Brandon Nicely Recaps the First-Time Buyer Credit

From Brandon:

As we wind down to the expiration – again – of the first-time buyer credit, I thought it would be a good chance to recap some of the questions we keep hearing in my office regarding the credit.  Don’t wait until the last few days to get serious

If you’re looking at taking advantage of either the $8000 first-time buyer credit or the $6500 move-up credit, you must meet these guidelines:

  1. Must sign a contract by close of business on April 30th 2010 and close by close of business on June 30th 2010
  2. Must be your Primary Residence
  3. Must close before claiming credit
  4. Must file IRS 5405 with the tax return and you must attach a copy of your settlement statement to the return
  5. There’s no need to repay the credit unless one of the following take place:
    – You convert home to rental or business use within 3 year period
    – You sell home within 3 years
    – You foreclose on home within 3 years

People are asking questions about audits.  While I’m not a tax attorney – and I’d recommend consulting one – you’ll probably need:

  1. Mortgage statement with the property address
  2. Automobile registration matching property address
  3. Bank statement matching property address
  4. Pay-stub matching property address

Resources: If you have questions go to and search “first time homebuyer credit“.  If I can be of assistance, please contact me and let’s see how we can help.


Brandon is a branch partner at Alcova Mortgage.  He enjoys doing his taxes, firewalking and competitive eating, but not necessarily in that order.  You can reach him at, or 877-552-7150.

Leave a Reply

Your email address will not be published. Required fields are marked *