For much of 2010, we answered reader questions about the Home Buyer Tax Credit in this space. With the tax credit deadlines having passed, though, we will no longer be covering new questions. If you have a question, make sure to check our our Home Buyer Tax Credit information site, which has videos, overviews, an FAQ, and an Eligibility Test. Also, you can look through the questions already posted to see whether we might have addressed a similar issue.
And please remember that we are not accountants, nor are we intending to provide accounting advice. You should always consult your accountant regarding filing your taxes, and making decisions to purchase a home with the intention of claiming a tax credit.
I owned my house and lived in since 2001. The bank foreclosed on my house in March 2010. I want to buy a seller finance house as my primary residence now. Will I still be eligible for any of the homebuyers tax credit?
Hi @VM, thanks for posting. The tax credit does not have any requirements relating to past foreclosures. If you lived in your previous residence for five consecutive years out of the last eight, and are otherwise eligible under income and other guidelines, nothing about your foreclosure will prevent you from claiming the credit.
Hallo i foreclosed on a house in begining of 2007 and i am under contract for a new house now do i qualify for any tax credits
?
Hi @Mariusz, I’m not sure if I follow your question. If you owned a home in 2007 and were foreclosed on, then you wouldn’t be eligible for the first-time home buyer tax credit, since you would have owned a home you lived in within the past three years. If you lived in that home for more than five consecutive years out of the last eight, you could be a long-time homeowner. But if what you’re saying is that you BOUGHT a foreclosure in 2007, then it’s not likely you’d be eligible, again because you fail the three year test and most likely fail the five year test.
What if I get in contract or submit an offer by April 30 2010 but the deal doesn’t go through and I end up buying a different house will I still be eligible?
Hi @VM, it seems to us that you wouldn’t be able to “transfer” your eligibility to your new home. Remember you need to be in contract by April 30, not just have an accepted offer. You need something signed in writing by both sides. If that deal doesn’t go through ,and you buy something else, I can’t see how you’d be eligible if your new contract was dated after April 30.
I am buying an “owner financed” home . I am a first time buyer and considered low income. Aside from the 10% of sale price are there any other credits for low income buyers?
Thank you
Hi @Janet, that’s a great question, but it’s outside the scope of what I’m familiar with right now. We’ve been so focused on the tax credit, but we haven’t looked at other government programs. Indeed, there might be other credits available to you either through the federal government or from your state. At some point, we’re going to be revamping this space to enlarge our focus, so keep checking in the next few months to see. In the meantime, your Realtor should be able to help you find anything available.
I already filed my 2009 taxes and received a refund. As a Long-Time Homeowner, can I amend my 2009 tax return now, or do I have to wait until next year?
Hi @Dexter, yes, you can amend your tax return for your 2009 year. Our IRS page has a lot about this, including the video, but you should contact your accountant about how to go about amending your return, or you can just call the IRS to get the necessary documentation. Good luck.
I am building my own house. Ther is no builder contract because I am the builder. I do have contracts with some of the subs.The house will be finished in late May and I will move in then. Do I qualify without having a signed contract (with who ?) by April 30 as long as I move in by May and what do I attach to my tax return . Thanks Harry
Hi @Harry, the IRS has set up specific rules if you are building your own home, but they’re simple. You need to be moved in, with proof of your residency, by June 30th. You don’t absolutely need the signed contract, since it does not exist, but any documentation you can pull together that demonstrates you moved into the home (and that you otherwise qualify) by June 30th will help. So get your driver’s license changed, get tax bills, get utility and cable bills, and anything else to establish your residency. That should suffice. The IRS put information about this sort of thing here.
do you qualify if you buy a house from a stepparent
Hi @Shannon, we’re constantly amazed that we can still get questions that stump us. The IRS is clear that you cannot qualify if you buy from a parent, but I don’t know if a stepparent would qualify. Try calling the IRS hotline, you can find the numbers here.
