When you look up income limits for Maryland's First Homes for First Responders and Teachers loan, you will notice that some counties show two numbers: one for most of the county and a higher one for "Targeted Areas." If your household earns a little too much for the standard limit, or the homes you like cost more than the usual cap, a Targeted Area may be what makes the purchase work.
What a Targeted Area is
Targeted Areas are parts of Maryland defined using U.S. Census Bureau data. The Maryland Mortgage Program uses them to steer homeownership toward communities that need investment. In exchange, it loosens two limits for properties inside them:
- Higher household income limits
- Higher maximum purchase prices (called the maximum acquisition cost)
For other MMP loans, Targeted Areas also waive the first-time buyer rule. The First Homes fact sheet says that product is only for first-time buyers, so do not count on that waiver for First Homes without confirming it with your loan officer.
Which counties have Targeted Areas
MMP sorts Maryland's 24 jurisdictions into three groups.
Entirely targeted: Allegany, Caroline, Dorchester, Garrett, Kent and Somerset counties, plus Baltimore City. Every property in these places is in a Targeted Area.
Partly targeted: Anne Arundel, Baltimore, Frederick, Harford, Montgomery, Prince George's, Washington and Wicomico counties. Some neighborhoods qualify and some do not.
No Targeted Areas: Calvert, Carroll, Cecil, Charles, Howard, Queen Anne's, St. Mary's, Talbot and Worcester counties.
How much the limits rise
Here are 2026 examples from the MMP limits table, effective June 24, 2026:
| County | Income limit, 3+ people | Targeted, 3+ people | Max price | Targeted max price |
|---|---|---|---|---|
| Baltimore County | $161,873 | $191,940 | $782,118 | $955,922 |
| Anne Arundel | $161,873 | $191,940 | $782,118 | $955,922 |
| Harford | $161,873 | $191,940 | $782,118 | $955,922 |
| Washington | $157,665 | $191,940 | $566,354 | $692,211 |
| Montgomery | $232,540 | $232,540 | $1,306,974 | $1,597,413 |
In Baltimore, Anne Arundel and Harford counties, a Targeted Area address raises the income limit for a family of three or more by about $30,000. In Montgomery, Prince George's and Frederick counties the income limit is the same either way, but the price limit rises by nearly $300,000.
One limit does not move: the maximum loan amount. Loans are capped by county and never exceed $832,750, so a higher price limit mainly helps buyers who bring more of their own money or other assistance.
What a Targeted Area can mean for your assistance
Because First Homes assistance is 5% of the loan, buying in a place with higher limits can also mean more assistance, up to the county's loan cap. In Baltimore City, where every address is in a Targeted Area, a household of three or more can earn up to $191,940, the maximum purchase price is $955,922, and the maximum loan is $747,500. At that loan cap, the 5% assistance would be $37,375.
Most buyers will borrow far less than the cap, of course. But the higher income limit is often the difference between qualifying and not for a two-income household.
Why this matters for teachers and first responders
Two-income households are common among people who serve their communities. A teacher married to a police officer, for example, can easily cross $160,000 combined. Outside a Targeted Area in Baltimore County, that household of three would be over the $161,873 limit at about $162,000. Inside a Targeted Area, the same household has room up to $191,940.
Remember that income limits count all household income, meaning every adult 18 or older who will live in the home, whether or not they are on the loan. A pregnancy certified by a doctor also counts as an extra household member.
How partly targeted counties work in practice
In the eight partly targeted counties, the designation follows census tract lines, not ZIP codes or school districts. Two homes a few blocks apart can fall under different limits. That has a few practical effects:
- Your pre-approval may change by address. A household just over the standard limit may be pre-approved only for homes inside Targeted Areas.
- Your agent should check before you tour. It saves time to filter listings by Targeted Area status before falling for a house that does not fit your limit.
- Price limits move too. In Washington and Wicomico counties, the price cap rises from $566,354 to $692,211 inside Targeted Areas.
How to check an address
MMP provides a free online tool, the Maryland Mortgage Program Mapper, where you can type in an address and see whether it falls inside a Targeted Area. The same map shows Priority Funding Areas, which matter if you are buying new construction: any home less than a year old must be inside a Priority Funding Area to qualify.
Check each address before you write an offer, especially in partly targeted counties where the boundary can run between neighborhoods.
Common questions
Is a Targeted Area a bad neighborhood? Not necessarily. The designation comes from census data, and entire counties qualify, including rural Garrett County and all of Baltimore City.
Does the 5% assistance change? No. First Homes assistance is always 5% of the first mortgage, wherever you buy.
Can I switch areas after I am pre-approved? Yes. Your limits are based on the property you buy, so tell your loan officer if you change your search area.
See your limits
Our county income limits page shows the standard and Targeted Area limits for every county and the maximum 5% assistance in each. When you are ready, the eligibility check compares your household income to your county's limit in real time.