See programs you qualify for
Get Matched Free →By Tyler Thompson · Licensed Real Estate Agent · Updated March 28, 2026
Homebuyer Programs in Ellicott City, MD (2026)
Ellicott City is a historic census-designated place and the county seat of Howard County, Maryland, located between Baltimore and Washington, D.C., with a median home price around $660,000. Homebuyers in Ellicott City can access the Howard County Settlement Downpayment Loan Program (SDLP), which provides up to $40,000 in deferred down payment and settlement cost assistance at a below-market interest rate capped at 3%. The Howard County Moderate Income Housing Unit (MIHU) program also offers select homes at below-market prices for income-eligible buyers. At the state level, the Maryland Mortgage Program 1st Time Advantage provides up to $6,000, and the Maryland HomeAbility program offers up to $45,000 for buyers with disabilities. By combining county and state programs, eligible Ellicott City buyers could receive substantial assistance toward their purchase.
County Programs in Howard County
| Program Name | Type | Amount | First-Time Only | Details |
|---|---|---|---|---|
| Howard County Moderate Income Housing Unit (MIHU) Program | Zero-Interest Loan | Below-market purchase price on new construction homes | No | View → |
| Howard County Settlement Downpayment Loan Program (SDLP) | Deferred Loan | Up to $40,000 (HomeStarter); $25,000 HomeSteader or Revitalization; $15,000 DreamMaker; $4,300 Workforce Initiative. Deferred loans for down payment and settlement costs. | Yes | View → |
- Type:
- Zero-Interest Loan
- Amount:
- Below-market purchase price on new construction homes
- First-time only:
- No
- Type:
- Deferred Loan
- Amount:
- Up to $40,000 (HomeStarter); $25,000 HomeSteader or Revitalization; $15,000 DreamMaker; $4,300 Workforce Initiative. Deferred loans for down payment and settlement costs.
- First-time only:
- Yes
State Programs in Maryland
| Program Name | Type | Amount | First-Time Only | Details |
|---|---|---|---|---|
| FHLBA Community Partners Product | Forgivable Loan | Up to $20,000 in home purchase assistance for down payment and closing costs | No | View → |
| FHLBA First Time Homebuyer Product | Forgivable Loan | Up to $17,500 in home purchase assistance for down payment and closing costs | Yes | View → |
| FHLBA Workforce Housing Plus+ | Grant | Up to $15,000 in home purchase assistance for down payment and closing costs | No | View → |
| Maryland HomeAbility | Deferred Loan | 0% deferred second loan of up to 25% of the purchase price, capped at $45,000, for down payment and closing costs; first and second loans combined may not exceed 105% of the purchase price | Yes | View → |
| Maryland Mortgage Program - 1st Time Advantage | Deferred Loan | Up to $6,000 or 3%-5% of the first mortgage amount | Yes | View → |
| Maryland Mortgage Program - Flex Loan | Deferred Loan | Up to $6,000 | No | View → |
| Maryland SmartBuy 3.0 | Forgivable Loan | Up to 15% of the purchase price or $20,000, whichever is less | No | View → |
- Type:
- Forgivable Loan
- Amount:
- Up to $20,000 in home purchase assistance for down payment and closing costs
- First-time only:
- No
- Type:
- Forgivable Loan
- Amount:
- Up to $17,500 in home purchase assistance for down payment and closing costs
- First-time only:
- Yes
- Type:
- Grant
- Amount:
- Up to $15,000 in home purchase assistance for down payment and closing costs
- First-time only:
- No
- Type:
- Deferred Loan
- Amount:
- 0% deferred second loan of up to 25% of the purchase price, capped at $45,000, for down payment and closing costs; first and second loans combined may not exceed 105% of the purchase price
- First-time only:
- Yes
- Type:
- Deferred Loan
- Amount:
- Up to $6,000 or 3%-5% of the first mortgage amount
- First-time only:
- Yes
- Type:
- Deferred Loan
- Amount:
- Up to $6,000
- First-time only:
- No
- Type:
- Forgivable Loan
- Amount:
- Up to 15% of the purchase price or $20,000, whichever is less
- First-time only:
- No
Federal Programs
| Program Name | Type | Amount | First-Time Only | Details |
|---|---|---|---|---|
