FHA Loans Maryland
Purchase a Maryland home with as little as 3.5% down and a FICO score starting at 580. FHA financing remains the most accessible route to a Maryland address for first-time buyers, growing households, and buyers moving into retirement – forgiving credit standards, gift-funded down payments, and county loan limits reaching $1,249,125 in the Washington, D.C. suburbs.
- 3.5% down with a 580+ FICO (10% down for scores between 500-579)
- Gift funds and Maryland down-payment assistance accepted; sellers may cover up to 6% of closing costs
- Single-family homes, FHA-approved condos, townhomes and 2-4 unit properties
- More forgiving debt-to-income guidelines than most conventional programs
- Open to first-time buyers, growing families, and buyers 55 and up across Maryland
Get Pre-Approved for a Maryland FHA Loan
Get Your Free Quote! No Credit Pull Required.
Why an FHA loan makes sense in Maryland
An FHA loan is a mortgage insured by the Federal Housing Administration, which means the government shoulders part of the lender’s risk. That backing lets us approve Maryland buyers with more modest credit histories, smaller down payments, and higher debt-to-income ratios than a typical conventional loan would allow. In a state where home values near the D.C. line rival some of the priciest markets in the country, that extra flexibility often makes the difference between a rental lease and a closing table.
Maryland draws buyers with steady federal, biotech, healthcare and defense-sector employment, historic waterfront towns, and easy Amtrak or Metro access into Washington and Baltimore. Whether you’re a first-time buyer settling in Howard County, a family upsizing in Frederick, or planning a quieter chapter near the Chesapeake Bay, an FHA loan through CambridgeHomeLoan.com – a direct lender that has served Maryland borrowers since 1998 – can get you there with less cash up front. Start your application →
Maryland FHA loan requirements (2026)
| Minimum down payment | 3.5% with a 580+ credit score (10% down with a score of 500-579) |
|---|---|
| Minimum credit score | 580 for maximum financing; we also assist buyers who are rebuilding credit |
| Mortgage insurance (MIP) | 1.75% upfront premium (typically rolled into the loan) plus an annual MIP of roughly 0.15%-0.75%, billed monthly |
| Debt-to-income (DTI) | Generally capped near 43%, with room to go higher given strong compensating factors |
| Down-payment source | Personal savings, a gift from family, or approved Maryland down-payment assistance |
| Seller concessions | Seller can contribute up to 6% of the purchase price toward closing costs |
| Property types | Single-family homes, FHA-approved condos, townhomes, and owner-occupied 2-4 unit buildings |
| Occupancy | Must serve as your primary residence |
| Co-borrowers | A non-occupant co-borrower (such as a parent) can be added to help you qualify |
2026 Maryland FHA loan limits by county
FHA limits in Maryland are set county by county and swing more widely than in almost any other state, because the Washington, D.C. suburbs price like a major metro while the Eastern Shore and western Maryland stay far more affordable. Eleven counties sit at the national floor of $541,287, five counties in the D.C. orbit reach the national ceiling of $1,249,125, and the remaining counties fall somewhere in between. Figures below are estimated from HUD’s published 2026 methodology; we confirm the exact number for your county before you write an offer.
| Floor counties – 11 counties (1-unit) | ~$541,287 (Allegany, Caroline, Dorchester, Garrett, Kent, Somerset, St. Mary’s, Talbot, Washington, Wicomico, Worcester) |
|---|---|
| Cecil County (1-unit) | ~$613,900 |
| Anne Arundel, Baltimore County & City, Carroll, Harford, Howard, Queen Anne’s (1-unit) | ~$755,200 |
| Calvert, Charles, Frederick, Montgomery & Prince George’s (1-unit, ceiling counties) | $1,249,125 |
| 2-4 unit properties | Scale up proportionally from the 1-unit figure – a 4-unit home in a ceiling county can finance well above $2,300,000 |
2026 FHA limits are set annually by HUD off the national conforming baseline; the mid-tier figures above are estimated and will be verified for your exact county and property type before you make an offer.
