Take advantage of the Mortgage Credit Certificate MCC in Colorado when you are purchasing a home!
This little-known program will give you a direct tax credit as a percentage of your mortgage interest each year. This is not the same thing as the federal mortgage interest tax deduction.
The MCC is a direct tax credit up to a maximum of $2000 in any given year. This is a direct dollar-for-dollar reduction of your tax liability. For example, if you owe $3500 to the IRS on your tax return before the tax credit, and you qualify for a $2000 tax credit for that year, then you would only owe $1500 to the IRS.
In order to take advantage of the Mortgage Credit Certificate MCC , you must go through a Colorado Housing Finance Authority (CHFA) certified lender such Fairway Independent Mortgage Corp. We can help guide you through the process and ensure that you can take advantage of this valuable program.
Here is the breakdown of how much you will receive as a tax credit with the MCC:
|% MCC (% of yearly mortgage interest)||Yearly Cap|
|$100,000 and lower||50%||$2000|
Additionally, the table on the right shows the effective interest rate you will have on your mortgage. By being able to write off a percentage of your mortgage interest each year, your mortgage rate is reduced substantially!
To take advantage of the Mortgage Credit Certificate MCC, just give us a call in the office or send us an email, we would be happy to answer any questions you have!