$8000 Tax Credit Replaces Proposed $15000 Tax Credit

Date:February 14, 2009 | Author:Justin McHood | Category:Approval/Qualification Process

Sorry to get everyone’s hopes up.

No, really. I probably shouldn’t have done it.

But since I brought up the subject of a possible $15,000 tax credit for anyone who buys a home, I feel somewhat responsible for bringing you the news of what actually passed.

The good news is that there is an $8000 tax credit available for first time home-buyers! On Friday, both the House and the Senate passed the American Recovery and Reinvestment Act of 2009 and President Obama is expected to sign it into law early next week.

$8000 tax credit highlights include:

The $8000 tax credit is available only to first-time home buyers
The $8000 tax credit is available only when the first-time home buyers buy a primary residence
The $8000 tax credit is available only to first-time home buyers buying a primary residence between January 1, 2009 and December 1, 2009
The $8000 tax credit does not require repayment
The $8000 tax credit is claimed on a tax return and reduces the tax liability. If the credit is more than the tax liability, the unused credit will be issued as a check to the person claiming the credit
If you sell the home within 3 years, the entire $8000 tax credit is recaptured

For those of you who have been asking questions about the possible tax credit – the good news is that we now know what has been passed into law.

What this legislation should do is encourage first time home-buyers to buy a home. What it will probably not do is encourage everyone who isn’t a first time home-buyer to buy a home.

And it remains to be seen exactly how much it will help the overall real estate market turn around.

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Jamahl 11:06 PM - Feb 14,2009

Hi. For those of us who took advantage of the current $7500 tax credit (loan) will we still be required to pay it back or has than requirement been removed?
Joey 6:47 AM - Feb 15,2009

Is there a salary bracket for this tax, just like in the first bill? Say if you are earning more than 75K or 150 jointly you are not qualified for the tax credit?
KTDen 11:41 AM - Feb 15,2009

I will be buying a home this year (2009). Can I use the $8000 as a down payment or I can only get it when I file my 2009 tax return? If I can use the $8000 credit for downpayment, how?
Ashok 1:01 PM - Feb 15,2009

Yes. As far as i understood and know for those of us who took advantage of the current $7500 tax credit (loan) will we still be required to pay it back. The non refundable is for only people who are closing their homes before 1st of December and the amount is $8000. But if you sell the house before 3 years of closing you have to pay back $8000 credit which you got. The max limit is <=150000 for couple.
Ashok 1:05 PM - Feb 15,2009

Yes. As far as i understood and know for those of us who took advantage of the current $7500 tax credit (loan) will we still be required to pay it back. The non refundable is for only people who are closing their homes before 1st of December 2009 and who bought after 1st of Jan 2009. The tax credit amount is $8000. But if you sell the house before 3 years of closing you have to pay back $8000 credit which you got. The max limit is <=150000 for couple. Yesterday I talked to two people (Tax consultant and the Realtor) and asked what happens to the people who signed a contract in 2008 and closing the home in 2009 before Dec 1st 2009 and they said the closing is what matters, not when you signed the contract. If it is wrong somebody please correct me and if you know that is not true please correct me.
Ashok 1:07 PM - Feb 15,2009

The max limit is <=150000 for couple is relating to the salary limit and the contract i talked about is relating to the new home purchase.
Larry 4:09 PM - Feb 15,2009

Closing on house this Wednesday (02/18/09). Can the new home buyers tax credit ($8k) be claimed in the 2008 tax year, or need to wait for 2009?
Justin McHood 10:04 PM - Feb 15,2009

@Jamahl,
Thanks for stopping by and asking a question. My understanding is that if you took advantage of the $7,500 tax credit you are required to pay it back.

@Joey,
Thanks for stopping by: Here is a pretty easy-to-understand chart that outlines income bracket qualifications as well as other items related to the tax credit:

http://www.phoenixrealestateguy.com/government_affairs_tax_credit_chart_021308.pdf

(Thanks http://www.PhoenixRealEstateGuy.com)

@KTDen,
Thanks for asking a question. The answer is that you cannot use the $8,000 for a down payment, you can only claim it as a tax credit once you file your 2009 taxes in 2010 if you meet all of the criteria.

@Ashok,
Thanks for sharing your expertise! It is my understanding that the closing is what matters – and by referring to the easy-to-understand .pdf, it covers the other stuff as well.

@Larry,
My understanding is that you will need to wait to file your 2009 taxes.

