Federal and State
Home Buyer Incentives
$8,000 First-Time Home Buyer Tax Credit
$6,500 Move-Up and Repeat Home Buyer Tax Credit
$14,000 Down Payment Assistance
$8,000 First-Time Home Buyer Tax Credit
Who qualifies for this tax credit?
Currently, this tax credit only applies to first-time home buyers with a maximum income of $125,000 for single taxpayers and $250,000 for married couples.
I have owned a home before. Can I still qualify as a first-time home buyer?
Yes, you qualify as a first-time home buyer if you have not owned a home during the three-year period prior to the purchase.
How much is the tax credit?
The tax credit is equal to 10% of the home's purchase price, up to a maximum of $8,000.
Do all homes qualify?
No, the tax credit only applies to homes selling for $800,000 or less.
When does the tax credit expire?
The tax credit applies to homes sold between November 6, 2009 and April 30, 2010. For homes with a binding sales contract signed by April 30, 2009, the sale must be completed and closed by June 30, 2010.
Do I have to repay this tax credit?
The tax credit does not have to be paid back, unless you sell or move out of the home within three years after the purchase.
$6,500 Move-Up and Repeat Home Buyer Tax Credit
Who qualifies for this tax credit?
To qualify, you must have owned and lived in your previous home for five consecutive years out of the last eight years.
How much is the tax credit?
The tax credit is equal to 10% of the home's purchase price, up to a maximum of $6,500.
Do all homes qualify?
No, the tax credit only applies to homes selling for $800,000 or less.
When does the tax credit expire?
The tax credit applies to homes sold between November 6, 2009 and April 30, 2010. For homes with a binding sales contract signed by April 30, 2009, the sale must be completed and closed by June 30, 2010.
Do I have to repay this tax credit?
The tax credit does not have to be paid back, unless you sell or move out of the home within three years after the purchase.
$14,000 Down Payment Assistance
What is the name of this program?
This program is called the Georgia Dream NSP Purchase Program and provides up to $14,000 to qualified home buyers and was created to encourage the purchase of foreclosed properties.
How are funds dispersed?
Funds are dispersed as a second mortgage lien against the property, but there are no payments and no interest charges. The lien is released over a period of five years and six months.
Can I use the funds for the down payment or to make repairs?
Yes, you can use the funds to make required repairs and/or down payment assistance.
When does the program expire?
The program began on April 1, 2009 and expires on April 30, 2010.
Can I use the Georgia Dream and the $8,000 Federal Tax Credit?
Yes, if you qualify for both programs, you can use both programs to purchase a home.
How do I apply?
You must contact a lender participating in the Georgia Dream program to get pre-qualified and to begin the mortgage loan process. The lender will review your credit report and mortgage application to determine your credit worthiness based on FHA, VA, and Georgia Dream NSP Down Payment Program guidelines.
You must also attend eight hours of in-person home buyer education and counseling.
If you have further questions about any of these programs, please give us a call or fill in the form below. We would be happy to recommend an approved lender and walk you through every step of the process.
Equal Housing Opportunity