We bought our home 11/29/2005. Do we qualify for the step up tax credit? Does it go by the year or exact date to determine 5 consecutive years?
Hi @Kara, thanks for posting. If you purchased your home in November 2005, that would be fewer than five years, since there are fewer than five years between November 2005 and the last possible closing date of June 30, 2010. The IRS measures by the exact five year time period.
Can I claim the First-Time Home Buyer Tax Credit if I purchased my home in November of 2007?
Hi @Vu, thanks for posting. No, unfortunately, the program started for closings in 2008, so you would not be eligible for a 2007 purchase.
I and my husband owe a house since 2001 in Minnesota, but I have not lived in it for recent 6 years because I am doing medical residency and fellowship in other states, with occasionally visit my family in vacation times. Am I eligible for First- time Home Buyers or Long-time Homeowners Credit?
Hi @Ni, thanks for posting. If you own a home, but have not lived in it as your “main home” within the past three years, you would qualify as a “first-time home buyer” for purposes of the Home Buyer Tax Credit. You should check with your accountant as to how you have treated that home in your tax returns for the past three years.
I will be signing a contract on Wednesday, April 28th and believe I qualify for the $6500 home buyer tax credit. Do I need to file a form with IRS by April 30th? I will be taking the tax credit for tax year 2010.
Hi @Maureen, no, you don’t need to file a form before your closing. You’ll file your form when you file your tax return next April. The IRS will put the form out probably by the end of the year, or early next year, which will be similar to form 5405 that we have on the IRS page.
My wife and I are falling victim to the “2nd type” of marriage penalty. She has never purchased a home, and I have been in my home for 6 years. Since we have been married for only 2 years – we seem to be out of luck as she does not meet the 5 out of 8 rule. What a shame, we were really depending on this.
With that said I have a question, My current home is a duplex – My wife has lived there for over 5 years, however the only thing that proves this is the Lease agreement signed in 2004. Would that count as being able to establish residency?
Thoughts?
~Mike
Hi @Mike, this has the makings of a lovely romantic comedy — you’re her landlord, then her husband, long moments getting to know each other when you’re fixing the stove…..very romantic. As to the substance, your point seems to be that (1) you own the home, (2) you’ve lived there 6 years, (3) your wife has lived there for over five years, but only in the building, not in the unit, (4) she married you two years ago, but did not live with you before that. If your point is to get squishy about what the living arrangments were before your formal marriage, you’ll have to trust your conscience; I can’t give you advice about that. I will just say that the IRS is only checking (1) how long you lived there, and (2) if you’re married, how long your spouse lived there.
My fiance and I are currently in the process of a short sale. Its been over 60 days, and we’ve been told we’re in the final stages. Our real-estate agent thinks that we are considered under “contract” because the seller has already accepted our offer and we’ve put in earnest money. All we’re waiting for now is the bank to tell us they’ve done the BPO and that it’s been accepted.
If this is not done by midnight on the 30th, are we still considered under contract because of the earnest money and signed acceptance by the seller? I’m getting really nervous…
Hi @Amanda, the IRS has not been looking at the contract date very carefully, and I would think that a signed agreement between you and the seller prior to April 30th would suffice. Bank approval can be considered a contingency in the contract. Sorry that i’m replying to this so late, the last minute push of deals really knocked us out the past few weeks.
trying to buy a home owned by my spouses 2 aunts and her dad , 2/3 ownership by her 2 aunts and 1/3 by her dad. Do i qualify in any way by buying on my own ? could I claim 2/3 of the value which i am buying at fair market value via 2 certified appraisals
Hi @Kevin, that’s a pretty confusing story, so I’m not sure I can parse it out. But if you are buying from your spouse’s father, you’re probably not eligible under the rule that you cannot buy from direct family.
Hello and thank you for all the information thus far. I have owned and lived in my current home for 8 years. My (now) wife moved in 4 years ago, we were married 3 years ago. Recently we’ve refinanced adding her to the title. Individually I would qualify for the 6500 credit. If any momentum continues to remedy the penalty, will we (or I) be eligible for the 6500 credit since we are now purchasing a new home and meet the rest of the criteria?
