07/29/2026
The Department of Housing and Community Affairs, in partnership with the Maryland Mortgage Program (MMP), is excited to announce that the loan limit for both the Montgomery Homeownership Program (MHP) and the Montgomery Employee Down Payment Assistance Loan (MEDPAL) has been increased to up to $50,000! These zero-percent, deferred down payment and closing cost assistance loans are helping to bridge the financial gap and make homeownership in Montgomery County even more attainable for first-time homebuyers.
✨MHP Program Highlights✨
- Open to any MMP‑eligible first-time homebuyer purchasing in Montgomery County.
- Provides a 0% interest, deferred-payment second loan for down payment and closing costs.
- Assistance up to $50,000, not exceeding 40% of household income; any unused funds applied to principal (no cash-out).
- Requires standard Maryland Mortgage Program eligibility and Homebuyer Education.
- Cannot be combined with Partner Match programs or any other MMP products.
MHP Fact Sheet: https://mmp.maryland.gov/media/30
✨MEDPAL Program Highlights✨
- Designed for eligible full-time Montgomery County employees (county departments and MCPS employees per approved list).
- Offers a flat $50,000, zero-percent deferred DPA loan; unused funds applied to principal.
- Borrowers must contribute 1% of the sales price from their own funds.
- Loan repayment is due upon sale, transfer, or refinance; forgiven after 30 years if unpaid.
- Requires MMP eligibility requirements, income limits, and complete Homebuyer Education.
- Cannot be combined with Partner Match programs or other Montgomery County assistance products.
MEDPAL Fact Sheet: https://mmp.maryland.gov/media/29
To get started on your homebuying journey today: speak with a lender, complete Homebuyer Education, and review current rates. If you have been dreaming of homeownership, this could be the opportunity you've been waiting for!
Learn more and see if you qualify:
https://mmp.maryland.gov/home-loans/montgomery-county-specialty-products