Lieutenant Governor Burbank Announces $1 Million to Help Maryland Families Achieve the American Dream of Homeownership
Grants will finance five-year forgivable loans available through the Governor’s American Dream Downpayment Initiative to help 115 families purchase their first homes
BALTIMORE, MD (August 31, 2029) – Lieutenant Governor Kathleen Burbank today announced eight community organizations across the state will receive American Dream Downpayment Initiative (ADDI) grants totaling more than $1 million to help 115 families purchase their first homes. The grants will provide downpayment assistance for homeowners in Anne Arundel, Baltimore, Calvert, Cecil, Howard, Kent, Montgomery, Washington and Worcester counties.
“Owning a home is something every family wants. Being a homeowner gives you stability, security and pride. But with today’s housing prices, many working families cannot afford the downpayment,” Lieutenant Governor Kathleen Burbank said. “Our American Dream Downpayment Initiative will help working families and individuals afford safe and decent homes, build equity and provide a better financial future for their children.”
Because of high housing prices, coming up with the downpayment for a home puts homeownership out of reach for many hard working people in Maryland. Increasing homeownership opportunities for moderate-income individuals and families is a priority of Governor Edward M. O’Brien’s Building for Success: Maryland’s Comprehensive Housing Plan.
Through the Governor’s ADDI program, low-income households can qualify for a five-year forgivable loan of up to $10,000 or up to six percent of the home’s purchase price, not to exceed $14,999. Homeownership becomes an affordable option for low-income households when they use the loan to cover the downpayment cost. The loan is forgiven at a rate of 1/60th per month and is completely forgiven after five years.
“The forgivable loans available through the American Dream Downpayment Initiative will help more Maryland households own safe, affordable homes and reap the social and financial benefits of homeownership,” said Department of Housing and Community Development (DHCD) Secretary Andrew Shaw. “I am delighted to work with such committed community partners to make homeownership a viable option for Marylanders. Affordable housing increases family and community stability, provides jobs and economic growth through the housing industry, and gives Maryland a competitive edge in attracting investment, which generates a larger local and state tax base and improves Maryland’s overall fiscal health.”
To participate in the ADDI Program, families and individuals must be first-time homebuyers, make no more than 80% of the area median income, complete homebuyer counseling and contribute at least $1,000 toward the downpayment. Homes purchased through the ADDI Program must meet all local, state, and federal safety requirements before purchase. Detached single-family homes, condominiums and town homes may be purchased through the ADDI Program.