Please call a bank or mortgage lender and ask the question. I know 'relatives' is a no go area for the tax credit as a buyer or a seller. Not sure about the cosigner.
I can look into it for you, I am also in Alcoa, TN
Century 21 Real Estate Group, LLC 1109 North Hall Rd. 865-984-2121
kevin pellatiro (615)714-7918 firstname.lastname@example.org http://signswemustobserve.blogspot.com/
You should be eligible for the tax credit. I know of one program that you could use a co-signer. How soon are you looking to buy a home? This option will not be available for long.