Have you ever heard of a Mortgage Credit Certificate (MCC)? Wikipedia states that it is “a certificate issued by certain state or local governments that allows a taxpayer to claim a tax credit for some portion of the mortgage interest paid during a given tax year.” Simply a tax credit for interest paid on your mortgage.
This is a credit (and not a deduction) so it is money that goes right into your pocket! There are rules regarding these of course and they are not available in all areas. Be sure to inquire about the availability of an MCC for you from your tax professional (your mortgage broker might have some information as well)! This simple inquiry could get you thousands of dollars in some areas!
Looking for a good tax professional or mortgage broker? Contact one of the great agents at Tiered Real Estate and we will be happy to provide you with recommendations!
There has been an active campaign telling renters that they are throwing away their money renting and that they should buy a home. The skeptics have said that this is just propaganda by real estate agents who are desperately trying to make a sale any way possible. BusinessWeek.com examined the cost of renting and compared it with the cost of owning a home.
While there are costs associated with owning a home (the general maintenance and upkeep) what BusinessWeek.com found was that the costs in the areas examined were exceptionally close and, in many cases, owning was even cheaper than renting! In addition, this does not factor in any appreciation that owning a home can provide. While it does not appear that there will be significant appreciation in the short term, the market has always increased in the long term and staying in a home can provide you with additional profit that renting can never provide.
If you are considering buying a home and tired of paying your landlord’s mortgage, contact one of the great agents at Tiered Real Estate and let us help you find a home. Don’t forget that if you are a first time home buyer, you may qualify for an $8,000 credit from the government!