Hi @CH, it looks like you definitely qualify as a long-time homeowner, and your wife is close to joining you. It doesn’t matter when you were married, but when she moved in with you. You said she moved in four years ago, but you might want to tighten that deadline down since you’re close to the five year requirement. If you are eligible, and she is not, then you get nothing. If she lived with you for at least five years prior to closing, it doesn’t matter that she wasn’t on the title, then you would both be eligible and could claim the credit.
My husband and I are first time homebuyers. I’m a US Citizen and he’s a permanent resident. From everything I’ve read we should qualify for the $8000 tax credit. We went into contract on the home April 9th and should be closing around May 20th. I was told by someone yesterday that the tax credit money is running out and that once we close, we should hurry and amend our 2009 return in order to get the credit. That if we wait until we file our 2010 taxes the money will be gone. Sounds kind of fishy to me, what is your input? Thanks in advance!
Hi @Melanie. I would not worry. A lot of the state programs for tax credit have dried up quickly — the New York program last fall only lasted a few weeks until they ran out of money. But the federal program is well-funded, and the government has said nothing about a limited amount of funds to fill the program. I wouldn’t worry about it.
I’ m not eligible neither for first-time nor long-time homeowner. So I’ m adding my brother who is eligible into the contract.
- My 1st question is does he eligible for a maximum tax credit or just part of it, since there’ re 2 single tax payers in the contract.
- My 2nd question is must he appears on the title and loan.
Thanks
Hi @Sun, for your brother to qualify for the tax credit, he has to actually live in the property. First, he is eligible for the whole thing to which he’s entitled; your ownership does not impact his. Second, he does not need to be on the loan, but he does need to be on the title.
I am single. make aproximitly110,000. own a house with my x wife, she resides in. I have not had a residence that i have resided in that I have owned for the last 8 years. Where do I stand on the tax credit?
Hi @Don, that information is a little thin, but it looks like you qualify. You are single, you make under the restrictions, you own property that you don’t live in, and you have not lived in a home your resided in for the past three years. You qualify, under these terms, as a first-time home buyer.
We lived in a home for almost 3 years. Due to a job transfer, we had to sell the home. We have rented for the last year and are closing on a new home on May 5th. Will we qualify for the $6500 credit due to the fact that we had to sell for relocation purposes?
Hi @L, I’m afraid not. There are no exceptions to the 5 year residency rule for the long-time homeowner credit.
Hi @L, sadly, there is no exception for job transfers or anything else like that.
Does buying “on contract” (Contract for Conditional sale of Real Estate using seller financing) qualify for the tax credit? There is a closing with a HUD1, the interest and property taxes are deductible just like a regular mortgage.
Hi @Phil, a contract is a contract. There’s no requirement that you need conventional financing.
My wife and I are trying to buy a house on a short sale. We had a ratified contract with the seller on Feb 18, 2010 but haven’t gotten approval from the bank yet. If we close by the June cutoff date, are we still eligible for the tax credit or do we need to have bank approvl for a “binding contract” by the April 30 deadline?
Hi @Ted, I can’t answer that question, it depends on your contract, your state, and your bank. What I will say is this: the IRS seems far less interested in the April 30 cutoff than the June 30 cutoff. I doubt very much that the IRS is going to be measuring the date of the contract if the closing is on time. Moreover, I don’t think they’ll be evaluating the meaning of a contract. If you have something signed by you and the seller, then I would try to treat bank approval as a “contingency” to the contract.
Parents are buying a house and the daughter’s name has to be on deed and title to qualify for a mortgage. Parents live in the house but the daughter is not living with the parents. The daughter was married in 2007 and rented an apartment with her husband. Daughter did not claim any tax credit. Would daughter and husband qualify for the first time home buyer credit given the fact that the house was not her principal residence?
