A Guide to Maine's Local Down Payment Assistance Programs
Updated 1/21/2026
These programs can only be handled by approved lenders. If you would like help from a local realtor familiar with the programs and lenders, fill out this form here and I will connect you with one.
I've included all of the links and contact info needed to do this on your own, the form is meant to make it easier.
How Down Payment Assistance Works
I need to give a quick overview of how down payment assistance works. After that, the programs are listed.
With down payment assistance, you'll run into two different types:
- A grant
- A loan
A Grant
If we meet the qualifications up front, then it's money that does not need to be repaid.
A Loan
If the down payment assistance comes in the form of a loan, then pay attention to the three different types:
- Repayable
- Deferred
- Forgivable
Repayable is just as most imagine. It charges interest over a certain amount of time, with monthly payments until it's paid off.
Deferred loans usually don't require a monthly payment, and typically don't charge interest. It's due in full when you refinance, sell the home, or when it ceases to be your primary residence.
Forgivable loans will disappear if you meet the criteria, which usually comes down to keeping the home as your primary residence for a specific amount of time.
Okay with that, here are the programs!
Maine
MaineHousing's First Home Loan Program
- Assistance: Offers low fixed interest rate mortgages with options requiring little or no down payment. Additionally, the Advantage option provides up to $5,000 for down payment and closing cost assistance.
- Eligibility: Applicants must meet income limits, which vary depending on household size and the location of the home. A minimum credit score of 640 is required, and participants must complete a homebuyer education course.
- Website: https://www.mainehousing.org/programs-services/homebuyer/homebuyerdetail/first-home-loan-program
MaineHousing First Generation Pilot Program
- What It Offers: Provides $10,000 in grant funds for down payment/closing costs and a below-market interest rate.
- Who Qualifies: "First-generation" homebuyers (those whose parents/guardians never owned a home or who were in foster care).
- Website: https://www.mainehousing.org/programs-services/homebuyer/homebuyerdetail/first-generation-program
Katahdin Trust Company's Down Payment Assistance Programs
- Equity Builder Program (EBP): Provides up to $30,806 in grant funds for down payment, closing costs, homebuyer counseling, and single premium mortgage insurance for qualified first-time homebuyers.
- Housing Our Workforce (HOW): Offers eligible homebuyers up to 10% of the sales price or up to $25,000 (whichever is less) in grant funds toward down payment and closing costs.
- Website: https://www.katahdintrust.com/down-payment-assistance
Lewiston and Auburn
- Lease and Buy Home Ownership Program: Provides assistance to enable low- and moderate-income households to become homeowners in either city.
- Call 207-783-1423 Here's a link to a PDF labeled HomebuyerLoanProgram https://www.lewistonmaine.gov/Search?searchPhrase=472&pageNumber=1&perPage=10&departmentId=-1
Updated 1/21/2026
These programs can only be handled by approved lenders. If you would like help from a local realtor familiar with the programs and lenders, fill out this form here and I will connect you with one.
I've included all of the links and contact info needed to do this on your own, the form is meant to make it easier.