Down Payment Assistance Programs in Maryland (2026 Guide)

# Down Payment Assistance Programs in Maryland (2026 Guide) Saving for a down payment is one of the biggest hurdles for first-time home buyers. Fortunately, Maryland offers 3 assistance programs that can help you achieve homeownership sooner than you thought possible. ## Maryland Housing Agency All state DPA programs are administered by Maryland Department of Housing and Community Development (DHCD). **Contact Information:** - Website: [https://dhcd.maryland.gov](https://dhcd.maryland.gov) - Phone: 410-514-7000 ## Available Programs Maryland offers 3 major down payment assistance programs: ### Maryland Mortgage Program | Feature | Details | |---------|---------| | Maximum Assistance | Up to $20,000 | | Program Type | Second Mortgage | | Description | 0% interest, deferred second mortgage. Multiple DPA options. | ### SmartBuy 3.0 | Feature | Details | |---------|---------| | Maximum Assistance | Up to $30,000 for student debt | | Program Type | Forgivable Loan | | Description | Helps with student loan debt for first-time buyers. | ### 1st Time Advantage | Feature | Details | |---------|---------| | Maximum Assistance | Up to $10,000 | | Program Type | Second Mortgage | | Description | For first-time buyers with below-market rates. | ## How to Apply ### Step 1: Check Your Eligibility Most programs require: - First-time homebuyer status (no home ownership in past 3 years) - Income at or below program limits - Minimum credit score (usually 620-640) - Home price within program limits ### Step 2: Complete Homebuyer Education All DHCD programs require completion of a HUD-approved homebuyer education course. This prepares you for the responsibilities of homeownership. ### Step 3: Work with an Approved Lender DHCD maintains a list of approved lenders trained in their programs. These lenders can help you combine DPA with your mortgage. ### Step 4: Find Your Home Once pre-approved, work with a real estate agent to find a home within program price limits. ## Combining with Your Mortgage Down payment assistance can be layered with various loan types: | Loan Type | Min Down | With DHCD DPA | |-----------|----------|--------------------------| | FHA | 3.5% | DPA covers most or all | | Conventional | 3-5% | DPA covers most or all | | VA | 0% | DPA for closing costs | | USDA | 0% | DPA for closing costs | ## Real Cost Savings With Maryland's median home price of $397,700: | Scenario | Down Payment Needed | With Max DPA | |----------|--------------------|--------------| | FHA (3.5%) | $13,920 | Potentially $0 | | Conventional (5%) | $19,885 | Significantly reduced | | Conventional (20%) | $79,540 | Reduced by DPA amount | ## Conclusion Don't let down payment concerns keep you from homeownership. Maryland's DPA programs have helped thousands of first-time buyers achieve their dream. Contact DHCD today to learn which programs you qualify for. Use our [Maryland Mortgage Calculator](/mortgage-calculator/maryland) to see how DPA affects your monthly payment. --- *Source: Maryland Department of Housing and Community Development. Program details subject to change. Contact DHCD for current requirements.*