For the last several years homebuyers have been able to take advantage of a loophole in the FHA rules that allowed them to buy a house with no money down. One of the the results of the new housing legislation that just passed is that loophole is closing. Homebuyers will now need to bring at least a 3% down payment when purchasing a house with an FHA loan.
But there is good news for homebuyers in the new legislation too. Homebuyers can now receive up to a $7500 tax rebate. The qualifications for that program are:
1. The buyer cannot have owned a home in the last three years
2. The income of the buyer cannot exceed $75000 per year if single or $150,000 if filing jointly
3. It applies to homes purchased after April 9th of 2008 and sometime before July 1st of 2009
4. Must be a primary residence
5. The rebate is 10% of the purchase price of the home with a $7500 cap
So basically if you qualify and purchase a home this year you can expect up to an extra $7500 showing up in your tax rebate check.
Before you get too excited please note that this rebate is really just a tax free and interest free loan. The principle must be paid back to the IRS over the course of 15 years. Nevertheless, tax free and interest free money is good stuff. If you would like more information about this program please contact us. We help buyers get into government backed loans.
February 7th, 2016 at 1:15 pm
Greetings,
I am interested in purchasing a home as a first time buyer. I have a credit rating of 645, however I am on disability and my income is 730.00 a month. Because I cannot afford a place of my own, I am constantly living with family and friends. I am 55 years old and I would love to have a place that I can call home. It’s difficult spending quality time with my grandchildren age 3 and 4 living under someone else roof. Are there any programs for someone in my situation that has a good credit history, reliable and willing to do what it takes to be a successful homeowner? Thank you for your rapid response