Understanding the First Time Homebuyer Tax Credit

With H.R.1 being signed into law on February 17th, 2009 - Important revisions to the First Time Homebuyer Tax Credit are made.

This comprehensive explanation of both the $7,500 tax credit and the $8,000 tax credit will empower you with a complete understanding of when you have to buy, how much you can claim, if you have to pay it back or not and if your income and your purchase qualify under IRS guidelines

Thanks for watching and join us for future homebuyer education classes where we educate and empower you to make financially sound and informed decisions about homeownership.

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Education

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• home buyer tax credit

[bedgar2003]

and do I still qualify with what I have told you?

[PorchLightScott]

It sounds like you should be fine. You should consult a CPA or just call the IRS - The direct line to the tax credit line is 866-239-2942

[bedgar2003]

So if I have already sent in my 2008 return and already received my refund, I can send in an amended return asking for the credit now? Do I need to go to a cpa for this or tax person? I close on my house in 11 days and I have never owned a home before....Now my aunt gave me 75% of the homes cost for a down payment but I am financing the other monies to close. Is this still ok? (She gave me $150,000 and the home is being sold to me for $189,900. I aquired a loan for the difference.)

[PorchLightScott]

As long as you meet the other qualifying requirements, i do not see a reason why you would not be eligible for the credit. The only thing you may want to be aware of is how you hold title. Did your aunt take an ownership position on title? If you took title as tenants in common you may be only eligible for a portion of the credit in relation to the percentage of ownership you have in the home.

Hope that helps! Good question

[GINGIN501]

I acquired my deceased mothers home through a Deed of Distribution a few months ago. Although the home is currently in my name, the loan is still in my mothers name. My lawyer is working with BOA on a short sale so that I can buy the home. He sent the offer and acceptance letter to them about a week ago.

If BOA accepts my offer, will I qualify for the First Time Homebuyers Credit being that the deed is in my name but the actual loan is not? This will be my primary home.

[PorchLightScott]

The IRS guidelines state that the home can not be purchased from a relative, sibling, spouse. You may want to contact the IRS directly for clarification.

Having the loan in your name would not and does not infer ownership. Ownership is evidenced by being on Title of the property.

[bedgar2003]

She already has a friends son trying to be one of our realatives and is succeeding. We don't need another one...LOL thanks for the offer anyway..find your own. (lol)

[Dissonant1975]

Must be nice to have an aunt who would go so far..Ask her if she needs another nephew

[Dissonant1975]

thats a fax line.

[bedgar2003]

No she is not on the title anywhere. I do have a loss payee that is a private invester. But she is not a relative. She is my boss. Anyway...Can I do an amended 2008 return to get the credit now?

[GINGIN501]

Thank you so much! It's so hard getting through to an actual person at the IRS. I'll try again this afternoon.