$8000 First Time Home Buyer Tax Credit Benefits Singles

saving moneyThe closer we get to the December 1 deadline for the $8000 first time home buyer tax credit, the more complicated the questions about it get.

Today I had to explore whether or not having a co-signor on a loan for a Minneapolis duplex who already owns a home would disqualify the buyer from earning the tax credit.

And the answer is no.

According to the Federal Housing Tax Credit web site, unmarried joint purchasers may allocate the credit to the party who qualifies for the credit.

In other words, if your parents are willing to help you obtain the loan, or you’re buying the duplex with a significant other who’s already owned a home, you can still obtain the $8000. One hundred percent of the credit can go to the partner who’s a first time buyer (whereas if both are first timers, it’s split down the middle).

Again, you simply can’t be married to your partner.

Hmm. There’s a reversal of benefits!