I just locked in this week at 4.875% on a 30-year fixed USDA loan. Waiting to hear back from UW, but right now, everything looks good for 11/18 close. I'm pretty sure I already know the answer to this question but will throw out for expertise. Last year, as I was rebuilding and changed jobs voluntarily in Feb 2008, I decided to take a lump sum distribution from my 401(k) to pay down debt and limit the financing on a necessary new car. The lump sum distribution took my total gross income for 2008 up to around $94K.
LO has already verified with USDA that the distribution does not count as it relates to the income limits for USDA guaranteed loan program, and without it, I am well under, so I don't have any concerns about eligibility for the loan. My question is regarding the returns. I'm assuming that if I immediately filed an amended return for 2008 upon closing date, I would end up with little or none of the $8K tax credit because of the income level for that year. However, if I file for the credit in 2009, where my gross income will be approximately $76K, I will end up getting most of the credit.
Is this a correct assessment? Thanks!
