SC Housing Mortgage Tax Credit Program (Mortgage Credit Certificate / MCC)

What is SC Housing Mortgage Tax Credit Program (Mortgage Credit Certificate / MCC)?

SC Housing Mortgage Tax Credit Program (Mortgage Credit Certificate / MCC) is a mortgage credit certificate for homebuyers in South Carolina, administered by South Carolina State Housing Finance and Development Authority (SC Housing).

• The SC Mortgage Tax Credit is a Mortgage Credit Certificate (MCC) program administered by SC Housing that provides a federal income tax credit equal to 30% of the mortgage interest paid each year, up to $2,000 annually, for as long as the borrower owns and occupies the home and pays mortgage interest. Remaining mortgage interest may still be claimed as a regular deduction. The credit can reduce taxes owed at filing or increase take-home pay via withholding, and lenders may use it to help the borrower qualify.
• Annual federal tax credit equal to 30% of mortgage interest, up to $2,000/year.
• Available for the life of the loan while owner-occupied.
• Remaining mortgage interest still deductible.
• Usable as qualifying income to help the borrower qualify.
• Reissuable once on a qualifying refinance.
• This is a federal program, so it is available beyond a single state or city.

How much assistance does it provide?

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

• The program can be combined with Palmetto Home Advantage and SC Housing DPA programs; Conventional/FHA/VA/USDA first mortgages.
• Amounts are the program's published maximums, not an offer — South Carolina State Housing Finance and Development Authority (SC Housing) determines any individual award.

Do you have to pay it back?

SC Housing Mortgage Tax Credit Program (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?

SC Housing Mortgage Tax Credit Program (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?

SC Housing Mortgage Tax Credit Program (Mortgage Credit Certificate / MCC) sets its income limit as follows: County-specific household income limits (2025/2026, eff. 04.15.2025). Non-targeted counties range ~$90,500 (1-2 persons)/$104,075 (3+ persons) up to York $112,200/$129,030; targeted counties higher, up to Beaufort $135,000/$157,500. Compliance income based on total income for anyone on the application and/or on title.

• 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?

SC Housing Mortgage Tax Credit Program (Mortgage Credit Certificate / MCC) caps the purchase price at $450,000.

• Eligible property types include Single Family, Townhouse, Condo, PUD, Manufactured, and Modular.
• New construction is eligible.
• Manufactured homes are eligible.

Is there eligibility for specific groups?

SC Housing Mortgage Tax Credit Program (Mortgage Credit Certificate / MCC) names veterans, active-duty service members, and reservists and National Guard members 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?

SC Housing Mortgage Tax Credit Program (Mortgage Credit Certificate / MCC) is a federal program, so it is not limited to South Carolina.

• The program targets specific areas: Targeted areas (Qualified Census Tracts and Areas of Chronic Economic Distress) waive the first-time requirement and carry higher income limits. Targeted counties include Beaufort, Berkeley, Calhoun, Dorchester, Edgefield, Fairfield, Saluda.

How do you apply?

Applications for SC Housing Mortgage Tax Credit Program (Mortgage Credit Certificate / MCC) go through South Carolina State Housing Finance and Development Authority (SC Housing), which publishes the current terms and the application steps on its own site.

1. 1

   Contact South Carolina State Housing Finance and Development Authority (SC Housing) to reserve funds

   Funds are reserved through Reservations via SC Housing Lender Online, 10:00 AM-6:00 PM Mon-Fri; rates posted daily., 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.