Help: $8000 First-Time Home Buyer Tax Credit

[xMoneyMakerx]

Quick question. I always thought I'd be a first time homebuyer since I've never actually bought a house. However, many years ago my mother put the house under my name only. Would that be considered "owning a house in the past three years?" I mean I never actually bought it. It was given to me.

[momof1in150]

Quick question. I always thought I'd be a first time homebuyer since I've never actually bought a house. However, many years ago my mother put the house under my name only. Would that be considered "owning a house in the past three years?" I mean I never actually bought it. It was given to me.

If you name is on the deed then yes you have owned a house. It doesn't matter who is on the mortgage. Sorry.

The newest is that the tax credit can be used as the down payment under a FHA-insured loan. They bank will treat it as a bridge loan. This was announced by HUD on Friday evening.

[steffimcg]

I want to buy the duplex I'm living in right now and had originally talked with the owners about an installment plan up to about 20% equity and then i'd get a traditional mortgage. This sounded good to them so they could spread out some capital gains and prepare for the sale in upcoming days.

BUT if we can draw up the deed to trust in my name could i qualify for the 8,000? I've done lots of reading on it and am a tax accountant so i understand most of the qualifications. The duplex is appraised at ~$300K

thanks for you input!

[momof1in150]

I want to buy the duplex I'm living in right now and had originally talked with the owners about an installment plan up to about 20% equity and then i'd get a traditional mortgage. This sounded good to them so they could spread out some capital gains and prepare for the sale in upcoming days.

BUT if we can draw up the deed to trust in my name could i qualify for the 8,000? I've done lots of reading on it and am a tax accountant so i understand most of the qualifications. The duplex is appraised at ~$300K

thanks for you input!

There is no reason why you shouldn't qualify. As long as your name isn't on the deed you qualify whether you have a mortgage or not. It has nothing to do with how it is financed.

[wincrasher]

Someone should check the exact wording of the law. I was under the impression that it was that you were paying a mortgage in the last 36 months, not actually owning.

[momof1in150]

Someone should check the exact wording of the law. I was under the impression that it was that you were paying a mortgage in the last 36 months, not actually owning.

Not true - from Real Estate Listings, Homes for Sale and Rental Property Listings – REALTOR.com® "To qualify as a “first-time home buyer” the purchaser or his/her spouse may not have owned a residence during the three years prior to the purchase."


The Basics: 2009 First-Time Home Buyer Tax Credit

I deal with this everyday and it is my job to know the ins and outs of this as it is how I make money