Maryland mortgage market at a glance
| Item | Maryland 2026 |
|---|---|
| Conforming loan limit (1-unit) | $832,750 baseline; DC-suburb counties up to $1,249,125 |
| FHA loan limit (1-unit) | $541,287 floor to well above in the DC and Baltimore metros |
| Foreclosure process | Quasi-judicial (filed in court, limited court involvement) |
| State housing agency | Maryland DHCD, Maryland Mortgage Program (MMP) |
Maryland is two markets wearing one flag. DC-commute counties priced like the coasts with loan limits to match. The rest of the state priced like the Mid-Atlantic. What unites them is closing costs. Maryland’s stack of transfer and recordation taxes is one of the heaviest in America, and it deserves a line in your budget before the rate does.
Loan limits in Maryland
Most Maryland counties carry the 2026 baseline conforming limit of $832,750. The DC-metro counties, Montgomery, Prince George’s, Frederick, Calvert, and Charles, fall in the Washington high-cost area, with limits running up to the $1,249,125 ceiling. Baltimore and the Eastern Shore stay baseline. Above your county’s limit, you are shopping jumbo loans, routine in Bethesda and Chevy Chase.
FHA limits follow the same geography, from the $541,287 floor on the Eastern Shore to far higher in the DC suburbs. That keeps 3.5%-down FHA buying realistic even in Montgomery County, where prices would otherwise lock out first-time buyers entirely.
First-time buyer programs in Maryland
The Maryland Mortgage Program (MMP), run by the state Department of Housing and Community Development, is one of the larger state programs in the country, financing thousands of purchases a year. Its core products are 1st Time Advantage for first-time buyers and Flex for everyone else, both 30-year fixed loans through 100-plus approved lenders. Most variants come with down payment help attached, typically as a zero-interest deferred second. Specialty products rotate through, including options for buyers with student debt.
Income limits vary by county and household size, and homebuyer education is required. Programs and current rates at mmp.maryland.gov.
What closing on a home costs in Maryland
Brace yourself. Maryland charges a 0.5% state transfer tax, counties layer their own transfer taxes on top, and recordation taxes apply to the deed and mortgage. Combined government charges can approach or exceed 2% of the price in some counties. The relief valves: first-time Maryland homebuyers get the state transfer tax cut to 0.25%, paid by the seller, and custom in much of the state splits the remaining charges between the parties. Title companies conduct most settlements. No attorney mandate.
Foreclosure is Maryland’s own hybrid. The action is docketed in circuit court, but without a borrower challenge there is little courtroom drama. Maryland law adds real protections: a mandatory notice of intent to foreclose and the right to mediation. The timeline is moderate and a borrower who engages has options.
How to get the best rate in Maryland
- Get three same-day quotes, mixing national lenders with a regional bank active in the DC or Baltimore market. Our best mortgage lenders list is the launch point.
- Price the MMP option with its assistance against the open market. In high-tax Maryland, closing cost help is worth more than rate.
- Estimate transfer and recordation taxes for your specific county before you set a budget. The spread between counties is thousands of dollars.
- Invoke the first-time buyer transfer tax break at the settlement table. It is your money. Claim it.
- Model the full payment and cash to close with our mortgage calculator and our down payment guide.
For lender rankings and every loan type explained, start at our mortgages hub.