, respectively. If this is your first time purchasing a house, you could be eligible to add a mortgage credit certificate onto one of these loans if and when they become available.

Maryland SmartBuy 2.0 Mortgage

Outstanding student loans. This program could assist you in minimizing the amount of student loan debt you have if you want to purchase a property in Maryland. To be eligible for the SmartBuy mortgage, you need to have a minimum of $1,000 in outstanding student loans. Before you purchase a property, you may use this program to pay off your student debts by receiving financing of up to $30,000.

Partner Match

Help with the down payment and support with the closing fees. Certain businesses, housebuilders, real estate developers, community groups, and local governments provide financial aid programs for those looking to purchase a property. If you select a mortgage offered by the Maryland Department of Housing and Community Development and get financial help from another agency, the state of Maryland will match those funds up to a maximum of $2,500. Since the Partner Match funds are supplied as an interest-free deferred loan, there is no need to make a payment until the mortgage has been paid in full.

DHCD Highlights and Eligibility Requirements

Mortgage and other financial assistance programs are available via the Maryland Department of Housing and Community Development (DHCD). These programs are designed to make homeownership more accessible, particularly for first-time home purchasers.

In Maryland, you are considered to be a first-time home buyer if you meet one of the following criteria: you have not owned residential property in the preceding three years; you are acquiring a house in a targeted region, or you are a veteran who is utilizing your exemption for the first time.

Even if you are a repeat buyer, you may qualify for a mortgage from the DHCD, provided that you fulfill the income requirements and utilize one of their Flex loans. A lender authorized by the state of Maryland may assist you in determining your alternatives and eligibility.

Summary

• Low-interest rates on 30-year fixed-rate mortgages are available to qualifying first-time homeowners under the MMP 1st Time Advantage program.
• Assistance with the down payment and closing costs may be obtained via MMP Flex Loans, which provide grants or zero-interest, delayed loans.
• Your student loans will be paid off faster with the assistance of the Maryland SmartBuy mortgage.
• The amount of the financial donation you receive from an employer or other organization, up to $2,500, will be matched dollar for dollar by Partner Match.