May 29th, 2009 3:05 PM by Frank Ferrell
Since my May 13 article on $8000 tax credit, I just learned that today the Federal Housing Administration released details of a plan for FHA borrowers to obtain short-term loans from lenders in order to receive their government tax credit prior to filing their taxes.
Qualified FHA home buyers can claim the credit by filing an amended 2008 tax return or can wait for their 2009 return. They still have to come up with the FHA's required 3.5 percent down payment, but the money can still be used for their closing costs or a larger down payment.
This will certainly help many first-time home buyers as well as reduce heavy housing inventories.