Ventura County first time home buyers can now use the Federal Government’s $8000 tax credit towards their down Payment.  On Tuesday, May 12, 2009, the Department of Housing and Urban Development secretary, Shaun Donovan, announced that the Federal Housing Administration (FHA) will permit its lenders to let first time home buyers use the $8000 federal tax credit as a down payment.

According to Secretary Donovan, “The FHA’s approved lenders will be permitted to “monetize” the tax credit through short-term bridge loans. This will allow eligible home buyers to access the funds immediately at the closing table.”

Currently,Ventura County first time home buyers may receive the Federal tax credit after they have filed their taxes.  However, the new offer to first time home buyers will help many in Ventura County who need extra money for their down payment to cover the closing costs associated with their home purchase.

The FHA is currently working on a program where approved lenders will provide first time home buyers with a short term loan to be used towards the down payment.  Once these first time home buyers receive their tax credit from the Federal Government, they would then pay back the lender of the short term loan.

Now first time home buyers in Ventura County have more incentives than ever to enter the market and purchase a home.

If you need any help purchasing a home in Ventura County or if you have any questions about the first time home buyer tax credit please feel free to contact me, Mana Tulberg: (805) 443-8898.