CITY OF DALLAS MORTGAGE CREDIT CERTIFICATE

Dallas Mortgage Credit Certificate Program

Down Payment Assistance

 

City of Dallas MCC Program
Location Served: Dallas, TX
Provider: City of Dallas Housing Finance Corporation
Approved Lender: New American Funding
Website

 
Two Main Benefits of the Dallas Mortgage Credit Certificate Program:
 

  • A Mortgage Credit Certificate provides homebuyers with a tax credit up to $2,000 each year the homebuyer occupies the home as their primary residence. The tax credit is calculated by multiplying the annual interest paid by the mortgage credit rate of 35 percent. For example, if a homebuyer has a $120,000 loan at a 6.00% interest rate, the annual interest paid on the home loan would equal roughly $7,200. If this particular homebuyer received a 35 percent tax credit of the $7,200 interest paid amount, their Mortgage Credit Certificate would equal $2,520. However, through this program, homebuyers may only receive up to $2,000.
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  • A Mortgage Credit Certificate can also help the homebuyer qualify for a mortgage. For Fannie Mae, Freddie Mac and USDA-RHS, the homebuyer’s income will increase the same amount as the tax credit. For FHA home loans, the homebuyer’s monthly payment can be reduced by the tax credit amount. Both of these situations increase the buyer’s ability to qualify for a mortgage loan. Unfortunately, there is no additional benefits with VA loans.

 

Homebuyer Qualifications
Household Income Requirements

This website marketing is not intended to offer loan services for properties in New York.