Maryland down payment assistance you can pair with an FHA loan
Maryland is one of the more generous states for layering assistance on top of FHA financing – the state’s Maryland Mortgage Program (MMP) is built specifically to work alongside FHA, VA and conventional loans:
Maryland Mortgage Program (MMP)
The state’s flagship first-time buyer program, run through the Maryland Department of Housing and Community Development, pairs a below-market first mortgage with optional down-payment help.
1st Time Advantage & Flex loans
MMP’s down-payment assistance options typically run from roughly $6,000 up to $20,000 or more, structured as a deferred, no-interest second lien repaid when you sell, refinance or pay off the first mortgage.
Maryland SmartBuy 3.0
Carrying student loan debt? SmartBuy can retire up to $20,000 of eligible student loan balances at closing for qualifying buyers purchasing with an MMP-eligible loan.
Who typically qualifies
First-time buyers (or those who haven’t owned in the past three years) purchasing a primary residence within Maryland’s income and purchase-price limits, which vary by county.
County & local layering
Montgomery, Prince George’s, Howard and other jurisdictions run their own local assistance on top of MMP – we check what stacks in your specific county.
Gift funds & seller credits
Combine family gift funds and up to 6% in seller-paid closing costs with FHA and MMP assistance to minimize the cash you bring to closing.
Maryland assistance programs carry income, purchase-price and eligibility limits, funding availability changes, and terms are subject to update. We’ll confirm exactly what applies to your situation.
Maryland FHA loan calculators
Run the numbers on a Maryland FHA loan before you shop. These are planning tools only – apply for figures tailored to your credit and county.
1. FHA monthly payment
Estimate your full monthly payment including FHA mortgage insurance.
2. Down payment & cash to close
See your down payment and estimated cash needed after seller credits.
3. How much home can I afford?
Estimate your FHA price range from income and monthly debts (43% DTI).
4. FHA loan amount + MIP
See your base loan plus the 1.75% upfront MIP financed into the loan.
Estimates only and not a commitment to lend. FHA charges 1.75% upfront mortgage insurance (financed) plus a monthly annual premium (~0.55% here for illustration). Actual rate, MIP, taxes, insurance and payment depend on your property, credit and qualification.
Your Maryland home is closer than you think →
Maryland FHA highlights
- 3.5% down - keep more of your savings on hand
- 580 credit accepted; practical, common-sense underwriting
- MMP assistance & gift funds can cover your down payment
- Finance a home, condo, or up to a 4-unit property you live in
- Refinance later with an FHA Streamline - no new appraisal needed
Best Maryland communities to buy with an FHA loan
From historic planned towns to fast-growing suburbs near I-270 and I-95, these Maryland communities blend solid value with the amenities buyers are looking for - many include homes and FHA-approved condos within reach of an FHA buyer:
Columbia (Howard County)
James Rouse's landmark planned city - village centers, lakes, trails and consistently top-ranked schools.
Two Rivers (Odenton, Anne Arundel)
One of the region's largest master-planned communities, close to Fort Meade and the BW Parkway corridor.
Maple Lawn (Fulton)
Walkable, mixed-use Howard County community with shops, offices and homes in one footprint.
Villages of Urbana (Frederick County)
Large-scale new-home community with its own town center, well within reach of I-270 commuters.
National Harbor (Prince George's County)
Waterfront, mixed-use living along the Potomac with quick access into D.C.
Ballenger Run (Frederick)
Newer construction with community amenities minutes from downtown Frederick.
Bowie (Prince George's County)
Established, tree-lined suburb with strong resale value and easy access to Washington and Annapolis.
Crofton & Severna Park (Anne Arundel)
Sought-after Anne Arundel communities near the Bay, with reliable schools and a small-town feel.
Value metros: Hagerstown, Cumberland, Salisbury, Elkton, Aberdeen, Glen Burnie
Some of Maryland's most affordable, FHA-friendly markets for first-time buyers, with prices comfortably within FHA limits.
Best Maryland 55+ & active-adult communities
Maryland's mix of Chesapeake Bay towns and D.C.-adjacent suburbs makes it a popular retirement landing spot, and an FHA loan can finance a home in an age-restricted community (condo buildings still need to be on the FHA-approved list). Some of the state's best-known 55+ options include:
Leisure World (Silver Spring)
One of the largest 55+ communities in the mid-Atlantic - golf, clubs and an active social calendar minutes from D.C.
Charlestown (Catonsville)
An Erickson Senior Living community with resort-style amenities just west of Baltimore.
Riderwood (Silver Spring)
Another Erickson community, known for its dining, fitness center and full continuum of care.
Oak Crest (Parkville/Baltimore)
Baltimore County's take on the Erickson model - clubs, restaurants and on-site healthcare.
Heritage Harbour (Annapolis)
Waterfront-adjacent 55+ living near historic downtown Annapolis and the Chesapeake Bay.
Bay Forest (Cambridge, Eastern Shore)
A quieter, more affordable 55+ option on Maryland's Eastern Shore.
Best Maryland places for families & top schools
Buying into a strong school district protects both your household and your resale value. These Maryland counties and towns consistently earn top marks statewide:
Howard County
Regularly ranked among Maryland's top school systems - Columbia, Ellicott City and Clarksville, with strong graduation rates and A-rated high schools.
Montgomery County
Bethesda, Potomac and Rockville anchor one of the largest, highest-performing school systems on the East Coast.
Carroll County
Westminster and the surrounding towns offer small-town character with dependable, well-funded schools.
Anne Arundel County
Severna Park and Crofton pair strong schools with easy access to Annapolis and the Bay.
Calvert & St. Mary's Counties
Southern Maryland's family-friendly waterfront communities, buoyed by strong local schools and Navy/defense employment.
Frederick County
Fast-growing family suburbs along I-270 with new schools keeping pace with new construction.
Maryland cities we serve for FHA loans
As a direct FHA lender since 1998, we finance buyers across every Maryland county and metro. A sample of the cities and towns where we close FHA purchases and refinances:
- Baltimore
- Towson
- Dundalk
- Catonsville
- Owings Mills
- Reisterstown
- Annapolis
- Glen Burnie
- Severna Park
- Crofton
- Odenton
- Pasadena
- Columbia
- Ellicott City
- Clarksville
- Silver Spring
- Rockville
- Bethesda
- Gaithersburg
- Germantown
- Clarksburg
- Frederick
- Urbana
- Hagerstown
- Westminster
- Bel Air
- Havre de Grace
- Aberdeen
- Elkton
- Cumberland
- Bowie
- Laurel
- Upper Marlboro
- Hyattsville
- College Park
- Greenbelt
- Clinton
- Camp Springs
- Waldorf
- La Plata
- Prince Frederick
- Leonardtown
- California
- Lexington Park
- Salisbury
- Ocean City
- Cambridge
- Easton
- Chestertown
Don't see your city? Start your application → - we lend statewide across all 24 Maryland jurisdictions.
FHA loans by Maryland city
Explore FHA programs, county loan limits and local down-payment assistance in your market:
FHA Loans Baltimore
City and county financing with MMP assistance layered on.
FHA Loans Annapolis
Waterfront and historic-district FHA financing in Anne Arundel County.
FHA Loans Columbia
Howard County FHA buyers and FHA-approved condos.
FHA Loans Silver Spring
Montgomery County FHA financing at the higher $1,249,125 limit.
FHA Loans Rockville
FHA and MMP options in high-cost Montgomery County.
FHA Loans Frederick
Ceiling-tier FHA financing along the I-270 corridor.
FHA Loans Bowie
Prince George's County FHA buyers.
FHA Loans Waldorf
Charles County FHA financing at the high-cost ceiling.
FHA Loans Glen Burnie
Anne Arundel County FHA financing.
FHA Loans Towson
Baltimore County FHA buyers.
FHA Loans Bel Air
Harford County FHA financing.
FHA Loans Salisbury
Eastern Shore affordability for FHA buyers.
FHA Loans Ocean City
Worcester County FHA and condo financing.
FHA Loans Hagerstown
Western Maryland value at the FHA floor limit.
FHA Loans Laurel
Prince George's/Howard border FHA market.
FHA Loans Gaithersburg
Montgomery County FHA buyers.
FHA Loans Cumberland
Western Maryland FHA financing and rebuilding-credit support.
FHA Loans Elkton
Cecil County FHA financing.
FHA Loans La Plata
Charles County FHA buyers.
FHA Loans Easton
Talbot County Eastern Shore FHA financing.
FHA Loans Hyattsville
Prince George's County FHA financing.
Start your Maryland FHA loan today
Whether it's your first house, more room for a growing family near strong schools, or a quieter stage of life closer to the Bay, we'll match you to the right FHA program and get you pre-approved quickly - with as little as 3.5% down.
- Same-week pre-approval
- Maryland Mortgage Program assistance and gift funds welcome
- Friendly, local Maryland guidance since 1998
Get pre-approved with 3.5% down →
Maryland FHA loan programs
FHA Purchase
3.5% down to buy a Maryland home, condo or 2-4 unit property you live in.
FHA Streamline Refinance
Lower your rate or payment with reduced paperwork and no new appraisal required.
FHA 203(k) Renovation
Combine the purchase price and renovation costs into one FHA loan - common in Maryland's older housing stock.
FHA Cash-Out Refinance
Tap your Maryland home equity up to FHA limits.
FHA Condo Loans
Financing for units in FHA-approved Maryland condominium projects.
Down-Payment Assistance
Pair your FHA loan with the Maryland Mortgage Program, SmartBuy and gift funds to buy with less cash.
Don't fit the FHA box, or self-employed? You still have options
If your credit profile, income documentation or property type doesn't line up with FHA, we're a full-service Maryland lender with other programs that will - many with no tax returns required:
Bank statement loan
Self-employed? Qualify on 12-24 months of bank deposits instead of tax returns.
Profit & loss (P&L) loan
Qualify off a CPA-prepared P&L statement - no tax returns or W-2s needed.
VA loan
0% down and no monthly mortgage insurance for eligible veterans and active-duty service members.
Conventional loan
As little as 3% down for strong credit, with mortgage insurance that drops off at 20% equity.
Construction loan
Build new or take on a major renovation with construction-to-permanent financing.
Foreign national loan
Purchase U.S. property without U.S. income or a Social Security number.
DSCR investor loan
Buying a Maryland rental? Qualify off the property's rental income instead of your personal income.
FHA 203(k) renovation
Buy a fixer-upper and finance the repairs into a single FHA loan.
Jumbo loan
Financing above FHA and conforming limits for higher-priced Maryland homes.
Maryland housing & FHA outlook for 2027
What Maryland FHA buyers should watch heading into 2027:
Rates cooling from their highs
As mortgage rates ease off their recent peak, more first-time buyers are re-entering the market - and FHA's share of purchases tends to climb whenever affordability is tight.
New construction along the I-270 & I-95 corridors
Ongoing building in Frederick, Carroll and parts of Anne Arundel County is adding FHA-eligible homes and condos to a market that has stayed inventory-constrained.
Federal employment stability matters here
Because so much of Maryland's economy ties to federal, contractor and defense employment, buyers should factor job-market steadiness into their pre-approval timeline.
MMP demand keeps rising
Interest in Maryland Mortgage Program assistance and SmartBuy student-loan relief keeps growing - applying early in the funding cycle matters.
Condo approvals expanding
More Maryland buildings are pursuing FHA project approval, and single-unit approvals continue to widen the pool of FHA-eligible condos.
Higher limits help move-up buyers near D.C.
Rising 2026-2027 county loan limits keep more Montgomery, Prince George's and Frederick County buyers inside FHA financing as prices climb.
Outlook only, not a guarantee or financial advice. Market conditions change; we'll give you current, personalized numbers when you apply.
How to get a Maryland FHA loan
Get pre-approved
Apply online in minutes and we'll confirm your budget, rate and down payment - with as little as 3.5% down.
Find your Maryland home
Shop with confidence in the county and school zone you want; your pre-approval strengthens your offer.
Underwrite & appraise
We manage the FHA appraisal and approval - flexible on credit, gift funds and DTI.
Close & move in
Sign, collect your keys, and start building equity in your Maryland home.
Maryland FHA loan FAQ
How much down payment do I need for an FHA loan in Maryland?
Just 3.5% of the purchase price with a credit score of 580 or higher (10% down if your score is 500-579). Your down payment can come from savings, a gift from family, or approved Maryland down-payment assistance.
What credit score do I need for a Maryland FHA loan?
580 for the 3.5%-down program. We also work with buyers who are still rebuilding their credit and can lay out a clear path to qualify.
What are the 2026 FHA loan limits in Maryland?
Eleven counties sit at the national floor of $541,287. Mid-tier counties - including Anne Arundel, Baltimore County and City, Carroll, Harford, Howard and Queen Anne's - run roughly $755,200, with Cecil County near $613,900. Five counties in the D.C. metro (Calvert, Charles, Frederick, Montgomery and Prince George's) reach the national ceiling of $1,249,125. Limits run higher for 2-4 unit homes.
Can I use an FHA loan to buy a condo in Maryland?
Yes - the condo project needs to be on the FHA-approved list, or we can pursue single-unit (spot) approval for your specific building.
Can I buy in a 55+ community with an FHA loan?
Yes - FHA can finance a home in an age-restricted community; for condos, the project must carry FHA approval. Buyers regularly use FHA financing at communities like Leisure World and other Maryland 55+ neighborhoods.
What is FHA mortgage insurance (MIP)?
FHA loans carry a 1.75% upfront premium (usually rolled into the loan) plus an annual premium of roughly 0.15%-0.75%, billed monthly. It's what allows FHA to offer low down payments and flexible credit standards.
Can the seller help pay my closing costs?
Yes - on an FHA loan the seller can contribute up to 6% of the purchase price toward your closing costs, which can meaningfully cut your cash to close.
Can I buy a 2-4 unit home with an FHA loan?
Yes - if you occupy one of the units, you can finance a 2-4 unit Maryland property with FHA and count rental income from the other units toward qualifying.
Is CambridgeHomeLoan.com a direct FHA lender?
Yes - we're a direct lender (NMLS #1826020) serving Maryland homebuyers since 1998, with friendly, local guidance from application through closing.
Can I combine an FHA loan with the Maryland Mortgage Program as a first-time buyer?
Absolutely - FHA pairs naturally with the Maryland Mortgage Program's down-payment assistance and, for eligible buyers, SmartBuy student-loan relief, which together can significantly reduce what you bring to closing.
How long does it take to close an FHA loan in Maryland?
Most Maryland FHA purchases close in about 30 days, and we can often move faster. We offer same-week pre-approval so your offer is ready the moment you find the right home.
Can I get an FHA loan after a bankruptcy or foreclosure?
Often yes. FHA generally permits a new loan two years after a Chapter 7 bankruptcy and three years after a foreclosure, sometimes sooner with documented extenuating circumstances. We'll review your file and map out the fastest realistic path.
Do I have to already live in Maryland to get an FHA loan here?
No - you don't need to be a current Maryland resident, but the home must become your primary residence. FHA works well for buyers relocating to Maryland for a federal, contractor or healthcare job.
Can I remove FHA mortgage insurance later?
On most FHA loans, annual MIP stays for the life of the loan. Many Maryland homeowners refinance into a conventional loan once they reach roughly 20% equity to drop mortgage insurance - and given how quickly values near D.C. have moved, that can happen sooner than expected. We can run those numbers with you when the time comes.