**** NOTE ****
I am not an accountant or lawyer. Please do not rely on any information here as 100% accurate and then try to sue me or anyone else if we are wrong and you take anything said here to be legal or accounting advice.

Please talk with your lawyer or accountant about your situation – and if we are right, tell them how smart we are. If we are wrong, tell them that we are just bloggers who couldn’t get into law school because we couldn’t pass the LSAT!

Thanks all,
Justin
Mike H 10:22 PM - Feb 15,2009

If i am on the title of a home, but not on the loan can i be considered a new home buyer? I am getting removed from the title of the current house and looking to buy a new home completely in my name.
Thanks,
Justin McHood 5:45 AM - Feb 16,2009

@Mike,

Hmmm. I am not 100% sure. Here is some information I found on HUD’s website relating to this and I will keep looking and let you know when I find something.

Chapter 3
Miscellaneous Policies
Page 3-02

One of FHA’s highest priorities is to assist homebuyers with the purchase of their first home. FHA tracks the number of first-time buyers assisted by our programs. Consequently, it is very important that the information is entered accurately in FHA Connection.

In order to help lenders properly identify first-time homebuyers, we are clarifying the definition of what constitutes a first-time homebuyer. A first-time homebuyer is an individual who meets any one of the following criteria:

- An individual who has had no ownership in a principal residence during the 3-year period ending on the date of purchase of the property. This includes a spouse (if either meets the above test, they are considered first-time homebuyers.
- A single parent who has only owned with a former spouse while married.
- An individual who is a displaced homemaker and has only owned with a spouse.
- An individual who has only owned a principal residence not permanently affixed to a permanent foundation in accordance with applicable regulations.
- An individual who has only owned a property that was not in compliance with State, local or model building codes and which cannot be brought into compliance for less than the cost of constructing a permanent structure.
kazinmich 7:01 AM - Feb 16,2009

I think they should make the $7500 tax credit non-repayable also. I purchased my first home on Dec 30th, so I have to pay it back. I’m a single mom trying to ‘stimulate’ the economy, I make too much to qualify for most of the stimulus, but really not enough for a single mom either. I fall in the grey area.
jtugg 9:20 AM - Feb 16,2009

My wife and I bought a house in July of 2008. We were planning on getting the $7500 credit when we filed our taxes. Now, with the passing of this new $8000 credit with new date guidelines, are we still eligible to get the original $7500 credit?
Justin McHood 12:09 PM - Feb 16,2009

@kazinmich,
Thanks for stopping by and sharing. I wish I had better news for you, but I don’t. If it helps at all, I can tell you that you are not alone in feeling that you are in the “grey area” where you make too much to qualify for the stimulus but not enough for a single mom — I talk with many (many, many, many) people who are in this boat every day.

My best advice is to hang tough, continue to invest in yourself through education and know that when it all comes down to it – both you and your family are counting on you and you alone to provide… don’t wait for the government to “help out” in any way, there is only probable heartbreak in this strategy.

Oh, and call me if you ever feel like you need a pep-talk. In high school, people used to tell me that I gave a pretty good “locker room speech”.

But trust me, you are not alone out there.

@jtugg,
Yes.

Double-check what I am about to say with your accountant.

You bought a house under the “old” stimulus plan, which means that you can claim it for your 2008 taxes – which is the good news. The bad news is that you will need to pay it back according to the guidelines of the 2008 stimulus plan.

@Mike H
Still looking. Don’t think that I have forgot about you.

Thanks again to you both for commenting,
Justin
Bruce 3:53 PM - Feb 16,2009

I will be a first time homebuyer, but as I can’t afford to buy where I’m living I’d like to consider using the tax credit towards a small rental property. Can I do this, or do I fail to get it on the ‘primary residence’ criteria?

Thanks
Art 3:53 PM - Feb 16,2009

@ Justin
I’m neither a lawyer or accountant too, but I did read through the wording of both the original and new home-buyer’s credit and I think it will be possible to claim the $8000 on an ’08 tax return. Specifically the part of the original bill that let you do this (36g) read:

“(g) Election to Treat Purchase in Prior Year.–In the case of a
purchase of a principal residence after December 31, 2008, and before
July 1, 2009, a taxpayer may elect to treat such purchase as made on
December 31, 2008, for purposes of this section (other than subsection
(c)).

and the new bill has a section that states:

(2)Conforming Amendment – Section 36(g) is amended by striking “July 1, 2009″ and inserting “December 1, 2009″

So it looks like just as with the original credit, all you have to do is amend your income tax return once you close on a house.
Mike 5:58 PM - Feb 16,2009

This is how you can use it towards your down payment.

