This information pertains to the American Recovery and Reinvestment Act of 2009.
* The tax credit is for first-time home buyers only. For the tax credit program, the IRS defines a first-time home buyer as someone who has not owned a principal residence during the three-year period prior to the purchase.
* The tax credit does not have to be repaid. However, home buyers must use the residence as a principal residence for at least three years or face a recapture of the tax credit amount.
* The tax credit is equal to 10 percent of the home's purchase price up to a maximum of $8,000.
* The credit is available for homes purchased on or after January 1, 2009 and before December 1, 2009. (First-time home buyers who purchased a principal residence on or after…