Maine First-Time Home Buyer Guide 2026
MaineHousing’s First Home Loan and $5,000 Advantage explained, the $10,000 First Generation program, Salute ME for veterans, income and purchase price limits by area, and who qualifies in Maine.
MaineHousing First Home Loan
MaineHousing’s First Home Loan Program provides low fixed interest rate mortgages to first-time buyers through a statewide network of participating lenders. It can be paired with the $5,000 Advantage toward the cash needed for closing.
| Requirement | First Home Loan |
|---|---|
| First-time buyer | No ownership interest in your principal home within the past 3 years |
| Credit | Acceptable credit history with a minimum credit score of 640 |
| Limits | Household income and purchase price limits by area |
| Mortgage insurance and down payment | Rural Development 0%, VA 0%, FHA 3.5% |
| Land | Acreage limits of 3 acres for existing homes or 1 acre for new homes apply when the land exceeds 30% of the appraised value |
Sources: MaineHousing First Home Loan Program and the First Home Program FAQs.
MaineHousing Down Payment and Closing Cost Assistance
Advantage provides $5,000 toward the cash needed for closing. It does not increase the loan amount, there is no second mortgage, and there is no rate add-on. Funds from Advantage may be used toward the required down payment.
| Feature | Advantage | First Generation |
|---|---|---|
| Amount | $5,000 | $10,000 |
| Use | Down payment and closing costs | Down payment and closing costs |
| Who qualifies | First Home Loan borrowers | Buyers who never lived in a home owned by their biological parents or legal guardians, or who were in foster care |
| Homebuyer education | Required — a hoMEworks approved class before closing | See program terms |
| Borrower contribution | Minimum 1% of the loan amount, which may be a gift | See program terms |
Salute ME for Veterans and Service Members
MaineHousing offers qualified active duty, veterans and retired military personnel a 0.50% discount on its First Home Loan 30-year fixed interest rate through its Salute ME and Salute Home Again programs, whether or not they are first-time home owners.
| Item | Salute ME |
|---|---|
| Rate | 0.50% discount on the First Home Loan 30-year fixed interest rate |
| Assistance | $5,000 Advantage toward down payment and closing costs, included with the rate |
| Service | Served on active duty for 180 days or within a war zone; remain on active duty or honorably discharged |
| Homebuyer education | A hoMEworks class is required to receive the $5,000 Advantage |
Source: MaineHousing Salute ME.
MaineHousing Income and Purchase Price Limits
These limits apply to the First Home Loan, First Generation, Salute ME and Salute Home Again programs. MaineHousing’s income limits are effective June 1, 2026.
| Area | Income, 1–2 People | Income, 3 or More |
|---|---|---|
| Portland HMFA | $139,100 | $159,965 |
| York/Kittery HMFA | $132,900 | $152,835 |
| Sagadahoc County | $116,634 | $134,129 |
| York County (excluding HMFA) | $116,554 | $134,037 |
| Cumberland County (excluding HMFA) | $115,754 | $133,117 |
| Bangor HMFA | $106,500 | $122,475 |
| All other areas | $105,000 | $120,750 |
| Area | 1 Unit | 2 Units | 3 Units | 4 Units |
|---|---|---|---|---|
| Portland HMFA, York/Kittery HMFA, and Cumberland, Sagadahoc and York counties outside the HMFAs | $565,000 | $625,000 | $675,000 | $775,000 |
| Bangor HMFA and all other areas | $525,000 | $575,000 | $625,000 | $675,000 |
Limits are from MaineHousing’s homebuyer income and purchase price limits. The Bangor HMFA covers Bangor, Brewer, Old Town, Orono and nearby towns; the York/Kittery HMFA covers Berwick, Eliot, Kittery, South Berwick and York; the Portland HMFA covers Portland, South Portland and surrounding Cumberland County towns plus Buxton, Hollis, Limington and Old Orchard Beach.
Who Qualifies in Maine
| Requirement | Detail |
|---|---|
| First-time buyer | No ownership interest in your principal home within the past 3 years |
| Credit | 640 minimum for the First Home Loan |
| Borrower contribution | 1% of the loan amount with Advantage, which may be a gift |
| Homebuyer education | A hoMEworks approved class, required with Advantage |
| Property | New and existing single-family homes, owner-occupied two to four unit buildings, condominiums, and mobile homes on owned land built within the last 20 years |
Sources: MaineHousing First Home Loan and MaineHousing limits.
Maine First-Time Home Buyer Steps
| Step | What Happens |
|---|---|
| 1. Check the limits | Compare your household income and target price against MaineHousing’s limits for your area |
| 2. Pick your program | First Home Loan, with First Generation or Salute ME if you qualify |
| 3. Choose a MaineHousing lender | First Home Loans are offered through participating banks, credit unions and mortgage companies |
| 4. Add Advantage | $5,000 toward down payment and closing costs |
| 5. Complete homebuyer education | A hoMEworks approved class before closing |
| 6. Make an offer and close | Bring at least 1% of the loan amount with Advantage |
