The MCC tax credit program is aimed at assisting those purchasing their first home. We love tax credits like these because they help people, and we’re all about helping others. But this program isn’t just about getting you into any old home. There are a few different ways to benefit from the MCC program and find a great deal on the home of your dreams.
#1 — MCC Tax Credit Program = Saving Money on Your Home
Sure there are a few other benefits, and we’ll get to those, but there’s no denying the number one, most critical perk of the MCC tax credit program: you can save a lot of money on your home’s mortgage. With this tax credit, you can claim up to $2,000 each year for the entirety of your home loan. With a 30-year mortgage, that’s $60,000! Think of all you can do with such savings.
Remember, the MCC tax credit program differs from state to state, so the full amount of credit you receive depends on where you live. For example, if you’re buying a home in Texas, you’ll look specifically at the Texas Mortgage Credit Certificate Program, the TDHCA. And, depending on which city or region of Texas you reside in, you’ll calculate your benefit from there.
#2 — Find the Best Lenders and Realtors
One of the biggest hurdles of home buying is finding decent lenders and realtors. With the MCC tax credit program, you need to work with those who know the process. This will make it a lot easier for you, but it also opens the door to specific lenders and realtors who are willing to put in the extra work to benefit their clients.
The MCC program is meant to help people. So when you have lenders and realtors who know, understand, and can assist you throughout the MCC program process, you know you have a valuable entity on your side.
#3 — Discover Other Ways to Save Money
Yes, the MCC tax credit program is a great way to save money on your first home. However, first-time homebuyers have many options for saving money! Once you start focusing on one program, you’ll begin to find others. The MCC program is almost like a door, opening up to other opportunities.
And with so many specific state-run programs, you’ll indeed find another way to cut down that price tag. With the TDHCA, for example, you can also widen your search to other first-time homebuyer programs in cities throughout the entire state of Texas. Then go wider, and search for specific regions.
#4 — Get Your Dream Home
Because you save money on your new house, first-time homebuyers can widen their search and include some dream homes. With a maximum benefit of $2,000 through the entire home loan, you can potentially increase your price point. And because so many of these programs vary from state to state, this prompts homebuyers to look outside their original boundaries, further increasing their options. For example, if you live in New Mexico and can’t benefit from the MCC tax credit program, look at the TDHCA to see what homes are available in Texas.
#5 — Look for a Second Home
Although the MCC tax credit program is specifically designed for first-time homebuyers, other parties are also eligible. Veterans and active military can use the MCC program, even if they aren’t buying their first home. Likewise, those buying in specific, targeted areas, or those who haven’t owned a home in three or more years, are also eligible. If you fall into these other categories, you can use the MCC tax credit program while purchasing a second home.