Idaho Housing Finance Authority Home Buyer Tax Credit Advance Loan

Are you a first time home buyer in Idaho? If so, now you can take advantage of the federal housing tax credit that was authorized in February of 2009 by the Obama Administration. For now the housing tax credit for first time buyers is only good if you buy a home before December 1, 2009. There are income caps for married and single first time buyers.

Learn more about the Federal Housing Tax Credit by reading: 8000 Housing Tax Credit For Buying Your First Home.

The bad news about the tax credit is that you only get the money once you file your tax return in 2010 so you must still be able to come up with down payment and closing costs to purchase a home. To help Idahoan home buyers take advantage of the housing tax credit for their down payment and closing costs, the Idaho Housing and Finance Association - IHFA - authorized a short term tax credit loan program.

Specific Features and Benefits of the Idaho Tax Credit 2nd Loan

• The Tax Credit 2nd (Second) Loan must be used in combination with an IdaMortgage.


• Qualified first time buyers can get up to $7000 for the Tax Credit 2nd Loan that can be used for their down payment. The 2nd loan is combined with the IdaMortgage so that the total combined loan amount to the homebuyer does not exceed 100% of the sales price of the home.


• The interest rate of the Tax Credit 2nd Loan is 3.0% and is due to paid in full by July 1, 2010 which should give the home buyer enough time to file their 2009 tax return with the IRS and to get their tax return refund which should include their tax credit.


• A qualified home buyer must be a first time buyer


• The home buyer must have a middle credit score of 640 or greater to qualify


• The home buyer must have a debt to income ratio of 45% or less to qualify


• To get the tax credit 2nd loan the homebuyer must complete a eligibility form to be signed by a qualified tax preparer certifying that the homebuyer is eligible for the federal housing tax credit unless the homebuyer has a FICO Credit Score of more than 700.