MD Down Payment Assistance

Montgomery County

The Housing Opportunities Commission loan (HOC) is a first time buyer loan program built for purchasers in Montgomery County.  There are two major benefits to the HOC loan program:

  1. 3% down payment assistance forgivable loan.  Montgomery County provides HOC borrowers a 3% loan to cover the majority of the down payment.  This loan is forgiven after living in the property for five years as a primary residence.
  2. For borrowers who also work in Montgomery County, the county will also provide a repayable loan of 5% of the sales price, up to $10,000.  This loan is repaid back to the county over ten years at an interest rate of 5%.

So, particularly for buyers who work in Montgomery County you could find yourself being able to purchase in the county with little to no outlay of cash.  As a reminder, typically closing costs represent ~4% of the sales price.

The program may only be combined with either Conventional or FHA financing and is meant for purchasers who have not owned real estate in the past three years.  There are income limits to the program as well which are based on your household size.  Here are the income limits below:

Household Size

Maximum Income

One person


Two people


Three or more people


Also, to be eligible for the HOC loan you need to attend a first time buyer class. I have been one of the instructors for this class, and you may register at  It’s a helpful, three hour course covering all aspects of the home buying process and it’s taught live.  You can instead take the class online at your own pace, by visiting and taking the required class.

Check HOC interest rates here

Please pre-qualify now for this loan program here, or you may always reach out to me

I am always happy to answer any questions. Watch the video with more on this program, and other Maryland first time buyer benefits.

State of Maryland

The Community Development Administration (CDA) Maryland Mortgage Program (MMP) is a loan program that we offer through the Maryland Department of Housing and Community Development.  With MMP financing, you can choose between FHA and conventional financing.  However the conventional financing requirements are more strict. There are three major benefits of this program:

  1. For those who would like assistance with the down payment or closing costs, the program  has two options.  You could select a lower interest rate mortgage with a repayable, zero interest loan of $6,000 OR 3%, 4%, or 5% of the loan amount.  This money may be applied to your cash to close, and must be repaid when you move out or sell.
  2. For those eligible for Conventional MMP financing, and incomes under 80% of area medial income ($122,320 in counties surrounding DC), you will be eligible for reduced mortgage insurance
  3. For those purchasing specifically in Montgomery County, the program offers the Montgomery Homeownership program which offers a $25,000 loan.  This program is temporarily funded and can be discontinued when funding is exhausted.

The minimum credit score for MMP FHA is 640.  The minimum credit score for MMP conventional is ~700 (depends on automated underwriting). You don’t need to be a first time buyer to participate in this program, but you can’t own real estate at time of purchase.

There are income limits to the program which are based on household size and household income.  The limits are dependent on the county you are purchasing in.  Sample income limits for the Maryland, DC Metro area are $185,640 for a household of 1-2 or $216,580 for a household of 3+.

The full list of income caps by county are found here:

Watch the video on Maryland first time buyer benefits

This video also discusses the HOC loan, and more information on that program may be found here.

Please pre-qualify now for this loan program here, or you may always reach out to me  This loan program requires a housing counseling class, which you may complete online.  Visit this page and complete the class required: