Laurel Maryland Down Payment Assistance
The City of Laurel's $5,000 First-Time Homebuyer Grant: Everything You Need to Know
If you're a first-time homebuyer looking to settle in the City of Laurel, Maryland, there's an exciting opportunity available to help with your down payment: the Laurel First-Time Homebuyer Grant. This program, offering a $5,000 grant, could make a big difference in your home buying journey. Here’s everything you need to know about the program, from eligibility requirements to how to apply.
What is the Laurel First-Time Homebuyer Grant?
This program offers $5,000 in Maryland down payment assistance to qualified first-time homebuyers who are looking to purchase a home within the city limits of Laurel. The best part? The grant is forgiven after three years, meaning you don’t have to repay it if you stay in the home for that long. However, if you sell the home or rent it out before then, you'll owe the city the full $5,000.
Program Details and Eligibility Requirements
Before you get started, here’s a quick rundown of the key details:
Limited Funding:
The City of Laurel has only $60,000 allocated per fiscal year for this program, which means only 12 applicants can receive the grant each year. So, it's important to apply early!Property Types:
The grant can be used to purchase a single-family home, condo, or townhome within the city limits of Laurel. Unfortunately, properties like duplexes, triplexes, or any multi-family units are not eligible.Income Limits:
Your household income must not exceed $100,000. This includes the combined income of everyone listed on the application. If your household income exceeds this amount, you won’t be eligible for the grant.Timeframe:
To qualify, your home settlement must occur between July 1, 2024, and June 30, 2025. This means you’ll need to be under contract and preparing to close within this timeframe.Affidavit Requirement:
You must submit an affidavit confirming that you are a first-time homebuyer and agree to follow the program rules.Property Use:
After purchasing the home, you are required to live in the property for at least three years. If you decide to sell or rent it out before the three-year mark, you will need to repay the $5,000 grant.
Key Documents for Application
To apply for the grant, you will need to gather and submit several important documents:
Settlement Statement (HUD-1): This is provided by the title company once you are under contract and ready to close.
W-2 Forms: You’ll need to submit copies of your W-2 forms for the last two years to verify your income.
The grant funds are paid directly to you—the buyer—not the title company. This is a bit different from other programs where down payment assistance is paid directly to the title company. By sending the funds directly to the buyer, the City of Laurel ensures that the money is used specifically for its intended purpose: the down payment.
Important Application Details
When filling out your application, be sure to pay close attention to these important instructions:
Read eligibility requirements carefully before starting your application to make sure you meet all the criteria.
Check your application for completeness and accuracy—once submitted, you cannot update your application.
Only one submission per applicant will be considered. Incomplete or inaccurate applications may disqualify you from receiving funding.
Applications must be submitted through the online portal—if you need assistance, you can contact the Economic and Community Development Department.
While there’s no formal application deadline, the program is first-come, first-served. Once the $60,000 in funding has been allocated for the year, no more grants will be awarded, so it's important to apply as soon as possible.
A Few Final Considerations
No Minimum Credit Score: Unlike many other down payment assistance programs, there is no minimum credit score required to apply for this grant. This makes it accessible to a wider range of potential buyers.
First-Time Homebuyer: You must be a first-time homebuyer to be eligible for the grant. If you’ve owned a home before, you won't qualify.
Final Thoughts
The City of Laurel's First-Time Homebuyer Grant is a fantastic opportunity for qualifying buyers to secure $5,000 in down payment assistance. If you’re interested in purchasing a home in the city of Laurel, be sure to act quickly, as the funds are limited and awarded on a first-come, first-served basis.
If you have questions or need help navigating the homebuying process in DC, Maryland, Virginia, or Pennsylvania, feel free to reach out. I'm always here to help with expert advice and support.
Have you applied for or received a similar down payment assistance grant? I’d love to hear your experiences in the comments below!
City of Laurel Website: https://www.cityoflaurel.org/1941/First-Time-Homebuyer-Assistance-Program
Feel free to reach out to me for more details, and best of luck on your homebuying journey!
Call or text: 301-835-1810
Email: [email protected]
