First-Time Homebuyer Credit

[duanecpa]

Need a definition as to who qualifies as a First-Time Home Buyer:

Example 1: Have a client who owns a home and is selling the home. He will marry a lady who has never owned a home - once they are married in 2009 they plan on purchasing a home together - are they a First-Time Home Buyer if they purchase a home by 12/31/2009?

Example 2: Have a client who has never owned a home in his name. He, however, is a partner in a partnership who has purchased a home in which the client is living. He has a significant other who has never purchased a home before. They are planning in purchasing during 2009 a home together for them to live in before they are married - do they both qualify as a First-Time Home Buyer?

Example 3 - same situation as Example 2 except that the client is asking about the possibility of him and his significant other purchasing the home that is owned by the partnership that he is a partner in from the partnership - does this situation qualify as a First-Time Home Buyer?

[Lion]

One Answer

1. No as it is written since one of a married couple who owned a principal residence during the last three years before purchase disqualifies the couple. Also, watch your dates; the new 2009 rules end before 1 December 2009.

Other two are more complex than I've had, but I'm sure related parties as pertaining to a partner and corresponding partnership are addressed someplace.