Tax Credits Still Available!

First Time Homebuyer Programs

Mortgage Credit Certificate Program –Funds Currently Available!
You probably know that homeowners receive a tax deduction from mortgage interest. But there’s another tax benefit you may not have heard about; a Mortgage Credit Certificate (MCC). This benefit is not another tax deduction, but a tax credit. A tax credit reduces your tax liability, dollar-for-dollar, unlike a tax deduction.

With an MCC, the qualified homebuyer is eligible to take a portion of the annual interest paid on the mortgage as a tax credit, up to $2,000, each year that they occupy the home as their principal residence. The amount of the tax credit is equal to the mortgage credit rate of 35% multiplied by the annual interest paid. This credit reduces the federal income taxes of the homebuyer, resulting in an increase in the homebuyer’s net earnings. Increased income results in increased capacity to qualify for a mortgage loan. The MCC has the potential of saving the MCC holder thousands of dollars over the life of the loan.

The example below assumes a family purchases a home for $120,000 at a 6.00% interest rate. Interest paid the first year is approximately $7,200. An MCC tax credit of 35% of the interest paid would equal $2,520 (35% x $7,200 = $2,520). However, the maximum annual credit allowable is $2,000.

Mortgage Amount
$120,000

Interest Rate
6.00%

Interest Paid
$7,200

MCC Rate
35%

Tax Credit
$2,520

In this example, the homebuyer would be entitled to a tax credit of $2,000.00. Any remaining credit amount, $520 in this example, may be carried forward in the subsequent 3 years. It is also important to note that the homebuyer will still be able to deduct the $5,200 ($7,200 – $2,000 credit) in interest paid when they file their taxes that year.

If the homebuyer chooses, they may file in advance a revised W-4 withholding form taking into consideration that this tax credit will provide the homebuyer with approximately $166.67 per month in additional disposable income ($2,000 divided by 12 months). If the homebuyer chooses not to revise their W-4, they may claim the benefit of their MCC when they file their annual tax return.

An MCC may make the difference between dreaming about your first home, and actually owning it. To see if you meet the basic requirements, please click on How to Qualify.

If you meet the requirements and decide to utilize an MCC, you will need to work directly with one of our approved participating lenders. An MCC is not a mortgage; but strictly a tax credit. One of our participating lenders will set the terms of the mortgage which includes the interest rate, down payment, underwriting criteria, discount points, and closing costs. In addition to these costs, there is a $100 MCC Application Fee (non refundable), a $250 MCC Closing Package Review Fee, and a MCC Issuance Fee of 1% of the loan amount.

-From Texas State Affordable Housing Corporation

 


 

Contact Janelle Carver, a MCC approved lender, today for loan approval!

  • Janelle has more than 25 years of experience in the industry
  • Offers streamlined service and on-time closings
  • Specializes in FHA, VA and first-time homebuyers
  • Has trusted guidance long after the loan closes

 

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Shop for a CAUSE

Easter Seals East Texas Brazos Valley Rehabilitation Center to participate in

  

5th Annual

Shop For A Cause Day

(Bryan, Texas) –September 22 , 2010 – Brazos Valley Rehabilitation Center today announced its participation in Macy’s fifth annual “Shop For a Cause” charity shopping event, which has raised more than $34 million for local charities across the country since 2006. This year’s Shop For A Cause will take place at all Macy’s stores and on macys.com on Saturday, October 16, 2010 and also select stores only on Friday, October 15, 2010.
Through Shop for a Cause, Macy’s provides participating organizations with shopping passes to sell for $5 each. Organizations keep 100% of every ticket sold. Pass holders will enjoy 20% or 10% off most regular, sale and clearance purchases all day, plus 25% off one regular, sale or clearance item in men’s, women’s or kids apparel or accessories. Some exclusions apply, see pass for details. By purchasing a shopping pass to the event, customers will be supporting their favorite cause while enjoying a day of spectacular discounts, entertainment, special events and a chance to win a $500 shopping spree.
“Macy’s is committed to giving back to our communities, and we are proud to offer our customers an easy way to make a positive difference while enjoying great savings at our stores. Last year alone, the Shop for a Cause program raised more than $6 million for nearly 10,000 charities,” said Martine Reardon, Macy’s Executive Vice President of Marketing. “Shop for a Cause is a meaningful way for Macy’s customers and associates to give back to the charities, schools and non-profits that matter most to them.”

Customers who want to purchase a ticket to benefit Brazos Valley Rehabilitation Center can call 979-776-2872 or email aundes@eastersealsetx.org for more information. Supporters who have purchased a Shop for a Cause pass can log-on to www.macys.com to find their nearest Macy’s store.

CONTACT:     Ashley Fagerstrom-Undes, Executive Director

                          aundes@eastersealsetx.org, 979-776-2872

Habitat for Humanity Teams Up With Brazos Co. Bar Assoc.

 

Habitat for Humanity Bryan/College Station | 119 Lake St | Bryan | TX | 77801

Saturday, September 25th at 8am – Be there or be square!

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