Crownsville, MD – The Maryland HomeCredit program reached an important milestone this month when the hundredth homebuyer signed up for the new initiative that allows eligible homebuyers to take a federal tax credit of up to $2,000 per year for the life of their mortgage.
The program was launched on June 1 and is the state’s newest initiative to help make homeownership more accessible for middle income families.
Eligible homebuyers who purchase a home before Dec. 15, 2015 can use the Maryland HomeCredit to claim 25 percent of the annual mortgage interest paid as a federal tax credit up to $2,000 for every year the mortgage is outstanding and they live in the home. The homebuyer must get the Maryland HomeCredit at the time they close on their mortgage. There are fees associated with the Maryland HomeCredit Program, and refinances are not eligible. To learn more about the Maryland HomeCredit program click here.
The Maryland HomeCredit Program is available to all Maryland homebuyers that meet the state’s eligibility requirements.
But the tax credit could be particularly attractive for first-time homeowners when paired with the competitive rates and significant down payment assistance available through the Maryland Mortgage Program, the state’s flagship mortgage purchase program for more than 30 years.
Potential Maryland Mortgage Program homebuyers are also eligible for up to $5,000 in basic down payment assistance. Additional assistance is available through our Partner Match Programs. Through these programs, DHCD agrees to match any down payment assistance up to $2,500 offered by participating employers, builders and developers, and community organizations. Partner Match funds can be combined with the basic down payment assistance.
A list of participating lenders and current interest rate specials are available at the Maryland Mortgage Program website: http://mmp.maryland.gov