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Homebuyer Programs in Saco, ME (2026)

Last updated April 5, 2026 | Population: 21,102 | Median home price: $530,000 | Est. closing costs: $10,500 - $16,000

Skyline of Saco, ME

Saco is a coastal city in York County, Maine, situated along the Saco River just south of Portland. With a median home price around $530,000, buying here can feel steep, but Maine offers strong statewide assistance. Through the MaineHousing Advantage program, eligible buyers can receive a $5,000 grant toward down payment and closing costs, and first-generation homebuyers may qualify for a $10,000 grant through the MaineHousing First Generation Program. The MaineHousing First Home Loan provides a low fixed-rate 30-year mortgage with little or no down payment required. Locally, Habitat for Humanity York County builds affordable homes in the Saco area for qualifying families, and the Habitat for Humanity of Greater Portland also serves the community. By combining state and federal programs, Saco buyers can potentially stack $15,000 or more in assistance toward their purchase.

Top Homebuyer Programs in Saco

FHA Loans
Type:
Government-Insured Mortgage
Amount:
Up to FHA county loan limits ($541,287 floor to $1,249,125 ceiling for single-family in 2026)
First-time only:
No
FHLBA Community Partners Product
Type:
Forgivable Loan
Amount:
Up to $20,000 in home purchase assistance for down payment and closing costs
First-time only:
No
FHLBA First Time Homebuyer Product
Type:
Forgivable Loan
Amount:
Up to $17,500 in home purchase assistance for down payment and closing costs
First-time only:
Yes
FHLBA Workforce Housing Plus+
Type:
Forgivable Loan
Amount:
Up to $15,000 in home purchase assistance for down payment and closing costs
First-time only:
No
Good Neighbor Next Door (HUD)
Type:
Government Property Sale Program
Amount:
50% discount off the list price of HUD-owned homes
First-time only:
Yes
Home Possible Mortgage (Freddie Mac)
Type:
Government-Guaranteed Mortgage
Amount:
Up to conforming loan limits ($832,750 standard / $1,249,125 high-cost in 2026); 3% minimum down payment
First-time only:
No
HomeReady Mortgage (Fannie Mae)
Type:
Government-Guaranteed Mortgage
Amount:
Up to conforming loan limits ($832,750 standard / $1,249,125 high-cost in 2026); 3% minimum down payment
First-time only:
No
HUD $100 Down Program
Type:
FHA-Financed HUD REO Purchase
Amount:
Only $100 down payment required (vs. standard 3.5% FHA down payment). HUD may also pay up to 3% of buyer's closing costs.
First-time only:
No
USDA Rural Development Loans
Type:
Government-Guaranteed Mortgage
Amount:
100% financing (no down payment required); loan amount up to appraised value
First-time only:
No
VA Loans
Type:
Government-Guaranteed Mortgage
Amount:
No loan limit for veterans with full entitlement (0% down at any price); partial entitlement subject to conforming limits ($832,750 standard in 2026)
First-time only:
No
Habitat for Humanity of Greater Portland Homeownership Program
Type:
Deferred Loan
Amount:
Affordable mortgage to purchase a Habitat-built home
First-time only:
Yes
Habitat for Humanity York County Maine Homeownership Program
Type:
Deferred Loan
Amount:
Affordable home purchase with sweat equity reducing costs; families partner to build their own home
First-time only:
No
MaineHousing Advantage
Type:
Grant
Amount:
$5,000
First-time only:
Yes
MaineHousing First Generation Program
Type:
Grant
Amount:
$10,000 grant plus 1% below-market interest rate
First-time only:
Yes
MaineHousing First Home Loan Program
Type:
Deferred Loan
Amount:
Low fixed-rate 30-year mortgage with little or no down payment
First-time only:
Yes
MaineHousing Salute ME
Type:
Deferred Loan
Amount:
0.50% interest rate discount on MaineHousing First Home Loan rate
First-time only:
No

How to Apply

  1. Step 1:

    Check your eligibility. Most MaineHousing programs require that you have not owned a home in the past three years, have a minimum credit score of 640, and meet income limits that vary by household size and county. Most Maine households are income-eligible for MaineHousing programs.

  2. Step 2:

    Complete homebuyer education. MaineHousing requires an approved hoMEworks homebuyer education course before closing. These eight-hour classes are offered by HUD-approved counseling agencies across Maine, including online options. Visit mainehomeworks.org or call your local counseling agency to register.

  3. Step 3:

    Contact a MaineHousing-approved lender. MaineHousing works with more than 40 First Home Lenders statewide. Local options include Saco Valley Credit Union at 207-282-6169 or other approved lenders listed on the MaineHousing website.

  4. Step 4:

    Determine which programs you qualify for. Your lender will help you apply for the MaineHousing First Home Loan and determine if you qualify for the $5,000 Advantage grant or the $10,000 First Generation grant. Veterans should ask about the Salute ME interest rate discount.

  5. Step 5:

    Find a home within program guidelines. Work with a real estate agent familiar with the Saco market. If you are interested in building an affordable home through Habitat for Humanity York County, contact them at habitatyorkcounty.org to learn about their homeownership application process.

  6. Step 6:

    Submit your application and close. Your lender will process your MaineHousing loan application and coordinate the grant funds. The Advantage grant is credited at closing, reducing the cash you need to bring to the table. Plan for a typical closing timeline of 30 to 45 days.

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