Can someone qualify for the first time home buyer tax credit if their name is not on the mortgage?
My boyfriend and I are buying a home together but he can not be on the mortgage because of his poor credit. I do not qualify for the 00 first time home buyer tax credit but my boyfriend does. Does he have to be on the mortgage in order to qualify for the tax credit or can I put him on the deed and will that qualify him for the tax credit?
The IRS has confirmed that if he is on the deed, lives in the house and can prove, that he has contributed towards the payment of the house, he does qualify for the credit. I am very comfortable having him on the deed but not on mortgage. Without getting into detail, his credit issues are understandable. I am awaiting to hear if the bank has any issues with him being on the deed. I will select the best answer then.
Tagged with: buying a home • first time home • first time home buyer • first time home buyer tax credit • irs • mortgage • poor credit • time home buyer
Filed under: First Time Home Buyer Loans and Grants
If he’s on the deed, he’d qualify. There doesn’t even have to BE a mortgage.
But be careful here. If his credit is too poor to qualify for a mortgage, is this someone you really want to buy a house with? And then, if you split up, end up paying the mortgage plus paying him for half of the house, since with his name on the deed he’ll own half of it.