Iowa Finance Authority

Take Credit Mortgage Credit Certificate Program


Please note that all of the funds set aside for the 2014 Take Credit Program have been exhausted and we are no longer accepting new reservations at this time.

The Take Credit program allows eligible borrowers to receive a Mortgage Credit Certificate (MCC) from IFA, which can be used to reduce a household’s federal tax liability every year for the life of the mortgage.

To obtain a MCC, borrowers must receive mortgage financing that has closed in the name of a lender who is an IFA Take Credit Participating Lender. Funding may be reserved on behalf of qualified borrowers making new purchases. Only borrowers with a written Commitment Notice from IFA prior to closing will be eligible to receive a MCC.

About Take Credit

  • Take Credit allows a participating home buyer to claim 30% of their mortgage interest, up to a maximum of $2,000, as a federal income tax credit each year for the life of the mortgage, up to a maximum of 30 years.
  • Unused credit may be carried forward for up to three years.
  • Eligible financing is limited to 30-year, fixed-rate, fully amortizing mortgage loans.
  • A limited amount of funds are available and will be provided by the Iowa Finance Authority on a first-come, first-serve basis.
  • A MCC is transferrable under certain conditions upon sale or refinance, if reissued by IFA in accordance with the Program requirements. Reissuances of a MCC under these circumstances must be requested by the lender within 45 days of the refinance or sale.

Borrower Eligibility

  • Applicants must meet applicable federal income limits for Iowa, which vary by county. Quick Check!
  • Applicants must meet ONE of the following:
    1. Be a first-time home buyer (have not owned or have had ownership interest in a primary residence in the last three years); OR
    2. Purchase a home in a Targeted Area; OR (Targeted Areas listed here.)
    3. Be a military veteran who has not previously used a Mortgage Revenue Bond Program with a discharge of other than dishonorable.

Property Eligibility

  • The purchase price of the home may not exceed $305,000, if located in a Targeted Area, or $250,000, if located in a Non-Targeted Area.
  • The property must be a newly financed purchase closing after the effective date of the Program.
  • The property must be purchased as a primary residence and intended for occupancy by the applicant immediately following closing.
  • The property must be located in Iowa.

Borrower Application Process

  • Visit an Iowa Finance Authority Take Credit Participating Lender and apply for the Take Credit! Program when applying for your mortgage.
  • Pay the $300 borrower Take Credit application fee. (This fee is waived if borrower uses Homes for Iowans first mortgage.)
  • Upon final approval, borrower will receive the MCC in the mail after closing.
  • Submit a copy of the MCC with your tax documents each year to claim the tax credit.

Current Homeowners
If you are currently enrolled in a MCC Program and would like to be considered for reissuance, please contact a participating lender.


Notice Notices
As of 12:13 PM, January 25, 2015
Mortgage Rates starting at: 3.250 %
Notice Next Steps

Visit an Iowa Finance Authority Participating Take Credit Lender and apply for the Take Credit program when applying for your mortgage.

2. FEE
Pay the Take Credit application fee.

Upon approval, you will receive the Mortgage Credit Certificate in the mail after closing.

Submit a copy of the Mortgage Credit Certificate with your tax documents each year to claim the tax credit.

Notice Contact