Eligibility

• In order to be eligible for the first-time buyer tax credit or the move-up credit when being claimed as a dependent on someone else's tax return you must have completed the home purchase before November 6, 2009.
  
  

Function

• The intention of the tax credit was to boost home sales after the housing bubble burst in 2008. This was initiated as part of the stimulus plan enacted by President Obama to help the economy recover and offset the losses banks suffered from increasing foreclosure rates.
  
  

Types

• There were two types of government tax credits available. The first-time buyer credit was available to individuals or married couples who had not owned a home in the prior three years. The second was available to individuals and married couples who had owned their prior residences for up to three years.