Here is what HUD considers a first time homebuyer.

• An individual who has had no ownership in a principal residence during the 3-year period ending on the date of purchase of the property. This includes a spouse (if either meets the above test, they are considered first-time homebuyers.

• A single parent who has only owned with a former spouse while married
• An individual who is a displaced homemaker and has only owned with a spouse.
• An individual who has only owned a principal residence not permanently affixed to a permanent foundation in accordance with applicable regulations.
• An individual who has only owned a property that was not in compliance with State, local or model building codes and which cannot be brought into compliance for less than the cost of constructing a permanent structure.

Remember I am a licensed real estate agent and not a tax consultant. To see if you qualify for the First Time Homebuyer’s Tax Credit please speak to a CPA.