Will a Short Sale mean that I have to repay the First Time Homebuyer Tax Credit?

Real Estate Agent with Re/Max Alliance

As a real estate attorney and agent, I often get calls from clients with questions that require the skill and expertise of both.  I recently spoke with a client who was asking about whether he would be required to repay the first time homebuyer tax credit (which he received last year when he purchased a home), if he short sold the home for which he received the credit. 

The answer is a little more complicated than can be addressed in detail here, but generally speaking, there is some risk involved.

I would be happy to speak directly to anyone finding themselves in this situation.


Comments (2)

Carla Dimond
CATARRA - Mountain View, CA
(Silicon Valley)

Todd, my understanding was that the answer is yes.

Feb 25, 2011 04:37 PM
Letitia Stevenson
BHHS Fox & Roach | www.DelawareValleyRE.com - Greenville, DE
Listing Agent DE/PA/MD, Digital Marketer & Coach

Todd, Welcome to the Rain! Active Rain is a great place to share your knowledge, expertise and thoughts, as well as network and learn so much from the vast pool of talent already onboard.

Welcome Aboard and Much Success!

Mar 05, 2011 07:06 AM