Mortgage Credit Certificate (MCC)
MSHDA began the MCC program in 1986 and ran up until December 2006, when the program was suspended due to inadequate availability of Bond Cap. Due to changes in the financial markets, the Authority currently has available Bond Cap that can be used for this purpose. The MSHDA MCC program will be re-activated on a temporary basis to assist low to moderate homebuyers with another tool to enhance the growth of homeownership in the State of Michigan.
MSHDA starting taking reservations for the program JULY 13th. NOT all lenders will or can offer this program. This will be a GREAT program that will assist most new home buyers and existing home buyers in targeted areas. This program has generous income limits and sales price limits.
The MCC program gives a credit back to the borrower based on the mortgage interest that they pay. This credit is 20% of the interest the borrower pays. This credit is given to the borrower on their federal tax returns. This program effectively lowers the borrowers interest rate by 20%.
What a wonderful program. This is on top of the federal tax credit available to new home buyers.
dan@exchangefinancial.com
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