$8000 for first time home buyers.

**Denis3721** · 02-08-2010 02:31 PM

Hi i have a question. I've heard that if you're a first time home buyer you can get 8000 dollars in ur tax return. Since I'm 21 and didn't establish much of a credit would it be possible for me to get a cosignatory from my parents to buy the house and still be eligible for the $8000??

I would then sell my parents house...and move them into the new house, putting the house on their name...so they pay for it. And I would just walk away with 8000 dollars.

Everyone would be happy, my parents would have a new house...since they wanna buy one anyway...and i would have 8000 for whatever

would this work?

**stand856** · 02-08-2010 03:13 PM

This should answer some of your questions:
Federal Housing Tax Credit: Home

**ikjosh** · 02-08-2010 03:49 PM

Why not buy the house, then rent it to your parents?

**ernest1918** · 02-08-2010 03:51 PM

Well if your parents have already bought a house...and they co sign for you, you will not be eligible for the first time home buyer tax credit...

however if your parents have not bought a house within the last three years you could qualify for the $6500??( i dont know the amount) tax credit..

but if you got bomb credit and good income coming in you should qualify i guess it just depends on your financial situation

**DerekS** · 02-08-2010 04:28 PM

Originally Posted by ernest1918

Well if your parents have already bought a house...and they co sign for you, you will not be eligible for the first time home buyer tax credit...

however if your parents have not bought a house within the last three years you could qualify for the $6500??( i dont know the amount) tax credit..

Yup, this is true. The amount is up to $6500 for existing homeowners who've been in their current residences for 5+ years.

Keep in mind that there's alot more to home ownership than just getting a "free" 8 grand. If you were planning on buying anyway, it's a smart move. But houses eat money like puppies eat shoes, so be wary if your only motivation is the tax credit.

**Will** · 02-08-2010 05:15 PM

The whole point of the grant is to give you help to buy your first home, if they let your parents put down the money for it, then move into it, it takes away the meaning of the grant, the government is not interested in just giving you $8,000 sorry.

There are usually clauses where you have to live in the house yourself and not sell for 6-12 months etc, and your parents cannot have anything to do with it because they are not first home buyers. Hope that helps

**Denis3721** · 02-09-2010 02:29 AM

ikjosh
RENTING THE PLACE TO MY PARENTS!! AWESOME IDEA!!!!!

Wow great responses, everyone has a really good point. Thank you very much.

**Will** · 02-09-2010 05:14 AM

Originally Posted by Denis3721

ikjosh
RENTING THE PLACE TO MY PARENTS!! AWESOME IDEA!!!!!

Wow great responses, everyone has a really good point. Thank you very much.

If you rent to them, you still need to get the loan yourself for the house, and you also probably have to live in it yourself first for around 6-12 months

**Encrypted** · 02-09-2010 09:47 AM

And this is why we are $11 trillion in debt. Thank you greedy citizens who can't work for their money.

**Denis3721** · 02-09-2010 02:46 PM

i think of it this way, if I dont take that money someone else will. So why not take advantage of it. Besides, those $8000 will circulate in the economy when i spend it...so it's not really adding to the 11trillion dollar debt. It will actually boost the economy.

**ikjosh** · 02-09-2010 03:27 PM

Originally Posted by Denis3721

i think of it this way, if I dont take that money someone else will. So why not take advantage of it. Besides, those $8000 will circulate in the economy when i spend it...so it's not really adding to the 11trillion dollar debt. It will actually boost the economy.

Do you know where that $8,000 comes from?

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