Mortgage Credit Certificate Program

    LHC’s Commitment

    In keeping with its mission to ensure that every Louisiana resident is granted an opportunity to obtain safe, affordable, energy-efficient housing, the LHC offers the The Mortgage Credit Certificate (MCC) Program.

    This $5 million statewide program is designed to assist first-time homebuyers, veterans and low to moderate income buyers purchasing a home in designated areas. Homebuyers who use the MCC program can take a federal tax credit of up to 40% of their annual mortgage interest payments for the life of their loan. This credit is capped at $2,000 per year.

    Read on to find out if this program is right for your prospective homebuyer.

    Program Details

    • Program is available for low and moderate income first-time homebuyers.
    • Household income limits depend on the number of people in the household and the location of the property. Refer to Exhibit T for purchase price limits and Exhibit U for income limits).
    • Homebuyers can take up to 40% of their annual mortgage interest payments (maximum of $2,000 a year) as a tax credit on their federal income tax return.
    • Homebuyers can continue to receive the federal tax credit as long as they occupy the property as their primary residence.
    • Homeowners who use the MCC program must file IRS Form 8396 with their federal tax returns.

    Program Benefits

    • The program can be used in conjunction with the LHC's down payment assistance programs.
    • Increases applicant's disposable income, thereby increasing borrower's eligible loan amount.
    • Mortgage Credit Certificates can be layered with any first-time homebuyer loan product except mortgage revenue bonds.
    • Master Servicer approval is not required.
    • Available statewide.



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