The amount you would qualify for is 10% of the purchase price of the property up to a maximum of $8,000, whichever is less.
You can claim the credit on your 2009 taxes, or file an amended 2008 return to get the money faster. If you are approved for a PHFA loan type, you can also borrow up to $5,000 of it up front to assist with your purchase, but it must be repaid when you receive it through your tax return.
BE ADVISED: You must close prior to December 1st of this year to qualify. Lenders are taking a little longer than usual to close on certain loan types. If you don't have an accepted contract on a property by mid-October, there is a possibility that you may not close in time. If you're not seriously looking or working with an agent, now is the time to contact one. I'd hate for a good, qualified buyer to miss out on this unprecedented program.
Please contact me at eastman@eriemoves.com, my website below, or (814) 397-2998. I have assisted several first time homebuyers get the tax credit this year and would appreciate the opportunity to help you!

It's up to 10% or $8K, which ever is less. Let us assume that you purchase a home in Oil City PA for $65K. Your tax credit would then be $6,500 not $8K. Also, you get the tax credit when you file for your taxes next year. I have heard of places wanting to ok lending the credit, but I do not know of any lender doing this.

Oh, by the way. You MUST have the closing BEFORE December 1st in order to qualify for the tax credit.

Hope that helps,

Terrence Charest, e-Pro®
REALTOR®
Century 21 Associates
905 Easton Road
Willow Grove, PA 19090
Cell (Preferred): 877.614.1494
Office: 215.659.5250
Fax: 215.659.5550
http://www.HomesForFreedom.com
tcharest@HomesForFreedom.com
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