Mortgage Credit Certificate Program

MCC’s are a federally authorized program created  to reduce effective interest costs for qualifying homebuyers

MCC’s allow the homebuyer to qualify for a federal income tax credit equal to a percentage of the interest paid on their home loan each year, up to a maximum of $2,000 per year

 

MCC holders still qualify for a regular deduction of the remaining interest paid on their home loan

Without MCC                                           With MCC

Mortgage Amount

 

Mortgage Interest Rate 

 

Monthly Mortgage Payment

 

MCC Rate

Monthly Credit Amount

 

Effective Monthly Mortgage Payment

$100,000

4.50%

$506.69

N/A

N/A

$506.69

$100,000

4.50%

$506.69

35%

$130.29

$376.40