If you anticipate using the tax credit, you can change your W-4 and have less taxes taken out of your paycheck. There is a calculator on the IRS website that will help determine how many deductions to claim in anticipation of the $8000 credit.

When you get your paycheck, take the amount that you normally would have paid to taxes and immediatley put it into a seperate savings account. If you make around $60k a year, you could put about $700 a month into savings instead of it be withheld by the government. Cut other expenses, add in more to this amount. Within 6-12 months, you could have $8000 to put towards a down payment or closing costs on a home.

Depending upon your situation, it might be just enough to get you into that home you have been wanting.
sam76 2:23 AM - Feb 17,2009

I closed on my first home Jan 15th 09. I did file my taxes already and took 7500 first time homebuyers credit. would i be able to amend my tax return and get the new 8000 that won’t have to be paid back or i have to take 7500 that i filed for and pay it back.
Kristine 6:45 PM - Feb 17,2009

I live in Connecticut and am currently in the process of buying my first home/condo. Previous to the stimulus bill being signed, I wasn’t eligible for the $7,500 tax credit because I’m using a CHFA program for financing.

However, now that the new $8,000 tax credit is available, and some things have changed with it…I was wondering if I would now be eligible to use it. (even thought I’m still going through CHFA) I can’t find that answer any where. Would you know?? Thanks
Sara 7:10 PM - Feb 17,2009

So I have an interesting question. I talked to the IRS today..on hold for 45 minutes before. Anyway, I told them my situation and they told me what would happen under the current 7500 law because they don’t have all the details for the 2009 yet. Anyway, I am planning on getting a home built and getting married May 23, 2009. Now the kicker is my fiance has owned a home in the past three years. Now I ask the IRS if I closed before the wedding could I amend my taxes in 08 because I was single and still get the credit. She said yes. I also said if the house doesn’t close till after the wedding like June 1st but I amend my taxes to the 08 they go off of the 08 return not 09. She said if I filied in 09 as married filing seperate I would still get nothing because he has owned a home. So my question is…has anything changed about amending to 08 even if the house doesn’t close till July 09? We could get the house closed by May but if it won’t matter based on my 08 status then we may as well not rush and let it finish in July. Thanks in advance for the help.
Justin McHood 9:31 PM - Feb 17,2009

@Bruce,
Thanks for asking a question! My understanding is that it needs to be a “primary residence”. Don’t hate me.

@Art,
Thanks for sharing. I need more smart friends like you. Please share more with us as you want, we need all the help we can get.

@Mike,
Creative! I like it. You can also be my new friend along with Art and please continue to share your wisdom. There are lots of people who you can help just by sharing.

@sam76,
I don’t know for sure. I want to say that if you closed on your home in ’09, you shouldn’t take any credit until you file your ’09 taxes… but I have been wrong before. Please ask your accountant – they will know for sure.

@Kristine,
I live in the desert in Arizona and I am not even 5% familiar with CHFA… BUT… I think that it is written so that if you buy a home and you are a first time home buyer, you qualify. So, if I were you I would start with my loan officer and after he doesn’t know – ask your accountant. After they don’t know, keep searching. You can also always contact me directly if you are still having troubles finding an answer – I have a few smart friends who may be able to help us/you.

@Sara,
It took me at least 3 full minutes to get past the part where you actually called the IRS. Wow, that must have hurt. Whoever you are going to marry on May 23, is a lucky man – so make sure he is aware of that.

I have to officially punt on your situation however – you need to call your accountant. If he wants to charge you for giving you the answer, offer to take him to lunch and possibly even give him a wedding invitation in exchange for just helping you get the answer.

If this were a multiple choice test… and I had to pick an answer… based on whatever-it-is-that-I-am-supposed-to-know… I would select the answer that says:

Make sure you close before you get married and then you should qualify.

Thanks all – after reading all of these and doing my best, I feel like I am 100% sure that I am not the smartest-guy-in-this-room.

Justin
Jason 9:43 PM - Feb 17,2009

I see that the benefit begins to phase out at over $75,000 and completely caps at $95,000. What are the benefits between those two income levels?
Michele 7:31 AM - Feb 18,2009

If a person purchases a home in the 2009 calendar year but does the purchase through a land contract is that person eligible for the $8000 tax credit??
Justin McHood 12:35 PM - Feb 18,2009

@Jason,
Good question and nice work on making a good living!

