Florida First Time Homebuyer $8000 Tax Credit

As of July 1, 2009, Florida has created a program to help first-time homebuyers get their federal tax credit early, allowing them to use up to $8,000 toward a down payment. The effective date for the program is July 1; however, it will probably be another few weeks before the funds are available. This is an exciting addition to the already popular tax credit. We see this as a way to help more and more first time homebuyers get into a home and stop paying rent.

While most first-time homebuyers qualify for the tax credit (given by the government as an income tax rebate regardless of tax owed), they once had to buy a home first, submit the info to the IRS through their tax return, and wait for the $8,000 rebate. To help these buyers get the money early enough to use it as a down payment, the State of Florida created a program of bridge loans, the Florida Homebuyer Opportunity Program (FLHOP), where money can be borrowed from the state and then paid back after the new homeowner receives his tax credit.

Florida’s local housing administrators will oversee the down payment funds at the local level. (To find the administrator in your area, go to: http://apps.floridahousing.org/StandAlone/FHFC_ECM/AppPage_SHIPLGContacts.aspx

For specific questions about the $8,000 tax credit, homebuyers should consult a tax professional. Resources for understanding the tax credit and bridge loans: FAR’s Homebuyer Center: http://www.floridarealtors.org/AboutFar/homebuyercenter/index.cfm

If you are a first time homebuyer in Florida and would like to purchase Tampa Bay Real Estate, we are here to help you!

15 Replies to “Florida First Time Homebuyer $8000 Tax Credit”

  1. In California we also have a state $10,000 credit for new construction home purchases as well. This is a great opportunity for many first time buyers to get into this down market. Thanks for sharing.

  2. Defnitely think homebuyers should take advantage of these rates and tax credits while they last..because they wont and cant. Inflation will be hitting these rates and getting rid of the best homebuying opportunity in years. Although prices have decreased the home affordability will still get hit because of higher rates. Get in now!

  3. This is helpful information. The last time I checked with lenders I know, there was not a way yet to for buyers to use the funds at closing. I also remember that the funds could not be used for down payment. Rather, for other costs. Hopefully, the FL program will get started sooner rather than later.

  4. The tax credit is a great option for helping first-time home owners get into a new abode! Be sure your income limits allow you to collect (via your tax professional) – and let ‘er rip! But – act soon, cause this deal won’t last forever!

  5. It’s good to see that the State of Florida is onboard with helping first time home buyers. Many are overwhelmed with costs when first timers and can use a bit of additional help and guidance.

  6. I’m seriously torn on the issue of giving tax credits to first-time home buyers. I realize that doing so will help stimulate–or at least we hope will help stimulate–the real estate, mortgage, and construction industries.

    At the same time, though, it’s painfully obvious that well over 90% of taxpayers are footing the bill for this, and that the taxpayers will never recover the funds used for the credits. As such, the credits are an entitlement by another name.

    The taxpayers are being asked (well, not really asked, but forced) to give money to others to buy new homes and cars, to restructure delinquent mortgages, and all sorts of other goodies.

    We can’t keep taking from one group to give to another. It’s going to blow up in our faces, and sooner rather than later.

  7. We have the same thing in the state of Texas. It is a great way to get people to jump. I sent out an email to my database and got about 15 buyers that I would not have had!

  8. I am excited about this program here in Texas also. Each time I mention it to a prospect, I get a new client. This should really give our housing market a boost.

  9. At least the governments are trying, and its good for website owners like yourself to publicize these tax credits as not everyone knows about them. Great website by the way plenty of useful information.

    Regards Lisa

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