First-time home buyers – take note, here’s some valuable mortgage information you may not have heard about. Be sure to ask your lender about a mortgage credit certificate!

A Mortgage Credit Certificate (MCC) could reduce your client’s federal income tax liability by up to $2,000 per year for every year that he or she occupies the home as the primary residence. Existing (previously occupied) homes are eligible for a tax credit up to 30% of the annual interest paid, while new homes are eligible for a 50% tax credit.

• An MCC must be used in conjunction with a 30-year fixed rate mortgage, including FHA, USDA, VA and conventional loan types.

*To be eligible for an MCC, buyers must:

• Be first-time buyers (not have owned a home in the past three years) or military veterans or be buying homes in certain targeted census tracts

• Meet income (Wake County – $80,000 for a family of 1-2, $87,500 for a family of 3 or more) and sales price limits ($250,000)

• Purchase a home in North Carolina

• Occupy the home as their principal residence within 60 days of closing

• Be a legal resident of the United States

Please note lending programs, rules, and regulations vary from state to state. We can only speak to North Carolina law! Problems often arise when folks decide to use out-of-state lenders.

Our team of experts can guide you and connect you to all the real estate resources you will need:

  • Finance
  • Attorneys
  • Appraisers
  • Inspectors
  • Blinds
  • Appliances
  • Housekeeping services
  • Pest Control
  • Utility Information
  • Septic and well services
  • and much more!

If you are thinking about buying a home in the Triangle region of North Carolina, give us a call. Ask us why Keller Williams International is the #1 training company in the world across all sectors!

Until next time!


*Mortgage Information provided by Whitney O’Meara from First Heritage Mortgage