5 Things You Must Know About First Time Buyer Home Credit

Introduction

If you are a first time buyer home credit applicant, then you should know that there are a lot of things to consider in order for you to be able to enjoy the benefits of a buyer home credit. Not everyone can be considered for the buyer home credit, which is why it is crucial to know how you can take the first time buyer home credit if you want to enjoy the various advantages that it can give you. Here are five things that you must know about the first time buyer home credit.

Eligibility

One of the first things that you need to know about the first time buyer home credit is that you must be an eligible candidate. In order to be eligible for the first time buyer home credit, it is important to note the date when you bought your house for the purposes of making it your primary place of residence. Usually, first time buyer home credit can only be taken by those who bought their homes during the years 2008-2010 for the reason of making it their primary residence. If you belong to these years indicated, then there is a good chance that you can belong to those people who can take first time buyer home credit, thereby putting you in line of certain benefits and advantages. Since credit being given changes from year-to-year, the amount of benefits or credit being given to each first time buyer home credit eligible applicant would vary.

In order to be eligible for the first time buyer home credit, you need to have bought – or is already contracted to buy a piece of property for the purposes of using it as your place of primary residence. You should also have settled the contract that you went into for the home by September 30, 2010, because this is the deadline for the settlement of the contract. It previously was set for June 30, 2010, but it was moved to September 30, 2010 due to legislation that was passed.

Features

The major benefit that you would get from taking the first time buyer home credit is that you will either get the amount that is supposed to be refunded to you increased once your tax has been determined, or that your tax bill will be reduced considerably depending on the amount of credit you will get from the first time buyer home credit.

There are certain repayment triggers that will cause you to repay the credit that you got for your home. You will need to repay the full amount, and you will also need to submit certain forms depending on how you lost your home. Basically, repayment triggers will occur if you either lost your home through an accident or a sale, or if you changed its purpose from primarily residential to some other purpose, such as commercial or rental.

There are certain ways wherein you can claim your tax return, also depending on your situation, just like if whether or not you have been a resident in your home for a long period of time, or when you actually made the purchase.

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