REISSUED MORTGAGE CREDIT CERTIFICATE
Frequently Asked Questions
- Can I keep my MCC if I refinance?
You may be able to keep your MCC provided you apply to have it reissued. The IRS regulations state the MCC can be reissued to the original holder of the MCC. The reissuance is not automatic; you will need to submit a RMCC Application to SoCal RMCC. There is no limit to the number of times you can refinance and have your MCC reissued. However, you are not allowed to claim additional credit in any given year more than would have been allowed under your original MCC. SoCal RMCC will provide you with a formula to ensure the original tax credit cap is maintained.
- What is the time frame for applying for a RMCC, is there a deadline?
You should apply for the RMCC as soon as possible after your loan refinancing has closed. The longer you wait, the more difficult it may be to gather the documentation required to reissue your MCC. Please keep in mind, if you refinance in June, you will need to apply for the RMCC after June 15th but no later than March of the following year. If you miss the March 1st deadline you can still apply; however, you cannot claim the credit for the period of June – December on your tax returns. Once you apply for and obtain your RMCC it will be retroactive and you can amend your tax returns in order to get the tax credit for that period and beyond.
- Does the RMCC require new loan funds?
No, the funding from your original MCC will be transferred to your new loan through the refinancing so there is never a need for new funds to have your MCC reissued.
- How long does it take to get my MCC reissued?
Provided your application is complete, with all items shown on the checklist submitted, we should be able to process it and send you the new RMCC within two weeks.
- What if my income has increased?
That is not a problem, your income is not linked to your RMCC eligibility.
- What if I have married or divorced since I got my MCC?
You should still be eligible, provided you document any changes in marital status. However, the new RMCC will be in your name only, showing your original name and any name change resulting from the marriage or divorce.
- Does the RMCC expire?
The reissued MCC is valid through the date your original purchase loan would have been paid in full or the date you move from the home, whichever happens first. Another exception is that your refinanced loan term expires prior to the year your original loan would be paid in full. The shortest loan term will be the date the RMCC expires.
- How much does it cost to apply for the RMCC?
The application fee for a reissued MCC is $350. Your check will be made payable to SoCal Reissued MCC.
- Can I be denied for the RMCC?
Yes, if you no longer occupy the property.
- Can I add others to the Reissued MCC or remove someone from it?
A person cannot be added to the RMCC who was not named on the original MCC. No non-related person can be removed from the MCC unless deceased. Changes in ownership, including marriages or deaths, must be legally documented in your application package.
- What if my home is in a Trust?
An RMCC cannot be issued to a Trust. The property must be in the name of the original MCC holder. If the property is in the name of the Trust, it must be transferred back to the individual owner’s name. This can be accomplished through the recording of a Quitclaim Deed from the Trust to the owner. Once the MCC has been reissued, you may be able to transfer the property back to the Trust. Please consult your attorney or accountant for additional information.
- Where can I go to refinance my property and get a Reissued MCC?
You may use any lender for your refinancing. The lender is not a party to the reissuing of the MCC, however some of the documents you will need to apply for the RMCC will come from your lender. After your new loan has closed you need to complete the RMCC Application and send it to us along with all the required back-up documentation. The application is provided for you to complete and print or download from this website.
If you have other questions or need clarification, please let us know by submitting your item in an email to: firstname.lastname@example.org.