Arkansas Mortgage Credit Certificate Program Checklist

A step-by-step checklist for consumers applying for the Arkansas Mortgage Credit Certificate Program in 2025.

Determine Your Eligibility

Verify that you qualify as a first-time homebuyer, meaning you have not owned a primary residence in the last three years. Exceptions may apply for targeted areas or qualified veterans.
Ensure your household income is within the program’s limits, which are based on family size and county.
Confirm that the property you plan to purchase meets the program’s price cap and will serve as your primary residence.
Check that your credit score meets the program’s minimum requirement, typically at least 640, though specific guidelines may be provided by your assigned Loan Officer.
Review any other program criteria, such as residency or citizenship requirements.

Collect income documentation, such as pay stubs, W-2s, or verification of other income sources.
Prepare copies of your tax returns for the past two years, including all supporting schedules and attachments.
Obtain bank statements from the last two to three months for all financial accounts.
Prepare property details, including the address, purchase agreement, and sale price.
Compile any additional documents requested by your Loan Officer, such as verification of debts or proof of assets.

A Loan Officer has been assigned to guide you through the Arkansas Mortgage Credit Certificate Program.
Schedule an initial meeting or phone call to discuss program requirements, confirm eligibility, and review the application process.
Address any questions you have about the program, application, or required documentation.
Follow the instructions provided by your Loan Officer to gather and submit all necessary documents promptly.

Work closely with your Loan Officer to accurately complete your application for the Mortgage Credit Certificate Program.
Submit all required documents to verify your eligibility for the tax credit.
Carefully review your application with your Loan Officer to ensure all details are accurate and complete.
If applicable, attend a homebuyer education course to fulfill program requirements.

Sign all necessary program documents provided by your Loan Officer to finalize your enrollment in the program.
Prepare to cover any fees associated with the Mortgage Credit Certificate Program that are not covered by the assistance.
Receive confirmation of your enrollment in the program and instructions on how to use the certificate for claiming mortgage tax credits.

Ensure the purchased property remains your primary residence to continue receiving the mortgage tax credit.
File IRS Form 8396 annually to claim the mortgage credit on your federal tax return.
Notify your Loan Officer immediately if you plan to sell, refinance, or make significant changes to your mortgage, as these actions may affect your eligibility for the tax credit.
Stay updated on any program changes or requirements to maintain compliance and retain your benefits.