Maryland runs its first-time buyer help through the Maryland Mortgage Program, which offers several down payment options — including a standout that helps buyers weighed down by student loans finally purchase a home.
This guide covers what is actually available to first-time buyers in Maryland in 2026 — the agency behind these programs, the loans and down payment help on offer, who qualifies, and how to apply. For the wider local picture, see our Maryland first-time home buyer guide.
The Maryland Mortgage Program and its home loan programs
Maryland’s first-time buyer programs are run by the Maryland Department of Housing and Community Development, through the Maryland Mortgage Program (MMP). Like most housing finance agencies, it does not lend directly — instead it offers below-market first mortgages, bundled with down payment help, through a network of approved local lenders. Its main first-mortgage options are:
- MMP 1st Time Advantage — for first-time buyers, with down payment assistance attached
- MMP Flex — open to repeat buyers
Most of these can be built on top of an FHA, VA, or USDA loan, or a conventional loan, depending on the product you pick — and the real value comes when you pair one with the down payment assistance below.
Down payment assistance in Maryland
Down payment assistance is the heart of what Maryland Mortgage Program offers, and Maryland gives buyers more than one way to get it. The program offers a base down payment second plus specialized options for particular situations.
- Down Payment Assistance (1st Time Advantage / Flex 6000) — deferred second at 0% interest, $6,000 with the 6000 products; other tiers vary.
- Partner Match — deferred second, matching funds (commonly up to $2,500) from an approved employer or community partner.
- Maryland SmartBuy — deferred/forgivable second (pays off student debt), varies — verify with the program.
- HomeAbility — deferred second, varies — for buyers with disabilities.
If those terms are unfamiliar, our national guide to down payment assistance explains exactly how grants, forgivable second mortgages, and deferred loans differ — and what each one means when you eventually sell or refinance.
How much help could you get?
On a $350,000 home in Maryland, the standard $6,000 deferred second covers a meaningful slice of the down payment at zero interest, with nothing due until you sell or refinance. If student loans are your obstacle, Maryland SmartBuy is unusual: it helps pay off eligible student debt as part of the home purchase. Amounts for SmartBuy, Partner Match, and HomeAbility vary, so confirm current figures with the Maryland Mortgage Program.
Who qualifies in Maryland?
Every program sets its own rules, and they change periodically, but the common requirements in Maryland look like this:
- Income limits. Income limits are set by household size and jurisdiction.
- First-time status. 1st Time Advantage requires first-time status; Flex allows repeat buyers; the requirement is waived in targeted areas and for veterans.
- Credit score. A minimum around 640 is typical, varying by product. Our guide to credit score requirements covers what moves the needle.
- Homebuyer education. Homebuyer education is required.
- Purchase price limits. Program purchase-price/acquisition-cost limits apply.
Maryland programs worth knowing about
Beyond the standard offerings, Maryland aims extra help at specific buyers and places. Watch for:
- Maryland SmartBuy — helps pay off eligible student debt when you buy
- HomeAbility — for buyers with disabilities
- Partner Match — employer/community matching funds
- Montgomery County — additional local specialty programs
Mortgage Credit Certificates in Maryland
Maryland offers the Maryland HomeCredit program, its version of a Mortgage Credit Certificate, for a federal tax credit on part of your mortgage interest. A Mortgage Credit Certificate is a federal tax credit worth a percentage of the mortgage interest you pay every year for the life of the loan, and where it is available it can usually be combined with the assistance above — putting money back in your pocket each tax season.
How to apply for Maryland assistance
- Set your budget first. Our home affordability guide helps you land on a realistic price range before you start shopping.
- Complete a homebuyer education course. Nearly every Maryland program requires one, and it is usually free and available online.
- Find a participating lender. Not every lender originates Maryland Mortgage Program loans, so ask directly which Maryland Mortgage Program programs a lender offers and have them run your numbers against a few.
- Get pre-approved and lock in the right program for your income, credit, and target home before you make an offer.
One important note: Maryland Mortgage Program program funding and terms change from year to year, and some assistance rounds close when the money runs out. Always confirm current amounts and availability directly with Maryland Mortgage Program before you count on a specific figure. Our first-time home buyer checklist keeps the rest of your process on track.
Maryland first-time buyer programs FAQ
Do I have to be a first-time buyer to get assistance in Maryland?
1st Time Advantage requires first-time status; Flex allows repeat buyers; the requirement is waived in targeted areas and for veterans.
What credit score do I need for Maryland Mortgage Program programs?
A minimum around 640 is typical, varying by product. Keep in mind a program’s own minimum can sit above the loan’s floor, so confirm the exact number with your lender.
Can I use Maryland assistance with an FHA, VA, or USDA loan?
Yes. Maryland Mortgage Program assistance is built to layer on top of a first mortgage, and FHA, VA, and USDA loans are common partners because their own down payment requirements are already low. Your lender structures both pieces so they close together.
How does Maryland SmartBuy help with student loans?
Maryland SmartBuy is a distinctive program that lets you buy a home while paying off eligible student debt as part of the transaction — addressing the debt that often keeps otherwise-ready buyers renting. The exact structure and amount depend on the current version of the program and your loan balance, so confirm the details and eligibility with the Maryland Mortgage Program before counting on it.
More Maryland city guides
Buying in a specific Maryland metro? See our first-time buyer guides for Baltimore, each covering the city’s own local down payment programs.
First-time home buyer grants in Maryland
Looking specifically for grant money? Our guide to first-time home buyer grants in Maryland covers which programs are true grants, which are forgivable, and the truth about the widely advertised federal grant.