***Attention First-Time Homebuyers***ACT NOW – ONLY 6 MONTHS REMAIN!!! Use your 1st-time homebuyer tax credit of $8,000 towards closing costs or down payment!
The US HUD Secretary, Shaun Donovan, announced that the Federal Housing Commission (FHA) will allow homebuyers to apply the $8,000 first-time homebuyer tax credit toward the purchase costs of a FHA-insured home.
Currently, this tax credit can only be accessed after filing their tax returns with the IRS. Today’s announcement allows Home buyers using FHA-approved lenders to apply the tax credit to their down payment in excess of 3.5 percent of appraised value or their closing costs, which can help achieve a lower interest rate.
You can review the full announcement on the Housing and Urban Development (HUD) website by clicking here.
The following video released by the National Association of Home Builders discusses use of the First Time Homebuyer Tax Credit towards downpayments.
Questions about how the $8,000 Federal Housing Tax Credit works? Watch the video prepared by the National Association of Home Builders below:
**NOTE- This video does not yet reflect today’s announcement above!**