Apply for your Maryland FHA loan
Get pre-approved in minutes - 3.5% down, credit from 580, gift funds and Maryland Mortgage Program assistance welcome. A direct FHA lender serving Maryland since 1998.
Get Pre-Approved for a Maryland FHA Loan
Get Your Free Quote! No Credit Pull Required.
Rates, terms, FHA loan limits and program guidelines are for 2026, subject to change, and depend on the property, credit and qualification. Not a commitment to lend. This is not a government agency. Equal Housing Lender.
Maryland FHA Loan Resources, Housing Tools & Government Programs
Maryland FHA home buyers often benefit from reviewing official housing resources, FHA loan limit tools, government housing programs, mortgage insurance information, and local real estate organizations before purchasing or refinancing a home.
Below are useful Maryland FHA loan resources designed to help first-time buyers, moderate-income borrowers, condo buyers, and owner-occupied home purchasers better understand FHA financing throughout Maryland.
Official FHA & Government Housing Resources
Maryland FHA Loan Limits Lookup Tool
Review official FHA loan limits by Maryland county for single-family homes, duplexes, triplexes, and four-unit properties. FHA limits vary throughout Maryland based on local housing costs and county classifications.
Maryland FHA loan limits may be higher in areas such as Montgomery County, Howard County, Anne Arundel County, Baltimore County, and other higher-cost housing markets.
Check Maryland FHA Loan LimitsConsumer Financial Protection Bureau (CFPB) FHA Guide
The CFPB provides educational guidance about FHA loans, down payment requirements, mortgage insurance premiums (MIP), closing costs, refinancing options, and borrower protections for Maryland home buyers.
Visit CFPB FHA ResourcesUSA.gov Home Loan Assistance Programs
Explore federal housing assistance programs, government-backed mortgage resources, home buyer education programs, and financial assistance opportunities available to Maryland borrowers.
View Government Housing ProgramsMaryland Housing & Real Estate Resources
Maryland Department of Housing & Community Development
Maryland DHCD offers down payment assistance programs, affordable housing resources, first-time buyer programs, and statewide homeownership assistance solutions.
Visit Maryland DHCDMaryland REALTORS® Association
Access Maryland housing market trends, real estate data, buyer resources, and statewide market information for Baltimore, Annapolis, Frederick, Columbia, Rockville, and surrounding markets.
Visit Maryland REALTORS®HUD FHA-Approved Condo Search
Search for FHA-approved condominium communities throughout Maryland including Baltimore, Bethesda, Silver Spring, Columbia, Gaithersburg, and Annapolis.
Search FHA Approved CondosImportant Maryland FHA Mortgage Terms
Mortgage Insurance Premium (MIP)
FHA loans require both upfront and annual mortgage insurance premiums. MIP helps lenders offer lower down payment financing and flexible qualification standards.
FHA-Approved Appraisal
Maryland FHA appraisals evaluate both home value and property condition standards to ensure the property meets FHA safety and livability guidelines.
FHA Streamline Refinance
Existing Maryland FHA borrowers may qualify for simplified refinance programs that can lower monthly mortgage payments with reduced documentation.
Owner-Occupied Requirement
Maryland FHA loans are intended primarily for owner-occupied primary residences rather than investment or vacation rental properties.
Debt-to-Income Ratio (DTI)
DTI compares monthly debt obligations against gross monthly income and helps determine FHA affordability and qualification eligibility.
Closing Cost Assistance Programs
Certain Maryland housing assistance programs may help eligible buyers reduce upfront closing costs and down payment expenses.
Start Your Maryland FHA Home Loan Strategy
Connect with Cambridge Home Loan to explore Maryland FHA purchase loans, FHA refinance programs, low down payment financing options, and first-time home buyer mortgage solutions throughout Maryland.
🏡 Apply for Maryland FHA Financing