Hi @Chee, in order to claim the tax credit, the claiming party has to live in the property. If the daughter is not going to be living there, she would not be eligible. The parents, though, could qualify if they are otherwise eligible.
Yes. Parents claimed their $8000 credit. Daughter and Husband are now buying a condo as their primary residence, can they claim the $8000 given the fact that the house daughter bought with her parents are not her primary residence?
Hi @Chee, I’m sorry, but I can’t find a previous question that you seem to be referring to. Could you post your entire inquiry again for me?
We bought single home 9-11-09. I have not bought home for over 30 yrs. I payed $232,000. We moved up. I had someone do my income tax & was told i didn’t qualify for the $6500. Can U help us? I still feel that i should get something. Thank U for all your help. jele@atlanticbb.net
Hi @John, you closed at a time when there was no $6,500 long time homeowner credit, which only was created for closings after November 6, 2009. If you had not bought a home for over 30 years, though, indicating that you did not own something at the time, then you’d be a first-time home buyer. I suspect that your point was that you had not bought a home, because you already owned a home, for that 30 year period. If so, you sold before the long-time homeowner credit came into effect. Sorry if that’s bad news.
We are a military family and will have lived in our current home 3 years as of June 15, 2010. We will be moving this summer and have rented out our house. We just found a house and are under contract as of April 23rd and are scheduled to close on May 28th. First, are we eligible? If yes, will we be eligible for the tax credit if we close on this date or do we have to move the closing back to June 15th? Thanks for your help!
Hi @Jill, my thanks that the thanks of everyone in my family for your family’s service to our country. Unfortunately, and I really hate to be the bearer of bad news to a military family, in order to qualify as a long-time homeowner you have to have lived in your current home for five consecutive years out of the last eight. You’ve only lived there three years. Just an FYI that you do not need to close until June 30, 2011 if you fall under the military extensions, which extend all the deadlines by a year if at any point the service member is on an extended tour.
My wife and I are separated and have been for 20 months(not divorced yet) but both our names are on the marital residence which we have lived in as our principle residence for the past 25 years. I filed 2009 taxes as “married but filling separate”. Can we each claim the long time homeowners tax credit for 2009? If not, then can we claim the credit on 2010 tax return if on December 31th we are divorced?
Hi @Ken, the good news is that you easily qualify as long-time homeowners. As to whether you can both buy separate residences and each of you qualify, I don’t know the answer to that. My sense is that the IRS would allow two different credits on two different transactions, but I can’t find any documentation on that. I will tell you, though, that the IRS measures your marital status at the end of the year, not at the time of your purchase, so technically you could be “single” in the IRS’s eyes if you are divorced by the end of the year.
Can the marriage penalty for the move up tax credit be avoided if one spouse can solely qualify for the mortgage and be the only title holder on the purchased property? In this example, assume one spouse qualifies for the move up tax credit and the other would qualify as a first time buyer.
Hi @Leighton, I’m afraid that won’t work. It doesn’t matter how the loan or purchase is structured. The law says that the purchaser (and the purchaser’s spouse) both have to qualify for the same type of credit, regardless of whether the spouse is going to even be living there.
Hi
I bought another house for my son, his age is 26 yrs old. He is first time buyer, and he is going to live in the new house. The new house is under my name and my son’s name, but in the papers it is mentioned that he will live in the house.
Does he qualify to claim the $8,000 tax credit?
Note: We paid $95,000 cash for the house.
Thank you.
Leila
Hi @Leila, thanks for posting. If your son is on the deed, is living there, and is a true first-time home buyer, then he will qualify for the $8,000 tax credit. You won’t be eligible for anything, because you don’t live in the home.
