HOMEBUYER TAX CREDIT FAQ #9

HOMEBUYER TAX CREDIT FAQ #9

Q:  Does a married couple qualify for any home buyer tax credit in the following situation?

Spouse A has lived in and owned the same principal residence for at least five years.

Spouse B has lived in and owned the same principal residence for less than five years.

A: In this situation, the couple does not qualify for any home buyer tax credit. Because the couple is married, the law tests the ownership history of both spouses. Spouse A clearly does not qualify for the $8,000 first-time home buyer tax credit, so neither does Spouse B.

Spouse A does appear to qualify for the $6,500 repeat buyer credit, but because Spouse B has not owned and lived in the same principal residence for at least five years, neither of them can claim the repeat home buyer tax credit.

Source: National Association of Home Builders (NAHB)