| FHA Loans | Government-Insured Mortgage | Up to FHA county loan limits ($541,287 floor to $1,249,125 ceiling for single-family in 2026) | No | View → |
| Good Neighbor Next Door (HUD) | Government Property Sale Program | 50% discount off the list price of HUD-owned homes | Yes | View → |
| Home Possible Mortgage (Freddie Mac) | Government-Guaranteed Mortgage | Up to conforming loan limits ($832,750 standard / $1,249,125 high-cost in 2026); 3% minimum down payment | No | View → |
| HomeReady Mortgage (Fannie Mae) | Government-Guaranteed Mortgage | Up to conforming loan limits ($832,750 standard / $1,249,125 high-cost in 2026); 3% minimum down payment | No | View → |
| HUD $100 Down Program | FHA-Financed HUD REO Purchase | Only $100 down payment required (vs. standard 3.5% FHA down payment). HUD may also pay up to 3% of buyer's closing costs. | No | View → |
| USDA Rural Development Loans | Government-Guaranteed Mortgage | 100% financing (no down payment required); loan amount up to appraised value | No | View → |
| VA Loans | Government-Guaranteed Mortgage | No loan limit for veterans with full entitlement (0% down at any price); partial entitlement subject to conforming limits ($832,750 standard in 2026) | No | View → |
- 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
- Type:
- Government Property Sale Program
- Amount:
- 50% discount off the list price of HUD-owned homes
- First-time only:
- Yes
- 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
- 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
- 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
- Type:
- Government-Guaranteed Mortgage
- Amount:
- 100% financing (no down payment required); loan amount up to appraised value
- First-time only:
- No
- 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
Nonprofit Programs
| Program Name | Type | Amount | First-Time Only | Details |
|---|---|---|---|---|
| Habitat for Humanity of the Chesapeake Homeownership Program | Zero-Interest Loan | Affordable mortgage with below-market terms | No | View → |
- Type:
- Zero-Interest Loan
- Amount:
- Affordable mortgage with below-market terms
- First-time only:
- No
How to Apply
Step 1: Check your eligibility. The Howard County SDLP offers several loan tiers based on income and buyer type. HomeStarter, HomeSteader, and DreamMaker loans require first-time buyer status. The Revitalization and Workforce Initiative loans do not require first-time buyer status. Income limits are updated every January and July by Howard County DHCD.
Step 2: Complete homebuyer education. All SDLP participants must complete a pre-purchase counseling course approved by Howard County DHCD. The Community Action Council of Howard County offers HUD-approved homebuyer education workshops monthly. Contact them at 410-313-6440 to register.
Step 3: Contact Howard County DHCD. Reach the SDLP Administrator at 410-313-6318, option 1, or email lphillips@howardcountymd.gov to confirm current income and purchase price limits, learn which loan tier fits your situation, and get a list of participating lenders.
Step 4: Get pre-approved with a participating lender. SDLP loans must be originated through a lender authorized by Howard County. Many also participate in the Maryland Mortgage Program, which can provide additional state-level DPA on top of county assistance.
Step 5: Find a home within program limits. Howard County sets maximum purchase price limits that vary by loan tier. You must have a minimum of $1,000 to contribute toward settlement and down payment costs, plus one month of mortgage payment (PITI) in savings.
Step 6: Submit your applications and close. Your lender coordinates the SDLP application alongside your first mortgage. The SDLP loan is deferred with no monthly payments, and repayment is due only upon sale, refinance, or default.
Frequently Asked Questions
How much down payment assistance can I get in Ellicott City?+−
Do I have to be a first-time homebuyer to qualify?+−
What are the income limits for Ellicott City programs?+−
What homebuyer education is required?+−
What is the MIHU Homeownership Program?+−
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