If you have not owned a home in the last 3 years you are considered a first time homebuyer. If you have a credit score of at least 625 you are eligible for an $8000 tax credit….and today we found out that it gets even better! The tax credit can be used for the down payment for your house.
The National Association of REALTORS announced that “Secretary Donovan said that important changes will help consumers purchase a home. According to Donovan, the FHA’s approved lenders will be permitted to “monetize” the tax credit through short-term bridge loans. This will allow eligible home buyers to access the funds immediately at the closing table.”
I suspect that some of the first time home buyers are waiting for the market to hit bottom…..and that is impossible to measure….in fact, you won’t know that we hit bottom until the market is back on its way up.
According to Donovan, “The Obama administration plans to further stabilize the housing market. “I do think we have some early signs that the market overall is stabilizing, Since January we’ve seen both home sales moving up and down around a relatively stable number and we are seeing the first signs that the rapid decline in home prices is starting to abate.'”