The Florida Housing Mortgage Credit Certificate (MCC) allows homebuyers to claim a tax credit up to 50% of the mortgage interest paid per year, up to $2,000.
Unlike the current federal tax interest deduction, the MCC is a dollar-for-dollar reduction against homebuyer’s federal tax liability. Plus, you are still eligible for the home mortgage interest deduction on your federal tax return!
Who Is Eligible?
The program is open to individuals, families and eligible veterans who:
- Are first time homebuyers (have not owned a home as a primary residence within the past 3-years);
- Meet income and home purchase price limits;
- Meet the qualifying requirements of a mortgage loan;
- Will use the home as their primary residence.
When Can A Homebuyer Claim Their Credit?
Qualified homeowners may claim this tax credit as long as the home remains their principal residence and interest is being paid on the mortgage. The MCC will only expire if the home is sold or is no longer used as the primary residence of the homeowner. If sold within the first nine years the homeowner may be subject to the Federal Recapture Tax.
How Much Is The Tax Credit?
The size of the annual tax credit will be 50% of the annual interest paid on the mortgage loan. The credit cannot be larger than the annual federal income tax liability, after all other credits and deductions have been taken into account.
Where To Claim Your Credit?
The Florida Housing MCC can only be issued through a participating lender’s fixed rate first mortgage loan. Our preferred lender Ideal Lending Solutions is an authorized lender.
IDEAL LENDING SOLUTIONS
Contact: Josh Ulmer