Many first time homebuyers are looking at past generations for help coming up with a downpayment. FHA now requires a 3.5% downpayment (effective October 1, 2008) and the downpayment assistance programs (as of today) will disappear. Fortunately, FHA allows for gift money! 
The gift needs to come with a letter from the person "gifting" and we will need to verify that they actually have the ability to give the money.
At the same time, Uncle Sam is paying First Time Homebuyers with a $7500 Tax Credit (for more info click here). Of course, the gift has to be just that - a gift with no strings of repayment attached... but as a child or grandchild, if you WANTED to pay that money back (because that's just who you are) - GOOD NEWS! You know you will have a credit with your tax refund!
Of course - we are not in the tax preparation business, so you would need to double check with one... but if I was a first time homebuyer - I'd probably pay my folks back this way!... or maybe I would start a college fund for my daughter... or maybe I'd pay some of my other bills off...
If you are purchasing a home in Raleigh, or need to get pre-qualified for a mortgage in Cary, please call Steve and Eleanor Thorne,
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