Again: FTH - never occupied

[Gretel]

Here is the story. Client bought first home in 2008 and used funds from a specific FTH account for state purposes. After closing he took a chair with him to sit in the house and see how he wants to arrange things and realized that this house is too small for him.

Never moved in and put back on market. For state purposes he purchased his first home but I think in reality is never was his first home since he never occupied. It rather was an investment and he still qualifies for Federal FTH credit. Any opposition?

[BP.]

Not sure, but can we gather from your post that a subsequent house was/will be purchased, and that is the one you want to be qualifying for FTHBC?

[ChEAr$]

Here is the story. Client bought first home in 2008 and used funds from a specific FTH account for state purposes. After closing he took a chair with him to sit in the house and see how he wants to arrange things and realized that this house is too small for him.

Never moved in and put back on market. For state purposes he purchased his first home but I think in reality is never was his first home since he never occupied. It rather was an investment and he still qualifies for Federal FTH credit. Any opposition?

Well, yeah. If house not used as a "home", i.e. personal residence, I don't think he
qualifies as FTHB for getting the credit.

[Gretel]

Too bad you cannot read my mind. Isn't it amazing how hard it is to give all the relevant facts?

Second house was purchased 11/09 and is occupied as first home. First "want to be home" is still up for sale and was never occupied.

[BP.]

Too bad you cannot read my mind. Isn't it amazing how hard it is to give all the relevant facts?

Second house was purchased 11/09 and is occupied as first home. First "want to be home" is still up for sale and was never occupied.

I would go for FTHBC for the second home, but I don't know how the state program you mentioned factors into the decision.