Mortgage Credit Certificate (Standalone)

What is Mortgage Credit Certificate (Standalone)?

Mortgage Credit Certificate (Standalone) is a mortgage credit certificate for homebuyers in Statewide County, Vermont, administered by Vermont Housing Finance Agency (VHFA).

• A standalone Mortgage Credit Certificate creating a federal income tax credit equal to 20% of annual mortgage interest paid, capped at $2,000/year. Can be attached to any non-VHFA loan offered by a participating lender, or obtained via VHFA MOVE MCC. Remains in effect for the life of the original loan while owner-occupied.
• Federal income tax credit equal to 20% of annual mortgage interest, capped at $2,000/year; attachable to a non-VHFA first mortgage.
• Funding comes from Vermont Housing Finance Agency (federal MCC authority).

How much assistance does it provide?

Mortgage Credit Certificate (Standalone) offers up to $2,000 in assistance.

• Amounts are the program's published maximums, not an offer — Vermont Housing Finance Agency (VHFA) determines any individual award.

Do you have to pay it back?

Mortgage Credit Certificate (Standalone) 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?

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

What are the income limits?

Mortgage Credit Certificate (Standalone) sets its income limit as follows: Standalone MCC limits (as of 7/14/2025): Addison/Bennington/Windsor $110,000 (1-2), $130,000 (3+); most counties $120,000 (1-2), $140,000 (3+); Washington $125,000 (1-2), $145,000 (3+).

• 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?

Mortgage Credit Certificate (Standalone) caps the purchase price at $500,000.

Is there eligibility for specific groups?

Mortgage Credit Certificate (Standalone) 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?

Mortgage Credit Certificate (Standalone) serves buyers purchasing in Statewide County, Vermont.

How do you apply?

Applications for Mortgage Credit Certificate (Standalone) go through Vermont Housing Finance Agency (VHFA), which publishes the current terms and the application steps on its own site.

1. 1

   Contact Vermont Housing Finance Agency (VHFA) 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.