The point now, with these excellent answers is: "DO IT NOW!" Time is running out. You will probably need 45-60 days after making your decision/offer; JUST TO CLOSE ON TIME! This means you have about a month now to select your home. HOW CAN YOU NOT???

The City of Columbus also has grant money available through the Columbus Housing Partnership if your income qualifies you for a grant.

In addition to the tax credit, there is another program available to first time buyers in Ohio. Try visting Ohiohome.org. This is a state funded program for first time home buyers which offers down payment assistance or help with closing costs to first time home buyers. Current rates are listed below. This program can be used with VA, FHA or conventional financing.

5.50% w/out down payment assistance

6.00% with down payment assistance

First time buyers and all buyers who purchase a HUD owned property in Ohio receive incentives IN ADDITION to the $8,000 income tax credit. Details on my blog, see link below.

I just represented a buyer on a home purchase of $129,900. They received a USDA loan( Nevada Bond) for the full price, no money down, bought an REO. Their tax return will be filed today and they will receive $8,000 cash back which will furnish the house and buy new appliances.
That is a real success story.

JD ,

John Wirsing's answer is the gist of it. Also Ohio bond funds and MCC.

JD

I believe John Wirsing answer covers eveything. The only thing that I would add is that if you happen to buy a new home in California, you would have an additional $ 10,000.00 tax credit. It only applies to new homes...But of course you seem to want to buy in Columbus, OH. Good luck

JD,
There are many incentives for first-time homebuyers. The main points regarding the tax credit are as follows:
- You must not have owned home in the last 3 years to qualify
- As an individual, you may not make over $75,000 in annual income or else you do not qualify for the full credit. (Married couples - $140,000)
- You must settle on the purchase of a home between 1/1/09-11/30/09
- You will receive 10% of the purchase, but not to exceed a credit of $8,000
- You will not receive this tax credit as part of your home purchase, you will receive the credit when filing your taxes.

To learn more detailed information visit : http://www.federalhousingtaxcredit.com

The major incentive is the tax credit for first time home buyers. The tax credit is equal to 10% of the price of the home, up to $8000. The first time home buyer is a buyer who has not owned a home in the last three years. For more details, see the section on Stimulus on this site.

What’s this new homebuyer tax incentive for
2009?
Any home that is purchased for
$80,000 or more qualifies for the full $8,000 amount.
If the house costs less than $80,000, the credit will be
10% of the cost. Thus, if you purchase a home for
$75,000, the credit would be $7,500. It is available for
the purchase of a principal residence on or after
Jan. 1, 2009 and before Dec. 1, 2009.
Who is eligible?
Only first-time homebuyers are eligible. A person is
considered a first-time buyer if he/she has not had any
ownership interest in a home in the three years
previous to the day of the 2009 purchase.
How does the tax credit work?
Every dollar of the tax credit reduces income taxes by
a dollar. Credits are claimed on an individual’s income
tax return.
Then, once the total tax owed has been computed,
tax credits are applied to reduce the total tax bill. So,
if before taking any credits on a tax return a person
has total tax liability of $9,500, an $8,000 credit would
wipe out all but $1,500 of tax due.
So what happens if the purchaser is eligible for
an $8,000 credit but their entire income tax
liability for the year is only $6,000?
The tax credit is what’s called “refundable” credit.
Thus, if the eligible purchaser’s total tax liability was
$6,000, the IRS would send the purchaser a check for
$2,000. The refundable amount is the difference
between $8,000 credit amount and the amount of tax
liability. Most taxpayers determine their tax liability by
referring to the tables that the IRS prepares each year.
Is there an income restriction?
Yes. The income restriction is based on the tax filing
status the purchaser claims when filing his/her income
tax return. Individuals filing Form 1040 as Single (or
Head of Household) are eligible for the credit if their
their income tax withholding (through their employers)
or adjust their quarterly estimated tax payments.
Some “Real World” Examples
What if I purchase later this year but can’t get to
settlement before December 1?
The credit is available for purchases before Dec. 1,
2009. A home is considered as “purchased” when all
events have occurred that transfer the title from the
seller to the new purchaser. Thus, closings must
occur prior to Dec. 1 to be eligible for the credit.
I haven’t even filed my 2008 tax return yet. If I
buy in 2009, do I have to wait until next year to
get the benefit of the credit?
You’ll have a helpful choice that might speed up the
process. Eligible homebuyers who make their purchase
between Jan. 1 and Dec. 1, 2009 can treat the
purchase as if it had occurred on Dec. 31, 2008. Thus,
they can claim the credit on their 2008 tax return that
is due on April 15, 2009. You have three options:
1. If you buy between Jan. 1 and April 15, you can
claim the credit on the 2008 return due April 15.
2. You can extend the 2008 income-tax filing as late
as Oct. 15, 2009. IRS automatically grants extensions,
but you must file.
3. If you’ve filed your 2008 return before the purchase
of a home, you can file an amended 2008 tax return
on Form 1040X.
Of course, 2009 purchasers will always have the
option of claiming the credit for the 2009 purchase on
their 2009 return (due April 15, 2010).
I know there is no repayment requirement for the
$8,000 credit. Will I ever have to repay any of the
credit back to the government?
One situation does require a recapture payment back
to the government. If you claim the credit but then sell
the property within 3 years of the date of purchase,
you are required to pay back the full amount of any
credit, including any refund you recieved from it. A few
exceptions apply.
income is no more than $75,000. Married couples who
file a Joint return may have income of no more than
$150,000.
Do individuals with incomes higher than the
$75,000/$150,000 limits lose the benefit?
Not always. The credit phases-out between $75,000-
$95,000 for Singles and $150,000-$170,000 for
married filing Joint. The closer a buyer comes to the
maximum phase-out amount, the smaller the credit
will be. The law provides a formula to gradually
withdraw the credit.
What’s the definition of “principal residence?”
Generally, a principal residence is the home where an
individual spends most of his/her time (generally
defined as 50%). It is also defined as owner-occupied
housing. The term includes single-family detached
housings, condos or co-ops, townhouse or any similar
type of new or existing dwelling. Even some houseboats
or manufactured homes will count.
Do I have to repay the 2009 tax credit?
NO! There is no repayment for 2009 tax credit

Source: national Assoc Of Realtors

Go to http://www.BuyNowFreeMoney.com. It is a website by Coldwell Banker that answers questions about the $8000 tax credit for buyers who have not owned a home in the past 3 years.