I am officialy divorced May 3rd, I am in the correct perimeters for contract and should close Mid May. I want to know if I qualify as a first time homeowner. My name was not on the deed of the home that I shared with my husband( allowing me to get a loan for the house I am purchasing) However, I do reside in a community property state (Texas/Nevada). Would I still qualify as a first time home buyer? I was never on the loan of either of the 2 homes we had. He got the houses and the debt in the divorce. I also have a Special Warrenty Deed that states I am not liable or have any part of those homes.
Hi @Debbie, this gets a little confusing, because the IRS has imputed ownership to the non-titled spouse both to invalidate claims by the non-owning spouse that he/she was a first time home buyer, and to allow a non-owning spouse to claim status as a long-time homeowner. The more important question is how long you lived in the home with your husband. If it was five years or more, you can claim to be a long-time homeowner. If not, then sadly enough his ownership would be imputed to you, preventing you from being a first time homebuyer.
yes me and my husband bought a condo and already did our taxes and the housing tax credit form to and send it in do you no how long it take to recieved the check we send it in april
Hi @Renee, your guess is as good as mine how quickly the IRS will be processing these returns claiming the tax credit, but the IRS has advised to be prepared for at least a six week wait.
Hi
My husband bought a home in 2001 himself. We were married in 2005 and I was added to the home then but when we refinanced in 2008 I remained on the deed but not the loan. We are under contract now and due to settle May 20th. Do we qualify for the $6500 rebate? Thank you
Hi @Allie, people always think the loan matters, but it does not, not for any part of the tax credit qualifications. Assuming you have lived in the home with your husband for at least five years prior to May 20th, then you would qualify as an imputed owner of the property with your husband.
Joe, congratulations on your progress with this!
From the latest update it appears that as a longtime home owner, I am among those that will be penalized for getting married?
- I qualify as a longtime home owner
- I married 2 yrs ago and we just bought a home.
- My wife is not a 1st time home buyer, did not live with me prior to our marriage and owned/occupied her home for only 3 years.
Is that correct?
Hi @Sean, sadly, you are correct. You and your wife are the most blatant victims of the Marriage Penalty, since you would both qualify in your own right, but because you qualify for two different tax credits you cannot qualify for either.
I am married and just bought a house. At first, I figured I was not eligible for refunds. But, there is some gray area – here is the situation:
I bought my first home in april 2004. In 2008, I got married and my wife, of course, moved in. The mortgage stayed in my name and we did nothing to put her name on the house.
I just bought a new home last month. Because my wife’s credit is not very good, I bought the house by myself – her name is not on the contract nor the loan.
I am wondering if I am eligible for 6500 credit. Even though I am married, my wife’s name was never on the old house or the new one. We file jointly as a married couple, so I am probably just wishful thinking – but it never hurts to ask.
Thanks,
Shane
Hi @Shane, thanks for posting. You definitely qualify as a long-time homeowner, since you owned and lived in a home for more than five years prior to your April 2010 purchase. The issue, as you recognize, is whether your marital status will bar you from claiming the credit, since your wife did not live with you during that entire time. Two points. First, the fact that your wife is not on the deed or the mortgage doesn’t matter, the issue is whether you are married, and you are. Under the legislation, a married person and his/her spouse have to both qualify, regardless of who is actually doing the purchase. Second, and the larger issue, is whether the IRS will allow your wife to qualify as a long-time homeowner even if she didn’t live in the home for the requisite five year period. I have a suspicion that the IRS isn’t measuring the qualification that way: that is, they’re looking to see (1) if you qualify as a long time homeowner, and (2) if you are married, if your wife currently lives with you. In other words, I don’t know that the IRS is going to be that literal in looking to see if she lived with you the whole time. That’s just a guess, though. Since you’ve already made your decision, your best bet would be to call the IRS hotline and just ask them.
I watched the video that talks about how to file for the tax credit. I need to include the HUD1 statement and they also suggest a third party documentation, such as a driver’s license, that state this is the permanent residential address. They didn’t mention the contract however. Since this is also a deadline requirement (April 30th), do I include that documentation as well when I file? Are there any other documents I need to include?
