1st time home buyer tax credit? Bought in '07

**poundwise** · 01-14-2010, 03:25 PM

Sorry, no. Your friend's purchase was too early to be included in any of the recent home-buyer tax credits.

The first home-buyer tax credit was for first-time home-buyers and applied to purchases made from April 9, 2008 through December 31, 2008. The credit was for $7,500 and is to be repaid over a period of 10 years.

The second was raised to $8,000 and does not have to be paid back, if some basic requirements are met. It was initially for purchases made January 1, 2009 through November 30, 2009 but was then extended through April 30, 2010.

Along with that extension, current homeowners looking for a replacement primary residence could also qualify for a $6,500 credit. This new provision also only applies to homes purchased after Nov. 6th 2009.

**Beppington** · 01-14-2010, 03:32 PM

Thank you sir

**swanson719** · 01-15-2010, 06:58 AM

Tax Credit to Aid First-Time Homebuyers; Must Be Repaid Over 15 Years

We actually took this in September of 2008, and had we known $8,000 of free money was coming, we would have waited. Oh well. But anyway, we got $7,500 attached to our tax return and now pay it back over the course of 15 years, 500 a year, interest free. It just raises our tax liability by $500 a year. That doesn't necessarily mean we pay the $500 because if our bracket is low enough and deductions wipe it out, it's not there.

**poundwise** · 01-15-2010, 10:18 AM

Edit: My post above says 10 years for the repayment period on the $7,500. As the PP points out, it is 15 years.

1st time home buyer tax credit? Bought in '07