Home Buying in El Cerrito>Question Details

Katie P, Home Buyer in El Cerrito, CA

I am interested in buying a home in the East Bay, CA. If I had a co-signer for the Mortgage that owns a home could I still qualify for the $8000?

Asked by Katie P, El Cerrito, CA Wed Oct 7, 2009

I am interested in buying a home but am not sure I will be able to before December 1st. I am hoping they extend the $8000 tax credit for First Time home owners. I was wondering what options are available to have someone co-sign on your Mortgage? I have family members that would be willing to co-sign on a Mortgage for me. They would not be living with me and also own their home. Would this disqualify me being a first time home buyer?

Also is it still possible these days to get a loan with 5% down?

Help the community by answering this question:


This is out of date (above) , but currently you need about 1/3 of the cost of a project to get a loan for the balance, fixed, at 3% or even lower. If a qualified person like you mention is willing to co sign to get you started there is nothing wrong with that. As an Architect, as well, I would suggest doing the plans so it fits into a specific budget or the project will not be feasible, loan or otherwise. Do you want to have a set of plans that does this? Or what would you do, buy a used house and live in it? That is a possibility, but if you can afford to buy you can certainly afford to build, is my point, so why would you do that?
0 votes Thank Flag Link Tue Sep 25, 2012
As far as the co-signers, it depends if their current debt. The lender will review BOTH signers of the loan and underwrite them the same for each. So if your co-signer is deep in debt, then it's not going to fly very well.
0 votes Thank Flag Link Wed Oct 7, 2009
Here are a couple of links with FAQs about first time home buyer


And when in doubt, check with the IRS


Just be careful....the IRS will prosecute for false claims.

Err on the side of caution...
0 votes Thank Flag Link Wed Oct 7, 2009
from the IRS.gov website:
S2. Taxpayer A is a single first-time home buyer. Taxpayer B (parent) cosigns for A and does not qualify. Both names are on the mortgage. Can Taxpayer A claim the credit and, if so, how much?

A. Yes. Taxpayer B is not a first-time homebuyer and cannot claim any portion of the credit, but A may claim the entire credit ($7,500 for purchase in 2008; $8,000 for purchase in 2009), if the home was purchased as Taxpayer A's primary residence.

FHA loans allow 3.5% down payment, so there' still time to buy!
0 votes Thank Flag Link Wed Oct 7, 2009
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