Thanks for this great website – it has been very informative!
Hi @Grant, thanks for the kind words. The IRS has not indicated that it wants a copy of the contract, and I actually think the IRS is really just going to be looking at the closing date. But the contract could not hurt, at least not the signature page showing the date.
Thanks for your website. My husband and I bought a bank-owned house last Nov. 4,2009, but only had a temporary cert. of occupancy bec. of electrical issues that need to be corrected.We only had the permanent COC Dec.23, and we were able to move in after that.Can we still qualify for the $6500? We meet all other requirements . We feel cheated that we closed a few days before the law for repeat homebuyer tax credit came into effect. We are still hoping we can get something from this tax credit to help us with some renovations in the house.Thanks.
Hi @Jie, thanks for posting. Ugh, this is going to be bad news. You purchased your home three days too early to qualify for the step up credit. There was nothing in the law at the time that made a distinction for certificates of occupancy, so I’m afraid that from my reading you would not qualify. Sorry for the bad news.
My fiance bought a house and qualified for the new home tax credit before we met. If we get married and she sells the house before owning the home for three years, she loses the credit. Does she lose the credit if she keeps the house but moves in with me before the three years is up?
If I move in with her after we get married but before she’s owned the home for three years, does she lose the credit? I have owned a home for 6 years but we would meet the salary requirements for a couple.
Thanks!
Hi @Daryl, thanks for posting. Okay, let’s unwrap this. First, if you’re not married at the time your fiance bought the house, then you’re not a “married couple” subject to the Marriage Penalty. Second, your fiance has to BOTH own AND live in the property for the three years to keep the credit, so she can’t move out of the place to live with you. Third, your moving in with her doesn’t make any difference, and shouldn’t affect her tax credit. You’re not entitled to any part of it, since you are not on the title, but she can keep it.
I am under contract to purchase a home from my great aunt. She will be owner financing. Will I qualify
Hi @Vicki, I don’t see anything in the law that would treat a great-aunt (or an aunt) as a lineal descendant, such that you would be ineligible if you purchased from her. If you take title, you’d be an owner, it doesn’t matter how you get financed.
My husband and I purchased our home november 2009 with both our names on the mortgage and we received our 8,000 tax credit, no problem. Since then we have decided to divorce and sell the house. Is their an exception to having to paying back the 8,000 if selling the house before 3 years of occupancy due to divorce?
Hi @Christina, sorry to hear about your personal situation. The basic rule is that you have to live in and continue to own the property for three years or you need to pay the tax credit back. It’s not clear to me if you could stay in the home, and remain the owner, and neither of you would have to pay anything back, or whether your husband’s moving out would disqualify him. That’s really tricky. It’s something you should discuss with your divorce attorney, who can probably track the answer down.
Hi Joseph. On qualifying for the first time home buyer, I assume I won’t, but here it goes.
My wife has owned her one and only condo which she has lived in ever since purchasing in August 2005. I am not on any of that paperwork. We got married in 2008. I have physically resided in the condo since 2007, however I have maintained my mom’s residence as being my official residence since I go there on weekends and I knew we would not be in this condo forever. I have never owned any home before. We just bought a home complying with the first time home buyer deadlines. I assume that since I am married to her, and she does not qualify for “first time” or “move-up,” by marriage I lose out on both?
Lastly, do you really believe that the marriage penalty was an oversight or error? Then why don’t they fix it? I am too cynical to believe they aren’t completely fine with still excluding many qualified people which saves the government tons of money for other things, like bailing out banks, car companies, and probable corrupt expenditures of politicians returning favors. After all, the IRS is part of the government. Thanks.
Hi Greg, yeah, I’m sorry to tell you that since you’re married, you both need to qualify for the same type of credit, and you do not. As for why Congress is not fixing what I really do believe was a simple oversight, I think it’s just the fact that the appetite in Washington for extending benefits has waned, and that everyone has become a deficit hawk such that no one wants to take on the responsibility of fixing the problem and theoretically adding to the deficit.
