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$8000 First Time Home Buyer Tax Credit can be used as Down Payment Assistance

By Heather the Realtor Orlando, Lake Mary

Real Estate Broker/Owner with LemonTree Realty

May 27, 2009 08:36 AM

You heard right, you can now use your First Time Home Buyer tax credit as your down payment on a home .

WHAT? I heard that you couldnt do this. Well now you can.

Beginning July 1, those who quality for the federal $8,000 first-time homebuyers tax credit will be able to apply for downpayment assistance before they close on the purchase of their home, and then repay the amount borrowed when they get their tax refund. The program will operate through local county housing administrators, though details are still being worked out

Great news for Seminole County First Time Home Buyers looking for down payment assistance. SHIP maybe out of money but that doesnt mean you can't get DPA.

If you have been thinking about purchasing your first home but didnt have the down payment now you don't have an excuse. If you are ready to work with a professional who knows the ins and outs of the Orlando home market as well as down payment assistance programs then call me,

Heather Joubran at 407-810-6304 or send me a text or write me an email Heather@HeatherTheRealtor.com or if you are bored twitter me the message LAKE MARY REALTOR

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Brian Kuhns

Coldwell Banker Roth Wehrly Graber - Fort Wayne, IN

Fort Wayne Real Estate by Brian Kuhns

Is this for sure back on the table again? Would great for some of my clients. Thanks for the update

May 27, 2009 08:56 AM

Heather the Realtor Orlando, Lake Mary

LemonTree Realty - Orlando, FL

First Time Home Buyers, Bank Owned Homes

Gov. Charlie Crist signed the budget bill (SB 2600) today for Florida

May 27, 2009 09:02 AM

Lorinda Ward

Keffer Realty - Norfolk, VA

Serving, Hampton Roads Virginia. Norfolk, Chesapeake, Va Beach

I heard about this and was waiting for it to go into affect, there will be a lot of happy buyers!

Have a great day!

May 27, 2009 09:14 AM

Josh Hunter

Longmont Real Estate - Longmont, CO

Cool, I heard this was a go too. However that each lender had to underwrite this on their own and so far there were none to be found. So now it is the local housing authority underwriting them? I wonder how long the "application" process will take.

May 27, 2009 09:41 AM

Marney Kirk

Cummings & Co. Realtors - Towson, MD

Towson, Maryland Real Estate

Heather, this is just for Florida, right? MD isn't there yet, I don't think...

May 27, 2009 11:43 AM

Craig Rutman

Helping people in transition - Cary, NC

Raleigh, Cary, Apex area Realtor

There's so much confusion about this tax credit.

Thank you for an easy to read post and for sharing this with us.

May 28, 2009 12:14 AM

As I understand it, it's just for Florida, the bill was signed by our Governer.

May 28, 2009 12:21 AM

Rob Arnold

Sand Dollar Realty Group, Inc. - Altamonte Springs, FL

Metro Orlando Full Service - Investor Friendly & F

This is great news isn't it! No money down is back.

May 28, 2009 12:52 AM

Tom Boos

Sine & Monaghan Realtors, Real Living - Grosse Pointe Farms, MI

Providing the very best of service to Sellers and

I'm confused and dizzy. I'd like to see something official from the power that be.

May 28, 2009 08:50 AM

It's different for every state, but our governer herein florida just signed the bill, details are still being worked out.

May 28, 2009 08:53 AM

Pacita Dimacali

Alain Pinel - Oakland, CA

Alameda/Contra Costa Counties CA

Heather

From what i read about the guidelines, the $8000 credit can be applied towards ADDITIONAL downpayment, but not THE downpayment. Use the $8,000 tax credit for closing costs, escrow charges, higher down payment, or to "buy down" your interest rate so that you can have a lower monthly payment

http://www.realtor.org/RMODaily.nsf/pages/News2009052901 "The loans can't be used to cover the minimum 3.5 percent, senior HUD officials told reporters on a conference call Friday morning."

So how can the state override the federal rules especially since the tax credit is from the federal government?

You may be referring to another tax credit that is state-specific. In the same article, it states "In addition, some state housing finance agencies have developed their own tax credit bridge loan programs, so buyers in states whose HFAs offer such programs can monetize the tax credit upfront to cover all or part of their downpayment. These programs are separate from what HUD announced today."

In California, we have other tax credits -- this time up to $10K for a purchase of a NEW home that's never been lived in.

Jun 17, 2009 05:49 AM

$8000 First Time Home Buyer Tax Credit can be used as Down Payment Assistance

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Heather the Realtor Orlando, Lake Mary

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