See programs you qualify for
Get Matched Free →By Tyler Thompson · Licensed Real Estate Agent · Updated March 28, 2026
Homebuyer Programs in Towson, MD (2026)
Towson is the county seat of Baltimore County, Maryland, an unincorporated community of about 58,000 residents located just north of Baltimore City, with a median home price near $500,000. While Towson does not have its own city government or city-funded homebuyer programs, buyers here can take advantage of the Baltimore County Settlement Expense Loan Program (SELP), which provides up to $10,000 in forgivable closing cost assistance for income-eligible first-time buyers purchasing in designated Community Conservation Areas. Towson buyers also benefit from Maryland state programs including the Maryland Mortgage Program, which offers up to $6,000 in down payment assistance through its 1st Time Advantage product, plus an additional $2,500 from the Partner Match Program when paired with local incentives. St. Ambrose Housing Aid Center provides free homebuyer education and counseling for Baltimore County residents to help navigate the process.
County Programs in Baltimore County
| Program Name | Type | Amount | First-Time Only | Details |
|---|---|---|---|---|
| Baltimore County Settlement Expense Loan Program (SELP) | Forgivable Loan | Up to $10,000 | Yes | View → |
- Type:
- Forgivable Loan
- Amount:
- Up to $10,000
- 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
How to Apply
Step 1: Check your eligibility. The Baltimore County SELP program requires household income at or below 80% of the area median income, and the property must be located in a designated Community Conservation Area. Contact Baltimore County Housing at 410-887-4357 to verify whether your target neighborhood qualifies.
Step 2: Complete homebuyer education. St. Ambrose Housing Aid Center offers free homebuyer workshops and counseling for Baltimore County residents. Contact them at 410-366-8550 to register. Completion of homebuyer education is required for most state-level programs.
Step 3: Get pre-approved through a participating lender. The SELP program requires a fixed-rate mortgage from a participating lender. The Maryland Mortgage Program also requires an approved lender. Ask about combining state DPA with the county SELP for maximum benefit.
Step 4: Contact Baltimore County Housing and Community Development. Call 410-887-4357 to confirm current SELP funding availability and get application instructions. Funding is limited and may not be available at all times.
Step 5: Find a home in an eligible area. SELP assistance is only available for existing homes in Community Conservation Areas. New construction is not eligible. Work with your agent and lender to identify qualifying properties.
Step 6: Submit your application and close. Once under contract, your lender will help you apply for SELP and any state assistance programs. The SELP loan is forgiven if you remain in the home as your primary residence for the required affordability period.
Frequently Asked Questions
How much down payment assistance can I get in Towson?+−
Do I have to be a first-time homebuyer to qualify?+−
What are Community Conservation Areas and is Towson in one?+−
What types of homes are eligible?+−
What homebuyer education is available?+−
Can I combine multiple programs?+−
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