Maryland’s MMP Mortgage Program
Up to $8,500 in Down Payment Assistance loans are available through the Maryland Mortgage Program (MMP). This is structured as a 0% interest deferred loan due when you sell the property or pay the first mortgage off in full. Most mortgages are on 30 year terms, so your Down Payment loan is not due for a long time. If you sell prior to the initial mortgage being paid off, your home’s appreciation in value and your equity provide the loan repayment funds.
There are a wide range of local employers and organizations that offer loans and grants. The MMP program’s overall DCHD governing body runs a Partner Match program where they match up to $3,500 with either a grant or 0% deferred interest loan. This can be combined with the $8,500 noted above.
MMP is somewhat complicated, as the rules and eligibility can vary by County and even within each County’s Census Districts.
To determine if you are eligible to even apply for MMP:
In terms of income, you’re immediately eligible to apply for funding your Household Income (1-2 people) is under $88,400. For 3+ person households, the limit is under $101,300.
You may be eligible if your Household Income is between $88,400 to $128,760 (1-2 people) or $101,300 to $150,220 (3+ people) depending on County and location in the County.
The home you purchase under MMP must be your primary residence. It cannot be an investment property you rent out for income. You also will need to complete a Homebuyer Education Course through a local organization.
Your desired home’s location within Prince Georges County drives the availability of funding. If you’re a First Time Homebuyer (haven’t owned in 3 years) then you can buy anywhere in the County. If you’re a repeat buyer, you will need to purchase in certain Target Areas of the County. Other considerations apply regarding new homes or homes less than 1 year old.