I haven’t been able to find a “phase out schedule” for the $8,000 tax credit, but here is an idea that might give you a rough idea of what to expect:

Go to http://www.irs.gov and look at IRS form 5405 which is the current form used for the $7,500 tax credit.

I am guessing that the calculation for those who are over the limits will be roughly the same.

Oh, and don’t forget to ask your accountant just to be sure – I am not an accountant. Or lawyer. So officially, that is not “advice” just “conversation”.

@Michele,
Thanks for stopping by and asking a question!

By removing one section of your question, it reads:

“If a person purchases a home in the 2009 calendar year is that person eligible for the $8000 tax credit?”

And the answer to that part of the question is “yes” assuming that they are a first time home buyer, meet the income qualifications, etc.

The curveball in your question is this part:

“but does the purchase through a land contract…”

And I don’t know the answer to that. If I had to guess, I would say yes – but please check with your lawyer and accountant and Realtor.

Justin
Kevin 2:12 PM - Feb 18,2009

I am looking a purchasing a house. If I purchase it now that the 2009 Stimulus Act has been signed into law, can I receive teh $8,000 credit on my 2008 Tax Return?
Justin McHood 2:20 PM - Feb 18,2009

@Kevin,
Thanks for stopping by and asking a question.

The answer is “not to my knowledge. You must buy the home between Jan 1 and December 1 of 2009 and then claim it on your 2009 tax return.”

If anyone knows differently, please advise.

Justin
Charlie 6:40 PM - Feb 18,2009

I changed job status from W-2 employee to 1099 contractor less than a year ago. My only option to buy a house this year seems to be taking on a co-borrower. If that co-borrower has purchased a house within the last 3 years or exceeds the $95k cap, would that prevent me from getting the $8000 credit?
alisa 9:54 PM - Feb 18,2009

Larry: you are able to claim the $8000 on you 2008 taxes. Please follow the link below.

http://www.federalhousingtaxcredit.com/2009/faq.php#12
alisa 9:55 PM - Feb 18,2009

Sam76: you are able to amend your return and get the $8000. Follow the link below..

http://www.federalhousingtaxcredit.com/2009/faq.php#12
alisa 9:57 PM - Feb 18,2009

kevin: yes you can claim the $8000. follow the link below..

http://www.federalhousingtaxcredit.com/2009/faq.php#12
Justin McHood 9:17 AM - Feb 19,2009

@alisa,

Thanks for sharing that… X3!

Justin
Jay 10:44 AM - Feb 19,2009

Is it your gross pay or your taxable income to fit in the bracket.
Jon 1:41 PM - Feb 19,2009

@Sara – Is there any way you can have your normal wedding as planned, but DON’T go through with the legal wedding/marriage certificate until after you close on your house? I know it’s possible in some churches to be married from the church’s point of view, but single from the State’s point of view. You may need to have an open minded pastor to do this, but it could be worth exploring that option. Maybe offer to donate $1k of your refund to the church if he can work something out for you

Good luck!
Gob 2:18 PM - Feb 19,2009

Let me run this by you all. I’ve been thinking about this a lot. Why couldn’t you amend your 2008 taxes to receive the $8000 before you close on a house? I don’t think they will ask for an actual closing date before issuing you the money if it is similar to the $7500 deal. They only ask for an estimated close date. So you could gamble that you will be closing by December 1, 2009, while using the $8000 as your down payment. Worst case scenario, you can’t close and have to give the money back? What do you all think?
Justin McHood 2:44 PM - Feb 19,2009

@Jon,

Hands down, you win comment of the day.

Thanks for commenting!

Justin

@Gob,

I think that *officially*, I probably shouldn’t comment on that — so I will use Warren Buffet as a mouthpiece:

“It takes 20 years to build a reputation and five minutes to ruin it. If you think about that, you’ll do things differently.”

AND — I really do appreciate you stopping by and commenting…

Justin
Sara 2:46 PM - Feb 19,2009

ROB…I would totally do that and we are not even getting married in a church!! We contacted the minister service we are using has yet to call us back but I am sure they will. I would consider us married May 23, 2009 but for 8000 I would sign the certificate July 2009 if need be lol! I am in TN so I am not sure how that would work lol or if that is possible.
Justin McHood 2:53 PM - Feb 19,2009

@Jay,

Sorry – I overlooked your comment at first.

