First-Time Homebuyer Credit for Military Personnel:
While the First-Time Homebuyer credit has expired for most, the option is still available for qualifying military personnel. In Suntrust's market update of October 11th, they reported on the extension of the tax credit which included a seemingly forgotten option for military personnel and members of the intelligence community. Per the Worker, Homeownership and Business Assistant Act of 2009 signed into law on November 6, 2009 (the Act), members of the uniformed services and employees of the intelligence community serving outside the U.S. are afforded the opportunity to claim the tax credit through next year. These individuals have until April 30, 2011 to enter into a binding contract to purchase a primary residence. The purchase contract must go to settlement on or before June 30, 2011. The ruling applies to any individual (and, if married the individual’s spouse) who serves on qualified official extended duty service outside of the United States for at least 90 days during the period beginning after December 31, 2008 and ending before May 1, 2009.
VA defines a First-Time Homebuyer as:
An individual that has not had ownership in a primary residence within the three years preceding the settlement date of the new purchase.
An individual who, though having owned a home in the previous three years, owned a home with a former spouse while married and is no longer living in the residence (evidenced by the divorce decree and/or separation agreement).
