Quote:
Originally Posted by yournamehere
I must say, though, if you have a secure job (and I know that's a big IF) - with the interest rates as low as they are, and the this-year-only $8,000 tax credit, you'd have to be crazy to not buy a house this year.
|
To clarify on this, there is a LOT of fine print there:
It is available to first time home buyers only. In the case of married couples, they BOTH must be first time home buyers. This is the opposite of the rules under FHA where either spouse could qualify as 'first time' if they didn't have an ownership in a primary residence.
This is not really a tax credit, since you have to repay the full amount as return taxes over the next 15 years. Other tax credits do not have to be re-paid.
If you sell before the 15 years is up, the full amount of the credit is due immediately.
It still can be a good deal for someone who is sitting on the sidelines waiting to pull the trigger on their first home purchase. But it is hardly the rosy picture that some people have made it out to be.