Wednesday, May 13, 2009

Can You Use the $8000 First Time Home Buyer Tax Credit as a Down Payment? Yes!

Can You Use the $8000 First Time Home Buyer Tax Credit as a Down Payment? Yes!
In an announcement made yesterday, May 12th, HUD (the department of Housing and Urban Development) said that they plan to allow First Time Home Buyers to use the 2009 $8000 tax credit as a down payment. HUD plans on releasing the official details next week but the idea is basically that FHA approved lenders will be able to monetize the tax credit in the form of a small bridge loan to allow a first time home buyer to use the tax credit toward the down payment of their home.
This is the most recent development in this program for First Time Home Buyers. It is a unique time in the market that a home buyer can purchase a home with an FHA loan and actually pay zero down at closing! This combined with historically low interest rates provides for quite a few incentives for the right buyer. I will update as more details get released on this program.

To read more about the $8000 First Time Home Buyer Tax Credit read:
$8000 Federal Income Tax Credit: First Time Home Buyers can get an $8000 tax credit for buying a house this year. and
NORTHWEST AUSTIN HOMES: $8000 Tax Credit- How to get a 10% rebate of your homes value.
Posted by Brian W Martin REALTOR for The Pinnacle Group of Keller Williams specializing in Assisting First Time Home Buyers to take advantage of incentives like we have never seen before in Austin, TX

1 comment:

  1. This is great news for a whole legion of buyers. I wonder what effect this will have on the already voracious northwest Austin sellers' market?