Mortgage Credit Certificates
With a Mortgage Credit Certificate (MCC), first-time homebuyers can receive a dollar-for-dollar credit towards the federal income tax liability. This may lower your yearly financial burden as long as you live in the home.
Get to Know This Certificate
What Is It?
An MCC offers a federal tax credit for the life of your mortgage as long as you live in the home and have tax liability. It could save you thousands of dollars. And, you can combine an MCC with other Virginia Housing loans. (Talk with a tax advisor for personalized information.)
How Does It Work?
An MCC is equal to 10% of your annual mortgage interest. Then, the remaining 90% may be taken as a tax deduction. The MCC lasts as long as you live in the home and cannot be refinanced. An approved MCC lender can help with the application process.
To receive an MCC, you must:
- Be a first-time homebuyer
- Use the home as your primary residence
- Purchase a home within the sales price limits
- Have a combined household income within Virginia Housing income limits
More Information About MCC