Riverside Mortgage Credit Certificate (MCC) Program
A Mortgage Credit Certificate (MCC) entitles qualified home buyers to reduce the amount of their federal income tax liability by an amount equal to a portion of the interest paid during the year on a home mortgage. This tax credit allows the buyer to qualify more easily for a loan by increasing the effective income of the buyer.
The Riverside County MCC Program provides for a fifteen percent (15%) rate which can be applied to the interest paid on the mortgage loan. The borrower can claim a tax credit equal to 15% of the interest paid during the year. Since the borrowers taxes are being reduced by the amount of the credit, this increases the take-home pay by the amount of the credit. The buyer takes the remaining 85% interest as a deduction. When underwriting the loan, a lender takes this into consideration and the borrower is able to qualify for a larger loan than would otherwise be possible.
Down Payment Assistance Program
The City of Riverside's Down Payment Assistance Program provides silent second mortgages to
households earning between 80% of 120% of Area Median Income and are first time homebuyers.
Eligible residential properties include foreclosed properties or those that have been foreclosed
upon. Households can apply for up to $50,000 in down payment assistance with a maximum purchase
price of $250,000. The households FICO Score must conform to current FHA Guidelines.
For more information on the Down Payment Assistance Program, please contact the City of Riverside
Housing & Neighborhoods Division at (951) 826-5879.
Rehabilitation loans are also available to correct minor health and safety issues as well as code issues. Rehabilitation loans cannot exceed eight percent of the purchase price. For more information on this program, please view the program brochure
or contact Neighborhood Housing Services of the Inland Empire at (909) 884-6891, ext. 250.
Neighborhood Stabilization Program for Homebuyers
Through the Neighborhood Stabilization Program (NSP), the
Housing Authority of the City of Riverside offers homes
purchased and rehabilitated under the NSP program for sale to
income eligible first time homebuyers. For more information on
this program, please click on here or call the city’s NSP staff
at 951-826-5879. |
