House Keys for Employees Program

The House Keys for Employees Program offers valuable financial assistance to eligible participants looking to purchase their first home. This program provides up to $15,000 in down payment or closing cost assistance, with up to $5,000 provided by the Department of Housing and Community Development (DHCD) as a 0% deferred loan. However, it's important to understand the details and potential drawbacks before proceeding.

Key Benefits:

• Down Payment Assistance: Participants can receive up to $15,000 in down payment or closing cost help.
• Grant from Employer: A portion of this ($5,000) comes as a grant, which does not need to be repaid but is considered taxable income. You will receive a 1099 form at the end of the year.

Important Considerations:

• Deferred Loan: The DHCD match of up to $5,000 is a 0% deferred loan that must be repaid when you sell, refinance, or transfer ownership of the home.
• Second Lien: The deferred loan is placed as a second lien on the home, meaning you cannot take out home equity loans for repairs or renovations without first addressing this lien.
• Interest Rates: House Keys participants may pay a slightly higher interest rate on their mortgage, which could cost more over the life of the loan.

Steps to Participate:

1. Work with a Certified Lender: To participate, you must work with a Maryland Mortgage Program certified lender. You can view the certified lenders here.
2. Review the Process: Make sure to review the participant checklist to understand the steps involved.
3. Do the Math: Carefully consider the financing options and the potential long-term cost of a higher interest rate.

For more information, visit the House Keys Tutorial provided by Calvert County.

If you are considering applying, or if you have further questions, please contact the Recruitment and Retention Specialist Erin Ward for more information and eligibility confirmation.