HomeAbility

HomeAbility is a deferred second loan for homebuyers in Statewide, Maryland. Maryland DHCD MMP HomeAbility - 0% deferred second mortgage up to ~25% of first / ~$45,000 cap for households with a disabled member. FTHB requirement waived. Moderate-income $71,920-$129,600. 640 FICO. Statewide. Maryland DHCD's HomeAbility program is a specialized MMP product for households that include a person with a disability. Provides a 0% deferred no-payment second mortgage of up to 25% of the first mortgage amount (typically up to ~$45,000 cap) for down payment and/or closing cost assistance. Pairs with an MMP first mortgage funded via Maryland mortgage revenue bonds. The HomeAbility second is non-amortizing - no monthly payment, 0% interest - due in full on sale, refinance, transfer, payoff, or non-owner-occupancy. First-time-homebuyer requirement WAIVED for HomeAbility (program is open to repeat homebuyers in qualifying disabled-member households). Moderate-income household range $71,920 - $129,600. 640 FICO. Maximum 45% DTI. Homebuyer education required. Funding comes from State and Bond.

HomeAbility is deferred, so no payments are due until the home is sold, refinanced, or the first mortgage is paid off. Repayment is triggered by 0% deferred soft second. Full balance due on sale/refinance/transfer/payoff/non-owner-occupancy. No monthly payment. No forgiveness schedule. The assistance is recorded in 2nd Lien position. Forgiveness and repayment terms are set by the program and can change — confirm them on the official program page before applying.

HomeAbility is open to homebuyers who will live in the home as their primary residence. On credit, the program states: 640 minimum FICO across all eligible first-mortgage products. A homebuyer education course is required, through MMP-approved homebuyer education provider network. DHCD encourages disability-aware counseling. Residency requirement: Property in MD; primary residence; disabled household member must be permanent occupant. Statewide. Citizenship or immigration status: U.S. citizen, permanent resident, or qualifying non-permanent resident alien. DISABILITY ELIGIBILITY: Borrower or a member of the borrower's household must have a disability that meets the Social Security Administration / ADA definition - typically documented via SSA award letter, doctor's certification, or other acceptable disability documentation. The disabled household member must be a permanent occupant of the property. Owner-occupied primary residence. 640 minimum FICO. Maximum 45% DTI. Income $71,920 - $129,600 (moderate-income tier per HomeAbility income limits). Purchase price within MMP acquisition-cost limits ($544,233 to $1,535,015). FTHB requirement WAIVED. Homebuyer education required. MMP-approved lender + master servicer.

HomeAbility limits household income to 80% of the area median income, which varies by county and household size. HomeAbility household income limits $71,920 (low end) to $129,600 (high end) per MMP HomeAbility fact sheet (county-specific tiers). Designed for moderate-income households with a disabled member. 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.

HomeAbility caps the purchase price at $1.5M. Eligible property types include Single-family detached, 2-unit owner-occupied (per overlays), condo (approved), townhouse, PUD. Property accessibility features encouraged. New construction is eligible. Manufactured homes are not eligible.

HomeAbility names veterans, active-duty service members, reservists and National Guard members, surviving spouses, and homebuyers with disabilities among the groups it serves. Being named here means the program mentions the group, not that membership alone qualifies an applicant — the rest of the eligibility rules still apply.

HomeAbility serves homebuyers purchasing in Statewide, Maryland. The program targets specific areas: Federally targeted census tracts and high-cost MD counties have elevated income / purchase-price limits.

Applications for HomeAbility go through the administering agency, which publishes the current terms and the application steps on its own site. Funds are reserved through Reserved through MMP Lender Online portal at rate lock; HomeAbility designation flagged at reservation with required disability documentation. Hey Prescott is not a lender and does not accept applications; this page describes the program so a homebuyer can take it to a lender or housing counselor.