Homebuyer Tax Credit (Mortgage Credit Certificate / MCC)

What is Homebuyer Tax Credit (Mortgage Credit Certificate / MCC)?

Homebuyer Tax Credit (Mortgage Credit Certificate / MCC) is a mortgage credit certificate for homebuyers in Statewide, New Hampshire, administered by New Hampshire Housing Finance Authority (New Hampshire Housing).

• New Hampshire Housing's Homebuyer Tax Credit Program issues a Mortgage Credit Certificate (MCC) providing eligible buyers a direct federal income tax credit of up to $2,000 each year for as long as they pay mortgage interest and occupy the home as their primary residence. Because it reduces federal taxes owed dollar-for-dollar, it can increase take-home pay and help a buyer qualify for a mortgage. Applicants must generally be first-time homebuyers (or buying in a targeted area), purchase a single-family primary residence in NH, and meet income and purchase price limits.
• Federal tax credit up to $2,000 per year.
• Credit lasts for the life of the original mortgage while owner-occupied.
• Dollar-for-dollar reduction of federal taxes.
• Can improve mortgage qualification.
• Funding comes from Federal tax credit authority under Section 25 of the Internal Revenue Code, issued by New Hampshire Housing.

How much assistance does it provide?

Homebuyer Tax Credit (Mortgage Credit Certificate / MCC) offers up to $2,000 in assistance.

• Amounts are the program's published maximums, not an offer — New Hampshire Housing Finance Authority (New Hampshire Housing) determines any individual award.

Do you have to pay it back?

Homebuyer Tax Credit (Mortgage Credit Certificate / MCC) is a tax credit rather than a loan, so there is nothing to repay.

• Forgiveness and repayment terms are set by the program and can change — confirm them on the official program page before applying.

Who qualifies?

Homebuyer Tax Credit (Mortgage Credit Certificate / MCC) is open to first-time homebuyers and buyers who will live in the home as their primary residence.

What are the income limits?

Homebuyer Tax Credit (Mortgage Credit Certificate / MCC) sets its income limit as follows: Household income cannot exceed New Hampshire Housing MCC Program income limits, which vary by town/city and household size and are posted on the official websites. Purchase price must also be within program limits for the town.

• The limit applies to total household income, not only the borrower’s.
• Area median income figures are published by HUD and updated annually, so check the current table for the county before relying on a number.

What kind of home can it be used for?

Homebuyer Tax Credit (Mortgage Credit Certificate / MCC) caps the purchase price as follows: Home purchase price cannot exceed New Hampshire Housing MCC Program purchase price limits for the town/city in which the property is located.

• Eligible property types include Single Family.
• New construction is eligible.

Is there eligibility for specific groups?

Homebuyer Tax Credit (Mortgage Credit Certificate / MCC) names veterans among the groups it serves.

• Being named here means the program mentions the group, not that membership alone qualifies an applicant — the rest of the eligibility rules still apply.

Where does it apply?

Homebuyer Tax Credit (Mortgage Credit Certificate / MCC) serves buyers purchasing in Statewide, New Hampshire.

• The program targets specific areas: Borrowers purchasing in a designated targeted area are exempt from the first-time homebuyer requirement and may have higher income/purchase price limits.

How do you apply?

Applications for Homebuyer Tax Credit (Mortgage Credit Certificate / MCC) go through New Hampshire Housing Finance Authority (New Hampshire Housing), which publishes the current terms and the application steps on its own site.

1. 1

   Contact New Hampshire Housing Finance Authority (New Hampshire Housing) to reserve funds

   Funds are reserved with the provider and are subject to availability.

2. 2

   Work with a lender who handles the program

   Hey Prescott is not a lender and does not accept applications; this page describes the program so a buyer can take it to a lender or housing counselor.