MCC Grant: Hawaii & California
The MCC Grant (Mortgage Credit Certificate), offered in both Hawaii and California, is a program available to First-Time Home Buyers to provide housing assistance to families of low and moderate income.
To qualify as a First-Time Home buyer, you cannot have owned a principal residence at any time in the last three years.
What is MCC?
The MCC Grant reduces the amount of federal income tax you pay, thus giving you more available income to qualify for a mortgage loan and assist you with mortgage payments, making it ideal for First-Time Home Buyers.
How MCC can benefit you
20% of your annual mortgage interest will be a direct federal tax credit*, resulting in a dollar-for-dollar reduction of your annual federal income tax liability. The remaining 80% of your annual mortgage interest will continue to qualify as an itemized tax deduction.
*20% of your annual mortgage interest will be considered as income for qualifying!
Income & Purchase Price Limits
As of June 18, 2021
|County||Families of < 2||Families of > 3|
Purchase Price Limits**:
*The income limits may be increased or decreased by the HHFDC pursuant to U.S. Internal Revenue Service guidelines. The annual gross income limits are available upon request. The income limits are for Non-Targeted Areas. Please contact the HHFDC for income limits in Targeted Areas.
**The purchase price limits apply only to fee simple fully completed units. Leasehold residences and uncompleted units are subject to certain adjustment in determining their “acquisition cost” as defined by the U.S. Internal Revenue Service guidelines.
Note: if you choose to refinance an existing MCC-assisted mortgage, your original MCC becomes null and void. You must obtain a reissuance of the original MCC in order to continue to qualify for the tax credit.
If you are looking to purchase a home with an MCC Grant or have other questions, call to speak with one of our loan experts today by calling our main office at 808-891-0415. Or, start the loan process now by clicking the button!