Maryland Mortgage Program

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Maryland Mortgage Program

The Maryland Mortgage Program (previously called DSELP)is a homeownership program that has helped thousands of families achieve the dream of homeownership through a combination of mortgage financing, down payment assistance, tax credits, and more.

What is the Maryland Mortgage Program?

The Maryland Mortgage Program (MMP) provides 30-year fixed-rate home loans to eligible homebuyers in Maryland. Loan terms are competitive with other home loan products on the market, but what makes MMP unique is the range of associated financial incentives and assistance. For many homebuyers, represents means the difference between being able to purchase and continuing to rent.

The Maryland Mortgage Program has provided approximately $2.8 billion in mortgages and mortgage assistance to more than 13,000 Maryland home buyers and has eliminated more than $11 million in student loan debt for first-time homebuyers.

Maryland Mortgage Program (MMP) Highlights

  • The maximum eligible income for a household of 1 or 2 persons is $145,560. The maximum eligible income for a household of 3 or more persons is $169,8300. (Montgomery and Prince George’s Counties only. See the table below.)

  • Mortgage loan cannot exceed $525,901. (Montgomery and Prince George’s Counties only.See the table below.)

  • The home must be the homebuyer’s primary residence.*
    *Certain Targeted Areas buyers do not have to be a first-time home buyer.

  • Homebuyer education is required prior to closing.

  • Incentive may be used toward downpayment and closing costs.

  • This is a 0% interest deferred loan (You must repay this loan when you refinance your mortgage, transfer ownership, or sell the home).

  • This incentive may be used in addition to other incentives. Homebuyer must use a Community Development Administration (CDA) mortgage loan.

  • Incentive appears as a second lien on property until the balance is forgiven or repaid.

  • Homebuyer must use an approved lender.

  • Minimum middle credit score of 640.

Maryland Mortgage Program (MMP) Videos

Maryland Mortgage Program Income Limits 2019

Maryland Mortgage Program Credit Score Requirement

MMP Home Loans

All home loan products available through MMP are 30-year, fixed-interest rate mortgages. There are a few different types of home loan products, and they generally vary by the kinds of downpayment and closing cost assistance that are available with them. The main loan product types available through MMP are 1st Time Advantage, Flex and a variable number of Specialty Products that usually run for a limited time.

MMP home loans are available as either Government or Conventional insured loans. Government loans can be guaranteed by the Federal Housing Administration (FHA), the U.S. Department of Veterans Affairs (VA), or the U.S. Department of Agriculture/Rural Housing Service (USDA/RHS). Conventional loans may have higher interest rates but the private mortgage insurance cost could result in a lower overall monthly payment.

Statewide Approved Lender Network – Homebuyers can apply for a Maryland Mortgage Program home loan through one of more than 80 approved mortgage lenders. Loan officers from these approved organizations can help homebuyers customize a home loan package that’s right for them, and will collect, review and submit all relevant documents during the loan application process.

→ MMP 1st Time Advantage

1st Time Advantage loans are designed to offer eligible first-time homebuyers the lowest 30-year fixed interest rate available for Maryland Mortgage Program loans.

→ Flex Loans

30-year, fixed-rate home loan products accompanied by additional funds for down payment and closing costs. The assistance is available in the form of no-interest, deferred loan or an outright grant (doesn’t get repaid).

→ Partner Match

Many organizations and employers in Maryland have programs to help homebuyers including grants, loans and other helpful assistance.

Organizations with programs to help homebuyers, include:

  • Employers making an investment in the long-term sustainability of their workforce, 
  • Home builders and real estate developers who give financial and other incentives to encourage purchase of their properties, 
  • Community organizations that encourage homeownership as a way of building sustainable neighborhoods, and 
  • Local governments attracting new residents to their community.

If you’re using the 1st Time Advantage 5000 or the Flex 5000, and you are receiving assistance from one of the employer, builder or community partners listed, you may be able to receive matching funds up to $2,500. The match funds come in a zero percent loan and are repayable when the first mortgage gets paid off.

Program/CommunityContact Communities Served
City of GaithersburgLauren Sukal - Grants Administrator
301-258-6320 x2105​​
City of Takoma ParkErin Kelley, Grants Coordinator
Montgomery and Prince George's (Takoma Park only)
College Park City-University PartnershipValerie Woodall - Program Associate
Prince George's
Housing Initiative Partnership, Inc.Jocelyn Harris
Prince George's
Max Score Credit, LLCSharon Craig, CEO​
Prince George's County Redevelopment AuthorityP. J. Gardner
Prince George's
The Women's Challenge, Inc.Lorraine Bailey-Carter
Prince George's County

→ Maryland HomeCredit (Federal Tax Credits)

A Maryland HomeCredit, otherwise known generically as a “mortgage credit certificate” is issued to the homebuyer at the time of the purchase of a home, and allows the homeowner to claim a federal tax credit of up to $2,000 each year for the life of the loan. The amount that can be claimed each year is based on the amount of mortgage interest paid on the loan. Fees may apply.

→ Maryland SmartBuy

The Maryland SmartBuy helps first time home buyers with qualifying student loan debt purchase a home. The program works by paying off student debt during the purchase of your home through special Maryland Mortgage Program financing and rolling it into a 5-year forgivable loan.

MMP Income Limits & Maximum Loan Amounts

Maryland Mortgage Program Income Limits and Maximum Loan Amounts

Montgomery County & Prince George’s County only (effective 04/22/20)

 Household Size 1 - 2 Household Size 3+
Income Limit $145, 560$169,820
Max Acquisition Costs (Non-Targeted) $679,847$679,847
Max Acquisition Costs
CDA Mortgage Amount $510,400$510,400

[See more details below.]


Home Buyer Education (HBE)

Homebuyer education, sometimes called housing or pre-purchase counseling, helps homebuyers prepare for the journey of purchasing a home and the many new challenges of being a homeowner.

All borrowers using the Maryland Mortgage Program must take a home buyer education class. Classes can be any class approved by HUD, FannieMae or Freddie Mac, either online or in-person.

Since purchasing a home is a significant financial decision and the largest single purchase for most people, home buyers are encouraged to take a class prior to signing a contract.

Maryland Mortgage Program Questionnaire

Ready to get started?! We hope so. Take the Maryland Mortgage Program (MMP) Questionnaire to jumpstart the home buying process!

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