First time home buyers account for close to 40% of the entire market. \u00a0Considering that purchasing a home is one of the biggest financial and lifestyle decisions in one’s lifetime, it is important to be aware of existing home buying assistance programs and how to take advantage of them. \u00a0Here are the highlights of the First Time Home Buyer Tax Credit Program:<\/p>\n
All U.S. citizens who file taxes and who are first time home buyers, defined as buyers who have not owned a home during the past three years, are eligible for the $7,500 tax credit. \u00a0First time buyers who are using a state or local housing agency tax exempt bond mortgage to finance the property or who are non-resident aliens are not eligible.<\/p>\n
All homes, whether single family, townhomes or condominiums, qualify as long as the home is used as a primary residence and the buyer has not owned a home in the previous three years.<\/p>\n
Buyers who file as single or head-of-household taxpayers are eligible for the full $7,500 credit if their AGI (adjusted gross income) is less than $75,000. \u00a0Married couples filling jointly have an income limit of $150,000. \u00a0A partial first time home buyer tax credit is available for single or head-of-household taxpayers who earn between $75,000-$95,000 and for married couples filing jointly who earn between $150,000-$170,000.<\/p>\n