Neighborhoods and Activities in Baton Rouge

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1st Time Home Buyer Tax Credit - Question 1 What is a 1st Time Homebuyer?

 1st Time Home Buyer Tax credit Baton RougeNow that the news is out about the American Recovery and Reinvestment act of 2009 , many questions have surfaced about the $8000 first time homebuyer credit.  I will discuss these this week.  One of the first I get is "What Is a 1st Time Homebuyer and who is eligible to claim this tax credit?".    A first time homebuyer is a person who has not owned a home in the last 3-year period prior to the purchase.  For married taxpayers, the law tests the homeownership history of both the home buyer and his/her spouse. For example, if you have not owned a home in the past 3 years but your spouse has owned a principal residence, neither you nor your spouse qualifies for the credit.  However, unmarried joint purchasers may allocate the credit amount to any buyer who qualifies as a first-time buyer.  An example is where a parent jointly purchases a home with a son or daughter.  In this case the person qualifying as 1st time homebuyer may take the credit.  If 2 qualify it may ony be claimed by one or allocated beteen them.

Comment balloon 5 commentsAnn Dail • March 15 2009 08:33AM

Comments

Ann, the treatment for spouse's is just another example of the governments discriminatory practices against married couples.

Jay

Posted by Jay Williams, Mortgage Loan Officer - Getting You The Right Loan (Greenville, NC) over 10 years ago

Hi Ann,

Thanks for spelling this out. I'm sure there are many people who still don't understand.

Posted by Tony Orefice, Realtor/Harrisburg NC,Concord NC (Wilkinson ERA/www.TonyORealtor.com) over 10 years ago

Jay, when I saw this, it made me sad that marriages are discriminated against.

Tony, My agents and customers are asking, so I felt there were enough who didn't know, it was good to explain.

Posted by Ann Dail, Broker/Realtor,CRS, ePRO, SRS, B.A.Chem (Baton Rouge Area Homes, Louisiana, USA, 225-761-0551) over 10 years ago

Ann, this is such good information to disperse and it is great you are letting people know there is some other potential home buyers that may fit this description of a first time buyer, even if it is NOT the first home they have ever owned!

Posted by Debra Kukulski, Broker Associate, SRES;SFR,CDPE;GRI;ABR;e-PRO Realtor, Northern IL (RE/MAX Suburban) over 10 years ago

Debra, I find that people are often confused about what the government considers a first time homebuyer.

Sarah,  I am glad you find this blog useful.  That 's our goal to be a service to those reading it.

Posted by Ann Dail, Broker/Realtor,CRS, ePRO, SRS, B.A.Chem (Baton Rouge Area Homes, Louisiana, USA, 225-761-0551) over 10 years ago

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