Central Baltimore Homebuying Incentive Program

What is Central Baltimore Homebuying Incentive Program?

Central Baltimore Homebuying Incentive Program is a forgivable loan for homebuyers in Baltimore, Maryland.

• $10,000 deferred (non-forgivable, 0%) second mortgage for buyers in 7 Central Baltimore neighborhoods (Barclay, Charles North, East Baltimore Midway, Greenmount West, Harwood, Old Goucher, Remington). 100% AMI cap. FTHB and repeat buyers. Administered by Central Baltimore Partnership.
• $10,000 down payment / closing cost assistance for buyers purchasing in seven Central Baltimore neighborhoods: Barclay, Charles North, East Baltimore Midway, Greenmount West, Harwood, Old Goucher, and Remington. Structured as a 0% interest DEFERRED loan (NOT forgivable) - principal is due in full upon sale, transfer, refinance (cash-out), or non-owner-occupancy. No monthly payment. Income limit up to 100% of Central Baltimore neighborhood median income (~$73,600 1-person to $153,300+ family of four/larger.
• LendSquawk seed range $81,300 1-person to $153,300 8-person). Open to first-time AND repeat buyers. Buyer must contribute $1,000+ of own funds. Homeownership counseling certificate from city-approved agency required. Stacks with Baltimore City First-Time Homebuyers Incentive Program and Maryland Mortgage Program. Administered by Central Baltimore Partnership (CBP).
• funded by foundation/state/city sources targeted to revitalize Central Baltimore corridor.
• Funding comes from Foundation, Local Government, and State.

Do you have to pay it back?

Central Baltimore Homebuying Incentive Program is forgiven after 5 years, so a buyer who stays that long does not repay it.

• Repayment is triggered by Five-year forgivable loan ($10,000 East Harwood / $15,000 Midway). Prorated unforgiven balance due if owner-occupancy/primary-residence requirement is broken within the 5-year term; otherwise forgiven over 5 years.
• The assistance is recorded in 2 position.
• Forgiveness and repayment terms are set by the program and can change — confirm them on the official program page before applying.

Who qualifies?

Central Baltimore Homebuying Incentive Program is open to buyers who will live in the home as their primary residence.

What are the income limits?

Central Baltimore Homebuying Incentive Program limits household income to 120% of the area median income, which varies by county and household size.

• Household income at or below 100% of Central Baltimore neighborhoods' median income (~$73,600 individual / ~$105,100 family of four). LendSquawk seed range $81,300-$153,300 reflects scaled household-size limits up through 8-person.
• The limit applies to total household income, not only the borrower’s.
• Area median income figures are published by HUD and updated annually, so check the current table for the county before relying on a number.

What kind of home can it be used for?

Central Baltimore Homebuying Incentive Program caps the purchase price as follows: No CBP-published purchase-price ceiling; subject to first-mortgage lending limits.

• Eligible property types include Single-family detached, Townhome, Rowhouse, and Condominium.
• New construction is eligible.
• Manufactured homes are not eligible.

Where does it apply?

Central Baltimore Homebuying Incentive Program serves buyers purchasing in Baltimore, Maryland.

• The program targets specific areas: TARGETED NEIGHBORHOODS: Eligible only for properties located in Barclay, Charles North, East Baltimore Midway, Greenmount West, Harwood, Old Goucher, or Remington (7 Central Baltimore corridor neighborhoods). Designed to spur revitalization in these specific areas.

How do you apply?

Applications for Central Baltimore Homebuying Incentive Program go through the administering agency, which publishes the current terms and the application steps on its own site.

1. 1

   Take a homebuyer education course

   Required by the program, through Baltimore City-approved homeownership counseling agencies (NHS of Baltimore, Druid Heights CDC, Belair-Edison, Southeast CDC, GO Northwest)..

2. 2

   Contact the administering agency to reserve funds

   Funds are reserved through Application processed through Central Baltimore Partnership; pre-approval required before closing., and are subject to availability.

3. 3

   Work with a lender who handles the program

   Hey Prescott is not a lender and does not accept applications; this page describes the program so a buyer can take it to a lender or housing counselor.