Cornerstone Hill Subdivision

Cornerstone Hill is located in a quiet east side neighborhood of Cumberland off of James Day Drive.  The homes are built on top of a hill which has some of the best residential views in all directions in the City of Cumberland. It consists of 38 owner occupied 2 and 3 bedroom homes with a strong neighborhood atmosphere.

Cornerstone Hill was developed by the Cumberland Housing Group to provide new for sale affordable housing to households in Cumberland with incomes at or below 120% of the Area Median Income.  Through a Neighborhood Conservation Initiative grant from the State of Maryland, Cumberland Housing was able to develop and sell these homes below the cost to construct them thus providing a discounted purchase price to qualified buyers.

Phase I consists of three 3-story buildings buildings with five town-home units in each building with built-in garages, 3 bedrooms, 2.5 baths, and an open kitchen. These units were sold at a price point of between $114,000 and $145,000. The last unit was sold in March 2011 to close out phase I.

Phase II of the project consists of nine two-story units with paver driveways and no garages. Phase II unit construction began in late Spring 2010 with all units sold as of April 27, 2012. Phase II units are two-story town home units of 1,450 -1,600 square feet of living space. They are designed with 2 and 3 bedrooms, with at least one bedroom on each floor, and are livable as single floor dwellings.  These units have hardwood floors, carpeting, Energy Star appliances, granite tile counter tops, and an open floor plan. The units ranged in price from $97,500 to $134,954.

Phase III began construction on April 9, 2012 and consists of 15 three bedroom units.  These units are an upscale construction and have two and a half baths, walk-in closets, second-floor laundry, patios, balconies, one car garage and many more amenities.  These units were built  using various designs including mobility assess able homes and at various locations within the subdivision.  The units averaged a price of $146,000.

Purchase Requirements

The funding used to complete this development carries certain requirements and restrictions related to the purchase and re-sale of homes at Cornerstone Hill which all buyers must meet.

  1. The home purchased must be the primary residence of the buyer and cannot be an investment property or second home. Leasing, rental or other arrangements are not permitted.  Homes can only be occupied by one family (one or two adults with or without immediate children) who is the owner.
  1. Cornerstone Hill is a private subdivision which has a Home Owners Association that manages and maintains the common property and grounds of the development.  Ownership of a home at Cornerstone Hill requires membership in the association. Monthly membership is $65 dollars a month.  This fee is used to perform annual maintenance such as lawn care, snow removal, etc. but also funds a Reserve Fund which is used for large repairs and replacements.  All homeowners must participate in the Homeowners Association and pay the monthly Association fee indefinitely.

For a period of fifteen years from date the home was first sold, new home buyers are also bound by the following requirements:

  1. Initial mortgages must be for a period of 30 years at a fixed rate. Cash sales can be accepted in certain circumstances with prior approval by the Cumberland Housing Group and the Maryland Department of Housing and Community Development.
  2. Completion of a 6-8 hour certified Home Ownership Counseling Course. This is provided by HRDC or can be completed online at  Completion of this course may qualify you for a Closing Cost grant up to $1,250 for those with total family income below the 80% level.
  1. The families who purchase homes in Cornerstone Hill must meet generally excepted criteria related to debt to income ratios considered to be affordable under the HOME program and their local lender.
  1. All units must continue to be owned by one family at or below 120% of AMI for a period of 15 years from the point of original sale. This restriction will be incorporated into the deed as a deed restriction for the required period of time.
  2. All purchasers must have a single family household income below the “NSP Cornerstone Hill” 120% income level for the Allegany County Area as established by HUD and published on the the Income Limit Chart (click here).

Construction is complete and all units have been sold.

Project Info:
The Cumberland Housing Group
635 East First Street, Cumberland, MD 21502
Phone: (301) 724-6606 Extension 100

 Cornerstone Hill Community Association

Homeowners must belong to the Cornerstone Hill Community Association which is the Homeowners Association (HOA) for the 38 homes located at Cornerstone Hill subdivision.   Homeowners must also pay a quarterly HOA fee which is currently $65 per month.  The HOA has an elected Board which oversees the association activities.  Management activities are conducted by the Cumberland Housing Group.


Disclosure Statement

Articles of Incorporation


Declarations of Covenants


Cumberland Housing ALLIANCE - 635 E. First Street, Cumberland MD, 21502