First Time Home Buyer Tax Credit: Part 6 of 6
This post is a part of a series of posts that gives the details on the Federal Governments tax credit incentive to First Time Home Buyers. The six parts answer the following questions:
- Am I Eligible?
- How does it work?
- How big is the tax credit, as a single person?
- How big is the tax credit, as a married couple?
- What about repayment?
- Are there other conditions I should know about?
If your questions are not answered by these posts, feel free to contact me directly!
Question 6: Are There Other Conditions I Should Know About?
- You cannot claim both the (Washington) Dc and the national First-time Homebuyer tax credit.
- Purchases by non-resident aliens are not eligible.
- 2009 purchases financed by proceeds from a qualified mortgage issue are now eligible.
- Any single family residence located in the United States that will be used as a principal residence is eligible.
Generally, this is the place where an individual spends most of his/her time. This includes single-family detached housing, condos or coops, townhouses or any similar type of new or existing dwelling. - The credit will not result in an individual owing additional federal taxes under the alternative Minimum tax.
- Home purchases between relatives and other gifts of residences are not eligible for the credit.
- Other tax benefits of homeownership are still in place. The mortgage interest deduction, capital gains tax exclusion, and property tax deduction are some well-known examples.
