The Mortgage Credit Certificate program has issued a federal tax credit to first time homebuyers statewide. The homebuyer can credit 20 percent of their annual mortgage interest paid against their federal tax liability. This credit is good for the life of the mortgage. There are only certain mortgage companies that are participating in this program.
To be eligible for the credit, the home purchase price must be below $224,000, and your income must be below certain limits set by the state which are dependent on the county you are living in. Those that are not first-time homebuyers may be eligible for the credit if the new home is located in what the state considers a "Target Area". Click here to visit MSHDA's website for more information.
By Steve Megahan