MCC Tax Credit

Mortgage Credit Certificates Are Not Mortgages
   
 An MCC is a tax
credit which means fewer tax dollars can be withheld from your regular paycheck,
increasing your take-home pay.  The lender can use the credit to help increase
your buying power up to an additional 10%.

MORTGAGE CREDIT CERTIFICATE ELIGIBILITY
REQUIREMENTS

Available With New Purchase Loans

Must Be First Time Home Buyer (Not Owned A
Home In Previous 3 Years) Unless Purchasing In A
Targeted Area

Recapture Tax Applies

Income and Acquisition Limits Based On Family Size

Owner Occupied

WSHFC Home Buyer Education Required

Must Work With WSHFC MCC Participating Lender

Cost is $657.50

Can Be Renewed On A Refinance for $375.00 Fee

FHA Can Be Used As A Deduction From Monthly
Payment Qualifying For More Home

FNMA/VA/USDA Used As Income To Qualify For More
Home

Recapture Tax:

** Applies to the WSHFC Mortgage Credit Certificate program
only

Recapture only applies if all 3 of the following occur:

Your home is sold or disposed of within 9 years of
being purchased, for reasons other than your
death;

There is a capital gain on the sale of your home,
AND

Your household income for the year in which you
sell your home exceeds federal recapture tax
limits. See your lender for current limits.

Happy Investing!

Today's blog courtesy of Cheryl Taylor, American Pacific Mortgage