Here is a good answer to your question (hat tip to @alisa for sharing this site):

http://www.federalhousingtaxcredit.com/2009/faq.php#4

Justin
Elena 3:21 PM - Feb 19,2009

I am having a very hard time understanding how anyone lucky enough to by their house in January of 2009 (I bought mine in August of 2008 not even knowing anything about a credit) can get 8,000.00 free and just because I received my loan 4 months too soon, I’m required to pay my credit back. I think the stimulus is a good thing, a great thing and it will help a lot of people, but I really feel that, either we all should have to pay back the credit or we should all receive our credit without having to pay it back. The economy wasn’t any better when I bought my house and as a matter of fact, interest rates were higher. Congrats to the 2009 buyers however, at least one group of home owners will get something given to them for a change.
Justin McHood 4:34 PM - Feb 19,2009

@Elena,

Reading your comment reminds me of the old adage:

“Is now a great time to buy?”

Maybe people who are considering buying a home could ask it differently:

“Is the government going to give out any better handouts in the future?”

And watch their Realtor try to answer that one.

Justin

PS Of course I would answer if I knew. Or even if I thought I might know.
Elena 8:31 PM - Feb 19,2009

True enough, but then again, I’m pretty sure I’m not the only one who feels the way I do. Like I said…wonderful that the government gave anything at all, but to hold people who got into houses 4 months apart at completely different standards just doesn’t seem right. Then again, when has anything the government done seemed right? Oh well, at least some people wont have to worry about paying back anything, which is great, I’m happy for them. Just wish they’d have taken it across the boards instead of just for a certain year, I can’t help but think that someone who closed their loan on Dec. 30th probably wishes they had waited til January 1st.
Wise GUy 9:47 PM - Feb 19,2009

I spoke to my Tax Agent just today and he said as soon as I go into escrow I could file my 2008 taxes and claim the $8000 dollars as well. He also said I would get my return just before I close escrow so that I could use it for my down payment and closing cost if any. This makes sense because after all it is a First time Home Buyers Credit, meaning they will help you get your first home. If I had the money for a down payment and closing cost why then would I need the $8000!!! It would just be greed!!!
kazinmich 6:01 AM - Feb 20,2009

Justin – Thank you for thoughts. I have to think of the $7500 as if they didn’t come out with this $8000 I would have been very happy – happier than my coworkers who bought there’s a year or so before over priced and no incentive. I got what I wanted, at the price I wanted, and I have a nice little cushion in the bank.

Elena – I feel slighted too that they didn’t retro the not having to pay back the $7500. I purchased my house on December 30th. I am happy however I am getting the full $7500 to put directly into savings for the what-if’s of home buying. I can sleep comfortably at night knowing that if it goes wrong, I can fix it. I’m still hoping enough people write their legislative committee on up to forgo the repayment, but given the stimulus the gov’t is going to need every penny it can get over the next decade…

Wise Guy – If you don’t have money for a down payment, will you have money for an emergency fund? I know a lot of people who afford their homes, have to live paycheck to paycheck because they had to go out and put in a new furnace, or a new roof, something unexpected, or worse, one of them lost their job. Also, do you have money for the inspection? For the survey (if needed) and other miscellaneous charges you have to pay prior to closing? You may get it back at the closing, however you need to have this up front. You should have a couple grand for the pre-closing costs alone.

When I purchased my home, I was approved for 50 to 80k more than I wanted to spend. I do have a boyfriend and between the two of us we bring home decent money. If we were together on a loan, we could have gotten approved for wayyyy more house than we needed, even with the market the way it is. Instead, we looked at the market and put down our needs, then wants, then price range we are comfortable paying for with only one of our incomes. I then purchased the house myself, on my income solely. I was very happy that qualify for the $7500. That ensured that after I purchased my house, I still had a good emergency fund.

It’s hard buying a home right now. All these foreclosures – a lot that have sat through a cold winter (not good). I was fortunate enough to find a house that fit my needs, some of my wants, a few bonuses (built in 2004 & some wooded acerage) and within my price range. I went through a long short sale process, but when said and done, I only paid $129k for a house that appraised at $170k. Worse are the taxes based on $198k. There is so much to consider when buying a house – whether short sale, foreclosure or a normal purchase. Make sure you have a good mortgage guy who will give you the worst case scenario! Who can answer the important questions. Some one you can trust. My guys were absolutely wonderful, and I’d recommend them to anyone – especially if they are in Michigan. The good faith estimate was only pennies difference than the final loan. Yeah, they were that good.
Larry 10:14 AM - Feb 20,2009

I already filed and got my 2008 refund from the federal government.

