The IRS says you must use this form to claim the credit: http://www.irs.gov/pub/irs-pdf/f5405.pdf

No. You don't apply for the credit.

When you file your 2009 tax return, there will be a line where you can take your credit. Make sure that you qualify--that you're a "first time home buyer" as defined by the law, that your income is below the allowable maximum, etc. And the $8,000 is the maximum allowable credit--the credit is actually 10% of the purchase price of the home. Check with an accountant for more information.

Most people I've worked with are going to use it when they file their taxes for 2009. Whoever prepares your tax return can help you with that. You might also want to discuss it with your loan officer or realtor, they could help you figure out what would be best for your situation.

D.

The answers to most "first time buyer incentive" program questions can be found on this federally provided website: http://www.federalhousingtaccredit.com/2009/faq.php

Good luck
The Eckler Team

Here is the irs update. http://www.irs.gov/newsroom/article/0,,id=204671,00.html?portlet=6

The refund is 10% of your purchase. I believe you can use part of it toward closing costs or you can collect it in next year's tax return.