The Colorado Housing Finance Authority released important information for anyone who is interested in using the 8000 tax credit for closing costs when buying a new home in Colorado.

CHFA JumpStart Home Mortgage Product Highlights

• Designed to help Coloradans leverage the first time homebuyer federal tax credit for down payment or closing costs.
• Offers borrowers a first mortgage with a competitive 30 year, government insured fixed interest rate, AND a zero percent (0%) second mortgage with no payments if the second mortgage is repaid before June 30, 2010.
• The second mortgage may be a maximum of 3.5 percent of the home’s purchase price, or $6,000, which ever is less.
• Available from CHFA’s approved lenders for homes purchased and closed between April 1, 2009 and Nov.30, 2009.
• Must be a first time homebuyer and complete a free homebuyer education class to qualify.
• Income and purchase price limits apply. View the limits in your county on CHFA’s website www.chfainfo.com.
• $250 of CHFA’s $350 administrative fee will be returned to borrowers who pay off their second mortgage prior to June 30, 2010.
• The interest rate on the second mortgage will increase to 8 percent with a 10 year term if not paid off by June 30, 2010.
• CHFA urges borrowers who don’t plan to pay off second mortgage by the June 30, 2010 deadline to use the CHFA HomeOpener Plus mortgage product.
• CHFA HomeOpener Plus offers borrowers down payment and closing cost assistance at competitive market interest rates with a 30 year loan term.

While the rules associated with the 8000 tax credit loan may seem like there are lots of them, it is good to know that Colorado is one of the few states in the Nation where people can get help to take advantage of programs designed to help people use the 8000 tax credit for closing costs when buying a new home.

More Information: (www.chfainfo.com)

• CHFA JumpStart Brochure
• CHFA JumpStart Fact Sheet
• CHFA JumpStart Information Sheet
• Press Release: CHFA Brings Stimulus Dollars to Homebuyers

8000 Tax Credit Loan Information and Help in Colorado is a post from: Colorado Mortgage Team

Some of the most popular questions that people ask right here in Colorado have been answered nicely by the National Association of Home Builders and they have also put together a video that will most likely answer the questions that you may have.

If you have more questions, be sure to contact us – we are Colorado Mortgage Experts!

Some of the top questions that we have heard from people are also below — if you have a different question after seeing all of these, let us know!

1. Who is eligible to claim the tax credit?
2. What is the definition of a first-time home buyer?
3. How is the amount of the tax credit determined?
4. Are there any income limits for claiming the tax credit?
5. What is “modified adjusted gross income”?
6. If my modified adjusted gross income (MAGI) is above the limit, do I qualify for any tax credit?
7. Can you give me an example of how the partial tax credit is determined?
8. How is this home buyer tax credit different from the tax credit that Congress enacted in July of 2008?
9. How do I claim the tax credit? Do I need to complete a form or application?
10. What types of homes will qualify for the tax credit?
11. I read that the tax credit is “refundable.” What does that mean?
12. I purchased a home in early 2009 and have already filed to receive the $7,500 tax credit on my 2008 tax returns. How can I claim the new $8,000 tax credit instead?
13. Instead of buying a new home from a home builder, I hired a contractor to construct a home on a lot that I already own. Do I still qualify for the tax credit?
14. Can I claim the tax credit if I finance the purchase of my home under a mortgage revenue bond (MRB) program?
15. I live in the District of Columbia. Can I claim both the Washington, D.C. first-time home buyer credit and this new credit?
16. I am not a U.S. citizen. Can I claim the tax credit?
17. Is a tax credit the same as a tax deduction?
18. I bought a home in 2008. Do I qualify for this credit?
19. Is there any way for a home buyer to access the money allocable to the credit sooner than waiting to file their 2009 tax return?
20. If I’m qualified for the tax credit and buy a home in 2009, can I apply the tax credit against my 2008 tax return?
21. For a home purchase in 2009, can I choose whether to treat the purchase as occurring in 2008 or 2009, depending on in which year my credit amount is the largest?

Federal Housing Tax Credit.

Colorado New Home Buyers 8000 Tax Credit Information is a post from: Colorado Mortgage Team