Any home that will be used as a principal residence will qualify for the credit, provided the home is purchased for a price less than or equal to $800,000.

Does that mean if I purchase a home more than $800,000, will i still qualify for the tax credit?

http://abclocal.go.com/wabc/story?section=news/politics&id=7087955

If you want to skip it, here’s the interesting part (which they do not explain in detail):

1,400,000 homebuyers have taken advantage of the tax credit.

The story specifically states that NAR estimates that 350,000 of those wouldn’t have purchased without the tax credit, meaning 1,050,000 would still have purchased without the tax credit.

This means the total cost of the program breaks down like this:

1,400,000 x 8,000 = $11,200,000,000 (11.2 BILLION)

This means the total cost to give the 350,000 people who wouldn’t have purchased a home without the tax credit was the 11.2 Billion; which means:

11,200,000,000 / 350,000 = $32,000 per transaction

So:

It cost $32,000 for each individual who got the $8,000 tax credit, to motivate them to purchase a new home.

Wow.

Is there a restriction that you cannot qualify for the $8,000 credit if you are purchasing the home from a family member?

Anyone:
What would the best way to vest the title if parents where non-occupying co-borrowers for a child – Tenets in Common or Joint Tenancy. I ask because joint Tenancy implies equal distribution which *may* mean our daughter could only claim 1/3 of the 8,000. That coupled with not being able to claim her on our tax return pretty much means no advantage to doing this

One thing is for sure, this this will be a great stimulus for tax advisors..