Bridge loan - 8K Tax credit

[Anonymous]

Hi

Has anyone use the 8K tax credit towards the downpayment/ closing cost? If you do please kindly share your experience.

I'm intend to do the same, but not sure what's the proper steps. My understanding is we need to apply a short term bridge loan.

and apply after making an offer for a property or when an offer is accepted?

How long does the bridge loan takes to process? I check my loan office from BoA, they do not offer bridge loan financing.

Any good recommendation for a lender?

Thank You in advance for your input.

Best Regards,

Muthu

[XAVIERSMAMA]

Most of these loans come from your state or local housing authorities.  Check with your city or county's housing authority to see whether they provide this type of loans.  I could be wrong but I think these bridge loans are for FHA loans, so if you are going conventional you might not be able to use this for down payment.

[Anonymous]

My understanding is this can be use for either for FHA or conventional financing.  Can anyone confirm this? Thanks.

[Anonymous]

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@Anonymous wrote:
My understanding is this can be use for either for FHA or conventional financing.  Can anyone confirm this? Thanks.

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Not a clue regarding conventional, but with regard to FHA, note that it can't be the first 3.5% -- the down payment, in other words -- of your cash to close. You still have to supply that. Any funds from a tax-credit bridge loan can then supplement the down payment, and/or apply to buyer's closing costs.

[Anonymous]

Thanks, i do aware of the tax credit cannot be use as the 3.5% down for FHA loan :-)  Anyone else had the experience for applying bridge loan for the 8K credit and for conventional financing?

Many thanks!