We received the tax credit after we bought our home in Nov. 2009. Husband wants divorce 6 months after owning. I’m trying to figure out the best lawful scenario for this situation after getting the tax credit.
These are the options i’m considering but not sure how this will affect me during tax time?
1. Sell the house – equal pay back of the $8000
2. Refinance (he or I) – do either one of us have to pay back the $8000 after a refinance?
3. One of us rents from the other until the 3 years is up? (does that disqualify if one of us is no longer staying there?)
I have looked everywhere (even IRS) and can’t seem to find anything that speaks of divorce or separation in this way. The only thing I have read is that if a spouse receives the house during a divorce settlement, that person is responsible for paying back the $8,000. (the one who receives it)
Any information is helpful.
Hi AG, sorry to hear about your personal situation. The basic rule is that you have to live in and continue to own the property for three years or you need to pay the tax credit back. It’s not clear to me if you could stay in the home, and remain the owner, and neither of you would have to pay anything back, or whether your husband’s moving out would disqualify him. That’s really tricky. It’s something you should discuss with your divorce attorney, who can probably track the answer down. Sorry I can’t be more help. There’s no issue if you refinance, that doesn’t affect anything. But if either of you moves out, technically the one who moves out (if not both of you, but probably just the one who moves out) would lose the credit.
I was a military member from 2005-2009 and during 2009 I was deployed for five months. I however came home for one week during that time frame. Do I qualify for the first-time homebuyer credit extention and if so what do I need to do?
Thank you
Hi @Anthony, thanks for your post, and for your service to our country. I’m afraid that I’m a little fuzzy on some of the military requirements. It’s clear that certain military personnel have an extra year to get into contract and close on their transactions, but the qualifications for that extension are probably best answered by you or someone who knows the meaning of the terms referenced in the statute. The rule seems to be that if you were deployed away from your home for a period of time in the past year or so, you qualify. I doubt that coming home for one week during a deployment would invalidate the deployment. You should read over the legislation on this point, and maybe check military regulations to find the definitions of the terms the statute uses.
I had a house build in Nov. 2006 with a construction loan from a friend. The mortage industry lock up, so I could not get a mortage. I paid intrest only on the loan from my friend until April 2010. I closed on a HUD loan in April. Would I be eliable for the $8000, since I didn’t have a mortage until April 2010.
Hi @Roger, thanks for posting. The date you get the mortgage isn’t the issue, the issue is when you took title to the property. If you took title after November 6, 2009, then you’d be eligible for a credit (assuming you meet the other guidelines). It looks like you closed well before the June 30 deadline, so that’s not an issue either.
Joseph, any current update on how the IRS is imputing ownership to a non titled spouse that has live in the residency for at least 5+ years, but was married within the last 5 years? I know you made this pretty obvious in previous posts that the imputed ownership would qualify, but a recent post states a couple must reside AND be married for 5+ years in the same residence. Do you know which way it is?
Thank you,
Matt
Hi @Matt, the IRS told me one thing, and then told a board contributor another. It’s clear that the spouse definitely has to live in the property for at least five consecutive years out of the last eight. The question is whether that “spouse” has to have been a spouse during that full time, or whether turning from boyfriend to fiance to spouse during that time would still qualify. The IRS has been unclear on this, so other than tee up the issue for you I don’t have a definitive answer.
Hi Joseph,
We co-purchased a multi-family home (before the deadline) above the property limit of $800,000 with another family (we’re all co-owners) — We reside in a portion of the home that would in isolation be < $800,000 (and are paying < than that — though the contract was sold as 1 lump sum) — can we qualify for the credit and how?
Deva
hi @Deva, I don’t think that you’d qualify. The $800,000 limitation seems to be a hard limitation, that limits the applicability of the credit. It doesn’t look to me that the legislation allows for a proration of the credit based on ownership of a property above that limit. But you might want to call the IRS to make sure.