Homebuyer Assistance Loan Program

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As of February 2019, all GHALP funds have been reserved. The City is no longer accepting applications until funds become available again on July 1, 2019. Please email mpdu@gaithersburgmd.gov for questions about closings scheduled on or after July 1, 2019.

The Gaithersburg Homebuyer Assistance Loan Program (GHALP) provides closing cost and down payment assistance to eligible first-time homebuyers who purchase within the City of Gaithersburg corporate limits.

Funding amounts are determined by property location and whether or not an applicant is a city resident at the time of application submission:


Standard Zone Opportunity Zone
Resident Up to $12,000 Up to $25,000
Nonresident Up to $10,000 Up to $15,000

Funding amount cannot exceed 10% of the sales price. Not all residences with a Gaithersburg address are within the corporate limits of the City of Gaithersburg. Please click here to see if the residence falls within the City limits, and the amount of assistance for which the property is eligible.

These funds are available in a 0% deferred loan. The buyer will be required to sign a promissory note and second deed of trust at settlement. Please see the program synopsis for more information.

Homebuyers wishing to use these funds must use a City of Gaithersburg approved lender. Homebuyers must also complete first-time homebuyers counseling. Please choose from one of the following education providers:

To ensure confidentiality and to protect the privacy of residents and applicants, the City requests that all required documentation pertaining to GHALP loans be uploaded to a secure folder. This folder is available only to authorized City employees. Examples of documents that should be uploaded include applications, copies of paystubs, tax returns, and other documents verifying income. Staff will be alerted once the documents have been uploaded, and the City will notify the applicant by email that the documents have been received and will be reviewed in a timely manner. This link should be used by lenders, applicants, and real estate agents. Please use the following naming convention when uploading documents:
GHALP_LastName_PropertyAddress.pdf

housingfiles.gaithersburgmd.gov (Password: “housing”).

Although this is the preferred method of receiving applications, applicants can continue to fax, mail or drop documents off at City Hall (marked as “CONFIDENTIAL”). Lenders and other housing professionals are required to use this link. This is a new security procedure, so please contact Housing Services with any questions.

The list of approved lenders can be found in the Related Documents section.

Please contact Housing Services for more details.

Income Maximums by Household Size

1 Person 2 Person 3 Person 4 Person 5 Person
$82,040 $93,760 $105,480 $117,200 $126,576

Lenders interested in participating in the GHALP program must complete the lender application.