PROGRAM STATUS: CLOSED TO NEW RESERVATIONS AS OF SEPTEMBER 1, 2026.
The Maryland Mortgage Program published Directive 2026-09 on September 1, 2026: the Montgomery Homeownership Program "is closed effective immediately due to full commitment of the funds. Existing reservations will be honored." If additional funds become available, MMP says it will publish a directive re-opening the product. Source: MMP Directive 2026-09. Verified September 4, 2026.
If you already have a reservation with an approved lender, it is honored — talk to that lender. If you do not, this program is not available to you right now, and the rest of this page is kept for reference and for when it reopens. Run the free 2-minute checker to see what you may still qualify for, or book a free 15-minute Game Plan Call and we will go through the alternatives together.
If you're buying your first home in Montgomery County, Maryland, the Montgomery Homeownership Program (MHP) offered county-level down payment assistance of up to $50,000. It closed to new reservations on September 1, 2026. I'm Ronnie Gilmer, a REALTOR® with Samson Properties serving Maryland and Washington, DC, and below I'll walk you through who may qualify, how the money works, and exactly how to get started.
What is Montgomery County down payment assistance?
The Montgomery Homeownership Program (MHP) provides up to $50,000 in assistance, while it was open, to help eligible buyers cover the down payment and closing costs on a home in the county. It's structured as a 0%-interest deferred second loan — calculated as up to 40% of household income and capped at $50,000 — that's repaid when you sell, refinance, or transfer the home. It is delivered as a second lien behind a Maryland Mortgage Program first mortgage. One important limit that is often reported incorrectly: the MHP fact sheet states that the "Montgomery Homeownership Program cannot be used in conjunction with any other MMP products," and that its assistance "cannot be combined with matching funds from the DPA Partner Match program." So it was never a stack on top of other state down payment assistance — it replaced it.
Who may qualify for Montgomery County assistance?
Eligibility typically depends on your household income, the purchase price of the home, and your status as a homebuyer, with income guidelines set as a share of the area median income — your approved MMP/CDA lender can confirm the current income and AMI figures that apply to your county and household. Most assistance programs also require you to complete a homebuyer education course and to intend to live in the home as your primary residence. Because these thresholds change and vary by household size, you'll want to confirm the current figures before you start shopping — the exact income limit that applies to you is something only a licensed lender can verify.
How does it stack with the Maryland Mortgage Program?
This is where Montgomery County buyers can really benefit. The Maryland Mortgage Program, run by Maryland DHCD/CDA, offers its own down payment help — for example, the MMP Flex 6000, a flat $6,000 zero-interest deferred second lien for down payment and closing costs that's repaid when you sell or refinance, available to both first-time and repeat buyers. There's also MMP Flex 3% (assistance equal to 3% of your first mortgage, a percentage rather than a flat amount, deferred at 0%) and the 1st Time Advantage option, which carries the lowest 30-year fixed MMP rate and is generally aimed at first-time buyers (with a few exceptions). When you pair an MMP product with county assistance of up to $50,000 (current as of 2026), the combined help can meaningfully shrink what you bring to closing — subject to lender approval.
If you have student-loan debt, ask your lender about Maryland SmartBuy 3.0, which (for buyers with at least $1,000 in student-loan debt) pays up to 15% of the home price toward your student loans, capped at $25,000 (current as of 2026), and pays the full remaining balance of at least one borrower at closing. It's structured as a 0% loan that's forgiven after 5 years as long as the home stays your primary residence, and it's generally for first-time buyers unless you're purchasing in a Targeted area. Note that SmartBuy typically requires a higher credit score than other MMP loans (around 720). Curious which combination fits you best? Run your numbers through the free Buyer Program Checker before your first lender call.
How do I get started in Montgomery County?
The first move is connecting with an approved MMP lender, because all MMP financing must run through one, and the same lender can help you confirm how county assistance layers in. From there you'll typically complete homebuyer education and get pre-approved so you know your true budget. Homebuyer education is typically required for all buyers before approval, and it can be a HUD-, Fannie Mae-, or Freddie Mac-approved course taken online or in person. Here's my first-hand tip and the most common pitfall I see: buyers wait until they're under contract to ask about assistance, and by then some program funds or stacking options may be off the table. Start the conversation before you tour homes — assistance dollars are limited, requirements like education courses take time, and getting your paperwork lined up early is what keeps a deal from stalling. The credit minimum for most MMP loans is around 640 (current as of 2026), so check your credit early too.
Key takeaways
- Montgomery County offers up to $50,000 in homeownership assistance (current as of 2026) for eligible buyers, structured as a 0%-interest deferred second loan.
- County help is designed to stack with the Maryland Mortgage Program (MMP), not replace it.
- MMP options include Flex 6000 (a flat $6,000 zero-interest deferred loan), Flex 3% (3% of your first mortgage, deferred), and the 1st Time Advantage rate.
- Income limits, purchase-price limits, AMI percentages, and the credit minimum (around 640 for most MMP loans, current as of 2026) all need to be confirmed with a licensed lender.
- Start the process early — assistance funds are limited and education/paperwork take time.
Frequently asked questions
How much down payment assistance can I get in Montgomery County?
The Montgomery Homeownership Program (MHP) offers up to $50,000 in assistance (current as of 2026), structured as a 0%-interest deferred second loan. The exact amount you may be eligible for depends on your income, the home price, and program guidelines, so confirm with a licensed lender.
Can I combine Montgomery County assistance with the Maryland Mortgage Program?
Yes — county assistance is generally designed to work alongside MMP products like Flex 6000 or Flex 3%, subject to lender approval. Stacking these resources is one of the biggest advantages for Montgomery County buyers, but the final combination must be confirmed by an approved MMP lender.
Do I have to be a first-time buyer to qualify?
Not necessarily — some MMP options, like the Flex 6000, are open to both first-time and repeat buyers, while others (such as the 1st Time Advantage rate) are aimed at first-time buyers. A first-time buyer is generally someone who has not owned a primary residence in the last 3 years. Whether you could be eligible depends on the specific program and your situation, so ask your lender which mix fits you.
What credit score do I need?
For most MMP loans, the credit minimum is around 640 (current as of 2026), though some products require higher — for example, SmartBuy is generally around 720. Requirements can change and vary by program and lender, so it's worth checking your credit and confirming the current minimum early in the process.
See if you may qualify
Ready to find out what you could be eligible for? Take two minutes to Check My Buyer Eligibility, run the free Buyer Program Checker, or Book a Free Consultation and we'll map out your options together. You can also read more about the Montgomery County Homeownership Program and explore everything available in Montgomery County for first-time buyers.
Last updated: June 22, 2026. Program details change frequently — verify current guidelines with a licensed lender; this is not a commitment to lend or a guarantee of eligibility. Ronnie Gilmer · Samson Properties · Serving Maryland & DC · Not affiliated with any government agency or the Maryland Mortgage Program.