What if $8000 is higher than the total amount of taxes that I owed/paid? Does the govt just cut a check for the $8000 or do they just knock it off the taxes owed?
Andrew 3:10 PM - Feb 20,2009

I have a rental property that my tenant wanted to buy on contract a few years ago. She didnt have any down payment and couldnt get financed through the bank so we didnt do anything about it. Anyways with this credit i was wondering if it can be used if she buys the house from me on contract?
Rob 6:14 PM - Feb 20,2009

I had my taxes done today, with plans to file an amended return after I close on the house in 3 weeks. My tax person told me that this wasn’t allowed and I’ll have to either file an amendment for the 7500 “loan”, or wait till next year and claim the 8000 tax credit. Is this right? Why can’t I file an amendment this year for the 8000 tax credit, since I am a first time homebuyer in 2009?
Kelly 7:12 AM - Feb 21,2009

So I closed on my house on Jan 7th 2009 and took advantage of the tax credit of 7500 on my 2008 taxes. Am I able to amend them and take the 8000 credit and it fall into the credit and not the loan?
Suz 3:52 PM - Feb 22,2009

@Andrew-Same question here. Does a contract for deed fulfill the requirement as far as the change of ownership and transfer of property????

@Rob and Kelly-You should be able to amend your taxes. per the federal housing tax website:

http://www.federalhousingtaxcredit.com/2009/faq.php#12

If I’m qualified for the tax credit and buy a home in 2009, can I apply the tax credit against my 2008 tax return?
Yes. The law allows taxpayers to choose (“elect”) to treat qualified home purchases in 2009 as if the purchase occurred on December 31, 2008. This means that the 2008 income limit (MAGI) applies and the election accelerates when the credit can be claimed (tax filing for 2008 returns instead of for 2009 returns). A benefit of this election is that a home buyer in 2009 will know their 2008 MAGI with certainty, thereby helping the buyer know whether the income limit will reduce their credit amount.

Taxpayers buying a home who wish to claim it on their 2008 tax return, but who have already submitted their 2008 return to the IRS, may file an amended 2008 return claiming the tax credit. You should consult with a tax professional to determine how to arrange this.
For a home purchase in 2009, can I choose whether to treat the purchase as occurring in 2008 or 2009, depending on in which year my credit amount is the largest?
Yes. If the applicable income phaseout would reduce your home buyer tax credit amount in 2009 and a larger credit would be available using the 2008 MAGI amounts, then you can choose the year that yields the largest credit amount.
Justin McHood 5:10 PM - Feb 23,2009

@Larry,

Thanks for stopping by – I think you can find your answer here:

http://www.federalhousingtaxcredit.com/2009/faq.php#11
http://www.federalhousingtaxcredit.com/2009/faq.php#12
http://www.federalhousingtaxcredit.com/2009/faq.php#20

The way the credit works is that if you don’t owe enough in taxes, you will actually get a check back for whatever unused credit you had.

@Andrew,

Don’t flame me, but I don’t know. Let me keep looking for an answer to this one. My hunch is that it might… so let me keep looking.

@Rob/@Kelly,

Special thanks to @Suz for answering your questions.

@Suz,

Thanks! Come back and visit on a regular basis, I need all the help I can get.

Thanks All,
Justin
Kristin 12:25 PM - Feb 25,2009

If I live with my fiance in his condo(he is the only one on the loan/title) am I able to purchase the condo from him since I have never owned a home and get the $8k credit? They would not have any issues with that correct? He plans on buying a home soon anyway to fix up to either sell or eventually live in, so it would be better to not have a loan anymore on his name anyhow. We will not be getting married til 2010.
Bob Thomson 10:24 AM - Feb 26,2009

This really sucks! I mean if we really wanted to simulate the economy, the people who profitted from the rise of real estate will not continue to invest in to real estate. How fair is this to people who was gifted a home from a family member. They want to get the credit as well.
Frank 5:02 PM - Feb 26,2009

I’m looking to purchase a home this year, and I’m a first time home buyer. I will be getting married as well before I purchase a house. What is the cut off date for qualifying for the $8000 tax-credit, since i have seen some places say up until December 31, 2009, others say December 1,2009, some say septemeber some even july or june??? So what is the final cut off date to buy a home. Next question is, if I buy a house together with my wife and we are both first time home buyers, would we both get the $8,000 tax-credit, or is just for one of us since we are only buying one house. And if we would both get it, does it get capped off at $15,000 if we are filing jointly, or how would that work???