Real Estate Report:
In addition to low money down loans, such as FHA (3.5% down loan) and the USDA (100% financing loan), buyers can look to the state of Maryland, which offers many products to help homebuyers within the state achieve their dream of homeownership. The Maryland Mortgage Program (MMP) offers a range of programs that make purchasing and owning a home more affordable.
There are three types of 30-year, fixed-interest home loan programs available to eligible homebuyers. Grant Assist and Loan Assist programs offer upfront financial assistance for down payment and closing costs to help homebuyers meet home purchase requirements. Rate Assist programs provide low interest rate options that lower monthly repayments over the life of the loan.
Maryland Mortgage Loan Assist: 30-year, fixed-rate home loan products providing up to $5,000 in down payment and closing costs in the form of a no-interest, deferred loan. Homebuyers who use one of our Loan Assist products receive a combination of upfront financial assistance and low interest rates, making homeownership affordable at the time of purchase and in the years ahead. Downpayment and closing cost assistance is provided in the form of an additional no-interest, deferred loan. No repayments are required on this second loan through the life of the loan, and interest does not accumulate, meaning that when you repay it, you do so with the exact amount you borrowed, even 30 years later.
Maryland Mortgage Grant Assist: 30-year, fixed-rate home loan products providing grant funding that can be used for down payment or applied to closing costs. Grants do not need to be repaid. There is a 4% Grant Assist and a 6% Opportunity Grant available.
Maryland Mortgage Rate Assist: 30-year, fixed-rate home loan products with MMP’s lowest available interest rate. Down payment and closing cost assistance are not available from MMP with these products, however some special initiatives combine Rate Assist products with third party funds. Maryland Preferred Rate offers the lowest possible interest rate on a 30-year, fixed-interest home loan. It does not include, nor can it be combined with down payment or closing cost assistance.
More details are available on the Maryland Mortgage website at mmp.maryland.gov.
Lauren Bunting is an Associate Broker with Bunting Realty, Inc. in Berlin, MD.
Lauren Bunting is a Broker with Keller Williams Realty of Delmarva in Ocean City, Maryland.
